Energy Tomorrow Blog
Posted November 6, 2020
Building new pipelines means jobs. Good jobs. That’s the takeaway from a recent announcement that $1.6 billion in contracts have been awarded to six U.S. union contractors to build 800 miles of the Keystone XL pipeline in three states.
TC Energy, the pipeline’s builder, said the awards represent more than 7,000 union jobs in 2021, with additional 2021 contracts to be announced that will push the jobs number north of 8,000. ... This is good work for American workers who value employment associated with the natural gas and oil industry.
Posted November 6, 2020
The natural gas and oil industry has advanced sector-wide guidance for sustainability reporting for over fifteen years, reinforcing its longstanding commitment to energy and environmental progress.
Earlier this year, three international natural gas and oil industry associations – API, IPIECA and IOGP – released an updated version of the “Sustainability Reporting Guidance for the Oil and Gas Industry,” which provides a common framework for assessing environmental, social and governance (ESG) issues.
In September, IPIECA released the results of its annual reporting survey, identifying widely used performance indicators and emerging trends. The findings, which include answers from 27 of the world’s largest energy companies, highlight the progress of industry leaders and partner organizations.
Posted October 30, 2020
Natural gas has been the key to lowering U.S. energy-related carbon dioxide emissions, through coal-to-natural gas fuel switching in the power sector – no other nation has reduced them more since 2000. Coupled with the progress of U.S. operators in reducing production-related emissions, it’s unfortunate that the French government recently decided to delay a potential $7 billion deal for U.S. liquefied natural gas (LNG), citing emissions.
The deal between French trading firm Engie and U.S. provider NextDecade for West Texas natural gas (converted to LNG in Brownsville) still might be signed, and let’s hope that happens.
Natural gas has been the critical difference-maker in cutting CO2 emissions in the U.S., lowering them to their lowest levels in a generation. It’s happening globally as well ...
Posted October 27, 2020
With a high-tech workforce and a future-focused approach, America’s natural gas and oil industry is delivering on its commitment to sustainability and climate solutions. Energy operators are continuously improving environmental performance and working to lower greenhouse gas emissions – and groundbreaking technologies are making the difference.
API member companies are driving research and development on innovative concepts, like carbon capture, utilization and storage (CCUS), and industry leaders are collaborating to address emissions of methane and volatile organic compounds in America’s largest energy producing regions.
Since 2017, The Environmental Partnership has provided leadership on industry-driven efforts to tackle the dual challenges of supplying affordable, reliable energy while making significant environmental progress. The program encourages the phase out of high-bleed, gas-driven pneumatic controller use to mitigate methane emissions in natural gas production.
Posted October 27, 2020
Three points about Vice President Joe Biden’s pledge, if elected, to deny the natural gas and oil industry the use of growth and investment provisions in the tax code that are available to virtually the entire U.S. manufacturing sector – basically, singling out our industry for higher taxes.
1. Our industry is strongly invested in the U.S. economy, its infrastructure and workforce through spending today and in the future.
2. The ability through tax deductions to recover costs associated with job creation and other operational investments is critically important to seed energy development in the future, to create new jobs and help drive economic growth.
3. The U.S. natural gas and oil industry pays its fair share in taxes – and then some – while delivering safe, affordable and reliable energy that Americans count on every day.
Posted October 26, 2020
Vice President Joe Biden’s statements on fracking and energy during the final presidential debate raise questions about the former vice president’s overall understanding of issues that are so critical to the U.S. economy, security and the environment.
We’ve previously noted Biden’s various comments on fracking – he has said he would ban the technology that made the U.S. the world No. 1 in natural gas and oil production (see here and here), before vowing he wouldn’t ban it. He repeated the no-ban pledge in Nashville (after asserting he never said he opposed fracking).More problematic is another promise Biden repeated during the final presidential debate – that he’ll ban new federal natural gas and oil leasing, effectively halting new production on federal lands and waters.
Posted October 21, 2020
As API’s members focus on meeting some of America’s greatest challenges, it’s clear our workers – the men and women of natural gas and oil – are our industry’s most valuable assets. For the future, this industry must continue to attract the best and brightest minds – while building a diverse, inclusive and resilient workforce that will bring energy to America for decades to come.
Over the summer, API President and CEO Mike Sommers wrote to colleagues underscoring the strength in this industry’s diversity, and initiating a conversation among natural gas and oil operators about actions to address disparities in the energy workforce and in American communities more broadly.
This month, Sommers joined Dr. Benjamin Chavis, president and CEO of the National Newspaper Publishers Association (NNPA) and a pioneering civil rights leader, to continue this conversation with a one-on-one interview entitled, “Opportunities in the Energy Industry.”
Posted October 20, 2020
Vice President Joe Biden’s “No Malarkey Express” keeps hitting a speed bump called fracking.
During his townhall event in Philadelphia last week, Biden repeated that if elected president he wouldn’t ban fracking. It’s not hard to see the importance of fracking in energy-rich Pennsylvania – where lots of eyebrows probably were raised by Biden’s past statements and those of running mate Sen. Kamala Harris that fracking would be halted by a Biden administration (see here, here and here).
So, they’re opposed to banning fracking, which is used to develop about 95% of new wells in this country and key to the U.S. becoming the world’s leading producer of natural gas and oil.
But that’s not the same thing as supporting fracking or U.S. natural gas and oil – made clear by Biden’s proposal to effectively ban new natural gas and oil development on federal lands and waters (see his websiteand the Democratic Party Platform).
Posted October 19, 2020
There’s an interesting subplot the International Energy Agency’s (IEA) recent report on the technology push that’s needed to reach sustainability targets: the empowering, essential role of natural gas.
It bears repeating: Abundant, affordable natural gas is critical to the growth of renewable energy, supplying reliable fuel for power generation when intermittent sources aren’t available. Natural gas and petroleum are used in the manufacturing of renewable technologies and in the development of potential game-changers such as hydrogen.
Even if the United States alone were to meet the aggressive sustainability goals of the Paris Climate Agreement, natural gas and oil would still make up 46% of the energy mix in 2040. Indeed, IEA expects natural gas demand to rebound by almost 3% in the next year, and oil demand should similarly recover within coming years. In another report, IEA indicates that those who herald oil’s demise are doing so prematurely.
Meanwhile, natural gas provides reliable and affordable energy that we will depend on for the foreseeable future. In fact, natural gas will be essential in helping the world reach its sustainability goals.
Posted October 16, 2020
We’ve discussed the significant national impacts of policies touted by some (see here and here) that would effectively stop new natural gas and oil leasing and development on federal lands and waters, potentially weakening U.S. security, killing jobs, raising household energy costs and more.
The national numbers could be big and alarming. Still, most Americans probably can relate more easily to potential impacts where they live, work and raise their families. This post zeroes in on New Mexico. Another state where the potential is large for job losses, reduced economic activity and decreased revenues – for education and other state and local priorities – is Louisiana.
A new ICF analysis shows much is at stake in banning new federal leasing and development for Louisiana, which ranked third in the nation in 2019 natural gas production and ninth in oil production as of June 2020, according to the U.S. Energy Information Administration (EIA).