October 8 Colorado Energy Cheat Sheet: Ozone rule and Colorado; ‘ban fracking’ resurfaces in Denver; ‘Fossil Fuel Free Week’ proves a challenge

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Let’s open with a great piece from Lachlan Markay at the Free Beacon on the ways proponents of the Environmental Protection Agency’s raft of new policies, especially the Clean Power Plan, went on the offensive before the regulation was even finalized:

Supporters of a controversial Environmental Protection Agency regulation commissioned Democratic pollsters to plot ways to attack the motives and credibility of the regulation’s critics, documents obtained by the Washington Free Beacon reveal.

Aides to a dozen Democratic governors and the Democratic Party’s gubernatorial advocacy arm circulated talking points and political messaging memos on EPA’s new power plant regulations that laid out ways to “sow doubts about our opponents [sic] motives,” in the words of one of those memos.

The previously unreported documents, obtained by the Energy and Environment Legal Institute through an open records request and shared exclusively with the Free Beacon, provide a window into the Democratic messaging machine’s approach to an issue that its own pollsters acknowledge is a hard sell among its target voter demographics.

Read the whole thing.

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In what was certainly intended as a launching point for local national anti-energy, “ban fracking” advocates, last weekend’s confab in Denver–no doubt brought to us in no small part by fossil fuels–ramped up their efforts, as Energy In Depth’s Randy Hildreth writes:

National “ban fracking” groups descended on Denver this afternoon to protest oil and gas development as part of the “Stop the Frack Attack National Summit.”

For anyone still wondering if this was a Colorado effort, EID was on hand to note that when a speaker asked the crowd, “How many of you are from out of state?” attendees erupted into cheers. And while the group managed to draw roughly 100 participants, judging from the cheers of out of state folks, we’re guessing the showing was pretty sparse from Colorado (which, of course means they all got into planes and cars burning fossil fuels to get here).

Plenty of photos of the protestors at the link.

So what are they amping/ramping up?

Although Colorado-based environment groups such as Conservation Colorado didn’t participate; the demonstrations drew support from national groups, such as the Sierra Club, and impassioned “fractivist” residents. A group called Coloradans Resisting Extreme Energy Development has declared the COGCC illegitimate and is developing ballot initiatives including a statewide fracking ban.

“Local control” just means “ban fracking” and all other oil and gas development, using a few local fractivists for cover, a pattern of political posturing since at least the 2013 off-year election cycle, when national anti-fracking groups enlisted or created local branches to push ballot measures at the municipal level.

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Around Colorado:

“…groups do not believe grazing is compatible with the monument’s mission to protect ancient ruins…”

How big an economic driver is oil and gas development? Energy In Depth took a national look:

While these cities lie in different geological regions, they do have one thing in common: shale development. Oil and gas development in these cities was the biggest economic driver throughout 2014. For instance, take a look at the Greeley, Colorado metropolitan area, which encompasses Weld County, where a large percentage of shale development is taking place. It grew its GDP by 9.9 percent in 2014 and ranks fourth in the nation in terms of percent growth. According to a BizWest.com article:

“Greeley’s 2014 growth was dominated by the mining sector, which includes oil and gas extraction, growing by 24.6 percent from the previous year.”

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Some early analysis on the EPA’s recently announced ozone rule, set at 70 ppb. Colorado’s unique geographical and topographical situation mean that even at a higher level (original discussions for the ozone rule included possibly lowering the target to 60 ppb from 75), the state will face plenty of difficulties, including some entirely out of the state’s control:

“We don’t expect that the non-attainment areas will expand geographically,” said Will Allison, the director of the Colorado Department of Public Health and Environment’s air pollution control division.

But state officials do have concerns about the new standard’s impact on the state, and they will be talking to the EPA about issues unique to Colorado and other western states, such as the fact that the Rocky Mountains can act as a trap for air pollution flowing across the Pacific Ocean from Asia, Allison said.

The state’s high altitude and pattern of lightning storms also contribute to ozone levels — but there’s very little Colorado officials can do to interfere with Mother Nature.

Heritage Foundation–4 Reasons Congress Needs to Review the EPA’s Ozone Standard

Institute for Energy Research–EPA Finalizes Costly, Unnecessary Ozone Rule

In 2010, EPA reconsidered the 2008 standard and EPA’s delay means that implementation of the 2008 standard is now behind schedule. But instead of waiting until localities are complying with the 2008 regulation, EPA is imposing a newer, stricter standard that puts more counties out of attainment even though ozone levels are decreasing. Below is a map depicting the areas that are projected to be out of compliance under a 70 ppb standard.

ozone 70 ppb

National Association of Manufacturers–New Ozone Rule Will Inflict Pain on Manufacturers, Finalized Regulation Still Feels Like a Punch in the Gut

“Today, the Obama Administration finalized a rule that is overly burdensome, costly and misguided,” said Timmons. “For months, the Administration threatened to impose on manufacturers an even harsher rule, with even more devastating consequences. After an unprecedented level of outreach by manufacturers and other stakeholders, the worst-case scenario was avoided. However, make no mistake: The new ozone standard will inflict pain on companies that build things in America—and destroy job opportunities for American workers. Now it’s time for Congress to step up and take a stand for working families.”

According to the National Journal, the new ozone rule has pretty much ticked off everyone concerned, including those on the side of the current administration:

After a ban­ner second term that has seen the most ag­gress­ive ac­tion on cli­mate change from any ad­min­is­tra­tion, the Obama ad­min­is­tra­tion just opened up a new fault line with en­vir­on­ment­al­ists.

The En­vir­on­ment­al Pro­tec­tion Agency today re­leased its new air-qual­ity stand­ards for ground-level ozone, lower­ing the al­low­able level from 75 parts per bil­lion to 70 ppb. That’s well short of what en­vir­on­ment­al­ists and pub­lic-health groups had been push­ing and a level they say wouldn’t do enough to pro­tect pub­lic health.

In­dustry groups and Re­pub­lic­ans, mean­while, are not likely to be any hap­pi­er—they have been long op­posed to any stand­ard lower than the status quo be­cause of the po­ten­tial cost of com­pli­ance.

The enviros are fuming.

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The EPA’s shady procedural efforts appear to have killed natural resource development in Alaska, using hypotheticals and possibly in collusion with environmentalists, according to a new report, writes the Daily Caller’s Michael Bastasch:

The EPA may have rigged the permitting process in the Alaskan copper mining project, possibly hand-in-hand with environmentalists, to defeat the Pebble Mine before it even had a chance, a new report by an independent investigator suggests.

“The statements and actions of EPA personnel observed during this review raise serious concerns as to whether EPA orchestrated the process to reach a predetermined outcome; had inappropriately close relationships with anti-mine advocates,” reads a report by former defense secretary William Cohen, who now runs his own consulting firm.

The Pebble Partnership hired Cohen to review the EPA’s decision not to allow the Pebble Mine to seek a permit for mining copper near Alaska’s Bristol Bay. Cohen’s report only looked at the process the EPA used to pre-emptively veto the Pebble Mine. He did not make any conclusions on the EPA’s legal authority to do so or whether or not the mine should even be built.

Cohen found that the EPA’s “unprecedented, preemptive” use of the Clean Water Act to kill the Pebble Mine relied on a hypothetical mining project that “may or may not accurately or fairly represent an actual project.”

The Wall Street Journal added:

“It is by now beyond dispute that the Environmental Protection Agency went rogue when it halted Alaska’s proposed Pebble Mine project. And yet, there’s more.

The more comes via an independent report that criticizes the agency for its pre-emptive 2014 veto of Pebble, a proposal to create the country’s largest copper and gold mine in southwest Alaska. Under the Clean Water Act, the Army Corps of Engineers evaluates permit applications for new projects. The EPA has a secondary role of reviewing and potentially vetoing Corps approval. Here, the EPA issued a veto before [emphasis in original] either Pebble could file for permits or the Corps could take a look.”

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Mountain States Legal Foundation’s William Perry Pendley on the latest private property battle vs. federal land managers–”The U.S. Supreme Court on Friday is scheduled to consider whether to take up a case from Utah that could determine whether federal land managers can steal a citizen’s private property.”

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Native American energy production faces Democrat opposition:

House Democrats are expected to oppose legislation this week that would remove regulatory burdens for energy production on Native American land that tribes say have cost them tens of millions of dollars.

The Native American Energy Act would vest more regulatory authority over tribal energy production with the tribes themselves, rather federal regulators that have recently sought more stringent regulations on oil and gas production on federal land.

The bill passed out of the House Natural Resources Committee last month with just a single Democratic vote. Among its provisions is language that would exempt tribal land from new Interior Department regulations on hydraulic fracturing, an innovative oil and gas extraction technique commonly known as fracking.

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Last but not least, the Western Energy Alliance’s “Fossil Fuel Free Week” concluded last week, and it was a tough challenge (if you’re reading this right now, you’ve failed:

Fossil Fuel Free Week, organized by Western Energy Alliance, has concluded and succeeded in getting people to think about the role of oil and natural gas in their daily lives. The campaign was designed in response to numerous anti-fossil fuel protests in recent months, such as the Keep It In The Ground Coalition, various anti-fracking rallies, demonstrations against Keystone XL and other pipelines and rail transport, the divestiture movement, and kayaktivists against arctic drilling.

The key lesson from the campaign is environmental groups, when directly challenged, fail to provide workable alternatives that replace the full spectrum of products provided by fossil fuels. Instead they respond by being predictably dismissive and offer vague visions for the future, as President Tim Wigley of the Alliance explains:

“As we’ve seen with recent protests, environmental groups incite anger amongst their supporters while dangling fossil fuels in effigy. Yet not accustomed to being poked fun of themselves, environmentalists reacted reflexively to the Challenge, offering weak observations by calling it ridiculous, snarky and a ploy. Well…yes!

July 30 Colorado Energy Roundup: Clean Power Plan extension expected; a new Sagebrush Rebellion?

The Clean Power Plan’s timeline for compliance may see an extension, and the final rule itself may be revealed next Monday:

The final version of President Obama’s signature climate change policy is expected to extend an earlier timeline for states to significantly cut planet-warming pollution from power plants, according to people familiar with the plan.

If enacted, the climate change plan, the final version of which is expected to be unveiled as early as Monday, could stand as the most significant action ever taken by an American president to curb global warming. But some environmental groups have cautioned that a later deadline for states to comply could make it tougher for the United States to meet Mr. Obama’s climate change pledges on the world stage.

The plan consists of three major environmental regulations, which combined are intended to drastically cut emissions of greenhouse gases. The rules take aim at coal-fired power plants, the largest source of greenhouse emissions, and are intended to spur a transformation of the nation’s power sector from fossil fuels to renewable sources such as wind and solar. Under the rules, the Environmental Protection Agency would require states to draft plans to lower emissions from power plants. The agency is also expected to issue its own model of a state-level plan, to be imposed on states that refuse to draft their own plans.

The final rules would extend the timeline for states and electric utilities to comply, compared with a draft proposal put forth by the E.P.A. in June last year, according to people who are familiar with the plan but who spoke on the condition of anonymity because they were not authorized to speak publicly about it.

The Independence Institute’s backgrounder on the Clean Power Plan and its devastating effects on our energy choice and enormous costs to taxpayers and the economy in general can be found here.

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Much of the public land in the Rocky Mountain west is administered not by the states but by the federal government all the way from DC–and the debate over who should ultimately preside over these vast swathes of federal land has seen a resurgence:

Not since the Sagebrush Rebellion in 1979 has the debate over whether it’s time for federal lands to fall to states’ control gained such attention, and the anti-federal-government sentiment and talking points aren’t likely to dissipate as the West heads toward the next presidential election.

The fight stirred in 2012 when the Utah legislature passed the Transfer of Public Lands Act to demand authority over millions of acres of federal land by last New Year’s Eve. It didn’t happen.

Eight states cumulatively considered 30 bills around the issue this year. In March, Republicans in the U.S. Senate passed, without a single Democratic vote, a symbolic resolution in support of transferring or trading land to states. The resolution, though, doesn’t give Congress or any federal agency additional power to make deals.

And in the last Colorado legislative session there were three bills around the subject. Only one passed. House Bill 1225, a bipartisan bill supported by environmental groups, strengthens communities’ position in saying how local federal lands are managed.

Opponents of devolving control of public lands to the states cite the enormous costs of maintaining them, arguing states are not prepared to shoulder the added burden of hundreds of millions of dollars in annual upkeep.

For example, a single wildfire could cripple Colorado, said Governor John Hickenlooper’s advisor:

The federal government also picks up the costs for wildfires on federal lands. But just one massive wildfire in Colorado — a state that can have several in one year — could obliterate the state budget, said John Swartout, a Republican who is Hickenlooper’s top policy adviser on land, wildlife and conservation issues.

“The solution is constructive engagement,” Swartout said. “Are we always going to be happy with all the decisions? No. But we’re going to get a lot farther helping create the final solution.”

More than 1/3 of Colorado is subject to federal jurisdiction. Whether or not the debate develops into a political conflagration or peters out in favor of other issues remains to be seen, but expect energy producers and environmental activists to keep a close eye on how the narrative proceeds.

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WildEarth Guardians won’t hesitate to launch a legal battle, as a recent look at the group’s lawsuit filings shows:

Though a relatively small organization with only 26 people on staff, WildEarth Guardians’ litigious nature has established the environmental advocacy group as a dominant voice in the national debate about environmental policy.

From 2010 to present, Guardians have initiated a total of 152 cases in federal district courts and 55 in the Circuit Court of Appeals for a total of 207 cases. In 2010 alone they filed 61 claims — an average of about one per week.

However, Guardians’ pervasiveness in the courts has not gone without criticism.

In a 2012 analysis of WildEarth Guardians’ legal activity, the conservative group Americans for Prosperity claimed that Guardians has been “misusing the judicial system, exploiting poorly-written laws and taking advantage of taxpayers to pursue a narrow, litigation-driven, special interest agenda.”

For Coloradans, especially those in Craig and surrounding areas, lawsuits from the group have drawn the ire of residents and businesses for favoring costly litigation as a first-stop solution:

Lee Boughey, senior manager of corporate communications and public affairs for Tri-State, said in a statement that the courts should not be a first resort.

“Environmental policy, regulations and law should be set by state legislatures and Congress, and based on sound science, a thorough cost-benefit analysis and appropriate timeframes for implementation. These are difficult issues, and it is a far better for all stakeholders to commit to work together to develop sound regulatory policy that take these consideration into account, as opposed to running straight to the courts,” he said.

The group remains adamant, saying, the “legal system is oftentimes the last recourse of justice for interests and peoples that have been marginalized or whose issues haven’t been heard.”

In the case of Colowyo Mine, the marginalized appear to be the local residents, workers, and communities.

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A pair of energy-related ballot measures will appear in November in Boulder, including a Climate Action tax:

Boulder officials also want to ask voters to extend the portion of the utility occupation tax on energy bills that replaces Xcel Energy’s franchise fee and provides roughly $4.1 million to the city’s general fund each year. It is not the portion of the tax that funds analysis and legal efforts toward municipalization, which is not on the ballot. The municipal energy utility would also have to pay a similar amount into the general fund, but that utility may not be up and running by 2017, when the tax expires. The proposed ballot measure would extend the tax through 2022.

The Climate Action Plan tax, which funds energy-efficiency programs and solar rebates, will also appear on the ballot. That tax expires in March 2018, and city leaders believe the programs ultimately will be paid for out of utility rates. However, that won’t be possible until the utility is up and running. The proposed ballot measure would extend the tax through March 2023 so that those programs could continue regardless of progress on the municipal utility.