Month: February 2017

Shale Drilling Is on a Roll as OPEC Cuts Keep Oil Above $50

Shale Drilling Is on a Roll as OPEC Cuts Keep Oil Above $50

via The Global Warming Policy Forum (GWPF)http://www.thegwpf.com

Shale wildcatters pushed ahead on the biggest surge in U.S. oil drilling since 2012 as the explorers take advantage of prices above $50 for more than two months.

Rigs targeting crude in the U.S. rose by 6 to 597 this week, the highest total since October 2015, according to Baker Hughes Inc. data reported Friday. Drillers have added 72 rigs since 2017 began, the best start in five years. The expansion is spreading in Texas and Oklahoma, with the Granite Wash play leading the increase this time around.

Producers are cashing in on a more stable oil market, with prices swinging between $50 and $55 a barrel as the Organization of Petroleum Exporting Countries and 11 other nations cut back production to help reduce global supplies. Saudi Arabia told OPEC it reduced its oil output by the most in eight years, according to the group’s monthly report released Monday.

“We’re seeing the rise that we anticipated to take place given the OPEC cuts,” Bloomberg Intelligence analyst Andrew Cosgrove said by phone. “These gains are spreading to other plays, and this is something we’re expecting will continue through the first half given the stability in the price of oil.”

Oil producers have brought 281 rigs back to work since drilling bottomed out in May, the biggest gain since producers added 361 rigs over the nine months through June 2012.

U.S. crude inventories rose to 518.1 million barrels last week, the highest in weekly data going back to 1982, according to the Energy Information Administration.

Full post

see also: Oil Rigs Data Show U.S. Shale Gains On OPEC, Russia Cuts

via The Global Warming Policy Forum (GWPF) http://www.thegwpf.com

February 17, 2017 at 07:51PM

Scott Pruitt’s Back-to-Basics Agenda for the EPA

Scott Pruitt’s Back-to-Basics Agenda for the EPA

via The Global Warming Policy Forum (GWPF)http://www.thegwpf.com

The new administrator plans to follow his statutory mandate—clean air and water—and to respect states’ rights.

ILLUSTRATION: KEN FALLIN

Republican presidents tend to nominate one of two types of administrator to lead the Environmental Protection Agency. The first is the centrist—think Christie Todd Whitman (2001-03)—who might be equally at home in a Democratic administration. The other is the fierce conservative—think Anne Gorsuch (1981-83)—who views the agency in a hostile light.

Scott Pruitt, whom the Senate confirmed Friday, 52-46, doesn’t fit either mold. His focus is neither expanding nor reducing regulation. “There is no reason why EPA’s role should ebb or flow based on a particular administration, or a particular administrator,” he says. “Agencies exist to administer the law. Congress passes statutes, and those statutes are very clear on the job EPA has to do. We’re going to do that job.” You might call him an EPA originalist.

Not that environmentalists and Democrats saw it that way. His was one of President Trump’s most contentious cabinet nominations. Opponents objected that as Oklahoma’s attorney general Mr. Pruitt had sued the EPA at least 14 times. Detractors labeled him a “climate denier” and an oil-and-gas shill, intent on gutting the agency and destroying the planet. For his confirmation hearing, Mr. Pruitt sat through six theatrical hours of questions and submitted more than 1,000 written responses.

When Mr. Pruitt sat down Thursday for his first interview since his November nomination, he spent most of the time waxing enthusiastic about all the good his agency can accomplish once he refocuses it on its statutorily defined mission: working cooperatively with the states to improve water and air quality.

“We’ve made extraordinary progress on the environment over the decades, and that’s something we should celebrate,” he says. “But there is real work to be done.” What kind of work? Hitting air-quality targets, for one: “Under current measurements, some 40% of the country is still in nonattainment.” There’s also toxic waste to clean up: “We’ve got 1,300 Superfund sites and some of them have been on the list for more than three decades.”

Such work is where Washington can make a real difference. “These are issues that go directly to the health of our citizens that should be the absolute focus of this agency,” Mr. Pruitt says. “This president is a fixer, he’s an action-oriented leader, and a refocused EPA is in a great position to get results.”

That, he adds, marks a change in direction from his predecessor at the EPA, Gina McCarthy. “This past administration didn’t bother with statutes,” he says. “They displaced Congress, disregarded the law, and in general said they would act in their own way. That now ends.”

Mr. Pruitt says he expects to quickly withdraw both the Clean Power Plan (President Obama’s premier climate regulation) and the 2015 Waters of the United States rule (which asserts EPA power over every creek, pond or prairie pothole with a “significant nexus” to a “navigable waterway”). “There’s a very simple reason why this needs to happen: Because the courts have seriously called into question the legality of those rules,” Mr. Pruitt says. He would know, since his state was a party to the lawsuits that led to both the Supreme Court’s stay of the Clean Power Plan and an appeals court’s hold on the water rule.

Will the EPA regulate carbon dioxide? Mr. Pruitt says he won’t prejudge the question. “There will be a rule-making process to withdraw those rules, and that will kick off a process,” he says. “And part of that process is a very careful review of a fundamental question: Does EPA even possess the tools, under the Clean Air Act, to address this? It’s a fair question to ask if we do, or whether there in fact needs to be a congressional response to the climate issue.” Some might remember that even President Obama believed the executive branch needed express congressional authorization to regulate CO 2 —that is, until Congress said “no” and Mr. Obama turbocharged the EPA.

Among Mr. Pruitt’s top priorities is improving America’s water infrastructure. “I’m going to be advancing this with the president, this idea that when we talk about investing in infrastructure, we need to look more broadly than bridges and roads,” he says. “Look at what happened in Flint,” the Michigan town where lead was found in the water supply. “Look at what is happening in California,” where the Oroville Dam’s failure endangers tens of thousands of homes. […]

He faults President Obama’s EPA for its “attitude that the states are a vessel of federal will. They were aggressive about dictating to the states and displacing their authority and letting it be known they didn’t trust the states.” Mr. Pruitt has numbers to back up the claim: During the combined presidencies of George H.W. Bush, Bill Clinton and George W. Bush, the EPA imposed five federal air-quality implementation plans on states. Mr. Obama’s EPA imposed 56.

States’ rights were the motivating impulse behind Mr. Pruitt’s lawsuits against the Obama administration, and he has plenty of examples of the benefits of letting states take the lead on pressing environmental problems. He mentions the progress that a state coalition has made on improving the habitat of the lesser prairie chicken, a threatened species. States have also clubbed together to tackle water pollution in the Chesapeake Bay.

“There is this attitude that has grown of late that Oklahomans and Texans and Coloradans really don’t care about the air they breathe or the water they drink,” he says. “That’s just not the case.” As a demonstration of his commitment to the devolution of power, he pledges to vigorously defend the portion of the EPA’s annual $7 billion budget—roughly half—that goes to the states as funds and grants: “This is the front line of a lot of the work on air and water quality and infrastructure, and its very important that money continue.”

Mr. Pruitt argues that his renewed focus on statutes and federalism will help produce regulatory certainty, which will be good for business: “The greatest threat we’ve had to economic growth has been that those in industry don’t know what is expected of them. Rules come that are outside of statutes. Rules get changed midway. It creates vast uncertainty and paralysis, and re-establishing a vigorous commitment to rule of law is going to help a lot.”

Full interview

via The Global Warming Policy Forum (GWPF) http://www.thegwpf.com

February 17, 2017 at 07:51PM

Household Solar Storage Increases CO2 Emissions, Study Concludes

Household Solar Storage Increases CO2 Emissions, Study Concludes

via The Global Warming Policy Forum (GWPF)http://www.thegwpf.com

Contrary to popular belief, household storage for solar power doesn’t reduce cost or CO2 emissions, an American study suggests.

As charging and discharging a home battery itself consumes energy, feeding surplus solar power into the storage device instead of into the grid results in higher overall electricity consumption for the household, as well as higher emissions because the increased consumption needs to be covered by fossil fuel-based energy.

This increase is quite substantial – up to 591KWh annually.

“I expected that storage would lead to an increase in energy consumption,” said Robert Fares from the Cockrell School of Engineering at the University of Texas at Austin, “but I was surprised that the increase could be so significant – about an eight to 14 per cent increase on average over the year.”

Fares, together with Professor Michael Webber, analysed the impact of home energy storage using electricity data from almost 100 Texas households that are part of a smart grid test bed managed by Austin-based renewable energy and smart technology company Pecan Street Inc.

The results are relevant for Texas, where the majority of grid electricity comes from fossil fuels. As a result, the increased consumption due to storage technology leads to higher carbon, sulphur and nitrogen dioxide emissions.

The situation, however, is different for utility companies, which could reduce their peak grid demand by up to 32 per cent thanks to solar energy storage and cut down the magnitude of solar power injections to the grid by up to 42 per cent.

“These findings challenge the myth that storage is inherently clean, but that, in turn, offers useful insights for utility companies,” Webber said.

“If we use the storage as the means to foster the adoption of significantly more renewables that offset the dirtiest sources, then storage – done the right way and installed at large-scale – can have beneficial impacts on the grid’s emissions overall.”

The study was published in the journal Nature Energy.

Full post

via The Global Warming Policy Forum (GWPF) http://www.thegwpf.com

February 17, 2017 at 07:21PM

Happiness: Coal CEO Celebrates Trump Repeal of Unfair Anti-Coal Rule

Happiness: Coal CEO Celebrates Trump Repeal of Unfair Anti-Coal Rule

via Watts Up With That?http://ift.tt/1Viafi3

Guest essay by Eric Worrall On Thursday President Trump liberated coal miners from the shackles of an Obama rule many in the industry believe was designed to destroy the coal industry. If you want to see happiness, see the following video of Robert Murray, founder and CEO of Murray Energy, America’s largest underground coal mining […]

via Watts Up With That? http://ift.tt/1Viafi3

February 17, 2017 at 07:00PM