Supreme Court: Power Plants Not Required to Use State-of-the-Art Water Cooling Process
The Supreme Court ruled on Wednesday that the EPA can balance business costs against environmental benefits when deciding whether to impose closed-cycle cooling requirements on power plants.
The case was originally brought before the Court last year by the Bush Administration, which had argued that business interests must be properly considered. Environmentalists opposed this idea, claiming that the Clean Water Act required the use of closed-cycle cooling technologies. The harm at issue stems from the process by which power plants take water from surrounding sources to cool the plant’s operations. Without closed-cycle cooling, very hot water can be released back into the environment, thereby doing harm to the surrounding aquatic life.
While the Court’s ruling will allow the EPA to take into account business interests, the Obama Administration will have leeway in how it crafts future rules.
U.S. Offers $535 Million Loan Guarantee to Solar Panel Manufacturer
Energy Secretary Steven Chu announced on Friday that the federal government would be offering a $535 million loan guarantee to solar panel manufacturer Solyndra. The California based company will use the funds to widely expand its photovoltaic panel manufacturing capacity.
The loan guarantee is the first to be offered under the Energy Policy Act of 2005. During the Bush Administration the program was bogged down by Energy Department bureaucracy, as well as congressional foot dragging.
The money for this loan guarantee comes from appropriations from the Obama stimulus package. “The leadership and actions of President Barack Obama, Energy Secretary Steven Chu and the U.S. Congress were instrumental in concluding this offer for a loan guarantee,” said Solyndra CEO and founder, Dr. Chris Gronet.
Solyndra’s new facilities will eventually produce solar panels capable of producing 500 megawatts a year.
Ohio Leads the Nation in Toxic Air Pollutants, Largely From Coal
The EPA’s annual Toxic Release Inventory (TRI) was published on Thursday. The report takes an accounting of the amount of toxic chemicals reported to be released into the U.S. environment each year. The current report looks at data from 2007.
The vast majority of toxic releases nationwide came from electric utilities and mining operations. The state of Ohio lead the nation in air pollution, with over 115 million pounds of toxic pollutants being released into the air. Nearly two-thirds of those toxins were from coal-fired power plants. The main pollutants included hydrochloric and sulfuric acids, mercury, lead and barium.
The report has been short on details since 2006, when President Bush cut back on reporting requirements for industries. However, these changes were undone by the 2009 Omnibus Appropriations Act, signed into law by President Obama on March 11.
House Subcommittee to Look at Offshore Drilling
The NY Times (via Greenwire) reports that on Tuesday:
The [House] Energy and Mineral Resources Subcommittee will hold the latest in a series of hearings on petroleum development on the outer continental shelf, or OCS, that will feature an official with the Minerals Management Service, Interior’s acting inspector general and a Government Accountability Office expert.
The House hearing is expected to explore allegations that oil companies are failing to produce energy from tens of millions of acres of existing leases on federal lands and waters even as the industry is pressing for new areas to be made available, among other OCS drilling issues.
President Obama’s 2010 budget addresses some of these concerns by calling for:
several changes, including new fees on nonproducing Gulf of Mexico leases, part of a “use it or lose it” strategy Democrats say is needed to encourage production from acreage already offered for leasing.
The Tides Are Turning: Obama to Increase Taxes on Offshore Drilling
Offshore drilling would become more expensive under President Obama’s proposed budget. The proposal would levy “a new excise tax on offshore oil and gas production in the Gulf of Mexico to close loopholes that have given oil companies excessive royalty relief.”
Additionally, new revenues, along with funds from the stimulus bill, would be directed towards clean energy research and development. The proposed budget calls for “significant increases” in spending for renewable energy, carbon sequestration, and power transmission projects. The stated goal of these measures is to position “the United States as the world leader in climate change technology.”
Stimulating Renewable Energy…
The massive $787 billion stimulus bill was signed into law on Tuesday and people are beginning to digest what was inside it. According to Recovery.gov, in general, the bill is allocated in the following manner:
- Tax Relief $288 billion
- State and Local Fiscal Relief $144 billion
- Infrastructure and Science $111 billion
- Protecting the Vulnerable $81 billion
- Health Care $59 billion
- Education and Training $53 billion
- Energy $43 billion
- Other $8 billion
Of course what is of interest to us is the $43 billion allocated for energy. With $22 billion in tax relief also going towards energy, the total investment in energy is actually $65 billion. This stimulus money allocated for energy is broken-down as follows: READ MORE
Bush’s Last Minute Oil and Gas Leases in Utah to be Canceled
Interior Department Secretary Ken Salazar, in canceling oil and gas leases in Utah this week, took a big step towards reversing some of the Bush administration’s more controversial eleventh hour environmental decisions. The leases at issue, which were rushed through towards the end of Bush’s term, were criticized for being too close to sensitive national parks and not nearly valuable enough to justify the damage to these areas.
The 77 parcels represent 130,225 acres near Arches and Canyonlands national parks, Dinosaur National Monument and Nine Mile Canyon. The canceled bids are worth around $6 million and those bidders will have their money returned.
Although these leases could be re-granted after a more thorough review, this seems unlikely. Salazar also emphasized that there needs to be a smarter balance between the environment and commercial use. READ MORE
Pickens: Oil to Hit $75 by End of Year
T. Boone Pickens predicted on Monday that oil prices would be back above $60 per barrel within two months and at $75 by the end of the year. Pickens is not alone in his anticipation of a future oil spike, as he is joined by both oil traders who have been buying up oil to be sold in the future, as well as history, which dictates that although oil may go down, it always comes back up.
“We got a break here, a little bit of breather, but within 60 days we’ll be back up to $60 oil and by end of year we’ll be on our way … at $75,” Pickens noted.
Of course, Obama has warned that we need to avoid falling into the regular shock and trance cycle with oil prices, and hopefully Congress will send him an energy package that substantively addresses this classic problem.
Detroit Should Support Obama’s Efficiency and Emissions Laws (But They Won’t)
Not surprisingly, automotive industry groups expressed opposition on Monday to President Obama’s plan to increase vehicle efficiency laws at both the state and federal levels. The opposition was generally expressed in the standard “this is too costly” language, with a dose of “in these harsh economic times” thrown in for good measure.
But we’ve heard this a thousand times before. Of course it is costly to meet new efficiency standards, and of course times are especially difficult right now. But given that automakers always warn that regulations will put them out of business and cost jobs, they have questionable credibility in this debate. READ MORE
Obama: America will not be held hostage to dwindling resources, hostile regimes and a warming planet
President Obama delivered his expected remarks on energy and climate change today at the White House. As expected, he announced that his administration will grant California a waiver to more strictly regulate vehicle emissions, will have federal agencies increase energy efficiency in federal buildings, and will increase federal fuel efficiency rules. But most importantly, Obama articulated the reasons why we must address these issues and why his strategy will work.
Reviewing the transcript of the speech, here are some of the highlights: READ MORE
Obama: Will Grant California a Waiver to Increase Emissions Regulations
President Obama will announced on Monday that he will be directing the EPA to grant California its long sought after waiver to more strictly regulate vehicle emissions than current federal standards.
Former President Bush had previously sided with automakers and refused to grant this waiver, leading to a conflict between the state and federal government. Once the EPA grants California this waiver under the Clean Air Act, the state will implement a more stringent emissions regime. Thirteen other states have also adopted the California rules, and will similarly be permitted to follow suit under the waiver.
It was also reported that Obama will announce that he is directing federal agencies to substantially increase the energy efficiency of their buildings. These measures are aimed at saving as much as $2 billion a year in energy costs and reducing greenhouse gas emissions.
Finally, Obama will also direct the Department of Transportation to begin drafting increased fuel efficiency regulations in order to comply with a law passed in December 2007. Bush had delayed implementing these regulations until the expiration of his term.
Obama Freezes Bush’s Late-Term Executive Orders
Eoin O’Carroll at Bright Green Blog has a good outline of Obama’s attempts to freeze some of Bush’s late-term executive orders:
Among the rules that [Obama has] frozen is one that would have made it easier for factories and refineries to expand without applying for new federal pollution permits. Another would have removed federal protection for gray wolves in the Northern Rockies and Great Lakes. Another would have opened areas of Oregon to logging. Another would have opened 2 million acres of public land in Wyoming, Colorado, and Utah for oil-shale drilling. And another would have helped set in motion the commercialization of meat from genetically modified animals.
As for Bush orders that have already taken effect, for recent ones Obama could use the Congressional Review Act of 1996. Under this law, any executive orders Bush issued within that 60 day period can be undone by the now democratic Congress.
What is the Matter With this Guy?
FoxNews’ Chris Wallace, at least partially in jest, wonders if President Obama is actually the president since Obama and Chief Justice Roberts flubbed the reciting of the oath.
Obama Administration Likely to Grant California Emissions Waiver for Cars
One of the most immediate environmental impacts the incoming Obama administration is expected to make is to grant California a waiver to impose their own greenhouse gas emission standards on vehicles.
The EPA under Bush has refused to grant this waiver, which has sparked a round of litigation between the state and federal government. Without the waiver, carmakers have only been required to meet the relatively lax federal CAFE standards. However, once the waiver is granted and California, along with more than a dozen other states expected to adopt the California standards, carmakers will be held to materially higher efficiency requirements. This could result in an average of 3 miles more per gallon by 2015, and 7 more by 2020.
The LA Times notes that Lisa Jackson, Obama’s nominee to head the EPA has stated, “If I am confirmed, I will immediately revisit the waiver.”
And GM Vice Chairman Bob Lutz, who is stuck between the need to keep ornery politicians happy and getting the most federal money possible, noted, “we can meet the law, but it’s going to take a lot of money.”
Bush Administration: Open California Coast to Offshore Drilling
In a parting gift to the oil industry, the Bush administration has officially proposed opening up 130 million acres of the California coast to oil and natural gas drilling. The proposal was made by the Interior Department, and also includes areas of Alaska’s Bristol Bay.
Offshore drilling in the U.S. has been back on the table ever since Congress foolishly allowed the moratorium to expire last year amid high gas prices and election-season pressures. READ MORE
