Preview Newsletter
ACC AM 1/11/18
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(ACC Mentioned) Scoop Up These 4 Chemical Stocks for Stellar Returns
Jan 11, 2018 | Zacks (In Nasdaq)
The U.S. Chemical is witnessing continued investments, strengthening export markets and robust demand across key-end markets like electronics, automotive and construction. These factors have helped the industry outpace the broader market over the past year despite many headwinds including sluggishness in China, weak demand in agriculture and damaging effects of the hurricanes. -
(ACC Mentioned) EPA Science Advisers Defend Industry Ties, Despite Democrat Doubts
Jan 11, 2018 | BNA Daily Environment Report
By Sylvia Carignan
Two of EPA Administrator Scott Pruitt's newest science advisers are defending their industry ties, as Senate Democrats question their ability to serve the agency. -
Agency Launches Webpage Touting Deregulation
Jan 10, 2018 | E&E News PM
By Maxine Joselow
U.S. EPA today launched a new webpage outlining its progress in pursuing the Trump administration's deregulatory agenda. -
EPA Watchdog Expands Probe Into Pruitt's Travel
Jan 11, 2018 | BNA Daily Environment Report
By Jennifer A. Dlouhy
The Environmental Protection Agency's internal watchdog has expanded its audit of Administrator Scott Pruitt's travel to include trips he took through Dec. 31, 2017, according to a notice posted online Jan. 10. -
(ACC Blog) New Website Provides Information On The Benefits And Safety Of Fluorinated Chemistries
Jan 10, 2018 | American Chemistry Matters
By Jessica Bowman
The FluoroCouncil launched a new website this week that showcases information on the benefits and safety of fluorinated chemistries. -
PFASs Seen As biggest Emerging Chemical Issue For US States
Jan 11, 2018 | Chemical Watch
By Julie A Miller
State policy experts predict that 2018 will see continued action by US state legislatures on regulating chemicals. They say this year will see a continued focus on flame retardants and disclosure mandates. -
Wolverine World Wide Sued By Michigan Over Chemical Cleanup
Jan 11, 2018 | BNA Daily Environment Report
By Alex Ebert
Footwear and leather giant Wolverine World Wide, Inc. is being sued to pay for continued cleanup of its defunct factory site that's allegedly releasing chemicals into groundwater and a river near Grand Rapids, Mich. -
Michigan Sues Company Over Chemical Contaminants in Water
Jan 11, 2018 | AP (In The New York Times)
By David Eggert
Michigan environmental regulators on Wednesday sued footwear company Wolverine World Wild over widely used industrial chemical contaminants that were dumped into the ground decades ago and have seeped into drinking water, saying the lawsuit is necessary to lock into place response efforts and to reimburse the government for past and future costs. -
GHS Committee Hears Non-Animal Testing Methods Proposals
Jan 11, 2018 | Chemical Watch
The UN Sub-Committee of Experts on the Globally Harmonized System (GHS) of classification and labelling of chemicals has received a report on the use of non-animal testing methods for classification of health hazards. -
ECHA Biocides Committee Backs First Two Union Authorisation Applications
Jan 11, 2018 | Chemical Watch
Echa's Biocidal Products Committee (BPC) adopted its first set of opinions supporting applications for EU-wide authorisation, at its December meeting. -
API Chief Says NAFTA Key for Creating U.S. Energy Company Opportunities in Mexico, Canada
Jan 10, 2018 | Natural Gas Intelligence
By Richard Nemec
The head of the American Petroleum Institute (API) on Tuesday diverged from the White House on the North American Free Trade Agreement (NAFTA), arguing that if its benefits cannot be salvaged by modernizing the accord it should be left in place as it is. -
U.S. Became a Net Gas Exporter for the First Time in 60 Years
Jan 11, 2018 | Bloomberg Markets
By Naureen S Malik
America’s trade imbalance just got a wee bit smaller. The U.S. has now become a net exporter of natural gas on an annual basis for the first time since at least 1957. -
It's a Record Year for Natural Gas. Yay?
Jan 10, 2018 | Bloomberg Gadfy
By Liam Denning
The Energy Information Administration's latest short-term outlook, published on Tuesday, had an eye-catching prediction: U.S. oil output in 2018 would hit its highest level ever. -
Pittsburgh Presbytery Opposes Beaver County Cracker Plant
Jan 11, 2018 | Pittsburgh Post-Gazette
By Peter Smith
An umbrella group for 140 Presbyterian churches in Allegheny County is calling for a halt to the construction of a sprawling petrochemical plant in neighboring Beaver County, saying it would worsen already high levels of pollution and cancer risk in Southwestern Pennsylvania. -
Zinke's Fla. Exemption Stirs Up States' Rights Debate
Jan 11, 2018 | E&E Daily
By Kellie Lunney, Geof Koss and George Cahlink
... It didn't take long for Democrats and Republicans from shore to shore and in between to react to Zinke's decision to remove Florida "from consideration for any new oil and gas platforms," particularly given the strong local opposition to offshore drilling in states along the Atlantic seaboard and the Pacific coast. -
Trump's $1 Trillion Infrastructure Plan Said to Be Coming Soon
Jan 11, 2018 | BNA Daily Environment Report
By David Schultz
The White House is planning to issue its hotly anticipated $1 trillion infrastructure plan within weeks, according to a top Republican senator. -
The Short Line Freight Railroad Tax Credit Is Good Public Policy
Jan 10, 2018 | The Hill - Congress Blog
By Linda Bauer Darr
Short line and regional freight railroads are an American success story connecting the rural and industrial heartland to the national rail network, creating jobs and sustaining communities. -
Trump: US Could ‘Conceivably’ Stay In Paris Climate Pact
Jan 10, 2018 | The Hill - E2 Wire
By Timothy Cama
President Trump said Wednesday that he might reverse his decision to pull the United States out of the Paris agreement on climate change. -
Trump Renews Plans To Exit 'Unfair' Paris Deal
Jan 10, 2018 | PoliticoPro
By Emily Holden
President Donald Trump doubled down today on his promise to leave the worldwide Paris climate agreement unless the terms change for the U.S. -
Exxon, BP, Chevron Should Pay for Climate Costs, N.Y. Says
Jan 11, 2018 | BNA Daily Environment Report
By Bob Van Voris
New York joined other municipalities hoping to use the law to hold oil and gas producers responsible for costs related to the environmental effects of their products. -
Practitioner Insights: Building a Low Carbon Future
Jan 11, 2018 | BNA Daily Environment Report
By Clay Nesler
According to the International Energy Agency, 55 percent of the carbon emissions reductions required to achieve a 450 parts per million scenario and limit climate change by 2035 will have to come from energy efficiency. Many of these reductions will have to come from buildings, which currently account for more than one-third of energy-related carbon dioxide emissions globally. -
EPA Readies Details On CPP Repeal 'Listening Sessions'
Jan 11, 2018 | Inside EPA
EPA in a new court filing is pledging to soon release details for three upcoming “listening sessions” on its proposal to rescind the Obama-Era Clean Power Plan (CPP) utility greenhouse gas rule, saying that and other regulatory efforts justify an appellate court continuing to hold litigation over the rule in abeyance. -
GOP Senators Urge EPA To Scrap 'Once-In, Always-In' Air Policy
Jan 10, 2018 | Inside EPA
Top GOP senators are pressing EPA to end its “once-in, always-in” policy that requires industrial sources of pollution covered by air toxics rules to comply with those rules even after they no longer pollute at threshold levels that trigger regulation.
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(ACC Mentioned) Scoop Up These 4 Chemical Stocks for Stellar Returns
Jan 11, 2018 | Zacks (In Nasdaq)
The U.S. Chemical is witnessing continued investments, strengthening export markets and robust demand across key-end markets like electronics, automotive and construction. These factors have helped the industry outpace the broader market over the past year despite many headwinds including sluggishness in China, weak demand in agriculture and damaging effects of the hurricanes.
The Zacks Chemicals Diversified industry has outperformed the broader market over a year. The industry has gained around 30.7% over this period, topping S&P 500's corresponding return of roughly 21.5%.
Investments Continues to Drive GrowthThe American Chemistry Council (ACC), an industry trade group, envisions national chemical production (excluding pharmaceuticals) to rise 3.7% in 2018 and 3.9% in 2019. Higher demand across light vehicles and housing markets, capital investments and improved export markets are like to drive growth.
According to the ACC, the United States remains a valuable destination for chemical investment and domestic chemical makers continue to enjoy the advantage of access to abundant and cheaper feedstocks and energy. This is driving investment in chemical production projects.
The trade group noted that roughly 320 chemical projects have been announced worth more than $185 billion, 62% of which is foreign direct investment. Moreover, roughly 65% of the chemical investment announced since 2010 are complete or under construction. New capacity is expected to provide a boost to chemical production as these investments come on stream.
The trade group expects capital spending in the chemical industry to rise 6.3% in 2018 and 6.8% in 2019 and eventually reach $48 billion by 2022.Strong Export Markets Bode Well
The ACC expects improving export markets to contribute to solid growth of the domestic chemical industry. Strengthening export markets and increasing capital spending are driving chemical demand across key end-use markets such as light vehicles and housing. Housing activity is expected rise to 1.29 million in 2018 from 1.2 million in 2017.
Total chemical exports went up 4.9% to $127 billion in 2017 while imports rose 2.8% to $96 billion, the trade group noted.
The trade group also expects basic chemicals production to increase 4.7% in 2018 and 5.2% in 2019 on the back of new capacity additions. Major export markets such as Latin America and Asia are expected to play a significant role in production growth.
Robust Demand Across Key-End Markets
Chemical makers continue to see strong demand from construction and automotive sectors - major chemical end-use markets. A recovery across housing and commercial construction markets has been a tailwind for the chemical industry. The underlying trends in the housing space remain healthy, backed by steady buyer demand, low mortgage rates, high homebuilders' confidence, low unemployment levels and rising rent costs.
The automotive sector also continues its bullish run amid certain challenges, supported by an improving job market, rising personal income, improved consumer confidence, low fuel prices, impressive vehicle launches and attractive financing options.
Last year, gains in specialty chemicals were led by improvements in adhesives, oilfield and mining chemicals and electronic chemicals. Production in the segment is expected to grow 2.3% in 2018.
Another positive for the industry is a recovery in demand in the energy space - a key chemical end-market that had been out of favor for a while. The recovery has been driven by the rebound in crude oil prices . The recent uptrend in oil prices has been supported by a decline in U.S. oil stockpiles and extension of oil production cuts by OPEC and other major world producers until the end of 2018. Improving fundamentals in the energy space is expected to support chemical demand next year.4 Chemical Stocks to Scoop Up
The U.S. chemical industry's upturn is expected to continue this year on the back of continued demand strength across major end-markets and significant capital investment. Amid such a backdrop, it would be a prudent idea to invest in chemical stocks with compelling growth prospects if you are looking to reap solid returns from your portfolio in 2018.
Our research shows that stocks with a VGM Score of A or B when combined with a Zacks Rank #1 (Strong Buy) or #2 (Buy), offer the best upside potential. You can see the complete list of today's Zacks #1 Rank stocks here . Further, we have refined our search by considering stocks that have outscored the industry on the basis of price appreciation over the year and also have promising long-term earnings growth expectations.
Kronos Worldwide, Inc. KRO , headquartered in Dallas, TX, currently sports a Zacks Rank #1 and a VGM Score of B. It has delivered average positive earnings surprise of 58.8% over the trailing four quarters. The stock has surged a whopping 105.5% over a year and also has a long-term expected earnings per share (EPS) growth rate of 5%.
Huntsman Corp. HUN , headquartered in The Woodlands, TX, carries a Zacks Rank #2 and a VGM Score of A. It has delivered average positive earnings surprise of 5.5% over the trailing four quarters. The stock has soared 72.6% over a year and also has a long-term expected EPS growth rate of 8%.
Methanex Corp. MEOH , the largest producer and supplier of methanol, carries a Zacks Rank #2 and a VGM Score of A. It has delivered average positive earnings surprise of 50.1% over the trailing four quarters. The stock has soared 61.3% over a year and also has a long-term expected EPS growth rate of 15%.
LyondellBasell Industries N.V. LYB , one of the largest chemicals, plastics and refining companies across the globe, carries a Zacks Rank #2 and a VGM Score of A. It has delivered average positive earnings surprise of 0.9% over the trailing four quarters. The stock has gained 32.5% over a year and also has a long-term expected EPS growth rate of 9%.
Looking for Stocks with Skyrocketing Upside?
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Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.http://www.nasdaq.com/article/scoop-up-these-4-chemical-stocks-for-stellar-returns-cm903461
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(ACC Mentioned) EPA Science Advisers Defend Industry Ties, Despite Democrat Doubts
Jan 11, 2018 | BNA Daily Environment Report
By Sylvia Carignan
Two of EPA Administrator Scott Pruitt's newest science advisers are defending their industry ties, as Senate Democrats question their ability to serve the agency.
Democrats on the Senate Environment and Public Works Committee are examining concerns raised about Tony Cox Jr. and S. Stanley Young, two new appointees on the Environmental Protection Agency's Science Advisory Board. Environmental groups and academics claimed the two have conflicts of interest and aren't qualified to serve, but board members said their past work contributes to their expertise.
Young told Bloomberg Environment that his work with companies, including pharmaceutical giants GlaxoSmithKline and Eli Lilly, is a strength.
“I've worked in industry, and a large part of my job was to ensure that the scientists were doing things in an appropriate way,” Young said Jan. 9.
Cox told Bloomberg Environment in a Jan. 9 email that his research for the petroleum industry “is only one of many strands of research and teaching I have undertaken for public sector and private sector organizations to improve the practice of risk analysis and decision-making in the public interest.”
The EPA Science Advisory Board is tasked with reviewing the quality of the scientific and technical information the agency uses to support regulations. The board also advises the agency and its leadership in scientific matters related to hydraulic fracturing, drinking water, and cleanup methods.
Christopher Zarba, director of the EPA office that coordinates the Science Advisory Board and Clean Air Scientific Advisory Committee, recently announced he is retiring Feb. 2, according to agency spokeswoman Liz Bowman.
Public Input
When Pruitt sought candidates to serve on the Science Advisory Board, the EPA took comments from the public but didn't post the comments for the public to review.
The Senate Environment and Public Works Committee's ranking member, Sen. Tom Carper (D-Del.) requested more information about the agency's advisory boards and received a redacted EPA document in December summarizing public comments about advisory board candidates. Some comments raised concerns about conflicts of interest for two members—Young and Cox.
Carper sent another letter to Pruitt Jan. 9, asking the agency to provide all documents related to potential conflicts of interest for all of the EPA's newly appointed scientific advisers, with a deadline of Jan. 30.
“Young is clearly aligned with special interests hostile to environmental regulation,” Abel Russ, an attorney for the Environmental Integrity Project, wrote to the EPA in comments obtained by Bloomberg Environment.
The environmental group was concerned that Cox's “extensive experience” working for private industries, through the American Petroleum Institute, the American Chemistry Council, the National Pork Board, and others, would affect his views on pollution control.
Candidates including Cox “fail the test of impartiality and should be passed over,” Russ wrote.
Reviewing Credentials
Young is chief executive officer of a consulting company, CGStat, based in Raleigh, N.C. He also serves as adviser to the Heartland Institute and American Council on Science and Health.
Cox is president at an applied research company, Cox Associates, in Denver, Colo. He has advised private-sector associations as well as the World Health Organization, Health Canada, and the Food and Drug Administration.
Cox said he's glad members of Congress, such as Carper, are taking a closer look at board members’ past work and qualifications.
“I applaud members of Congress and others who are working to make sure that EPA will benefit from excellent and objective scientific advice,” he said.
Young said he would be happy to take more questions from the EPA or Congress about his experience.
“I know my credentials, they're essentially excellent,” Young said.
Barring Grant Recipients
Environmental groups, Senate Democrats, and the Government Accountability Office have been taking a closer look at the the EPA's advisory board members as a result of an Oct. 31 directivefrom Pruitt that agency grant recipients from serving on EPA advisory boards. Pruitt determined that a researcher who receives those grants wouldn't be independent of the agency and therefore would be unfit to advise it.
Seven members of the Science Advisory Board were grant recipients at the time Pruitt announced the directive, and six left the board. Pruitt replaced them with new members, including Young and Cox.
The EPA is not providing details about its response to the Democrat's letter.
“We will respond to Congress through the proper channel,” Jahan Wilcox, an EPA spokesman, told Bloomberg Environment.
A spokesman for the Senate environment committee's majority, Mike Danylak, declined to respond to the Jan. 9 letter.
http://news.bna.com/deln/DELNWB/split_display.adp?fedfid=126673343&vname=dennotallissues&fn=126673343&jd=126673343
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Agency Launches Webpage Touting Deregulation
Jan 10, 2018 | E&E News PM
By Maxine Joselow
U.S. EPA today launched a new webpage outlining its progress in pursuing the Trump administration's deregulatory agenda.
The page lists 20 deregulatory actions completed since President Trump's election, as well as 47 deregulatory actions "under development."
The highest-profile regulatory rollbacks in the works include the overhaul of the 2015 Clean Water Rule and the repeal of the Clean Power Plan.
The agency shared the link to the page on Twitter this afternoon, tweeting, "EPA just launched a new website of actions EPA is taking to provide regulatory certainty."
An EPA spokesperson said in an email, "The site was launched to provide the public with information about rules that are being repealed or modified to ensure transparency and provide regulatory certainty."
The page highlights Trump's February executive order on regulations, which directed agencies to repeal two regulations for each new one issued.
The order also instructed agencies that the "total incremental costs of all regulations should be no greater than zero" for fiscal 2017. The Office of Information and Regulatory Affairs issued a memo last year establishing agencies' regulatory cost allowances for fiscal 2018.
While EPA listed 20 deregulatory actions to date, the Sabin Center for Climate Change Law at Columbia University lists 27 deregulatory actions in its "Climate Deregulation Tracker."
The difference could stem from the fact that EPA only included regulatory actions, while the center included congressional actions, said Michael Gerrard, the center's director.
For instance, the center included a bill to delay implementation of the 2015 ozone standards.
"This list is a parade of horribles," Gerrard said. "It's a long list of rescinding vitally important protections for health, safety and the environment."
https://www.eenews.net/eenewspm/2018/01/10/stories/1060070669
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EPA Watchdog Expands Probe Into Pruitt's Travel
Jan 11, 2018 | BNA Daily Environment Report
By Jennifer A. Dlouhy
The Environmental Protection Agency's internal watchdog has expanded its audit of Administrator Scott Pruitt's travel to include trips he took through Dec. 31, 2017, according to a notice posted online Jan. 10.
The expansion, which is the second so far, will allow scrutiny of a trip Pruitt took in December to Morocco, where he promoted U.S. natural gas and discussed other areas of possible cooperation with leaders of the country. However, the Energy Department, rather than the EPA, plays a role overseeing natural gas exports.
The EPA's Office of Inspector General is examining the frequency, cost and extent of Pruitt's travel, as well as whether applicable agency policies and procedures were followed and whether they were sufficiently designed to prevent fraud and waste.
The internal EPA watchdog launched its investigation last year, after questions were raised about frequent trips Pruitt took to his home state of Oklahoma at taxpayer expense.
http://news.bna.com/deln/DELNWB/split_display.adp?fedfid=126673353&vname=dennotallissues&fn=126673353&jd=126673353
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(ACC Blog) New Website Provides Information On The Benefits And Safety Of Fluorinated Chemistries
Jan 10, 2018 | American Chemistry Matters
By Jessica Bowman
The FluoroCouncil launched a new website this week that showcases information on the benefits and safety of fluorinated chemistries.
Fluorinated chemistries, or per- and polyfluoroalkyl substances (PFAS), are a diverse group of chemistries characterized by the strong bond between fluorine and carbon. Fluorinated chemistries provide products with the resilience and durability they require and such products can be used safely. These products include:
· Medical garments, curtains and electronic equipment, such as pacemakers
· Non-stick cookware
· Electronic devices, such as cell phones
· Electrical wire and cabling
· Durable first responder gear
· Greaseproof food packaging
· Stain resistant carpets
· Paints and coatings
· Certain firefighting foams
The list goes on and on. There has been a transition over the years from some of the older, fluorinated chemistries to today’s fluorinated chemistries that have significantly improved health and safety profiles. The website provides an overview of the different types of fluorinated chemicals and the work that the FluoroCouncil and its members have undertaken to help improve their products.
The website also includes facts that address many of the common misconceptions about these chemistries.
We hope you will take the time to explore the new website and learn more about how fluorinated chemistry plays a role in your everyday life!
https://blog.americanchemistry.com/2018/01/new-website-provides-information-on-the-benefits-and-safety-of-fluorinated-chemistries/
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PFASs Seen As biggest Emerging Chemical Issue For US States
Jan 11, 2018 | Chemical Watch
By Julie A Miller
State policy experts predict that 2018 will see continued action by US state legislatures on regulating chemicals. They say this year will see a continued focus on flame retardants and disclosure mandates. And there will be a close look at a controversial family of chemicals the federal government has effectively said it will not regulate.
This comes despite one of the main intentions behind 2016's TSCA reform being to pre-empt state laws and place chemical regulation firmly back in the national/federal policy arena.
"Well, I didn’t see that happening," said Doug Farquhar, programme director for environmental health at the National Conference of State Legislatures. "We saw a pretty active year in 2017 and 2018 is also likely to be an active year."
Mr Farquhar and Sarah Doll, national director for the NGO Safer States, both predict that the biggest emerging chemical regulation issue will be how to address perfluorooctanoic acid (PFOA), perfluorooctane sulfonate (PFOS) and related chemicals. Controversy over this family of surfactants has erupted in several states, where they are blamed for contamination of drinking water. This issue is probably one reason Michael Dourson withdrew his nomination to head the EPA’s chemical regulation branch. Two North Carolina senators opposed the nomination largely because he had worked for industry on a related chemical known as GenX.
This issue "has emerged in New Hampshire and New York and other places," Mr Farquhar said, and now "the EPA has come up with a report saying 'it's a problem but we’re not going to regulate it'. That puts pressure on states to look at it."
In December, the EPA announced "a cross-agency effort to address per and polyfluoroalkyl substances (PFASs)," including PFOA, PFOS and GenX, but the plan notably includes no regulatory action.
The EPA has published drinking water health advisories for PFOA and PFOS, but has not formally regulated them. The agency worked with industry to phase out their use under a stewardship programme that should have been completed by 2015. It proposed a significant new use rule (Snur) to codify the voluntary phase out and apply it to manufacturers who were not party to that agreement, but the Snur has not been finalised.
The challenge for states, Ms Doll said, is that "it's hard to get a handle on the thousands of chemicals in this class".
"States are going to have to figure out how to address this without going down the incredibly resource intensive path of looking at every one" of the chemicals individually, she said.Flame retardants
The area of chemical regulation that got the attention of the most states in 2017 was flame retardants, and more are expected to address the issue in 2018.
Rhode Island, Maine and San Francisco all passed measures in 2017 banning some or all flame retardants in furniture and other products. A dozen or more states introduced similar measures in 2017, and some of those bills remain viable.
And this happened despite a sweeping action by the Consumer Product Safety Commission (CPSC), which voted in September to ban the use of organohalogen flame retardants in furniture and several other household product categories.
"That will take years to implement, and states still want to put in place their own protections," Ms Doll said.Ingredient disclosure
Possibly the most significant state measure adopted in 2017 was California’s law requiring increased disclosure of ingredients on the labels of cleaning products. Many industry groups ended up supporting the measure after stakeholder negotiations produced a compromise addressing their concerns about protecting confidential business information.
"Now that California has adopted it and it works, they are going to start addressing it in other states," Mr Farquhar said.
Ms Doll foresees "continued momentum around disclosure in general, a big trend is going around getting more information to consumers".
She predicts states will consider disclosure measures aimed at personal care products and electronics as well as cleaning products.
https://chemicalwatch.com/62977/pfass-seen-as-biggest-emerging-chemical-issue-for-us-states
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Wolverine World Wide Sued By Michigan Over Chemical Cleanup
Jan 11, 2018 | BNA Daily Environment Report
By Alex Ebert
Footwear and leather giant Wolverine World Wide, Inc. is being sued to pay for continued cleanup of its defunct factory site that's allegedly releasing chemicals into groundwater and a river near Grand Rapids, Mich.
The Michigan Department of Environmental Quality filed a complaint Jan. 10 in U.S. District Court alleging that perfluorooctanoic acid (PFOA) and perfluorooctane sulfonate (PFOS) chemicals used to waterproof the company's footwear have spread into surface water, soil, and groundwater near the company's demolished Rockford plant site.
Michigan is asking the court to mandate a plan under the Resource Conservation and Recovery Act that would require the company to pay for continued environmental investigation, cleanup, and reimbursement for the state's past and future costs due to cleanup.
In response to the suit, Wolverine issued a statement saying the company will continue to cooperate with testing and cleanup. The Environmental Protection Agency also issued a unilateral administrative order Jan. 10 for further investigation and cleanup of other chemicals at the site, such as arsenic and lead. The EPA said those chemicals have entered groundwater and “constitute a threat to public health or welfare” to residents located near two of the companies properties.
The suit is the latest move in Michigan's increased focus on monitoring and reducing PFOAs and PFOS in drinking water. The Department of Environmental Quality said the suit was only to formalize cleanup because the company has been cooperative.
“We have filed this action today because we want to ensure that immediate and long-term solutions are confirmed by the courts,” Heidi Grether, the department's director, said in a statement. “This action will be helpful in providing a clearly defined path forward to implement permanent solutions for the community.”
http://news.bna.com/deln/DELNWB/split_display.adp?fedfid=126673351&vname=dennotallissues&fn=126673351&jd=126673351
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Michigan Sues Company Over Chemical Contaminants in Water
Jan 11, 2018 | AP (In The New York Times)
By David Eggert
LANSING, Mich. — Michigan environmental regulators on Wednesday sued footwear company Wolverine World Wild over widely used industrial chemical contaminants that were dumped into the ground decades ago and have seeped into drinking water, saying the lawsuit is necessary to lock into place response efforts and to reimburse the government for past and future costs.
The complaint , filed in federal court, seeks an order declaring that the Rockford, Michigan-based business' past disposal of hazardous waste poses or may pose an imminent and substantial endangerment to human health. Of nearly 1,200 private residential wells tested in an area north of Grand Rapids, 78 have levels of per- and polyfluoroalkyl substances, or PFAS, above the lifetime federal advisory level of 70 parts per trillion.
PFAS were commonplace in industrial applications, including Scotchgard, which Wolverine used in its operations. Scientists are uncertain about how they affect human health at exposure levels typically found in food and water, but some studies suggest the chemicals might affect fetal development, disrupt hormonal functions, damage fertility and immune systems, and boost the risk of cancer.
State officials said while Wolverine has been responsive, the suit is the next step in formalizing timelines and expectations for cleanup, sampling and other actions.
"The state of Michigan is committed to holding responsible parties responsible. We have filed this action today because we want to ensure that immediate and long-term solutions are confirmed by the courts," state Department of Environmental Quality Director Heidi Grether said in a statement.Continue reading the main story
Wolverine said it has voluntarily complied with requirements outlined by regulators. It also said it expects the U.S. Environmental Protection Agency to issue an order formalizing the continued investigation of two sites for non-PFAS compounds.
"This is our hometown and these are our friends, families and neighbors," Chris Hufnagel, the company's senior vice president and strategy head, said in a statement. "We are committed to doing the right thing and seeing this through to the end."
Wolverine has paid for the installation of more than 400 whole-house filtration systems for residences with any detection of perfluorooctanoic acid or perfluorooctanesulfonic acid.
The suit seeks an order for Wolverine to prepare and submit for approval to regulators all response plans and to continue ongoing public outreach. The complaint also asks that Wolverine continue sampling drinking water and studying potential chemical releases into the air, that it abate the contamination and that the company pay the state's past and future costs — including for enforcement and attorney fees.
https://www.nytimes.com/aponline/2018/01/10/us/ap-us-contaminated-water-michigan.html
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GHS Committee Hears Non-Animal Testing Methods Proposals
Jan 11, 2018 | Chemical Watch
The UN Sub-Committee of Experts on the Globally Harmonized System (GHS) of classification and labelling of chemicals has received a report on the use of non-animal testing methods for classification of health hazards.
The sub-committee's December meeting in Geneva heard proposals from an informal working group:
· to limit the level of detail on the criteria for in vitro methods, while including a detailed table in the guidance at the end of chapter 3.2 of the GHS purple book;
· to integrate more weight of evidence into the GHS, using Echa's tiered approach as a starting point; and
· that certain negative in vitro tests should be accepted for concluding "no classification" in jurisdictions not adopting category 3, and that additional information to discriminate between category 3 and "no classification" for jurisdictions adopting this category was necessary.
A longer version of the sub-committee's meeting is available on Chemical Risk Manager.
https://chemicalwatch.com/63010/ghs-committee-hears-non-animal-testing-methods-proposals
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ECHA Biocides Committee Backs First Two Union Authorisation Applications
Jan 11, 2018 | Chemical Watch
Echa's Biocidal Products Committee (BPC) adopted its first set of opinions supporting applications for EU-wide authorisation, at its December meeting.
They concerned two biocidal product families containing the substances iodine and PVP-iodine, for use in veterinary hygiene products (product-type three). With the committee's support, products in these families will now gain access to the market.
The two opinions were adopted by consensus. The BPC says it was "content with the adoption process".
The BPC also supported the approval of five active substance/product-type uses. They are:
· cyphenothrin for product-type 18. This is a synthetic pyrethroid insecticide which affects the nervous system of insects;
· penflufen for product-type 8, where it is used to control wood-rotting fungi in industrial pre-treatment products by industrial, professional or non-professional users;
· acetamiprid for product-type 18, a neonicotinoid insecticide used to control sucking insects;
· cholecalciferol for product-type 14, where it is used for the control of mice and rats in and around buildings; and
· formaldehyde for product-type 2, where it is used by professionals to disinfect private and public health areas by wiping, mopping, fogging and fumigation.
It voted against the approval of empenthrin, an insecticide (product-type 18) used in mothproofing strips to protect clothing and other textiles.
This was due to insufficient carcinogenicity data, Echa said. This meant the BPC could not properly assess if the substance meets the biocidal products Regulation’s (BPR’s) exclusion criteria.
For more detailed coverage of this meeting and other news on biocides go to CW+BiocidesHub.
https://chemicalwatch.com/63016/echa-biocides-committee-backs-first-two-union-authorisation-applications
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API Chief Says NAFTA Key for Creating U.S. Energy Company Opportunities in Mexico, Canada
Jan 10, 2018 | Natural Gas Intelligence
By Richard Nemec
The head of the American Petroleum Institute (API) on Tuesday diverged from the White House on the North American Free Trade Agreement (NAFTA), arguing that if its benefits cannot be salvaged by modernizing the accord it should be left in place as it is.
API CEO Jack Gerard said the petroleum industry association was "very focused" on NAFTA, and has engaged the Trump administration and Congress regarding negotiations, stressing that the 20-year-plus agreement benefits all U.S. business, not just the energy industry.
In his annual State of American Energy address, Gerard was generally bullish on the prospects for the U.S. oil and gas sector given the "courage and foresight" of President Trump's energy policies and the technology and innovation of member companies to produce energy while cutting greenhouse gas (GHG) emissions to a 25-year low point.
North America presents a valuable example, he said, of how global trade agreements are good for the energy sector and NAFTA is “critical" to that success, "making energy more affordable and creating opportunities for U.S. companies in Canada and Mexico."
"As the Trump administration continues negotiations with Canada and Mexico, we urge them to seek modernization in ways that maintain these benefits."
Representatives from the energy, business, manufacturing and academic sectors also told a House subcommittee last month to "modernize" but not blow up NAFTA, arguing that it is essential to the nation's energy growth. While most of the subcommittee members from both political parties were in agreement with the witnesses, lawmakers raised concerns about the loss of U.S.-based jobs and the need for strong protections for American companies making investments in Canada and Mexico.
Gerard urged an approach with NAFTA that would strengthen U.S. relationships with its neighbors and avoid adding uncertainty between the three nations. "So for the time being, our view is that if we can't modernize and strengthen it, we ought to leave the existing agreement in place."
At the North American Energy Ministerial in Houston in November, U.S. Energy Secretary Rick Perry said he expected Mexico and Canada would join the United States in drafting a revamped NAFTA to incorporate cooperation for the continent’s burgeoning natural gas and oil trade.
Stressing that the industry is promoting "environmentally responsible domestic energy production" in the onshore and offshore, Gerard said. He lauded the Trump administration's new five-year plan for offshore development and praised the recently enacted tax reformlegislation, which he said would help the energy industry.
Gerard also encouraged the administration and Congress to push forward with an infrastructure initiative that includes energy. He said API estimates that there is more than $1 trillion of U.S. infrastructure development potential to 2035, and more than one million jobs annually that could be created during the same period.
The draft offshore development plan, he said, would lift unnecessary restrictions and opens up about 90% of Outer Continental Shelf areas to energy resources. However, many coastal states are opposed, and it will take at least a year before a final plan is approved.
"It's not complicated; it's relatively straightforward," Gerard said of the offshore draft. "I thank this administration for having the courage and foresight to ask, 'Why would we restrict our U.S. capability and our natural resources?'”
Many areas of the Gulf of Mexico, for example, "haven't been looked at with our modern technology." The nation shouldn't "continue to deny that opportunity."
http://www.naturalgasintel.com/articles/113011-api-chief-says-nafta-key-for-creating-us-energy-company-opportunities-in-mexico-canada
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U.S. Became a Net Gas Exporter for the First Time in 60 Years
Jan 11, 2018 | Bloomberg Markets
By Naureen S Malik
Pipelines to Mexico, Cheniere’s LNG shipments do the trick
2.2 billion cubic-feet-per-day flip seen between 2016 and 2017
America’s trade imbalance just got a wee bit smaller. The U.S. has now become a net exporter of natural gas on an annual basis for the first time since at least 1957.
Net exports averaged about 0.4 billion cubic feet per day last year, flipping from net inflows of 1.8 billion in 2016, according to Victoria Zaretskaya, a Washington-based analyst for the U.S. Energy Information Administration. The numbers will be officially released by the agency in a report Thursday, she said.
A “significant projected increase” in natural gas sent by pipeline to Mexico and a growing number of liquefied natural gas shipments to the rest of the world should guarantee the trend moving forward, Zaretskaya said by email on Wednesday.
Now the U.S. has a single LNG export facility operating, Cheniere Energy Inc.’s Sabine Pass terminal in Louisiana. Two others are slated to start this year.
“Never before has the global LNG market had such significant flexible LNG volumes as the volumes coming online in the next three years, mostly from the U.S., which will lead to a fundamental shift in how LNG is marketed and traded globally,” Zaretskaya said.
https://www.bloomberg.com/news/articles/2018-01-11/china-s-richest-woman-trails-only-jeff-bezos-in-growing-fortune
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It's a Record Year for Natural Gas. Yay?
Jan 10, 2018 | Bloomberg Gadfy
By Liam Denning
The Energy Information Administration's latest short-term outlook, published on Tuesday, had an eye-catching prediction: U.S. oil output in 2018 would hit its highest level ever.
But this column isn't about that.
Instead, let's look at another record being broken: U.S. natural gas production.Blowing UpAmerica's gas production is forecast to set new records this year and next
That 68 percent increase since 2005 is pretty remarkable on its own. What isn't clear from that chart is just how big a year 2018 is expected to be. Here's the same data, but showing the change each year:Leap YearThis year isn't just expected to see the highest U.S. natural gas output ever, but also the biggest jump in production by far
That extra 6.9 billion cubic feet of gas production expected in 2018 is like the U.S. adding the entire output of Turkmenistan -- one of the world's largest gas exporters -- in the space of just one year.
Two big reasons for this are logistics and oil. Pipelines able to carry roughly 7 billion cubic feet of gas a day away from the prolific Appalachian region are due to start up this year, allowing production that's been bottled up in the East to flood out. Meanwhile, rising oil production in the Permian shale basin and elsewhere will bring increased quantities of associated gas.
I wrote last week about how gas prices were strangely subdueddespite the bitter cold gripping large parts of the U.S. These projections are a big reason. It is notable that the EIA's numbers incorporate estimates for lower gas prices this year and next compared to 2017. The cost structure of U.S. gas production has changed fundamentally.
The structure of supply and demand has also changed fundamentally, and in tandem. In the first decade of this century, the U.S. was short of about 9 billion cubic feet a day of gas, on average, relative to its consumption. Imports made up the difference. The latest projection from the EIA shows that this has almost entirely flipped:The Upside DownThe structure of the U.S. gas market is set to flip on its head in 2018
Growing exports of gas, via pipelines to Mexico and, increasingly, shipped as a liquid on tankers, are the one bright spot in the market today. Just as new pipelines spreading out from the eastern U.S. will allow Appalachian producers to tap into higher prices, so foreign markets will provide a relatively small, but vital and growing, outlet for the country's excess supply overall. Similarly, U.S. oil producers got some relief when restrictions on crude exports were lifted in late 2015.
It won't be enough to lift the market any time soon, and producers in regions prone to bottlenecks -- such as in the Permian basin and in Alberta -- could be in for some severe discounts. On the other hand, that's good news for anyone in the somewhat battered business of building and operating pipelines to ease those bottlenecks and move all those molecules, such as The Williams Cos. Inc. or Targa Resources Corp.
For now, the export valve operates as more of a floor than an elevator when it comes to gas. In theory, linking higher global gas prices more directly to the U.S. market should lift domestic prices eventually. Equally, though, bear in mind that once you get above $5.50 per million BTU for U.S. gas, margins on cargoes shipped to almost anywhere but competitive Asian markets start to look pretty thin.
Of course, many U.S. gas producers would pledge their soul to get $5.50 for their gas these days. The problem is, with the number of rigs drilling for gas now less than half where it was five years ago -- and roughly a tenth where it was a decade ago -- those same producers would crank up drilling long before that happened.More With LessThe number of rigs focused on drilling for gas has collapsed alongside prices as supply of the fuel has soared
https://www.bloomberg.com/gadfly/articles/2018-01-10/eia-forecasts-record-natural-gas-production-in-2018-yay
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Pittsburgh Presbytery Opposes Beaver County Cracker Plant
Jan 11, 2018 | Pittsburgh Post-Gazette
By Peter Smith
An umbrella group for 140 Presbyterian churches in Allegheny County is calling for a halt to the construction of a sprawling petrochemical plant in neighboring Beaver County, saying it would worsen already high levels of pollution and cancer risk in Southwestern Pennsylvania.
“We are part of a faith tradition that has affirmed our responsibility to care for the earth as our home and care for all people, especially our most vulnerable populations,” says a letter signed by officials of the Pittsburgh Presbytery, representing more than 28,000 members of the Presbyterian Church (U.S.A.) in Allegheny County.
“This plant, and subsequent plants that are planned for the Ohio Valley, will be mass producing plastic products that have been linked to the death of animals and the diminishment of fragile natural habitats,” said the letter, approved by presbytery representatives at their December meeting.
At the same meeting, the presbytery also endorsed a proposal that its national denomination pull all of its investments from fossil fuels in response to the “devastating and urgent reality of climate change.” And it’s urging churches to explore using solar or other renewables to power their churches.
The actions come from a presbytery in the hub of one of the nation’s richest sources of natural gas, and in a region where many Presbyterian churches were historically built on the money that donors and members earned through coal, oil or gas.
Shell Chemical Appalachia has already begun constructing a multi-billion dollar cracker plant in Potter Township, just northwest of Allegheny County. The plant will take ethane, a natural gas liquid plentiful in the Appalachian region, and transform it into pellets for plastic manufacturing.
The plant is expected to create up to 6,000 construction jobs and 600 permanent jobs.
But the presbytery says the plant will massively increase the emissions of carbon dioxide and volatile organic compounds while also expanding the demand for a regional infrastructure of fracking wells and pipelines.
“We can't ignore environmental issues any longer, especially in our region, where air quality is one of the worst in the nation and we have a fossil-fuel industry looking to take advantage of the poverty of our area and the need for jobs,” said the Rev. John Creasy, associate pastor of the Open Door Church in Highland Park and a member of the presbytery’s peacemaking committee, which proposed the measure.
“We’re trying to do this sensitively and help our region develop a vision for clean-energy jobs, and jobs that will last into the future,” he said.
Shell spokesman Michael Marr said: “We are disappointed this group of church representatives registered opposition without first meeting with Shell to understand the environmental controls we have put in place during design, construction and operations.”
He noted that the plant has received approval from the state Department of Environmental Protection, and will have “the best available environmental controls.”
He added that “we have been heartened by the tremendous support our site has received from community members, business leaders and federal, state and local elected officials of both political parties.”
The Rev. Sheldon Sorge, general minister for the presbytery, said presbytery representatives approved the measure decisively in a standing vote at their meeting. Presbytery representatives include ordained ministers and elders from the congregations.
Opponents of the measure included the Rev. Ted Martin, senior pastor of Hampton Presbyterian Church.
“We use plastic in our lives every day,” he said. “Whether it’s made here or made in China, it’s going to be made.”
He said individuals should try to reduce their use of plastics and pressure companies to produce more environmentally sustainable products and energy sources.
But “the fracking is happening” throughout the region, he said. The natural-gas byproducts will either be shipped elsewhere for processing or could remain here and provide “jobs that could have a ripple effect on the economy.”
He said he’s confident in the strength of environmental regulations governing the plant.
The topic of the cracker plant has not arisen in deliberations of the Beaver-Butler Presbytery, where it will be located, according to the Rev. Alan Adams, its executive presbyter.
When a related issue arose several years ago — whether churches should sign leases for natural-gas extraction from under their property — the presbytery created a manual and required congregational leaders to study it before signing anything, he said.
“In our presbytery there’s a lot of diversity of opinion in regard to that,” he said.
Fossil fuel investments
Separately in December, the Pittsburgh Presbytery joined a dozen other presbyteries in endorsing a proposal from the Hudson River Presbytery in New York. It would require the national denomination’s foundation and pension fund to pull investments from the fossil fuel industry and to invest instead in renewable energy.
The measure will go before the Presbyterians’ national General Assembly in June. Proponents compare it to the denomination’s past divestment from companies involved in tobacco, alcohol, gambling and military contracting.
The measure is not a call to “quit using fossil-fuel products,” Rev. Sorge said. “We couldn't well do that and live in this world.”
Also, he said, “We don’t mean to impugn the companies that are involved in fossil-fuel production.” But “it’s an instrument for getting us to take seriously the need to look for alternative, renewable energy resources.”
Reached for comment on the proposal, Erica Clayton Wright of the Marcellus Shale Coalition said in a statement: “Natural gas is improving our environment, providing economic and public health benefits as well as jobs across our region and keeping families safe and warm during these dangerously cold periods. We’re proud of the hard work that our local workforce does each day to safely provide the affordable energy that’s improving and lifting up countless lives.”
According to the environmental group 350.org, more than 800 educational, philanthropic and other institutions worldwide have divested from fossil fuels, including liberal religious denominations such as the Episcopal Church and United Church of Christ.
The Presbyterians’ General Assembly in 2016 directed its office for faith-based investing and corporate engagement to raise issues of climate change with companies in which it holds stock, according to office director Rob Fohr.
Since then, the denomination has joined in shareholder resolutions that, for example, contributed to ExxonMobil urging (unsuccessfully) that President Trump keep the United States in the Paris climate accord; Phillips 66 issuing a human-rights report; and Marathon and Valero agreeing to issue sustainability reports.
The Presbyterians’ Board of Pensions hold $145 million in stock in companies listed on an index of top carbon producers, less than 2 percent of the board’s portfolio, while the Presbyterian Foundation holds $21 million, or about 3 percent of portfolio, Mr. Fohr said.
These amount to a fraction of the market capitalization of energy corporations, many in the tens or hundreds of billions of dollars, so divestment would have more of a symbolic than a financial impact.
http://www.post-gazette.com/local/region/2018/01/10/Pittsburgh-presbytery-shell-cracker-plant-beaver-county-department-environmental-protection-fracking/stories/201801050077
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Zinke's Fla. Exemption Stirs Up States' Rights Debate
Jan 11, 2018 | E&E Daily
By Kellie Lunney, Geof Koss and George Cahlink
It was the tweet heard 'round the Capitol — only this time it wasn't from President Trump.
"Read my full statement on taking #Florida off the table for offshore oil and gas," Interior Secretary Ryan Zinke tweeted Tuesday, after meeting in Tallahassee with Republican Gov. Rick Scott, who opposes opening Florida's coastline to leasing.
"Local voice matters," he wrote.
It didn't take long for Democrats and Republicans from shore to shore and in between to react to Zinke's decision to remove Florida "from consideration for any new oil and gas platforms," particularly given the strong local opposition to offshore drilling in states along the Atlantic seaboard and the Pacific coast.
Several lawmakers, especially those from coastal states, criticized the decision to exempt Florida from Interior's draft five-year plan to open more than 90 percent of the outer continental shelf for potential drilling, while other states remain in play at this point.
"In Maryland, Republicans and Democrats are united on offshore drilling. We do not want it off our coast," said Rep. Anthony Brown (D-Md.), one of many members who emphasized that opposition within local communities to offshore energy development should be a deciding factor.
Florida Sen. Bill Nelson (D) asked Interior for clarification on Zinke's statement that Florida drilling is "off the table," including whether that means an extension of the current moratorium in the eastern Gulf of Mexico beyond the current statutory limit of 2022 (E&E News PM, Jan. 10).
Zinke said his thinking on Florida resulted from talking to Scott and supporting his view that "Florida is unique, and its coasts are heavily reliant on tourism as an economic driver."
But lawmakers from other states yesterday made the same claim.
"Our state and local leaders are unified in their opposition to drilling," said California Democratic Rep. Nanette Barragán, adding that tourism on her state's coast contributes billions to the state's annual economy. "I would expect nothing less than equal treatment from Secretary Zinke and anticipate his removal of California from consideration as well."
And so it went.
Even fans of the proposal, which is open for public comment until March 9, questioned Zinke's Florida exemption.
Sen. Bill Cassidy (R-La.), a member of the Energy and Natural Resources Committee who favors expanded drilling, criticized the move, warning it's not an effective way to implement policy.
"I think it's a mistake," said Cassidy. "Because you send the message that if you raise enough hell, he'll exempt you."
Energy and Natural Resources Chairwoman Lisa Murkowski (R-Alaska) said the controversy is in part attributable to a major policy shift from the previous administration.
"Whether or not the secretary acted too quickly is probably a discussion people will have, but I would suggest that this is an opportunity for a process," she said.
"And in Alaska, when [former President] Obama took it all off the table, there was no process for us," she said. "We couldn't weigh in. He just said nope, not happening."
Obama closed 94 percent of federal waters to oil and gas leasing in his 2017-2022 plan.
"Under this administration, they have done exactly the opposite," Murkowski said, adding: "Obama took everything off the table, Trump is putting everything on the table. We will now have an opportunity to weigh in, decide what is appropriate, what is not appropriate, and then we'll move forward."Zinke's plan
Zinke unveiled his proposal for 47 lease sales in different parts of the OCS from 2019 to 2024 — the most ever for a five-year planning period — just one week ago.
He said at the time he was open to tweaking the proposal. "Just like with mining, not all areas are appropriate for offshore drilling, and we will take that into consideration in the coming weeks," he said.
The 47 lease sales, according to the plan, would include 19 off the coast of Alaska, seven in the Pacific region, 12 in the Gulf of Mexico and nine in the Atlantic region (Greenwire, Jan. 4).
Beginning Tuesday, the department will hold public meetings across the country on the plan.
"Creating a five-year program is a very open and public process that actually centers around a series of public comment periods and revisions to the proposed plan," Interior press secretary Heather Swift said in an email. "The secretary has said since day one that he is interested in hearing the local voice."
Swift also said that Florida's governor requested a meeting the day the department announced the plan.
"Gov. Scott was the only governor to request a meeting until today," Swift said, adding: "The secretary intends to meet with or talk with any governor who submits a request. If other governors would like to request meetings with the secretary, they are absolutely invited to do so."
North Carolina Gov. Roy Cooper (D) sent a letter to Zinke yesterday reiterating his opposition to drilling off the coast of the Tar Heel State and asking for a phone or in-person meeting on the issue.
"I look forward to speaking with you to share just how damaging your proposal would be to North Carolina and our nation's coastlines," Cooper wrote.Administrative Procedure Act violation?
Sen. Tom Udall of New Mexico, the top Democrat on the Appropriations subcommittee that funds Interior, said yesterday that Zinke's actions seem to violate the Administrative Procedure Act, which governs how agencies implement federal regulations, and undercut the administration's offshore push.
"He may have really deeply hurt his legal position," Udall told E&E News. "He definitely undermined the integrity of the process."
Sen. Maria Cantwell of Washington, the top Democrat on the Energy and Natural Resources Committee, called Zinke's actions "arbitrary," noting that Washington, like many states, "has never been interested in [offshore drilling]."
"We have all sorts of reasons why this is a bad idea," Cantwell told reporters. "And what we certainly don't want to just find out is that it's really just political motivation," alluding to Scott's expected challenge to Nelson this fall for his Senate seat. Nelson also questioned whether the move violates APA.
Cantwell declined to comment on whether Zinke may have violated ethics requirements or whether she would seek an inspector general investigation, saying she planned to meet with panel Democrats.
But she said she believes Zinke violated the APA on coal royalties and other issues. "So, we think that it's definitely a very sloppy approach to managing the public resources," she said.A perennial debate
The brouhaha on Capitol Hill and in statehouses yesterday over the exemption offered an opportunity for Republicans and Democrats to ruminate on states' rights and the role of the federal government — a perennial debate between the two parties on many issues, including public lands, energy development and environmental protection.
"I do want states to be considered. They have to be a partner in this thing, and that really is part of what Zinke is trying to do," said House Natural Resources Chairman Rob Bishop (R-Utah), who often advocates for greater input from state and local communities on federal lands management.
Bishop, however, downplayed the impact of Zinke's Florida move, saying that "a whole lot of people were reading more into this" than they should.
He stressed that Congress will ultimately come up with a long-term, permanent plan for offshore drilling that will address states' concerns.
Bishop said Interior has only limited authority to carry out the strategy over five years. He added that he has yet to decide if states should be able to opt out of offshore drilling but said states should have a "major" role in facilitating or approving any exploration.
He suggested his proposed "Strengthening the Economy With Critical Untapped Resources to Expand American Energy Act" bill, which would increase energy development on public lands and waters, could be the best legislative vehicle for addressing states' rights in offshore drilling.
Bishop sidestepped any direct criticism of Zinke, saying he knew about Zinke's talks with Scott and continues to work with the Interior chief on a long-term legislative plan.
Several conservative Republicans from states that have or potentially could have coastal drilling said they still favor exploration, but they did not reject Zinke's move, saying they understood the need for states and regions to have a say.
"I would rather we not have that opt-out option, but I understand why he's doing it," said Rep. Joe Barton (R-Texas).
Rep. Mark Meadows (R-N.C.) said he's a strong proponent of offshore drilling that could potentially generate large revenue for his state but said he also is a staunch backer of states' rights.
"The problem you run into there is it does become political very quickly," said Meadows, who added that his state's Democratic governor could reject offshore drilling, but the state's GOP Legislature could then reverse him.
Rep. Barry Loudermilk (R-Ga.), who has supported legislation to lift the offshore ban permanently, said he's open to some "exemptions" for states but added it would have to be a "pretty high bar."
He conceded that for many states, it comes down to the "tough question" of whether economic and national security gains outweigh the environmental and safety risks that can come with offshore drilling.
Loudermilk said he does not expect his state to seek an exemption, given it has a limited coastline compared with larger states like Florida.
Arkansas Republican Rep. Bruce Westerman, chairman of the Natural Resources Subcommittee on Oversight and Investigations, said during a markup yesterday where the issue was debated that he wanted to "compliment" his Democratic colleagues' rush to defend states' rights when it benefited their own states.
"Something I've heard said oftentimes is, 'These waters don't belong to California, Florida or Louisiana. They belong to all of America,'" the Republican said, referring to a common Democratic argument.
Turning to Rep. Garret Graves (R-La.), his colleague on the committee, Westerman said, "I'm sure Mr. Graves would love for Louisiana to have control of all the regulation and all the revenue that's been produced in the Gulf of Mexico, but I'm pretty sure there would be strong objection to that."Industry groups decry exemption
Multiple industry groups, including the American Petroleum Institute and International Association of Drilling Contractors, issued statements calling Zinke's announcement on Florida "premature" and "disappointing."
"Secretary Zinke's remark to remove Florida from consideration for any new oil and gas platforms is undisciplined and arbitrary and stands in stark opposition to the deliberative and inclusive process envisioned by the Outer Continental Shelf Lands Act, not to mention it represents an apparent about-face by the administration, particularly at this very early stage in the process," said IADC President Jason McFarland.
National Ocean Industries Association President Randall Luthi also weighed in.
"The Outer Continental Shelf Lands Act (OCSLA) clearly outlines a deliberative, inclusive and lengthy review process before any preliminary leasing proposals are finalized," Luthi said.
"Removing areas offshore Florida this early in the planning process prematurely curtails dialogue and thorough study of the possibilities for future development of offshore resources that could provide additional energy and jobs for working Floridians," he said.
API President Jack Gerard said, "Americans support increased domestic energy production, and the administration and policymakers should follow the established process before making any decisions or conclusions that would undermine our nation's energy security."
https://www.eenews.net/eedaily/2018/01/11/stories/1060070723
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Trump's $1 Trillion Infrastructure Plan Said to Be Coming Soon
Jan 11, 2018 | BNA Daily Environment Report
By David Schultz
The White House is planning to issue its hotly anticipated $1 trillion infrastructure plan within weeks, according to a top Republican senator.
The Trump administration will likely release the infrastructure plan “around the State of the Union, either a little before or a little after,” Sen. John Barrasso (R-Wyo.), chairman of the Senate's Environment and Public Works Committee, told reporters Jan. 10.
Members of his committee met Jan. 9 with administration officials who are crafting the plan: Transportation Secretary Elaine Chao, White House economic adviser Gary Cohn, and Special Assistant for Infrastructure Policy DJ Gribbin.
Conflict Within White House
President Donald Trump is scheduled to give his first State of the Union address to Congress Jan. 30.
A White House spokesperson told Bloomberg Environment in an email that the administration is still working on plans for releasing the infrastructure package.
“No dates have been settled on,” the spokesperson said.
The White House is still internally conflicted on how much of that $1 trillion should come from direct federal investment, according to Sen. Tom Carper (D-Del.), the top Democrat on the committee.
Carper told reporters that the president himself is skeptical that a congressional appropriation of $200 billion is actually capable of triggering an additional $800 billion in investment from states, municipalities and the private sector. He also said that Gribbin appears to be the lead architect of the infrastructure plan.
Plan for Projects
The infrastructure plan will reportedly outline a way to stimulate $1 trillion in spending on roads, bridges, dams, and other projects.
Lawmakers on Barrasso's committee said they hoped it also will include proposals to reduce the amount of time it takes federal agencies to approve these types of projects—especially water infrastructure projects administered by the Army Corps of Engineers.
The committee held a hearing Jan. 10 to discuss which items should be included in a potential water resources bill that could be introduced later this year. The issue of the Army Corps’ pace in completing new projects—too slow, in the opinion of some lawmakers—came up repeatedly.
Sen. Sheldon Whitehouse (D-R.I.), one of the Senate's most fervent environmentalists, said Congress needs to exercise more oversight of the Army Corps beyond simply allocating its funding and approving its projects.
“We shovel projects in one side ... and money inside the other part,” Whitehouse said at the hearing. “What the Army Corps does with it in between is a black hole.”
But Carper said Congress should be more focused on opening its purse strings for water infrastructure projects than on streamlining the permitting process, which he thinks will not address the real problem: persistent, long-term underfunding.
“We're not investing the money,” he said at the hearing. “We can do streamlining until the cows come home. But at the end of the day, we need the federal government to do its share. That's the 800-pound gorilla in the room.”
http://news.bna.com/deln/DELNWB/split_display.adp?fedfid=126673345&vname=dennotallissues&fn=126673345&jd=126673345
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The Short Line Freight Railroad Tax Credit Is Good Public Policy
Jan 10, 2018 | The Hill - Congress Blog
By Linda Bauer Darr
Short line and regional freight railroads are an American success story connecting the rural and industrial heartland to the national rail network, creating jobs and sustaining communities. Developed predominantly out of marginal lines that would otherwise have been abandoned by larger Class I railroads, short lines and regional railroads, or Class II and III railroads, are the collective “little engine that could” - 603 workhorses that are often the first and last mile connecting local communities to the vast U.S. rail network. Short line railroads operate 47,500 rail miles, or 29 percent of the national network.
The short line tax credit, known by its tax code reference as “45G”, has spurred $4 billion in private infrastructure investment since its inception in 2005. The credit enables the industry to meet its very significant investment needs, allowing these small business railroads to invest their earnings back into maintenance and upgrading of tracks and thousands of bridges to ensure safe and efficient operations for their companies and customers. The improvements made because of the credit have in part led to the industry’s first fatality-free year (2017).
In a time when new funding for infrastructure development is being hotly debated, the short line tax credit is already sound tax policy, allowing our industry to do its fair share toward improving the nation’s infrastructure through a public-private partnership proven to spur investment. Its extension will allow short lines to continue their success story in rural, industrial and agricultural America.
The short line tax credit maximizes private investment in important transportation infrastructure. The railroad must spend two dollars for every dollar in credit, up to a cap of $3,500 per mile of track. The credit allows small railroads to invest more of their own earned revenue in capital improvements. This additional spending power allows short line railroads to speed up projects that are in the works and take on new projects that would otherwise be unaffordable.
45G has overwhelming bipartisan support. In the current Congress, the bicameral BRACE Act, which calls for permanence of the short line tax credit, has 250 co-sponsors in the House, and 55 in the Senate, where it was the most co-sponsored piece of federal tax legislation offered in 2017.
The credit expired at the end of 2016. However, due to the credit’s strong bipartisan support and wide-ranging impact on the U.S. freight rail system and its thousands of customers, Congress is now looking to extend the credit through 2018 as part of the tax extenders bill that was introduced in the Senate in December. Short line railroads and the thousands of shippers and communities that depend on them urge Congress to finalize this process and get the credit extended.
The short line tax credit drives economic and employment growth beyond simply the railroads - investing in better track spurs new investment by railroad customers. For example, in South Dakota the improvements made by the 670-mile Rapid City, Pierre & Eastern Railroad since it began operations in 2015 have already attracted over $311 million in new facility investments by six South Dakota companies. Those facilities employ 260 workers. This result is being duplicated in the 49 states that are served by America’s 603 short line railroads.
Railroad rehabilitation creates skilled jobs, particularly in rural locations. The Federal Railroad Administration estimates that half of every dollar spent on short line track rehabilitation goes to pay workers. These are good paying construction and manufacturing jobs that put paychecks in the hands of an American labor force that has been left behind in the past decade.
In closing, railroads are an all-American proposition. They can’t take their operations or their jobs overseas. All their taxes are paid domestically. Virtually everything they buy to improve their infrastructure – the ties, the steel rail, the ballast, the locomotives and the freight cars – are made in America.
Allowing these small business railroads to spend more of what they earn to grow their businesses and invest in their community’s success is what the short line tax credit does. The short line tax credit, 45G, answers the call to improve the nation’s infrastructure. It is good public policy that promotes economic growth, helps create jobs and invests U.S. business profits in U.S. made goods.
Linda Bauer Darr is the President of the American Short Line and Regional Railroad Association.
http://thehill.com/blogs/congress-blog/economy-budget/368323-the-short-line-freight-railroad-tax-credit-is-good-public
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Trump: US Could ‘Conceivably’ Stay In Paris Climate Pact
Jan 10, 2018 | The Hill - E2 Wire
By Timothy Cama
President Trump said Wednesday that he might reverse his decision to pull the United States out of the Paris agreement on climate change.
In a joint press conference with Norwegian Prime Minister Erna Solberg, Trump reiterated his objections to the pact that former President Barack Obama helped negotiate but said there are circumstances in which he’d stop the exit process he announced last June.
“I will say that the Paris agreement, as drawn and as we signed, was very unfair to the United States. It put great penalties on us. It made it very difficult for us to deal in terms of business. It took away a lot of our asset values,” he said of the pact that includes every other member of the United Nations.
Trump also said he has “no problem” with the agreement, “but I had a problem with the agreement that they signed, because as usual, they made a bad deal.”
“So we could conceivably go back in,” Trump said, without expanding on what would have to happen or change.
The Obama administration promised in the pact to reduce the United States’ greenhouse gas emissions 26 percent to 28 percent by 2025.
The Trump administration explored the possibility of changing that pledge, since it is not binding under international law, but decided against it.
While Trump announced the exit in June, the accord does not allow nations to submit exit paperwork until November 2019, to be effective in November 2020.
When announcing the exit, Trump kept the door open to rejoining the pact “on terms that are fair to the United States, its businesses, its workers, its people, its taxpayers.”
Since then, administration officials have sought to clarify the terms under which Trump would reverse his decision.
“He left the door open to re-entering at some later time if there can be a better deal for the United States,” national security adviser H.R. McMaster said in September.
“I think under the right conditions, the president said he's open to finding those conditions where we can remain engaged with others on what we all agree is still a challenging issue,” Secretary of State Rex Tillerson, who supports the deal, said at the time.
http://thehill.com/policy/energy-environment/368378-trump-could-conceivably-stay-in-paris-climate-pact
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Trump Renews Plans To Exit 'Unfair' Paris Deal
Jan 10, 2018 | PoliticoPro
By Emily Holden
President Donald Trump doubled down today on his promise to leave the worldwide Paris climate agreement unless the terms change for the U.S.
“We could conceivably go back in,” Trump said in a joint press conference with the prime minister of Norway, Erna Solberg.
Trump has said all along that he would be open to rejoining the deal, but he has not outlined specific changes he would like to see.
“We are a country rich in gas and coal and oil and lots of other things and there was a tremendous penalty for using it,” Trump said, claiming that China wouldn’t have had to do anything until 2030.
Norway, itself a major oil exporter, is participating in the voluntary 2015 deal along with every other country on Earth. Solberg said her country has “strict regulations” to reach its Paris targets and suggested nations shouldn’t miss out on a good economic opportunity to develop environmentally friendly technologies.
Trump said the U.S. is “very strong on the environment” but won’t sacrifice its competitive edge, and he praised "EPA commissioners." The agency is is run by a single administrator, Scott Pruitt.
Trump also criticized his campaign opponent Hillary Clinton for supporting “windmills” and “other types of energy that don’t have the same capacities at this moment.”
The president volunteered that Norway has “tremendous” hydropower. “I wish we’d do some of that. Hydropower is fantastic,” he said.
Hydropower provided 6.5 percent of U.S. electricity in 2016, according to the Energy Information Administration, making it the leading source of renewable energy in the country.
https://www.politicopro.com/energy/whiteboard
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Exxon, BP, Chevron Should Pay for Climate Costs, N.Y. Says
Jan 11, 2018 | BNA Daily Environment Report
By Bob Van Voris
New York joined other municipalities hoping to use the law to hold oil and gas producers responsible for costs related to the environmental effects of their products.
The biggest city in the U.S. said Jan. 10 that it's suing BP Plc, Chevron Corp., ConocoPhillips, Exxon Mobil Corp., and Royal Dutch Shell Plc claiming they're the world's largest industrial contributors to climate change. Several California municipalities—San Francisco, Oakland, San Mateo, Imperial Beach and Marin—previously filed suits against the oil industry over the environmental impact of fossil fuels.
“Defendants are collectively responsible, through their production, marketing and sale of fossil fuels, for over 11 percent of all the carbon and methane pollution from industrial sources that has accumulated in the atmosphere since the dawn of the Industrial Revolution,” lawyers for the city said in a complaint filed in Manhattan late Jan. 9.
“Defendants are also responsible for leading the public relations strategy for the entire fossil fuel industry, downplaying the risks of climate change and promoting fossil fuel use despite the risks,” they said.
The city hopes to build on legal efforts against producers of asbestos products, cigarettes, and lead paint in what would be an extension of legal responsibility.
“This lawsuit is based on the claim that a corporation that makes a product causing severe harm when used exactly as intended should shoulder the costs of abating that harm,” the city said in the complaint.
Curtis Smith, a spokesman for Shell, said by email: “We believe climate change is a complex societal challenge that should be addressed through sound government policy and cultural change to drive low-carbon choices for businesses and consumers, not by the courts.”
The National Association of Manufacturers also weighed in. “Mayor [Bill] de Blasio is just the latest mayor to lead his city into misguided litigation against America's energy manufacturers,” said Linda Kelly, the group's general counsel. “This is part of a deep-rooted, politically motivated campaign to undermine manufacturing in America, and we will continue our work to expose this coordinated effort.”
Representatives for BP, ConocoPhillips and Exxon Mobil didn't immediately respond to requests for comment.
Pension Fund Drops Fossil Fuels
Blasio also joined Scott Stringer, the comptroller, in announcing Jan. 10 that the city's five pension funds, which control about $189 billion in assets, intend to divest about $5 billion from more than 190 “fossil fuel reserve owners” within the next five years.
“It's complex, it will take time, and there are going to be many steps, but we're breaking new ground, and we are committed to forging a path forward while remaining laser-focused on our role as fiduciaries to the systems and beneficiaries we serve,” Stringer said in a written statement.
http://news.bna.com/deln/DELNWB/split_display.adp?fedfid=126673357&vname=dennotallissues&fn=126673357&jd=126673357
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Practitioner Insights: Building a Low Carbon Future
Jan 11, 2018 | BNA Daily Environment Report
By Clay Nesler
According to the International Energy Agency, 55 percent of the carbon emissions reductions required to achieve a 450 parts per million scenario and limit climate change by 2035 will have to come from energy efficiency. Many of these reductions will have to come from buildings, which currently account for more than one-third of energy-related carbon dioxide emissions globally.
One of the challenges to achieving the large potential of building energy efficiency is the market represents the aggregation of many small investments that owners and developers make while constructing, renovating, and managing buildings.
For more than a decade, Johnson Controls has surveyed executives responsible for making energy and facility management investments in commercial, industrial, and institutional building portfolios. The 2017 Energy Efficiency Indicator surveyed more than 1,500 executives from the U.S., Canada, Mexico, Argentina, Brazil, Colombia, France, Germany, Poland, China, India, and Singapore. The good news is interest and investment in energy efficiency and renewable energy is increasing globally. The findings revealed several trends:
Energy efficiency is becoming increasingly important. This year's survey found that 70 percent of organizations are paying more attention to energy efficiency than one year ago, and 58 percent are expecting to increase investments next year. Investments in heating, ventilation, and air conditioning equipment was the most popular improvement made last year, reported by 75 percent of respondents.
On-site renewable energy and energy storage are key areas for future investments. When asked about planned investments during the coming year, on-site renewable energy leads with 57 percent of organizations planning to invest. Energy storage is gaining momentum, as well with 48 percent planning to make investments in the next year.
More than half of organizations are targeting net zero. Increased investment in on-site renewable and electric storage could be driven by increasing interest in net-zero energy buildings, energy security, and resiliency. Fifty-four percent of organizations are planning to achieve near-zero, net-zero, or energy-positive status for at least one building within the next 10 years.
Critical weather conditions are affecting how organizations think. Seventy-one percent of respondents said maintaining critical operations during severe weather events or extended power outages is very or extremely important when considering future infrastructure investments. Additionally, 52 percent of respondents said they are “very” or “extremely likely” to have one or more facilities able to operate off the grid in the next 10 years.
It pays to be green. The market for sustainable buildings continues to increase with 43 percent of organizations willing to pay a premium for space in a certified green building. Building owners also are increasingly likely to consider other benefits of investments in energy efficiency, such as the ability to attract and retain employees and customers and improved brand image and reputation.
The results of the 2017 Energy Efficiency Indicator also shed light on why organizations are increasingly investing in energy efficiency. The findings suggest that global growth of the building efficiency market is being driven by both government policy and market forces. Fifty-two percent of organizations globally rated government policy as a very or extremely significant driver for investment.
Building performance benchmarking and certification was rated as the most effective policy followed by government leadership in leasing, building design, and retrofits. In the U.S. and Canada, 92 percent of respondents rated greenhouse gas emission reduction as “very” or “extremely important” drivers for investment compared with 67 percent of organizations globally, which was the second-highest–rated driver.
Goal Setting to Cut Emissions
Previous Energy Efficiency Indicator studies have shown that organizations that set public energy or carbon reduction goals were twice as likely to have invested in energy efficiency and renewable energy in the past year and were three times more likely to increase investments in the next year. This increasing focus on public commitments and low-carbon investment was evident at the 23rd Conference of the Parties Climate Conference in Bonn last fall, where 132 countries included buildings in their nationally determined contributions, which document their climate action plans.
The Global Alliance for Buildings & Construction was launched during COP-21, in Paris, with the mission of facilitating the transition to a low-carbon, efficient, and resilient buildings and construction sector. The alliance held several events at COP-23 as did a number of local government organizations, including the C40 Cities Climate Leadership Group; ICLEI–Local Governments for Sustainability; and the Global Covenant of Mayors for Climate & Energy, which includes 7,500 local authorities. The World Green Building Council launched an initiative to coordinate public- and private-sector action toward achieving 100 percent net-zero carbon buildings by 2050.
Cities, states, universities, and businesses also were active at COP-23, committing support for the Paris Agreement and sharing best practices for low-carbon development. The U.S. Climate Action Center was host to more than 100 U.S. leaders at a number of events, including those sponsored by the We Are Still In coalition. This coalition includes 230 cities, nine states, 320 colleges, and 1,700 businesses. The U.S. Climate Mayors group—which includes 386 cities representing 68 million American citizens—also committed to achieving the Paris Agreement climate action goals.
While national governments are the entities that legally commit to the Paris Agreement, their cities, states, universities, and businesses will be the ones to take local action on climate change and encourage increased national ambition. Johnson Controls participated in COP-23 as a member of the U.S. Business Council for Sustainable Energy delegation. Our company has had a long commitment to climate action and low-carbon development. We have reduced our greenhouse gas emissions by more than 42 percent since 2002 and committed to double our energy productivity from 2009 to 2030, as the first U.S. business to join the Climate Group's EP100 initiative. We also met our 10-year U.S. Department of Energy Better Plants Challenge commitment of a 25 percent energy intensity reduction three years early in 2016.
While our internal carbon and energy reductions are significant, our greatest climate impact is through our products and services. Since 2000, guaranteed energy savings performance contracts have reduced carbon emissions for our customers by more than 26 million metric tons of carbon dioxide. Our next-generation high-efficiency, low-global warming potential (GWP) refrigerant chillers promise even greater annual energy and carbon savings, while reflecting our commitment to the Kigali Amendment, an agreement 197 countries made in 2016 to take actions to address greenhouse gas emissions through the phase-down of short-lived climate pollutants, including of HFC refrigerants. Finally, our start-stop battery technology, which is installed in 20 million vehicles worldwide, saves an estimated 381 million gallons of fuel, while cutting greenhouse gas annual emissions by 3.4 million metric tons, or the equivalent of carbon captured by 2.8 million acres of forest in one year.
The burgeoning market for these energy-efficient products and services is telling. It reflects a growing global awareness of the risks climate change poses and recognizes that the transition to a sustainable, low-carbon economy is good business. A 2017 CDP analysis showed that 89 percent of the world's biggest, most environmentally impactful companies now have carbon emissions targets, with a fifth planning low-carbon into their futures to 2030 and beyond. Many other public- and private-sector actors also are setting ambitious goals and taking significant strides toward emission or energy-specific reduction targets.
A higher education organization that has shown particularly strong leadership in low-carbon investment is Stanford University in Palo Alto, Calif. In 2009, the university developed a comprehensive energy and climate-action plan called Sustainable Stanford, which called for 50 percent of campus energy to be generated from on-site and off-site renewable sources. The plan also called for decommissioning a 100 percent fossil-fuel fired cogeneration plant and constructing an all-electric central energy facility using heat recovery chillers, hot and chilled water storage tanks, and an advanced predictive control system. The control system optimizes facility performance based on seven-day-ahead weather forecasts, campus heating and cooling load forecasts, and the price of electricity from the grid. The system also is able to meet 90 percent of campus heating needs using waste heat from chillers. In addition, the facility reduces water consumption by 15 percent and will save $420 million in operating costs, while reducing carbon emissions by 68 percent.
Another example of leadership in low-carbon development is Hawaii. The state relies on fossil fuels for more than 90 percent of its energy, at a cost of over five billion dollars. Gov. David Ige created the Hawaii Sustainability Plan with the goal of developing 100 percent renewable energy sources by 2045. In response, the Hawaii Department of Transportation has invested $245 million in improvements to airports, harbors, and highways in the largest single-state energy savings performance contract in U.S. history. With performance contracting, energy infrastructure improvements are paid for over time through energy and operational savings, saving taxpayer or ratepayer dollars. The multiphase project includes energy efficiency improvements and renewable energy generation that will reduce energy use by up to 50 percent, with guaranteed savings of $680 million over the 20-year contract.
Cities are really the front lines of climate action. A great example is Louisville, Ky., which committed to reducing energy use per capital by 25 percent by 2025. The city's sustainability plan, Sustain Louisville, was launched in 2013 to “protect the environment; reduce the metro area's carbon footprint; ensure the health, wellness, and property of all citizens; and create a culture of sustainability.” The city entered into an energy savings performance contract, investing $27 million in energy and water efficiency upgrades in nearly 200 public buildings. The project will provide $2.7 million in guaranteed annual energy savings and is expected to reduce carbon emissions by 19,900 metric tons CO2 annually. The project has also created 400 jobs, 90 percent of which will remain in the community and exceed city targets for women- and minority-owned business participation.
Partners Spur Innovation
Public-private partnerships and collaboration will be critical to providing the required expertise and financial resources needed to drive greater innovation and investment in building efficiency.
On the innovation front, the U.S.-China Clean Energy Research Center Building Energy Efficiency Consortium is a public-private partnership to develop and deploy new technologies and policies driving adoption of low-carbon buildings by 2030. China is a critical market for building efficiency investment, with half of all new construction planned there through the next decade, and resulting in a 40 percent increase in energy demand during the next 15 years. Through this partnership, more than 70 researchers from more than 50 government, university, and industrial organizations have launched 12 new products and released 13 new copyrighted software tools. The new Johnson Controls Asia-Pacific Headquarters in Shanghai, China, is participating in the project as a research test bed and showcase for advanced sensors and controls, indoor air quality technology, and building-to-grid integration.
Another successful public-private partnership focused on building efficiency at the city level is the Sustainable Energy for All Building Efficiency Accelerator, organized by the World Resources Institute with Johnson Controls serving as the industry co-convener. The Building Efficiency Accelerator supports cities in the development and implementation of building efficiency policies and practices by facilitating access to global expertise and finance while providing a venue for engagement with private sector partners. During the past two years, the accelerator has engaged with 254 cities and worked closely with a network of 30 cities around the world to make commitments to introduce new policies, implement projects, track progress, and share best practices and lessons learned. Projects under development in nine network cities have an investment potential of $1.5 billion while programs in six cities have the potential to reduce carbon emissions by 5.6M metric tons CO2equivalent.
With thousands of cities, states, universities, and businesses publicly committing to low carbon and sustainable development in support of the Paris Agreement, many are facing a “now what” moment where ambition needs to turn into specific action. While the global EEI study shows growing interest and investment in low-carbon building technology and solutions, the level of investment is insufficient to achieve the needed improvements and realize the many benefits of low-carbon, energy efficient, and resilient buildings. While technology development will continue to reduce the cost of low-carbon building construction and renovation over time, public-private partnerships will be critical in the near-term to accelerating the rate of technology deployment and the availability of third-party financing critical to scaling investment and impact.
Clay Nesler is the vice president of global sustainability and industry initiatives for Johnson Controls.
http://news.bna.com/deln/DELNWB/split_display.adp?fedfid=126673374&vname=dennotallissues&fn=126673374&jd=126673374
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EPA Readies Details On CPP Repeal 'Listening Sessions'
Jan 11, 2018 | Inside EPA
EPA in a new court filing is pledging to soon release details for three upcoming “listening sessions” on its proposal to rescind the Obama-Era Clean Power Plan (CPP) utility greenhouse gas rule, saying that and other regulatory efforts justify an appellate court continuing to hold litigation over the rule in abeyance.
The information comes in a Jan. 10 EPA status report West Virginia, et al. v. EPA, et al., which is pending in the U.S. Court of Appeals for the District of Columbia Circuit.
The report comes as the court's latest 60-day pause of the litigation has expired, meaning judges will once again have to decide whether to extend the abeyance while EPA develops its rule to rescind the CPP and a possible replacement rule.
Alternatively, the court could issue a ruling on the merits of the Obama-era rule, or it could remand the rule back to EPA. Environmentalists have pushed for either of these two options, arguing that extending the litigation is problematic because the rule has been stayed by the Supreme Court pending the resolution of lawsuits.
The agency's report largely reiterates prior announcements regarding its process to repeal the CPP, though it reveals that it will soon publish a Federal Register notice announcing dates and locations for three listening sessions on the plan.
EPA has previously said those sessions would be held in San Francisco; Gillette, WY; and Kansas City, MO, but it did not provide further details. Those events come after a Nov. 28-29 public hearing in Charleston, WV.
When it announced the West Virginia hearing, EPA also extended the deadline to submit formal comments on the proposal until Jan. 16.
Its latest status report does not say it is further extending that deadline. However, it does say that the forthcoming Register notice will outline plans for “keeping the record open for 30 days after the last listening session.”
It is not clear whether that move will allow any interested party to submit comments until that date -- essentially extending the comment deadline -- or whether it is intended to allow only comments submitted during the listening sessions to be included in the rulemaking record.
EPA did not respond to a request to clarify this issue.
https://insideepa.com/daily-feed/epa-readies-details-cpp-repeal-listening-sessions
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GOP Senators Urge EPA To Scrap 'Once-In, Always-In' Air Policy
Jan 10, 2018 | Inside EPA
Top GOP senators are pressing EPA to end its “once-in, always-in” policy that requires industrial sources of pollution covered by air toxics rules to comply with those rules even after they no longer pollute at threshold levels that trigger regulation.
Industry groups have long complained that the policy, which dates from 1995, treats plants that reduce their emissions unfairly because it forces them to permanently adhere to the air toxics rules.
Sources become subject to maximum achievable control technology (MACT) air toxics rules once they emit above “major source” thresholds -- emitting 10 tons per year (tpy) of one hazardous air pollutant (HAP), or 25 tpy of a combination of HAPs. But if they reduce emissions below these levels, they cannot escape the MACT regulation.
In a Jan. 9 letter to EPA Administrator Scott Pruitt, Senate environment committee Chairman John Barrasso (WY) and clean air subcommittee Chairman Shelley Moore Capito (WV) urge Pruitt to rescind the policy. They cite testimony by the American Coatings Association, which in a submission for the record of a Senate Environment and Public Works Committee hearing Nov. 15 said, “resources spent on compliance could be used instead for [research and development], or modernization activities."
The senators say, “EPA can rescind this policy, which was issued under Section 112 of the Clean Air Act, without any legislative changes,” adding, “we request that you incentivize additional hazardous air pollutant emissions reductions by promptly withdrawing this policy.”
Rescinding the policy is one of several deregulatory measures recommended to the Trump administration by industry groups seeking to shape the administration's mission to curb regulatory burdens.
For example, the Air Permitting Forum, an industry coalition, has made the case in advice to EPA's Clean Air Act Advisory Committee that gives the agency input on air policy issues.
The senators also further cite the National Association of Manufacturers as supporting the change.
https://insideepa.com/daily-feed/gop-senators-urge-epa-scrap-once-always-air-policy
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