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Energy Tomorrow Blog

Consumers Need More Protection From RFS

renewable fuel standard  rfs34  epa  blend wall  consumers  e15  e85  ghg emissions  climate 

Mark Green

Mark Green
Posted November 30, 2015

In finalizing ethanol volume requirements under the Renewable Fuel Standard (RFS), the EPA is basically testing the limits of the ethanol “blend wall” and the potential impacts of breaching it. Unfortunately, the guinea pigs in the experiment are U.S. consumers – their wallets, their vehicles.

That’s what we draw from EPA’s requirements for levels of corn ethanol and other renewable fuels that must be blended into the U.S. fuel supply. EPA officially set requirements for 2014 (two years late), 2015 (a year late) and 2016. Requirements for 2016 are the most significant – 18.11 billion gallons, which is lower than what Congress originally required when it created the RFS, but higher than what EPA proposed in May (17.4 billion gallons).

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Take the ‘U.S. Model’ on Emissions to Paris

climate  emission reductions  methane  natural gas  american petroleum institute 

Mark Green

Mark Green
Posted November 16, 2015

According to data from the U.S. Energy Information Administration (EIA), increased use of natural gas – part of the abundance produced by the American energy revolution – is a big reason monthly power sector CO2 emissions in this country were near a 27-year low earlier this year. And, the United States leads the world’s top economies in reducing greenhouse gas emissions from energy.

We say this to make the point that on the eve of Paris, the United States is achieving the kinds of emissions reductions everyone else is just talking about. We have results where others have only rhetoric. As the Obama administration prepares its envoys for Paris, it has a ready-made, real-world case study in place that it should be talking about at the summit.

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Paris, the RFS and Real Progress on Emissions

renewable fuel standard  rfs34  co2 emissions  climate  natural gas 

Mark Green

Mark Green
Posted November 13, 2015

Ethanol producers want Secretary of State John Kerry to trumpet the Renewable Fuel Standard (RFS) at the big Paris climate conference later this month. Big Ethanol says the U.S. should highlight the RFS in Paris, not hide it – referring to the fact the RFS is missing from the Obama administration’s “intended nationally determined contribution” document that outlines what the U.S. would do under the next international climate agreement.

Maybe the reason for the omission is the number of studies showing that climate and environment are worse off because of the RFS.

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The Perception Deception on Keystone XL

keystone xl  pipelines  president obama  climate  jobs  economic growth  security  canada 

Mark Green

Mark Green
Posted November 10, 2015

It’s too bad that when President Obama finally announced his decision on the Keystone XL pipeline, he turned his back on American jobs, economic growth and increased energy security – each of them compelling, “national interest” reasons for building the pipeline. Also unfortunate is that the president also turned his back on science and fact.

Read the State Department’s final word on Keystone XL, and you see that State, as it said in its previous environmental reviews, acknowledges that the pipeline would have little to no climate impact.

The Keystone XL rejection was about perceptions and appearances – perceptions the president and his administration created, detached from science and fact set forth in State’s analysis, to help cultivate the appearances of climate change leadership.

Throughout Keystone XL’s tortuous, seven-year slog at the White House, the pipeline – this pipeline – was a symbol, a foil the administration used to help keep the professional activist class activated and the world climate community applauding.

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Embracing Energy – For Jobs, Cleaner Air, Lower Costs

analysis  technology  investments  climate  greenhouse gas emissions  co2  methane  ozone  Jack Gerard  american petroleum institute 

Mark Green

Mark Green
Posted September 22, 2015

Today, API released a new report on investments in greenhouse gas-mitigating measures that illustrates the oil and natural gas industry’s leadership in innovating the technologies and efficiencies to keep improving air quality. We conclude a series of posts on the intersection of energy development and climate/environmental goals (here, here and here) with a look at the new report.

Key numbers from T2 and Associates’ new report on investments in mitigating greenhouse gases (GHG) by industry include $90 billion in zero and low-carbon emitting technologies from 2000 through 2014.

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The RFS and Climate

analysis  renewable fuel standard  climate  ethanol  greenhouse gas emissions  natural gas benefits 

Mark Green

Mark Green
Posted September 21, 2015

The third in a series of posts on the intersection of energy development and policy and the pursuit of climate goals. Last week: The Clean Power Plan’s flawed approach in the energy sector and the role of increased natural gas use in improving air quality. Today:  The impacts of the Renewable Fuel Standard and federal ethanol policy.

A decade ago Congress passed legislation creating the federal Renewable Fuel Standard (RFS) – requiring escalating volumes of ethanol in the U.S. fuel supply – that was intended in part to help reduce crude oil imports while capitalizing the supposed environmental advantages of ethanol.

Crude oil imports indeed have been falling since 2008. But, as we’ve detailed before, virtually all of the decrease is due to rising domestic crude oil production, not the RFS. Thanks to vast domestic shale reserves and safe hydraulic fracturing, the U.S. is the world’s leading producer of oil and natural gas – which by far has had the most to do with reducing U.S. net crude imports.

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Advancing Climate Goals by Leading on Emissions

analysis  climate  emissions  natural gas benefits  carbon dioxide  ozone  methane 

Mark Green

Mark Green
Posted September 18, 2015

Below is the second in a series of posts on the intersection of energy development and the pursuit of climate goals. Yesterday, API President CEO weighed in on the administration’s Clean Power Plan and its flawed approach of picking winners and losers in the energy sector. Today – rising natural gas use plays a key role in falling emissions of carbon dioxide – even as levels of methane and ozone decline.

Talk of climate change and climate-related goals is everywhere. We pay special attention when the climate talk turns to energy development – because there’s a great climate story stemming from America’s energy revolution.

Let’s start with emissions of carbon dioxide (CO2). The U.S. Energy Information Administration tells us that monthly power sector CO2 emissions in April were the lowest for any month since April 1988. That’s a 27-year low.

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A Flawed Approach on Climate, Energy

analysis  climate change  energy development  emissions  natural gas benefits  Jack Gerard 

Jack Gerard

Jack Gerard
Posted September 17, 2015

Below is the first of a short series of posts on the intersection of energy development and efforts to meet climate-change goals. In this post, API President and CEO Jack Gerard comments on the Obama administration’s Clean Power Plan and its flawed approach of picking winners and losers in the energy sector.

On Monday, Aug. 3, the Environmental Protection Agency (EPA) announced sweeping new carbon regulations for power plants. By Wednesday, Aug. 5, the government announced carbon emissions from power plants in April 2015 reached a 27-year low.

Did the costly, top-down mandates of the Clean Power Plan really work that quickly? Of course not. The dramatic emissions reductions are the result of market forces that have nothing to do with heavy-handed government regulations and everything to do with the fact that the United States is the world’s leading producer of natural gas.

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Energy and Alaska

analysis  alaska  oil and natural gas development  president obama  economic benefits  climate 

Mark Green

Mark Green
Posted August 28, 2015

When President Obama arrives in Alaska on Monday, he is expected to spend much of his time talking about climate. From a White House explainer on the president’s visit:

… President Obama will travel to Alaska and shine a spotlight on what Alaskans in particular have come to know: Climate change is one of the biggest threats we face, it is being driven by human activity, and it is disrupting Americans’ lives right now.

What the president should hear is that the people of Alaska, one of the most energy resource-rich states in the Union, embrace both energy development and climate and environmental goals. They’ve lived that embrace and depend on it. They’re wary of Washington disrupting the relationship. While the Obama administration has approved Shell’s exploratory drilling in the waters off the state’s northern coast, it also has moved to exclude energy development in other state areas.

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America: Energy Superpower

news  oil and natural gas development  us energy  bp  oil production  energy exports  ethanol  climate change  regulation 

Mark Green

Mark Green
Posted June 10, 2015

BloombergBusiness The U.S. has taken Russia’s crown as the biggest oil and natural-gas producer in a demonstration of the seismic shifts in the world energy landscape emanating from America’s shale fields.

U.S. oil production (green line in chart, left) rose to a record last year, gaining 1.6 million barrels a day, according to BP Plc’s Statistical Review of World Energy released on Wednesday. Gas output also climbed, putting America ahead of Russia as a producer of the hydrocarbons combined.

The data showing the U.S.’s emergence as the top driller confirms a trend that’s helped the world’s largest economy reduce imports, caused a slump in global energy prices and shifted the country’s foreign policy priorities.

“We are truly witnessing a changing of the guard of global energy suppliers,” BP Chief Economist Spencer Dale said in a presentation. “The implications of the shale revolution for the U.S. are profound.”

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