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U.S. Consumers – and the Economy – Need Access to Affordable and Reliable Energy

CEA’s Chris Ventura and Brydon Ross discuss the need for affordable, reliable energy for America’s families and small businesses with Coal People Magazine.

In addition to supplying energy to millions of Americans, access to supplies of affordable and reliable energy is a necessity for strong economic growth. This is because the cost of energy is embedded in nearly every good and service consumers enjoy. When energy prices spike for consumers and energy-intensive manufacturers, it acts, in essence, as a regressive tax on families, seniors living on fixed-incomes, and those with lower incomes.

Read more – Coal People Magazine

Fact Checking the Atlantic Offshore Lease Decision

The Maritime Executive noted the Consumer Energy Alliance fact check on the Department of Interior’s decision to prevent access to America’s offshore energy resources in the Atlantic.

Consumer Energy Alliance (CEA) in the U.S. has put together a fact sheet that fact checks a number of the claims made by the Department of Interior on why it removed the Atlantic from its 2017-2022 leasing program.

Read more – The Maritime Executive

In Major Reversal, Obama Abandons Offshore Drilling Plans in Atlantic

CEA President David Holt weighed in on American energy production with Governing Magazine.

The Obama administration said Tuesday that it would not allow offshore drilling in the southeast Atlantic Ocean. “The exclusion guarantees that domestic energy policy will be a major issue in the presidential election, and underscores the critical need for the nominees of both parties to bring forward thoughtful, intellectually serious energy policies,” said Consumer Energy Alliance president David Holt in a statement on Tuesday.

Read more – Governing Magazine

Consumer Advocate Issues Statement on Reports About Proposed Federal Offshore Leasing Program

[bq]”…both parties [need] to bring forward thoughtful, intellectually serious energy policies that will secure the nation’s long-term energy, economic, and national security.”[/bq]

Houston, TX – Consumer Energy Alliance (CEA) President David Holt issued the following response to media reports about the Interior Department’s pending release of the 2017-2022 Outer Continental Shelf Proposed Oil & Gas Leasing Program (Proposed Program) and Draft Programmatic Environmental Impact Statement:

“We are deeply disappointed by reports that the Interior Department is set to exclude the Atlantic from the 2017-22 Five Year Plan and completely ignore the strong support for offshore development expressed by the Governors, legislators, stakeholders and public from Virginia, North Carolina, South Carolina and Georgia.

“By removing the entire proposed Atlantic leasing area, the administration has failed to present a serious offshore plan that will help meet our energy needs over the coming decades.

“The exclusion also guarantees that domestic energy policy will be a major issue in the presidential election, and underscores the critical need for the nominees of both parties to bring forward thoughtful, intellectually serious energy policies that will secure the nation’s long-term energy, economic, and national security.

“The domestic energy revolution has provided a major boost to the American economy and consumer pocketbooks, while fundamentally transforming the global geopolitical landscape to the benefit of U.S. national security.  At the same time, thanks to continuing improvements in technology, practices, and oversight, the United States has demonstrated that offshore energy development and environmental stewardship can and do coexist.  

“Today’s decision threatens to prematurely and unnecessarily halt this revolution.  Thankfully, the next administration will soon have an opportunity to consider the long-term implications of today’s decision — and the public and state support that exists for offshore development — and reverse course toward a more responsible approach.”

On Friday, Consumer Energy Alliance delivered nearly 8,500 consumer letters urging Interior to maintain the Mid- and South Atlantic and Alaska in the Proposed Program, and released an analysis underscoring support for domestic offshore development by voters in the Mid- and South Atlantic states and Alaska.

Do the Math: Americans Overwhelmingly Support Offshore Energy

Offshore oil platform in ocean

With the U.S. Bureau of Ocean Energy Management (BOEM) expected to soon make a final decision on which areas will be included in its proposed 2017-2022 offshore oil and gas-leasing plan, Consumer Energy Alliance (CEA) today released a comprehensive analysis that debunks assertions by anti-energy groups suggesting widespread opposition to U.S. offshore energy development.

This is particularly the case in Alaska and in key Atlantic coastal states where BOEM is considering opening up leases for exploration and production, the report, titled “A Hollow Groundswell” says.

A few vocal anti-energy organizations have highlighted that communities in Virginia, North Carolina, South Carolina, and Georgia – at the urging of anti-energy groups using incomplete or inaccurate data – have adopted anti-drilling and/or anti-seismic resolutions. Despite claims that these resolutions show widespread opposition to offshore energy, they in truth represent just 3.8 percent of all four states’ combined populations, according to CEA’s analysis.

https://consumerenergyalliance.org/cms/wp-content/uploads/2016/03/CEA-MA-offshore-report-Mar-10-2016-v2.compressed.pdf

And, in each instance, the decisions were based on incomplete or inaccurate information.  

“Business community leaders – from chambers of commerce to farm bureaus to manufacturing – have repeated stressed the economic, job creation, and long-term energy security benefits that offshore energy development could bring to the Atlantic coast states,” CEA President David Holt said. “Despite attempts by anti-energy groups to convey the false appearance of widespread opposition to these much-needed activities, our findings show that significant majorities overwhelmingly support the opportunity associated with the future development of our offshore energy resources.”

“And in the wake of what Interior Secretary Sally Jewell has called ‘the most aggressive and comprehensive offshore oil and gas regulatory reforms in the nation’s history,’ we can be assured of developing our natural resources in a way that also safeguards our environment,” Holt added.

Democratic polling firm Hickman Analytics found last year that voter support for expanded drilling stood at 61 percent in Virginia and 55 percent in North Carolina, the report finds. A Harris Poll conducted in 2015 also found that 77 percent of registered voters in Georgia support offshore oil and gas drilling.

Earlier this month, a new Harris Poll found that support among registered voters for offshore drilling stood at 65 percent in Virginia, 64 percent in North Carolina, and 67 percent in South Carolina.

In Alaska, in 2014 and 2015 Hickman Analytics similarly found extremely high levels of support for offshore drilling, with 73% of registered voters voicing support for drilling in the Arctic and 72% in support of expanded offshore drilling in general.  Support for Arctic offshore drilling extends to Louisiana (66%), Georgia, (59%), Iowa (52%), New Hampshire (54%), and South Carolina (63%). 

Consumer Group Submits Thousands of Petitions in Support of Offshore Atlantic Energy

Consumer Energy Alliance (CEA) today submitted nearly 8,500 comments from consumers in support of future Atlantic and Alaskan offshore leasing for oil and gas exploration to the Department of the Interior (DOI). DOI is currently deciding what offshore areas in the Atlantic and off Alaska will remain open for consideration for potential future oil and gas leasing.

In addition to strengthening out future energy security, studies show that Atlantic and Alaskan offshore energy development could generate hundreds of thousands of jobs and billions in economic growth and public revenue.

“Alaska and the Mid- and South Atlantic region are expected to contain billions of barrels of oil and trillions of cubic feet of natural gas,” reads the petition letter.  “For consumers, that means secure energy supplies, reasonable prices at the pump and grocery check-out lines, lower monthly electricity bills, and significant jobs, economic activity, and revenue for local communities and states across the nation.”

CEA President David Holt commented that, “While there is not currently a formal comment period open on the leasing plan, we felt it was important for Interior officials to understand the importance of the issue to residents in the mid- and south Atlantic states, Alaska, and across the country. For them it’s not an either-or choice: we can have BOTH responsible energy development AND environmental protection.”

Consumer Energy Alliance has frequently engaged in support of offshore energy production for the benefits it brings to energy consumers of all stripes. The group recently released a report detailing the level of support for offshore energy production among Atlantic state residents.

Longtime Executive Joins Consumer Energy Alliance’s Board of Directors

Randy Velarde, president and CEO at The Plaza Group, has joined Consumer Energy Alliance’s (CEA) Board of Directors, the organization’s president announced today.

A 30-year veteran of the petrochemical and downstream energy industry, Velarde spent 15 years in commercial management and market development at Shell Chemical and Texaco Chemical prior to forming, in 1994, The Plaza Group, a Houston-based multimillion-dollar international petrochemical marketing firm. He formerly served on the National Petroleum Council, appointed by former U.S. Secretary of Energy Bill Richardson.

“His record in the chemical, petrochemical and downstream sector speaks for itself,” CEA President David Holt said. “His expanded leadership through the Board of Directors makes him an extremely valuable asset to CEA and its growing list of members in the pivotal years ahead, especially in advancing CEA’s mission of improving consumer understanding of how energy policy impacts them.  We are very excited to have Randy’s commodity chemicals markets background on the CEA board.”

“I’m grateful for the opportunity to join CEA’s Board of Directors,” Velarde said. “The need for America to increase environmentally sound protection of all domestic energy resources has never been greater, and I look forward to working with my fellow Board members to make sure the policies needed to do this are supported and promoted effectively.”

In addition to previously being named Entrepreneur of the Year by Hispanic Business magazine and the Houston Hispanic Chamber of Commerce, Velarde, a former director of Hightowers Petroleum Co., Inc., was a partner and board member of the Houston Hispanic Chamber of Commerce and a corporate partner of the Hispanic Association on Corporate Responsibility.

Velarde currently serves on the University of New Mexico, Department of Engineering Board of Advisors, the University of New Mexico Foundation Board, and formerly on the Board of the University of St. Thomas in Houston, and Chairman of the Development Committee at the University of St. Thomas. In 2011, he was a finalist for Ernst & Young’s prestigious Entrepreneur of the Year award.

Other CEA board members include Wayne Zemke, (Board Chair) Marketing Support Manager of Caterpillar, Inc.; Brett Vassey, (Vice Chair) President and CEO of the Virginia Manufacturers Association;Brian Welch, (Treasurer) Managing Director at Wortham Insurance & Risk Management; Jennifer Diggins, (immediate past Chair) Director of Public Affairs at Nucor Steel; John Heimlich, Vice President and Chief Economist for Airlines for America; Mark Pulliam, Solution Partner with Sabre Airline Solutions;John Eichberger, Vice President of Government Relations for the National Association of Convenience Stores; and David Holt, President of Consumer Energy Alliance.

Consumer Energy Alliance Welcomes New Member: Shepherd Safety Systems

HOUSTON – Consumer Energy Alliance (CEA) is pleased to welcome Shepherd Safety Systems as its newest affiliate member.

Shepherd Safety Systems is a safety products and service company devoted to protecting workers in all segments of the energy industry. Their patented Shepherd System combines on-site gas detection equipment with remote monitoring and notification capabilities to ensure the safety of workers from overexposure to gases such as hydrogen sulfide.

“Shepherd Safety is committed to delivering innovative technology to protect workers and promote the culture of safety within oil and gas operations,” said Shepherd Safety President John Dorff. “We are pleased to join CEA’s efforts to advance constructive dialogue and common-sense solutions for our industry and the communities we serve.”

“Shepherd Safety Systems is a prime example of how human ingenuity and innovation and 21st century technologies have combined to advance safety in the U.S. oil and gas sector,” said CEA Senior Policy Director Brent Greenfield. “Shepherd’s business underscores the critical point that energy development and safety and environmental protection is not an either-or choice — we can and do have both — and we are delighted to welcome them onboard as CEA’s newest affiliate.”

For more information on Shepherd Safety Systems, visit their website.

New England Infrastructure Needs an Update

Castle Hill light house in Rhode Island New England

[bq]There’s no easy way to say this: New England’s energy future is dim.[/bq]

Limited pipeline capacity, federal and state regulations, and a change in the mix of electricity and heating generation are just a few of the things that the region is facing when it comes to energy. Temperate spring weather will provide some respite from sky-high bills. However, high electricity prices may be a new norm for New England.

Limited natural gas pipeline capacity and increased demand are the two largest reasons for increased costs. Just two winters ago the U.S. Department of Energy (DOE) concluded, a strong cold snap in January caused an increase in natural gas demand for heating, a surge that “taxed the region’s natural gas pipeline capacity, causing a run-up in regional natural gas prices.”

Higher utility bills aren’t too surprising in Nor’easter season. But New Englanders may be frustrated to learn that families across the Midwest and Mid-Atlantic spent much less to get through winter. In 2015 limited natural gas supplies pushed the region’s prices 50% higher than the national average, while electricity rates were two thirds higher.

So, we should build more pipelines, right? Yes, expanding the region’s energy infrastructure is part of the immediate solution. The boom in oil and natural gas production in new areas, such as Pennsylvania, requires that we match that new production with new, efficient ways to send energy to consumers. Regulators across the region are evaluating ways to encourage pipeline expansion in order to militate against future price spikes and ensure New England consumer also benefit from our nation’s low cost natural gas.

New pipelines will not only benefit families who heat their homes with natural gas, but all electricity consumers. This is because in the last few years, a dramatic shift in how the region generates its electricity has taken place . The Wall Street Journal recently reported that in 2000 only 18% of the electricity used in Connecticut, Massachusetts, Vermont, New Hampshire, Rhode Island and Maine came from natural gas. That has increased to nearly 50% as coal and fuel-oil plants have been phased out to meet tighter clean-air regulations.

As more generators shift to natural gas-fired power plants, supplies will get tighter. Utilities are then forced to rely on Liquified Natural Gas imports from other countries, at a cost sometimes three times as high as domestic sources. These costs get passed on to consumers in the form of higher electricity bills.

Unfortunately, this problem will only get worse in the future. The DOE predicts that the New England region will retire more than 1,369MW of generation between 2013 and 2016. This figure includes the forthcoming retirement of the Vermont Yankee nuclear plant, which supplies four percent of -electricity for the entire region, and announced retirements for coal-fired plants such as Dominion’s 750-MW Salem Harbor facility. The same report estimates that 1,193MW of capacity will be added in the same period, half of it from natural gas.

Federal, regional and state policymakers will need to confront today and tomorrow’s energy challenges with rational, balanced solutions. Consumers and residents will also need to better understand their roles in advancing a sound energy future. We should all adopt smarter consumption behaviors, particularly in winter and summer when demand peaks.

And we should also strive to support a responsible build-out of our nation’s energy development and infrastructure, especially in New England. “Not-in-my-backyard” opposition to projects like Access Northeast, Northern Pass Transmission, Portland-Montreal Pipe Line and Cape Wind will discourage future projects, leaving New England out in the cold.

Wisconsin Set to Pass Nuclear Energy Reform Measure

Power plant cooling towers

An important milestone in removing irrational barriers to nuclear energy development is about to take place. Wisconsin Governor Scott Walker is soon expected to sign AB 384, a bipartisan bill which will remove the over 30-year old moratoria on the construction of new nuclear facilities in the state. 

This straightforward proposal simply allows clean, emissions-free nuclear power to be considered by state policymakers when planning for Wisconsin’s energy future. CEA joined a coalition of voices to urge the Wisconsin legislature and Governor Walker to repeal the moratorium and applauds them for moving forward.  

Now, a new conversation on how nuclear power can help meet the future energy needs of consumers across Wisconsin can take place. 

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