Posted March 17, 2015
The job that could be lost could be yours, or the job that doesn’t materialize could be the one you had your heart set on. Both scenarios could result from lower federal standards on ground-level ozone, which EPA has proposed and is expected to finalize later this year.
A NERA Economic Consulting study lays out the big-picture impacts, that a stricter ozone regulation could reduce U.S. GDP by $270 billion per year and $3.4 trillion from 2017 to 2040, resulting in 2.9 million fewer jobs or job equivalents per year on average through 2040.
Big numbers, but abstract. Embedded in them are potential real-world impacts for lots of Americans in terms of economic opportunity lost or denied, illustrated here on a state-by-state basis. These include businesses that might not be launched or expanded, infrastructure plans that could be shelved, such as roads and bridges. It could entail activities that communities might restrict as they try to comply with stricter ozone standards.
Posted March 12, 2015
Oil and natural gas industry groups joined by environmentalists and anti-hunger groups have joined forces to outline concerns with the Renewable Fuel Standard (RFS) and to ask Congress to repeal or significantly reform the program with its ethanol mandates.
Posted February 26, 2015
The president’s Council of Economic Advisers (CEA) understands the significance of the U.S. energy revolution quite well – reflected in the energy chapter of its recent 2015 Economic Report of the President.
The chapter should be widely read by policymakers, from the president and Congress on down, because it notes the role of surging domestic oil and natural gas production in the ongoing energy revolution. From there it’s possible to identify needed policies for the future.
Posted February 26, 2015
Posted February 10, 2015
Standout findings in a new major field study on methane emissions from natural gas collection and processing facilities across 13 states, led by Colorado State University include a couple of points:
First, of 130 facilities that collect natural gas from production wells, remove impurities and deliver it to inter- and intrastate pipeline networks, 101 had methane loss rates below 1 percent – including 85 of the 114 gathering facilities and all 16 of the processing plants studied. Put another way, methane containment at these facilities is more than 99 percent.
Second, the majority of emissions resulted from abnormalities involving broken or faulty equipment – issues that are relatively easy to address.
Posted February 3, 2015
Politico reports (subscription required) that the White House Office of Management and Budget on Friday finished review of EPA’s final rule to set state implementation plan requirements for the agency’s 2008 ozone standards.
Here’s the significance of that piece of wonky news: Even before EPA has finished telling the states how to implement the 2008 ozone standards, the agency already is well into setting new, potentially stricter standards. Regulation for regulation sake? It would be hard to find a better illustration.
Posted January 22, 2015
The Bakken Magazine: “Do not pass Go. Do not collect $200.”
This is the dreaded phrase on the “Go to Jail Card” that you’ve likely drawn, or at least heard of, when playing the game of Monopoly. Drawing this card is an all-around bummer. You lose a chance at scooping up valuable property before others do, you don’t get to collect $200 that you might need to purchase property, and it increases the chance that you lose the game. But at least it’s just a game. Right?
Wrong. What many people probably don’t realize is that we’re in a real-life game similar to Monopoly, but this one is focused on the global oil market, not property. And, it just so happens that we’re stuck holding the “Do not pass Go” card.
Posted January 16, 2015
Bloomberg: Ending restrictions on U.S. crude exports could cut gasoline prices as much as 12 cents a gallon, a Columbia University study co-written by a former adviser to President Barack Obama has concluded.
Without the partial ban, domestic production might increase as much as 1.2 million barrels a day by 2025, making the U.S. more resilient to global supply disruptions, according to the study.
“Easing energy export restrictions does not raise gasoline prices for consumers,” Jason Bordoff, a former energy and climate adviser to Obama who is now director of the Center on Global Energy Policy at Columbia University, said in a telephone interview.
Posted January 15, 2015
Charting some of the latest Bureau of Land Management (BLM) data on federal oil and natural gas activity – which mostly shows continuing decline.
First, BLM issued fewer new oil and natural gas leases in fiscal year 2014 than in any year since FY1988. That year 9,234 new leases were issued, a number that fell to 1,157 in FY2014. Last year’s number was a retreat from FY2013, when 1,468 new leases were issued.
Other indicators also show declining oil and natural gas opportunity in areas controlled by the federal government.
Posted January 15, 2015
As we look at the Obama administration’s plan to impose new regulations on methane emissions from oil and natural gas operations, some important points.
First, when it comes to methane emissions, the White House is focusing on a relatively small piece of the big picture. Data from EPA’s Greenhouse Gas Reporting Program shows that methane emissions from natural gas and petroleum systems (161.6 million metric tons of carbon dioxide equivalent) represent just 28.5 percent of total methane emissions (567.3 million metric tons CO2 equivalent). That’s a fairly small wedge in the overall pie.