New Belgium back at it, pushing for coal-killing Clean Power Plan

February 5, 2016 by michael · Comments Off
Filed under: Environmental Protection Agency, renewable energy 

During the last decade, Colorado has become renowned, and rightly so, for its craft beer mastery.  With more than 230 microbreweries in the state, we have the highest concentration of breweries per capita.  Thank goodness for the vast selection of quality suds, otherwise I might have to purchase New Belgium beers, and become a de facto extreme, anti-free market environmental activist.

Fort Collins’ New Belgium Brewery lists “kindling cultural environmental change” and “honoring the environment at every turn” as two of their ten core values.  That’s fine, there’s nothing wrong with growth in our culture while respecting our natural surroundings.  But New Belgium’s cozy relationship with extreme environmental groups subjugates free market principles and the proper role of government in favor of promoting an economic and environmental agenda that negatively impacts Coloradans.

In 2015, there was a brouhaha brewing in Craig, the western slope town whose citizenry depends on the economics of coal mining.  New Belgium’s contributions to the anti-coal WildEarth Guardians incensed the townsfolk, prompting the brewery to sever their relationship with WildEarth Guardians.  The spokesperson for New Belgium claimed ignorance, reporting to have no knowledge of the fact that they were partners in the battle to kill local jobs.  Considering they employ a director of sustainability, it is hardly believable that nobody executed an Internet search of WildEarth Guardians before forking thousands of dollars over to them and their energy jobs killing agenda.

Having terminated that relationship and declaring the offense an oversight, one would think that New Belgium would no longer climb into bed with environmental extremists.  Or maybe, that’s just who they want as community partners, because a bottle of the season Accumulation brew boasts of a relationship with Protect our Winters, an effort co-sponsored by Ben & Jerry’s.

Via their website, Protect Our Winters purports that their relationship with New Belgium inspires people to call their governors and make policy demands including support for the EPA’s Clean Power Plan (CPP).  The CPP is designed to suffocate the coal industry and its workforce. According to a report from top economists at the National Economic Research Associates, the CPP’s squeezing of coal plants will increase delivered electricity costs by 17%, while only reducing global temperatures by a mere 0.003°, an amount that will not affect extreme weather or any other purported dangers of climate change.

As evidenced by their enduring relationships with anti-energy environmental activists, it is clear that New Belgium would like to see the coal industry out of business, increase utility costs for already stretched Coloradans, but have zero measurable effects on global temperatures.  They want people to demand more state and federally imposed restrictions on the citizenry. It would seem that New Belgium knew exactly what they were doing with WildEarth Guardians, and that they intend to continue these sorts of anti-energy partnerships into the future, maybe until we can no longer afford to purchase luxuries like craft beers.  Pour me a Coors.

Sarah Huisman is an Independence Institute Future Leader, and Master’s student at Liberty University’s Helms School of Government.

January 27 Colorado Energy Cheat Sheet: COGCC rulemaking pleases no one; anti-fracking measures disastrous for Colorado economy; pushing back against Clean Power Plan

Even small changes to oil and gas regulations can have deep and damaging effects on Colorado’s economy, according to researchers at the University of Colorado:

A statewide, 2,000-foot buffer zone between drilling rigs and homes, schools and businesses would take a hammer to Colorado’s oil and gas industry, already reeling from low commodity prices, as well as the state’s wider economy, according to a new study from University of Colorado Boulder’s Leeds School of Business.

Such a setback requirement “could result in slower economic growth” for Colorado’s economy as well as state revenue, according to the study released Wednesday.

The study said its forecast on the effects of a 2,000-foot setback included:

Production of oil and gas statewide could drop between 25 percent and 50 percent;
A $6 billion to $11 billion drop in Colorado’s gross domestic product;
A loss of 33,000 and 62,000 jobs between 2015 and 2030;
Loss of $214 million to $428 million in per year in tax revenues from oil and gas companies.

Given that the Colorado Oil and Gas Conservation Commission just concluded a round of rulemaking based on the Governor’s Oil and Gas Task Force recommendations from 2015, new and more onerous regulations like the setback examined by CU researchers or the more dangerous proposed fracking bans and various setback ballot measures could have catastrophic consequences on top of the recent commodity downturns impacting the state.

Anti-energy activists have intimated that even more proposals could be in the offing for 2016:

Larimer County resident Katherine Hall, who testified in favor of local control, said she would not be surprised if a citizen-initiated measure ended up on November’s ballot.

“The final outcome of the rule making does not go far enough to ease the concerns of Colorado citizens,” Hall said.

Remember when this blog said the Oil and Gas Task Force was merely kicking the can down the road?

We’ve made our way down that road, and the can is about ready to explode.

In the near term, the COGCC rules could go into effect in as few as 6 to 8 weeks, subject to review by the legislature and the Attorney General:

Compton said the months of rulemakings were “the most difficult” that he’s been through — a string that included the 2008 wholesale overhaul of Colorado’s oil and gas regulations.

The commissioners voted 5-4 to define “large” oil and gas facilities, the threshold that triggers the communication process between energy companies and local governments, as eight new wells and storage tanks that can hold up to 4,000 barrels of oil and natural gas liquids. The commissioners restricted the rule to large facilities in “urban” areas, defined as 22 buildings within 1,000 feet of the wellsite, rejecting request from some quarters to take the rule statewide.

But the rules appear to exceed the recommendations, and create ambiguities that will only incur more procedural red tape:

The process approved by the COGCC will triple, from 90 days to 270 days, the amount of time needed to get a hearing on a large project before the oil and gas commissioners, said Tracee Bentley, the executive director of the Colorado Petroleum Council, an arm of the American Petroleum Institute.

The final rules also said facilities should be “as far as possible” from existing buildings, a phrase Bentley called “vague and confusing” that would cost energy companies time and money to comply with.

The commissioners also rejected a request that existing surface-use agreements between energy companies and landowners be grandfathered, and allowed to avoid the notification and consultation process.

“We feel the industry brought reasonable solutions to the table that were largely ignored, and the rules still go beyond the recommendations of the task force,” said Dan Haley, president and CEO of the Colorado Oil & Gas Association.

Bringing reasonable solutions and constructive dialogue should be expected of the industry, but the same can’t be said for the forces calling for the end of natural resource development altogether:

Activists addressing a state oil and gas rulemaking hearing this week levied a barrage of accusations and insults toward state officials and even renewed calls to eliminate Colorado’s state agency responsible for regulating oil and gas development.

Speaking at the Colorado Oil and Gas Conservation Commission (COGCC) hearing, Lauren Swain, representing national climate activist group 350.org, largely ignored the fact that the rulemaking was supposed to be the focus of the hearing and instead used her time to complain about the agency. From Swain’s testimony:

“With this new proposed rule, the COGCC has proven once again that it can no longer be considered a legitimate state agency because the COGCC continues to facilitate the pace of hazardous polluting oil and gas drilling and fracking operations near homes and schools subjecting communities to the risks of toxic emissions, spills and explosions.”

But Swain took her testimony even farther by lobbying for disbanding the agency in favor of creating a new agency that would “swiftly” transition the state to 100 percent renewables using the Solutions Project at Stanford as a guide. From Swain:

“The COGCC must be replaced with one or more agencies charged with one, facilitating to protect Coloradans from the harmful impact of oil and gas production and two, to aid and foster Colorado’s swift transition to one hundred percent renewable energy production and consumption using the Solutions Project developed at Stanford University as a guide.”

Up next was testimony from an activist who has previously accused the oil and gas industry of having a “personality disorder” and of being “socially deviant.” This time, Amanda Harper called oil and gas producers a “short sighted, selfish and sociopathic industry.”

Not a lot of balance or reasonable tone, it seems.

Colorado Governor John Hickenlooper offered his comments at an event that saw journalists kicked out and required an open records request to seek audio of the Democrat’s comments–and while he questioned the leverage of the anti-energy groups to get the proposed measures on the 2016 ballot, he surreptitiously argued that the COGCC rules discussed above had, in his opinion as well, gone further than his own Oil and Gas Task Force had recommended:

“I haven’t heard of any funding source for any of them,” Hickenlooper began. “Like the normal, large funders of those initiatives, you know, I haven’t heard of. So, maybe they’ll get on the ballot, but without a lot of money, I don’t think they’re going to do well. I can guarantee you there’ll be money spent showing that, the, the problems associated with any of those initiatives.” (Forum Q & A – 17:05)

Moments later, he added, “Again, we’re going further even than the commission recommended, and in certain cases, to try and give local, local municipal elected officials more, a greater role.”

Further.

We’ll see how that plays out.

***

The Environmental Protection Agency’s Clean Power Plan received a stay of its own last week when the DC circuit refused to grant a stay of the rule, forcing 26 states to appeal the case to the US Supreme Court.

Meanwhile at the Colorado legislature, Sen. John Cooke (R-Greeley) has championed measures designed to keep the implementation of the Clean Power Plan at arms’ length, allowing lawsuits to be completed before the state moves forward, something Coloradans clearly support:

Two weeks into the 2016 legislative session, Sen. John Cooke, a Republican from the heart of the Front Range oil and gas patch in Greeley, has introduced two bills that take aim at the plan, which requires power plants to cut carbon emissions by 32 percent from 2005 levels by 2030, largely by shutting down or converting coal-fired plants to alternative fuel sources.

One of Cooke’s bills couldn’t be more timely. After several state attorneys general, including Colorado’s Cynthia Coffman, failed to win a stay of the plan from a federal court Thursday, Cooke’s Senate Bill 46 jumps into the ring like a tag-team wrestler, working from another angle to stall implementation of the Obama administration plan.

“Well, it wasn’t really a surprise that the court in D.C. struck down the stay request,” Cooke told The Colorado Statesman. “Unfortunately, the bill is more relevant now.”

The “Preserve State Clean Power Plan Options Act” aims to “slow down the implementation process” in part by suspending it “until all [related] lawsuits are done,” Cooke told members of three rural Colorado advocacy groups, including some representing coal mining areas, who were visiting the Capitol Friday.

In effect, Colorado wouldn’t need a stay from a court because it would have passed a stay for itself, written by Cooke.

Cooke’s other bill, SB 61 or “Ratepayer Protection Act,” would require the Colorado Department of Public Health and Environment to pay for costs generated as a result of Clean Power Plan implementation.

***

NEWS ROUNDUP:
Silverton punts on Superfund designation

How the EPA handled Flint, MI water contamination, vs. Animas River spill

Plunging oil prices means lower severance tax revenue in Colorado

Lower gas prices? Let’s raise taxes!

Anti-energy activists oppose coal development on the Western Slope. News at 11.

Trading: Coal extraction for sage grouse habitat

September 3 Colorado Energy Cheat Sheet: Time running out for Colowyo Mine; Bennet, Hickenlooper concerned about EPA ozone rule; Animas River updates

September 3, 2015 by michael · Comments Off
Filed under: CDPHE, Environmental Protection Agency, Legislation, renewable energy, solar energy, wind energy 

Colorado’s Colowyo Mine–and the entire northwest part of the state–face a final decision September 6, and the Denver Post editorial board notes the significance, concluding that the judge should rule in Colowyo’s favor, as the “economic health of northwestern Colorado depends on it”:

The clock runs out this weekend on a federal judge’s extraordinary order giving the Interior Department just 120 days to fix what he said were flaws in an environmental analysis of an eight-year-old expansion permit for the Colowyo coal mine in northwestern Colorado.

At the request of WildEarth Guardians, a group opposing all fossil fuel extraction in the West, Judge R. Brooke Jackson mandated the Office of Surface Mining Reclamation and Enforcement (OSMRE) take a closer look at “the direct and indirect environmental effects of the Colowyo mining plan revisions” and wrap it up by Sept. 6.

It’s unfortunate that Interior Secretary Sally Jewell decided against appealing Jackson’s ruling, but she has also said federal officials were “doing everything we can” to avoid a mine shutdown.

And she may be right. On Tuesday, OSMRE released a revised environmental assessment in what may be record time for such a document, as well as an official finding of no significant environmental impact. We hope it will be enough to satisfy the judge.

The Post says to find otherwise “would be a blow to common sense.”

A $200 million blow to Moffat and Rio Blanco counties, to more than 220 employees who would directly lose their jobs and hundreds of families, friends, neighbors and businesses that would suffer.

The Post also pointed to the absurdity of of reexamining the Colowyo mine plans, as burning coal is an expected outcome of mining coal:

But coal will remain a part of America’s energy portfolio for many years and it has to come from somewhere. And the existence of a mine presupposes the product will be used. As attorneys for Colowyo Coal Co. noted in a legal filing, “Combustion of the mined coal is a necessary and foreseeable consequence of granting a federal coal lease.”

None of that matters, however, to the anti-fossil fuel activists at WildEarth Guardians.

We’ll have an update next week.

***

Gov. John Hickenlooper has joined Sen. Michael Bennet in expressing concern over the Environmental Protection Agency’s ozone rule:

Washington, D.C., Sept. 2 – Less than a week after U.S. Senator Michael Bennet (D-Colo.) warned that a plan to dramatically tighten the federal ozone standard “doesn’t make any sense” and is “not going to work,” Colorado Gov. John Hickenlooper (D) is also going public with his reservations. In short, Hickenlooper is questioning the Obama administration for proposing an ozone standard at levels “where you know you’re not going to be able to achieve it.”

In a TV interview with CBS Denver, Gov. Hickenlooper said he’s unconvinced that the U.S. Environmental Protection Agency (EPA) should tighten standard from 75 parts per billion (ppb) into the range of 65 to 70 ppb. Here are the governor’s full comments from CBS Denver’s Aug. 31 story:

“I’m still very concerned. … I’ve heard (from) both sides that there isn’t sufficiently clear evidence that this is a significant health hazard. Now I haven’t looked at that yet and our people are still looking at it…

“To set up a standard where you know you’re not going to be able to achieve it, and obviously we’re at a unique disadvantage because we’re a mile high. So when you’re at 5,000 feet your ozone challenges are significantly more difficult.”

Having both of Colorado’s top Democrats express even limited concern about the EPA’s plans is significant, and both Hickenlooper and Bennet, with caveats, appear not to be sold on the reductions projected by the agency. Both refer strongly to Colorado’s unique situation, and the West in general, with regard to background-level ozone and effect that would have on making any attainment of the new standards difficult, if not impossible, for many areas of the state, and not just the Front Range.

Video of Sen. Bennet last week, saying the EPA plan is “not going to work”:

***

Tony Cox, a member of the faculty of the University of Colorado School of Public Health and the editor in chief of the peer-reviewed journal Risk Analysis wrote an op-ed for the Wall Street Journal outlining the problematic health analysis instrumental to the EPA’s push for the ozone rule:

Fortunately, there is abundant historical data on ozone levels and asthma levels in U.S. cities and counties over the past 20 years, many of which have made great strides in reducing ambient levels of ozone by complying with existing regulations. It is easy to check whether adverse outcomes, from mortality rates to asthma rates, have decreased more where ozone levels have been reduced more. They have not. Even relatively large reductions in ozone, by 20% or more, have not been found to cause detectable reductions in deaths and illnesses from cardiovascular and respiratory illnesses, contrary to the EPA’s model-based predictions.

How the EPA and society proceed when confronted with a divergence between optimistic model-based predictions and practical reality will say much about what role, if any, we collectively want science and objective analysis to play in shaping crucial environmental and public-health regulations.

The cynical use of asthma patients to promote a pro-regulation political agenda that won’t actually help them undermines the credibility of regulatory science and damages the public interest.

Stinging words.

***

A battle over wind turbines in eastern El Paso County between residents and county officials appears to have been concluded:

El Paso County attorneys and lawyers for disgruntled residents reached an agreement this week to end a months’ long lawsuit over a controversial wind farm, the county announced on Wednesday.

On Sept. 1, an El Paso County district court approved the mutual decision to dismiss the lawsuit with prejudice, a move that protects the El Paso County commissioners from being sued over their decision to approve the large wind farm project near Calhan. Tuesday’s court ruling ended months of legal back-and-forth between the county officials and bitter eastern county residents, many of whom vehemently oppose the project out of fear of compromised property values and health effects.

Despite the lawsuit, residents remained divided over the project. Many long-time ranchers in the area supported the wind farm, and told the commissioners that they were happy to see some economic vitality come back to the region. But other residents fought bitterly against the entire wind farm project, and still others opposed only the above-ground powerline. Members of the property rights coalition paid their own legal fees, held regular meetings with updates and even created anti-wind farm t-shirts to sell to members.

***

Sen. Bennet on oil exports:

Another Senate Democrat has signaled his support for exporting U.S. oil — as long as it is part of a broader clean energy plan.

The declaration from Sen. Michael Bennet came during the Rocky Mountain Energy Summit, when the Coloradan was asked if he backed oil exports.

“In the context of being able to move us to a more secure energy environment in the United States (and) a cleaner energy environment in the United States, yes,” Bennet said.

A spokesman for Bennet said the senator believes a move to lift the 40-year-old ban on crude exports “would have to be part of a more comprehensive plan that includes steps to address climate change and give the country and the world a more sustainable energy future.”

Bennet’s comments make him the latest Senate Democrat to suggest he is open to oil exports — even if the support is predicated on other changes.

***

LINKS

Another renewable company and recipient of government largesse is on deathwatch:

Abengoa, a renewable energy multinational company headquartered in Spain, has been a favorite of the Obama administration in getting federal tax money for clean energy projects.

Since 2009, Abengoa and its subsidiaries, according to estimates, have received $2.9 billion in grants and loan guarantees through the Department of Energy to undertake solar projects in California and Arizona — as well as the construction of a cellulosic ethanol plant in Kansas.

But in the space of less than a year, Abengoa’s financial health has become critical, leading investors to worry whether the company can survive.

A new tree census finds there are a lot more in the world than previously thought:

There are just over three trillion trees in the world, a figure that dwarfs previous estimates, according to the most comprehensive census yet of global forestation.

Using satellite imagery as well as ground-based measurements from around the world, a team led by researchers at Yale University created the first globally comprehensive map of tree density. Their findings were published in the journal Nature on Wednesday.

A previous study that drew on satellite imagery estimated that the total number of trees was around 400 billion. The new estimate of 3.04 trillion is multiple times that number, bringing the ratio of trees per person to 422 to 1.

While the density of foliage was surprisingly high overall, the researchers cautioned that global vegetation is still in decline. The number of trees on Earth has fallen by 46% since the beginning of human civilization, according to the report. The researchers said they believed the findings would provide a valuable baseline for future research on environment and ecosystems.

Animas River Updates

You can taste the trout again, say Colorado officials:

Colorado health officials said Wednesday trout from the Animas River are safe to eat even after being exposed to contaminants from a massive wastewater spill last month.

“Most fish tissue analyzed after the Gold King mine release showed metals below detectable levels,” the Colorado Department of Public Health and Environment said in a news release. “All results were below the risk threshold.”

“Because there is a potential for fish to concentrate metals in their tissue over time, the department and Colorado Parks and Wildlife will continue to monitor levels of metals in Animas River fish,” the release said. “New data will be analyzed and results reported when available.”

The hurdles for cleanup in areas like Gold King mine and the Animas River are steep:

DENVER – Despite cries for a focus on reclamation following the Gold King Mine spill, restoring thousands of inactive mines across Colorado and the nation may prove difficult, if not logistically impossible.

Ron Cohen, a professor of civil and environmental engineering at Colorado School of Mines, said the technology and funding is lacking to properly perform the reclamation work needed.

“The reality is, and my prediction is, that this is going to be a problem for a long, long time,” Cohen said. He has been briefing federal lawmakers on oversight following the Gold King disaster. “Is there political will in the federal government now to come up with more monies for cleanup? I don’t think that’s going to happen.”

There has been a refocus on reclamation in the wake of the Gold King incident, in which an error by an Environmental Protection Agency-contracted team on Aug. 5 sent an estimated 3 million gallons of orange old mining sludge into the Animas River. The water initially tested for spikes in heavy metals, including lead, arsenic, cadmium, aluminum and copper.

It isn’t the first time Colorado has seen its rivers turn orange because of spills from an old mining operation. Each time an incident occurred, the focus was shifted to reclamation, yet the pervasive problem lingers.

Part of the dilemma has to do with money. Estimates place national reclamation of inactive mines as high as $54 billion. Mining laws that govern the industry in the United States date back 143 years. The federal government is prohibited from collecting royalties on much of hard-rock mining, thereby leaving the coffers dry for reclamation.

Read the whole thing.

Notification of downstream officials and residents in the aftermath of the Animas River spill was late and, in some cases, not available to other states’ officials (namely New Mexico), as well as Native American tribal officials and others residing along the path of 3 million spilled gallons of toxic, metallic wastewater. A new system is now in place, according to the Associated Press:

DENVER — A massive wastewater spill from an old gold mine in Colorado has prompted state officials to expand the list of downstream users they will warn after such accidents.

Last month, Colorado health officials notified only agencies inside the state after 3 million gallons of water tainted with heavy metals gushed out of the Gold King mine near Silverton and eventually reached the Animas, San Juan and Colorado rivers in New Mexico and Utah.

In the future, the Colorado Department of Public Health and Environment will warn downstream states as well, department spokesman Mark Salley said.

Colorado officials didn’t know the magnitude of the spill when they issued their warnings, he said.

July 23 Colorado Energy Roundup: ‘Callous’ WildEarth Guardians tell Colorado miners–’Tough Sh**’

The Department of the Interior refused to appeal a court ruling on the Colowyo Mine that could cost the jobs of 220 Colorado coal miners. This has added to the growing concerns of these miners and their families regarding the future of their livelihoods. WildEarth Guardians, who have been leading the campaign to close the mine, had a less than sympathetic message in response.

“My initial response is ‘tough sh**,’ ” Jeremy Nichols, WildEarth Guardians climate and energy program director, told the liberal Colorado Independent in a July 13 post.

“They [the Interior Department] didn’t appeal, and there is nothing they can do about it now,” Mr. Nichols said.

Supporters of the mine decried his comments Thursday as “callous” and an example of the group’s “out-of-control war on coal,” as Advancing Colorado’s Jonathan Lockwood put it.

“I wonder if Jeremy Nichols has the courage to say that directly — face-to-face — to the 220 coal miners who will lose their jobs if Nichols and WildEarth Guardians are successful in shutting down the Colowyo Mine,” said Amy Oliver Cooke, energy policy director at the free-market Independence Institute in Denver.

WildEarth Guardians’ disregard for the people in Northwest Colorado has done them little good. Following a large community outcry, 450 of 600 supporters listed online asked to be removed from the list.

***

In a press conference last Thursday, Secretary of the Interior Jewell spoke to the anticipated effects of the proposed rule intended to protect water in the proximity of coal mines. She made sure to emphasize the minimal impact it would have on communities reliant on coal income.

Jewell called the potential loss of approximately 200 jobs across coal country “relatively minor.”

The proposed rule would adversely affect 460 jobs but at the same time account for an additional 250 jobs created under the restoration actions required by the plan, Jewell said.

“The net impact is a couple of hundred jobs in coal country, specifically due to this rule,” she said. “So, it’s relatively minor.”

Some are unconvinced that the impact will be that insignificant.

According to Yampa Valley Data Partners, a nonprofit research organization, the top 10 taxpayers in Moffat County are energy related.

Although the rule proposes to create work based on restoration efforts, it is uncertain if the effort will balance out the loss of mining jobs.

“These jobs that would be added, in theory, would certainly have to be pretty high paying jobs to even come close to rivaling the economic impact of our coal mines,” said Keith Kramer, executive director of Yampa Valley Data Partners.

According to Yampa Valley Data Partners, mining industry jobs pay an average of $1,528 per week — 72 percent higher than an average job in Moffat County.

****

Proponents of both fracking and the Obama administrations environmental regulations have sited the 11% reduction in US CO2 emissions between 2007 and 2013 as evidence of their respective success. A new study out of the International Institute for Applied Systems Analysis suggests that neither contributed significantly to the reduction… and rather it was all a result of the recession.

“After 2007, decreasing emissions were largely a result of economic recession with changes in fuel mix (for example, substitution of natural gas for coal) playing a comparatively minor role,” the study found.

The study has been sent around as evidence that natural gas is not as “climate-friendly” as proponents say it is. Natural gas is often billed as more eco-friendly than coal because it emits fewer CO2 emissions than coal when burned to produce electricity.

“Natural gas emits half as much CO2 as coal when used to make electricity,” said IIASA researcher and lead author Laixiang Sun said in a statement. “This calculation fails to take into account the release of methane from natural-gas wells and pipelines, which also contributes to climate change.”

Naturally, both sides found ways to use the study to their advantage (or the others disadvantage).

Environmentalists and liberal news sites used the study to undercut claims that hydraulic fracturing, or fracking, is reducing emissions. Activists have used the study to claim reduced consumption, also known as a recession, and energy efficiency programs are doing more to fight global warming.

“In other words, what worked was cutting consumption and being more efficient – not fracking,” according to the environmentalist blog Desmogblog.

That may be the case, but there’s a flip side that environmentalists have not talked about. If increased use of natural gas was not a major reason for plunging CO2 emissions, it means Obama administration regulations have also done little to lower emissions.

This is not to say that EPA regulations or fracking will not positively impact the climate in the future. This study just shows that good old fashioned cutting back can have the big results we want.

***

A final ruling from the Environmental Protection Agency on nationwide carbon reduction regulations is on the horizon. The 35%  reduction target for Colorado has some Colorado officials concerned about just how to reach the target… or if we should try to at all.

Dr. Larry Wolk, director of the Colorado Department of Public Health and Environment, said interested parties need to work together to satisfy federal rules.

“At some point we all sort of have to come together between the EPA and the state – and in this case Colorado – to say, this is how we want to pursue this, and this is how we want our own Clean Air Act to look,” Wolk said Thursday at an event in Denver hosted by Latino environmental leaders.

Once the final rule is in, state health officials will launch a stakeholder process. Next year, officials will continue developing the state-specific plan, which would be submitted that summer. The Legislature will then discuss the plan in 2017, before a final plan heads to the EPA.

Gov. John Hickenlooper, a Democrat, said that Colorado will move forward, despite cries from Republicans to defy federal regulators. Critics of the proposal suggest that it would hurt the economy by slashing jobs and revenue.

Republicans fired a warning shot this year at the Legislature, proposing legislation that would have required both chambers to approve any plan that is sent to federal regulators. That proposal was killed by Democrats.

***

The Millennium Development goals, decided on by all governments in 2000, are set to expire at the end of this year. But the United Nations think there is still work to be done–and this work is reflected in the new “Sustainable Development Goals”. These new goals are to be used as a guide for all policies and agendas for the coming years.

1) End poverty in all its forms everywhere

2) End hunger, achieve food security and improved nutrition, and promote sustainable agriculture

3) Ensure healthy lives and promote wellbeing for all at all ages

4) Ensure inclusive and equitable quality education and promote lifelong learning opportunities for all

5) Achieve gender equality and empower all women and girls

6) Ensure availability and sustainable management of water and sanitation for all

7) Ensure access to affordable, reliable, sustainable and modern energy for all

8 ) Promote sustained, inclusive and sustainable economic growth, full and productive employment, and decent work for all

9) Build resilient infrastructure, promote inclusive and sustainable industrialisation, and foster innovation

10) Reduce inequality within and among countries

11) Make cities and human settlements inclusive, safe, resilient and sustainable

12) Ensure sustainable consumption and production patterns

13) Take urgent action to combat climate change and its impacts (taking note of agreements made by the UNFCCC forum)

14) Conserve and sustainably use the oceans, seas and marine resources for sustainable development

15) Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification and halt and reverse land degradation, and halt biodiversity loss

16) Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels

17) Strengthen the means of implementation and revitalise the global partnership for sustainable development

Gina Larson is a Future Leaders intern and is currently a student at American University, majoring in International Relations.

July 9 Colorado Energy Roundup: government won’t appeal in Colowyo case, true costs of wind energy revealed

Perhaps the most pressing energy and jobs-related issue in Colorado right now is the legal battle over the Colowyo Mine in the northwest part of the state:

The U.S. Department of the Interior has decided not to pursue an appeal of a federal court ruling that threatened to close Colowyo coal mine in Northwest Colorado.

According to a statement from Department of the Interior spokeswoman Jessica Kershaw, “We are not appealing the court’s decision, but are on track to address the deficiencies in the Colowyo permit within the 120-day period.”

“We are disappointed that the government did not appeal the federal district court’s decision. Colowyo Mine remains confident that the U.S. Department of Interior and Office of Surface Mining are making every effort to complete the required environmental review within the 120-day period ordered by the court,” Tri-State’s Senior Manager of Corporate Communications and Public Affiars Lee Boughey wrote in an email. “These efforts help ensure compliance with the judge’s order while supporting the 220 employees of Colowyo Mine and communities across northwest Colorado.”

The legal decision in May that tripped off the permitting kerfuffle that endangers the operation of the Colowyo Mine stemmed from a lawsuit brought by WildEarth Guardians that the mine’s 2007 permit did not follow the Office of Surface Mining Reclamation and Enforcement requirements as well as National Environmental Policy Act rules.

Bipartisan efforts have poured in from across Colorado, as politicians, the business community, and legal experts recognize the importance and high stakes involved in the threat to the mine from a procedural and regulatory environment standpoint:

Gov. John Hickenlooper, U.S. Senators Cory Gardner and Michael Bennet, and [Rep. Scott] Tipton all joined Craig City Council and Moffat County Commissioners in addressing Jewell regarding the situation at Colowyo.

On July 2, the Denver Metro Chamber of Commerce, the Metro Denver Economic Development Corporation, the Colorado Competitive Council and the Colorado Energy Coalition sent a co-authored letter to Jewell voicing their concerns.

According to the letter, “this precedent could pose a threat to any activity on federal lands that performed an environmental analysis under the National Environmental Policy Act in order to obtain federal leases and permits. That could stretch from energy development and mining, to agricultural grazing and ski resorts becoming vulnerable to retroactive legal challenges.”

Tri-State’s Boughey noted that the government’s appeal isn’t necessary, however:

The ColoWyo appeal isn’t dependent on any other party’s decision to appeal or not appeal Jackson’s decision, Boughey said.

“We believe the court made several significant errors, including misreading the Surface Mining Control and Reclamation Act. This prejudices not only Colowyo but other mining operations, and sets a precedent that should raise concerns for the U.S. energy industry and other activities on federal land,” he said.

In essence, Tri-State and ColoWyo officials don’t think the federal Office of Surface Mining should be looking at power plant operations.

“The court’s requirement that the agency analyze emissions from power plants inappropriately expands National Environmental Policy Act analyses for mining plans beyond what is prescribed under the law,” Boughey said.

The Independence Institute will continue to monitor the developments in the Colowyo legal battle.

***

Meanwhile, the WildEarth Guardians continue their crusade against all natural resource extraction, as the Denver Post’s Vincent Carroll recently illustrated:

Jeremy Nichols may not be the official stand-up comic of green activism, but he seems to be auditioning for the role. How else to explain his risible claim in a recent Denver Post report on the struggling economy in northwest Colorado that WildEarth Guardians isn’t trying to shut down the Colowyo coal mine and throw 220 people out of work?

“We want to have an honest discussion about the impact of coal and find a way to come together to figure out the next step,” Nichols, the group’s spokesman, maintained.

Why, of course. A group militantly opposed to fossil-fuel production files a lawsuit challenging the validity of a coal mine plan approved years ago — but does so only to provoke an “honest discussion.” Please.

WildEarth Guardians is opposed to all fossil-fuel extraction in the West, and makes no bones about it. In the winter 2013-14 edition of Wild Heart, Nichols outlined the group’s position on those other big fossil fuels, oil and natural gas.

“As communities in Colorado and elsewhere have learned well,” Nichols wrote, “it’s not enough to make oil and gas development cleaner or safer. For the sake of our health, our quality of life, and our future, it simply has to be stopped.”

“In some cases,” Nichols explained, “we can stop it cold … . In other cases, we can raise the cost of drilling to make it economically infeasible.”

The Colowyo Mine is still operating for now, but WildEarth’s apparent regulatory sabotage certainly seems consistent with its efforts to “stop it cold” when it comes to natural resources. Not to mention throwing 220 people out of work and disrupting the economy of an entire region.

Some “honest discussion.”

***

The price of a barrel of oil began to decline sharply in late 2014, prompting fears that the crashing crude market would tank the nation’s nascent energy resurgence, but despite falling numbers, 2015 still looks to be a year of production highs:

The amount of crude oil produced across the United States fell in May compared to April — but federal forecasters say 2015’s overall production is still “on track” to be the highest in 45 years.

The Energy Information Administration (EIA) on Tuesday released its monthly short-term energy outlook, noting that crude oil production fell in May by about 50,000 barrels of oil per day compared with April.

In Colorado, oil production from the Niobrara field north of Denver, part of the larger Denver-Julesburg Basin, is expected to drop about 17,000 barrels per day in July compared to June, the EIA said.

The number of drilling rigs running in the state has dropped from 72 at the start of 2015 to 39 at the end of June as oil and gas companies have cut back on spending.

But, as we know from basic economics about supply and demand, lower oil prices mean lower gas prices, and that is driving demand back up to pre-recession levels:

But the on the consumer side, a better economy and low gasoline prices are expected to boost the amount of gasoline used in the U.S. by an estimated 170,000 barrels per day over 2014, the report said.

“U.S. gasoline demand will likely top 9 million barrels per day this year for the first time since 2007, which reflects record highway travel,” Sieminski said.

***

There’s no doubt that readers of the Independence Institute’s Energy Policy Center blog and op-eds are familiar with the argument that electricity derived from wind energy is more costly than other forms of generation–namely coal and natural gas–when one accounts for the massive amount of Federal subsidies, incentives, and state and local renewable mandates and other handouts.

A new study from Utah State University once again confirms that conclusion–”when you take into account the true costs of wind, it’s around 48 per cent more expensive than the industry’s official estimates”:

“In this study, we refer to the ‘true cost’ of wind as the price tag consumers and society as a whole pay both to purchase wind-generated electricity and to subsidize the wind energy industry through taxes and government debt,” said Ryan Yonk Ph.D., one of the report’s authors and a founder of Strata Policy. “After examining all of these cost factors and carefully reviewing existing cost estimates, we were able to better understand how much higher the cost is for Americans.”

The peer-reviewed report accounted for the following factors:

The federal Production Tax Credit (PTC), a crucial subsidy for wind producers, has distorted the energy market by artificially lowering the cost of expensive technologies and directing taxpayer money to the wind industry.

States have enacted Renewable Portfolio Standards (RPS) that require utilities to purchase electricity produced from renewable sources, which drives up the cost of electricity for consumers.

Because wind resources are often located far from existing transmission lines, expanding the grid is expensive, and the costs are passed on to taxpayers and consumers.

Conventional generators must be kept on call as backup to meet demand when wind is unable to do so, driving up the cost of electricity for consumers.

“Innovation is a wonderful thing and renewable energy is no exception. Wind power has experienced tremendous growth since the 1990’s, but it has largely been a response to generous federal subsidies,” Yonk stated.

But Utah State University researchers aren’t the only ones pulling back the curtain on the true cost of wind. A new study from the Institute for Energy Research demonstrates that a real comparison between existing power plants and new power plant sources shows that wind power once again comes up short in the low cost department:

Today, the Institute for Energy Research released a first-of-its-kind study calculating the levelized cost of electricity from existing generation sources. Our study shows that on average, electricity from new wind resources is nearly four times more expensive than from existing nuclear and nearly three times more expensive than from existing coal. These are dramatic increases in the cost of generating electricity. This means that the premature closures of existing plants will unavoidably increase electricity rates for American families.

Almost all measures of the cost of electricity only assess building new plants–until now. Using data from the Energy Information Administration and the Federal Energy Regulatory Commission, we offer useful comparison between existing plants and new plants.

America’s electricity generation landscape is rapidly changing. Federal and state policies threaten to shutter more than 111 GW of existing coal and nuclear generation, while large amounts of renewables, such as wind, are forced on the grid. To understand the impacts of these policies, it is critical to understand the cost difference between existing and new sources of generation.

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A link to the complete study can be found on the Institute’s release page.

May 28 Colorado Energy Roundup: EPA water rule, Hickenlooper pleads for Colorado mine, reduced drilling costs

Yesterday, Governor John Hickenlooper says chances for a statewide ballot measure on fracking in 2016 are pretty low, but anti-energy fractivists aren’t so sure about Hickenlooper’s prognostication:

Gov. John Hickenlooper on Wednesday said he does not believe there is momentum to push a state ballot initiative that would crackdown on the oil and gas industry.

The Democrat spoke along with Republican U.S. Sen. Cory Gardner at a breakfast in Denver hosted by industry leaders and supporters, including Vital for Colorado.

“There will be proposals, but I don’t think there will be something that will be funded to any significant extent, and therefore I don’t expect something to get on the ballot,” Hickenlooper said.

Hickenlooper is not viewed positively by the strident activists who considered the governor’s brokered deal to get the ballot measures off the table and replaced by his blue-ribbon fracking commission as a stab in the back:

“Governor Hickenlooper’s blowing hot air to justify his continued endorsement of the fracking fiasco that is making Coloradans sick, driving down property values and threatening our air and water,” said Sam Schabacker, spokesman for Food and Water Watch, one of several groups discussing local and statewide ballot initiatives. “Outrage continues to grow over the governor’s inaction to stop fracking and more parents, business owners and community members are speaking out than ever.”

The only question is whether or not the anti-fracking forces find another funder like Rep. Jared Polis (D-CO). National groups are likely to go playing in Colorado, as the issues (setbacks, water, air quality) surrounding fracking haven’t disappeared, and were certainly not dealt with to any significant degree by the state’s recently concluded commission.

At least not in the estimation of the groups who would bring more ballot proposals to the Secretary of State by next year.

***

You might think that the Environmental Protection Agency’s final “water” rules won’t have an impact on energy production, but its wide-ranging scope as defined by EPA administrator Gina McCarthy should give anyone pause:

“For the water in the rivers and lakes in our communities that flow to our drinking water to be clean, the streams and wetlands that feed them need to be clean too,” said EPA Administrator Gina McCarthy.

Under the rule, tributaries and headwaters that show physical features of flowing water — a bed, bank and high-water mark — would be subject to the Clean Water Act. So would waters that are next to rivers and lakes and their tributaries. Ditches that are constructed out of streams or function like streams and can carry pollution downstream also would be covered. But ditches that flow only when it rains wouldn’t be covered, according to the EPA.

Business groups, however, contend the rule is broader than the EPA describes. They vow to fight it in the courts and in Congress. Earlier this month,the House passed legislation that would require the EPA to withdraw the rule, which was dubbed the “Waters of the United States” rule before the EPA rebranded it.

The National Association of Manufacturers opposes the definitions provided by the EPA, saying it “all adds up to increased regulatory uncertainty, permitting costs, delays and even litigation, not to mention a giant new set of hurdles standing in the way of construction.”

Given the proximity of many energy sources to rivers, streams, and other bodies of water, the EPA’s regulations will surely add cost to energy production and quite possibly halt new electricity generating units that will not comply with the new environmental impact statements the water rule will surely require.

Of course, the EPA’s own manufacturing attempts–in this case public comments in support of proposed rules–will likely not cease any time soon.

***

For the residents of northwest Colorado, Craig Station and the nearby Colowyo Coal Mine near Craig literally power the local economy, and a shutdown of the mine would cripple the local economy, perhaps permanently–so Gov. Hickenlooper has intervened:

Hickenlooper on Friday asked U.S. Interior Secretary Sally Jewell in a letter to “do everything possible” to prevent a shutdown of the Colowyo Coal Mine near Craig.

The mine currently employees about 220 people and supplies coal that powers the Craig Station, one of the state’s largest coal-fired power plants. According to Colowyo’s owner, the station is capable of producing up to 1,303 megawatts of electricity.

Hickenlooper said in the letter that the mine also contributes more than $200 million to the regional economy and generates tax and royalties of $12 million annually.

“Given the importance of this mine to the economies of the region, I ask that you do everything possible to respond to the judge’s order and remedy the situation as expeditiously as possible,” Hickenlooper wrote in the letter.

Whether or not Sec. Jewell’s agency will appeal the court ruling calling for additional environmental impact statements remains to be seen.

Meanwhile the plans to put a transmission line through Moffat County, where the Craig power plant and mine reside, continue apace. The line would send electricity from wind farms in Wyoming to California.

***

Lower demand for services means some relief for driller’s in Colorado’s embattled oil and gas sector:

But the slowdown also has produced at least one upside for companies: increased availability of rigs from drilling contractors and lower costs for drilling and completing wells.

For some companies operating locally, it has helped justify drilling and completing wells at all with gas prices so low. For one company, Black Hills Exploration & Production, it resulted in a recent ramp-up from one rig to three, tying it with WPX Energy as the busiest driller in western Colorado’s Piceance Basin.

But it is not just a downturn in natural gas prices that has hurt the industry, but government red tape as well:

Bill Buniger, a Loma contractor who does energy work such as well pad construction, said he’s not willing to take a cut in pay.

“The thing about it is, when you take a cut like that, your margin of profit, that’s what you’re cutting out. All you’re doing is wearing out your machines,” he said.

The costs of things like tires and repairs don’t change, he said. Buniger, 70, has paid off most of his equipment and said he’d rather let it sit if he can’t make a profit.

Not that he’s had much of a choice. He said most of the companies he works for are small, independent oil and gas companies that simply aren’t doing any drilling, due to low oil and gas energy prices at a time of increasing state regulations.

And while commodity prices will continue to fluctuate, the state’s regulatory burden won’t be lifting any time soon.

***

Vincent Carroll, writing for the Denver Post, is skeptical of Gov. Hickenlooper’s claims that avoiding a listing of the greater sage-grouse by the Fish and Wildlife Service isn’t a slam dunk:

“We are very, very close to avoiding a listing altogether,” Hickenlooper told members of the Associated Governments of Northwest Colorado two weeks ago, according to The Daily Sentinel. He said Interior Secretary Sally Jewell would like to avoid a listing, and “I believe her. I don’t think she’s posturing.”

But of course what else would she say to him? That federal officials are eager to impose draconian restrictions on a vast swath of Western land over the bipartisan objections from all 11 governors and despite little evidence from past listings that it would do much good?