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Energy Companies in Secretive Alliance With Attorneys General

Dec 7, 2014
(New York Times)

The letter to the Environmental Protection Agency from Attorney General Scott Pruitt of Oklahoma carried a blunt accusation: Federal regulators were grossly overestimating the amount of air pollution caused by energy companies drilling new natural gas wells in his state.

But Mr. Pruitt left out one critical point. The three-page letter was written by lawyers for Devon Energy, one of Oklahoma’s biggest oil and gas companies, and was delivered to him by Devon’s chief of lobbying.

"Outstanding!" William F. Whitsitt, who at the time directed government relations at the company, said in a note to Mr. Pruitt's office. The attorney general's staff had taken Devon’s draft, copied it onto state government stationery with only a few word changes, and sent it to Washington with the attorney general's signature. "The timing of the letter is great, given our meeting this Friday with both E.P.A. and the White House."

Canada Sticks to Its Line on the Tar Sands at Climate Talks

Dec 6, 2014
(Globe and Mail)

Environment Minister Leona Aglukkaq heads to the United Nations climate summit this weekend with no new targets and no commitment to action on Canada’s fastest growing source of greenhouse gases in the oil sands, but with a pledge to crack down on a little-known chemical that represents a tiny portion of this country’s emissions.

On Friday, the minister announced that Ottawa will enact new regulations to control hydrofluorocarbons, which are used in air conditioning and heating. The powerful short-term greenhouse gases account for only 1 per cent of Canada’s overall emissions. But she reiterated that Ottawa will not move to regulate emissions from the oil sands until the United States is ready to address its oil industry – a decision that, according to many analysts, makes it virtually impossible for Canada to hit its 2020 target.

Church of England Files Shareholder Resolutions at BP and Shell on Climate Change

Dec 5, 2014
(Reuters)

The Church of England said it was in the process of filing shareholder resolutions on climate change at BP Plc and Royal Dutch Shell Plc.

"The resolution is intended to challenge the companies to run their businesses so that they participate constructively in the transition to a low carbon economy," The Church of England wrote in a blog. (bit.ly/1tUBUlN)

The Church said it chose BP and Shell because they have the biggest carbon footprints of all the companies listed on the London Stock Exchange.

German Government Approves $98 Billion Climate Package

Dec 4, 2014
(Euractiv)

The German government passed far-reaching energy policy resolutions on Wednesday, signing off on the first Energiewende Progress Report, the National Action Plan for Energy Efficiency (NAPE) and the Action Programme on Climate Protection 2020.

At the presentation of the program, German Economic Affairs Minister Sigmar Gabriel said it is currently up to the government to integrate and connect energy and climate policy.

Much has already been achieved in the energy sector, Gabriel said: the amendment of the Renewable Energies Act (EEG) is taking hold, the debate over the electricity market has gained momentum and a plan for further steps has been tabled.

Bill McKibben Steps Down as Chair of Climate Advocacy Group 350.org

Dec 3, 2014
(Bloomberg)

Bill McKibben, a chief antagonist of the proposed Keystone XL pipeline, is stepping down as chairman of the environmental group 350.org that he helped create.

McKibben, an author and climate advocate, said the move will give him more time to write and to organize campaigns. He'll remain as a senior adviser to the New York-based group that pushes for action to combat climate change.

"If this sounds dramatic, it's not," McKibben wrote in a letter to supporters sent from Sweden, where he is receiving the Right Livelihood Award from Parliament. "I will stay on as an active member of the board, and 90 percent of my daily work will stay the same, since it's always involved the external work of campaigning, not the internal work of budgets and flow charts."

Germany's Largest Utility to Spin Off Fossil Fuel Assets and Focus on Renewables

Dec 1, 2014
(Guardian)

Germany's biggest utility firm, E.ON, has announced plans to split in two and spin off most of its power generation, energy trading and upstream businesses, responding to a crisis that has crippled the European energy sector.

E.ON said it wanted to focus on its renewable activities, regulated distribution networks and tailor-made energy efficiency services, citing "dramatically altered global energy markets, technical innovation, and more diverse customer expectations."

"E.ON's existing broad business model can no longer properly address these new challenges," the chief executive, Johannes Teyssen, said in a statement.

Germany's power sector has been in turmoil, hit by a prolonged period of weak demand, low wholesale prices and a surge in renewable energy sources which continue to replace gas-fired and coal-fired power plants.

E.ON said it would prepare next year for the listing of the new company created by its breakup, with the spin-off taking place after its 2016 annual general meeting.

The split will not be accompanied by job cuts, E.ON said, adding that about 40,000 employees would remain with the parent group, while the remaining 20,000 would join the new company.

E.ON did not provide an earnings breakup for the two future companies. E.ON’s generation, upstream and global commodities units, the last of which includes trading, accounted for about 35% of its €9.32bn (£7.4bn) in earnings before interest, tax, depreciation and amortisation in 2013. Renewables and regulated businesses alone accounted for 54%.

E.ON will hold a news conference on Monday about its plans, which will include investing more in wind and solar power.

EPA Unveils Contentious Plan to Tighten Ozone Standards

Nov 26, 2014
(The Hill)

The Obama administration unveiled an ambitious plan Wednesday that it said would improve public health by slashing the ozone pollution that causes smog.

Environmental Protection Agency (EPA) Administrator Gina McCarthy framed the update to the ground-level ozone standard as an imperative, bringing agency rules in line with the latest science to protect the nation's most vulnerable populations from a range of respiratory illnesses including asthma.

"Bringing ozone pollution standards in line with the latest science will clean up our air, improve access to crucial air quality information, and protect those most at-risk," McCarthy said in a statement Wednesday morning.

EPA to Unveil Tighter Restrictions on Ozone Pollution

Nov 26, 2014
(The Washington Post)

The Obama administration is expected to propose restrictions on smog-causing ozone on Wednesday in a move that will address a major cause of respiratory illness for millions of Americans while also setting the stage for new clashes with the Republican-controlled Congress.

The Environmental Protection Agency's long-awaited proposal will reportedly call for toughening restrictions on the pollutant, which forms when chemicals in factory smoke and automobile exhaust react to sunlight. Ground-level ozone has been linked to numerous premature deaths annually as well as to the "code red" respiratory warnings common to Washington and other urban areas during the summer months.

China Plans to Start National Carbon Market in Next Two Years

Nov 25, 2014
(Bloomberg)

China, the world’s largest greenhouse gas emitter, plans to start a nationwide carbon market in the next two years following a pledge to cap emissions by 2030.

Opening in 2016, the market would have matured by 2020, Su Wei, an official at the climate change department under the National Development and Reform Commission, said today at a press conference in Beijing. China, which is working on an absolute control plan for carbon emissions, may announce rules for carbon-permit trading as early as the end of the year, Su said.

U.S. Treaty Envoy: Climate Deal Must Leave 'a Lot' of Fossil Fuels in the Ground

Nov 25, 2014
(Guardian)

The world’s fossil fuels will "obviously" have to stay in the ground in order to solve global warming, Barack Obama’s climate change envoy said on Monday.

In the clearest sign to date the administration sees no long-range future for fossil fuel, the state department climate change envoy, Todd Stern, said the world would have no choice but to forgo developing reserves of oil, coal and gas.

The assertion, a week ahead of United Nations climate negotiations in Lima, will be seen as a further indication of Obama’s commitment to climate action, following an historic US-Chinese deal to curb emissions earlier this month.

A global deal to fight climate change would necessarily require countries to abandon known reserves of oil, coal and gas, Stern told a forum at the Center for American Progress in Washington.

"It is going to have to be a solution that leaves a lot of fossil fuel assets in the ground," he said. "We are not going to get rid of fossil fuel overnight but we are not going to solve climate change on the basis of all the fossil fuels that are in the ground are going to have to come out. That’s pretty obvious."

Last week's historic climate deal between the US and China, and a successful outcome to climate negotiations in Paris next year, would make it increasingly clear to world and business leaders that there would eventually be an expiry date on oil and coal.

"Companies and investors all over are going to be starting at some point to be factoring in what the future is longer range for fossil fuel," Stern said.

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