Energy Tomorrow Blog
Posted August 14, 2014
Wall Street Journal (Jay Timmons, NAM): In a town famous for inaction, Washington is gearing up to take action on a major policy issue. But there's a hitch: The outcome could be the most expensive regulation in the nation's history, possibly tanking the economy and costing jobs at a time when businesses, manufacturers and families are making a comeback.
Later this year, the Environmental Protection Agency will decide whether it should tighten the air-quality standard for ground-level ozone. There are several things about this possible new standard that are alarming.
Posted August 14, 2014
Earlier this month the National Association of Manufacturers issued a report measuring the potential impacts of a new, stricter ground-level ozone air quality standard that’s being proposed by EPA. The estimated national results are economically devastating: reduction of U.S. GDP by $270 billion per year, 2.9 million fewer job equivalents per year on average through 2040 and potentially increased natural gas and electricity costs for manufacturers and households.
The picture is the same on a state-by-state basis. Over the next few days we’ll highlight some of the individual state impacts from the report, starting with North Carolina.
Posted August 11, 2014
API has put together a new infographic that captures the breadth of this administration’s policies – especially an ongoing regulatory push from EPA – that could slow progress that’s being built on America’s energy revolution. (Click here to pull up the PDF.)
Here’s the thrust: The administration’s policies and regulatory efforts are hindering needed energy and economic progress. It is delaying infrastructure, such as pending liquefied natural gas export projects and the Keystone XL pipeline. It is sustaining the broken Renewable Fuel Standard and its ethanol mandates, which could negatively affect consumers and the larger economy. It’s threatening new regulation that would needlessly impact the refining sector, while advancing a stricter ozone standard that would put virtually the entire country out of compliance.
Posted July 31, 2014
A couple of new warning lights concerning EPA’s regulatory approach in proposed standards for power sector emissions as well as the anticipated standard for ozone. In both cases the agency appears poised to regulate without thoroughly reckoning potential impacts that could harm the economy and individual consumers.
First, there’s EPA’s effort to regulate power sector emissions – with carbon pollution guidelines proposed for existing power plants, on top of the already proposed guidelines for new electric utility generating units.
Howard Feldman, API’s director of regulatory and scientific affairs, testified at EPA field hearings this week that the agency’s proposals could result in higher energy costs, impacting the oil and natural gas industry’s international competitiveness and negatively affecting the broader economy. Feldman also warned that the proposals could set a precedent for EPA incursion into management of the power sector that’s beyond its authority under the Clean Air Act.
Posted July 9, 2014
Hydraulic fracturing is a proven, safe technique that has been used since 1949 in over one million wells right here in the U.S. As a result, America is now the number one producer of natural gas in the world, and by 2015, it is expected that we will take the top spot in crude oil production. Of course, with this success, come both benefits and challenges.
Posted May 27, 2014
When EPA proposed tightening the national ozone standards a few years ago, President Obama told the agency to stand down. The existing standard of 75 parts per billion (ppb) wasn’t due for review, and there was concern stricter standards might harm the economy.
It’s a concern that hasn’t diminished as the agency starts regular review of ozone National Ambient Air Quality Standards. Howard Feldman, API’s director of regulatory and scientific affairs, discussed the review during a conference call with reporters:
“We recognize that EPA has a statutory duty to periodically review the standards. However, the current review of health studies has not identified compelling evidence for more stringent standards. Tightened standards could impose unachievable emission reduction requirements on virtually every part of the nation, including rural and undeveloped areas. These could be the costliest EPA regulations ever.”
Posted May 16, 2014
Industry’s commitment to enhancing the safety to offshore energy development in the four years since the Macondo incident was reflected in a half-day program on prevention and response sponsored by the Center for Offshore Safety(COS) at last week’s Offshore Technology Conference (OTC) in Houston.
The COS hosted two panel discussions – one focused on developing effective safety systems, and a second that centered on the actions, processes and leadership needed to build strong safety cultures.
Posted March 21, 2014
With winter grudgingly giving way to spring, the guess here is discussion of the flawed Renewable Fuel Standard’s ethanol mandates, higher ethanol-blend fuels like E15 and the “blend wall” will rekindle debate in Congress.
Lawmakers must act, because while EPA has proposed lowering ethanol-mandate levels from 2013, the rule still isn’t final (it was due at the end of November last year) and would only temporarily address potentially harmful impacts of the blend wall – to consumers and the broader economy.
Posted February 27, 2014
Editor’s note: API President and CEO Jack Gerard testified this week at a rail safety hearing of the House Transportation and Infrastructure Committee’s Subcommittee on Railroads, Pipelines and Hazardous Materials.
The revolution in North American energy development has been made possible by technological breakthroughs in decades-old methods of energy development, which has set this nation on the path to energy security, a concept unthinkable just a few years ago.
The energy policies we choose today will determine if our nation will continue its march toward global energy leadership – a unique and once-in-a-generation opportunity. America’s dramatic increase in domestic energy production has fundamentally altered the global energy markets and more broadly the geopolitical landscape for decades to come – all while providing a much needed boost to our economy.
In order to achieve our nation’s full potential as a global energy leader all of us have to work together to ensure that our energy infrastructure is capable of safely, reliably and efficiently transporting ever-increasing amounts of domestically produced energy, whether by truck, barge, pipeline, or the focus of today’s hearing, rail.
Posted February 26, 2014
Check out a video interview in which Karen Moreau, executive director of the New York State Petroleum Council, talks about how advanced hydraulic fracturing and horizontal drilling launched the ongoing U.S. energy revolution by accessing oil and natural gas held in shale and other tight-rock formations.