Facebook Instagram Linkedin RSS Twitter Youtube

Report Card Shows Safety of Offshore Drilling Greatly Increased

Report card highlights the significant advancements achieved in offshore development by the oil and natural gas industry which are protecting our environment and helping the U.S. economy advance.

HOUSTON, TX – Today, the Oil Spill Commission Action Project released its second report card, which outlined the progress that the Obama Administration, Congress and the oil and natural gas industry have achieved in implementing the group’s recommendations. The report card gave high marks to the oil and natural gas industry for the many improvements that have been made over the past three years, which have increased the overall safety of the industry and its ability to respond to unforeseen emergencies.

As part of this review, the project provided letter grades to progress made by stakeholders, as well as to progress achieved in individual areas of focus. Leading in this capacity were the Obama Administration and the oil and natural gas industry, who received a letter grade of B and B- respectively. The report also provided high grades to efforts to increase safety and environmental protection as well as spill response and containment, both of which received a letter grade of B.

In responding to the announcement, David Holt, President of the Consumer Energy Alliance issued the following statement:

“This is great news for the U.S. economy and U.S. consumers, as it allows us to safely produce our domestic resources at maximum economic benefit and minimum environmental consequence. Today’s report card makes clear the significant progress the oil and natural gas industry has made in implementing the Oil Spill Commission’s recommendations. The U.S. energy revolution is leading our economy and its development’s like this that are making that possible. Ultimately, Americans want affordable energy that doesn’t cause undue harm to the environment where it occurs. This report shows that we can have environmental protection and expanded domestic energy production.”

Consumer Energy Alliance Welcomes New Member: Northrim Bank

HOUSTON–Consumer Energy Alliance (CEA) is pleased to welcome Northrim Bank as its newest affiliate member. Northrim is highly engaged in the Alaska economy, both as a respected banking and financial institution, and providing economics education to public officials, the public at large, and civic and business organizations.  Energy production and consumption in Alaska are a lynchpin to the functioning of the local economy.  Joe Beedle, Northrim’s President, serves on CEA Alaska’s Advisory Board.

CEA Alaska Executive Director Steve Pratt welcomes Northrim into affiliation with CEA – “Northrim’s community engagement on the economic factors impacting Alaska’s energy consuming and producing sectors is unparalleled in the state.  We are extremely excited to partner with their team in educating and advocating for responsible energy policies that can move the state and country forward in terms of energy and national security.”

As a community bank, Northrim is a reflection of the Alaska economy.  We are tireless advocates for economic development and energy is a critical industry for Alaska,” said Northrim President and CEO Joe Beedle.

The partnership promises to bring renewed energy to CEA Alaska’s mission as the authoritative voice of the Alaska energy consumer.  “We are delighted to add to our membership community stalwarts like Northrim.  Working together, we can help our economy take on the significant energy challenges facing policy makers,” noted Steve Pratt.

Texas Railroad Commissioner David Porter Says Permian Basin is Key to U.S. Energy Self-Sufficiency

Speaking at Midland forum, Porter touts Permian gains

At a Thursday forum in Midland, Texas Railroad Commissioner David Porter said energy production from the Permian Basin is a key factor in Texas and U.S. energy independence.

“If the United States achieves energy independence, it will be because of the Permian Basin,” he said

The forum, coordinated by Houston-based Consumer Energy Alliance and the Permian Basin Petroleum Association was attended by state and local officials, businessmen and women and oil industry reps. The purpose of the meeting was to discuss the importance of the Permian to Texas energy production.

Several attendees of the event expressed appreciation at the Commissioners comments, saying they feel that sometimes the Eagle Ford region gets “more than its share of the attention.” Many, including the Commissioner pointed to the dramatic production increases in the basin, which increased by 800,000 barrels per day from 2011 to 2012.

“That’s 800,000 barrels a day of production that we’re not having to import, and that makes a tremendous difference in the balance of trade and the economic vitality of the country,” the Commissioner said.

Porter also mentioned the growth challenges in the region, focusing specifically on road and traffic issues. Asked what can be don’t to help mitigate the impacts, Porter said that something needed to be done, but that it was beyond the jurisdiction of the Railroad Commission. Consumer Energy Alliance and several industry partners have convened a Trucking Safety Taskforce to help address issues associated with road safety in areas of energy development. The Commissioner noted that such activities are the best way to start tackling the issue.

Porter also spoke about challenges associated with water, the threats posed by anti-development activists and federal regulation. He thinks federal officials need to defer to state agencies like his own when it comes to regulating oil and gas.

“Both industry and the Commission need to insure our regulations are such that no one can have a legitimate argument against production,” he said.

 

State Legislators Say Interior Withholding Mineral Royalties is “akin to theft”

Legislators belonging to the Energy Producing States Coalition (EPSC) this week alerted leaders of the House Energy and Commerce Committee of their opposition to the Department of Interior claiming sequestration budget cuts as a their reason to stop payment of $109 million in mineral royalties.

The legislators said the DOI’s action is “akin to theft.”  This follows a similar letter EPSC sent last week to the Senate Energy and Natural Resources Committee.  The legislators contend the Mineral Leasing Act is the negotiated process for guaranteed fair sharing of energy resources developed within the States on public lands.

The letter is signed by the Executive Committee of the Energy Producing States Coalition (EPSC): Utah Representative Roger Barrus, Chairman; Speaker Thomas Lubnau, Wyoming Legislature, Immediate Past Chairman; and Senator Cathy Giessel of Alaska Chairman-Elect.

 

April 10, 2013

Dear Chairman Upton and Ranking Member Waxman:

The Energy Producing States Coalition (EPSC) is a group of like-minded state legislators working together to develop positions and areas of common interest on policies and issues that affect domestic energy production and transmission. The group was founded in 2011 and currently includes legislators representing Alaska, Colorado, Mississippi, North Dakota, Ohio, Oklahoma, Texas, Utah, Wisconsin and Wyoming. These legislators work together to develop and advocate for sound public policy in areas of shared interests between energy producing states.

On behalf of the EPSC Executive Committee, we express our opposition with the Department of the Interior’s Office of Natural Resources Revenue’s (ONRR) recent notification to states that more than $109 million in mineral royalties would not be paid as a result of the ongoing sequestration. This purely political decision by the Obama Administration is akin to theft and clearly disregards the intent of the Budget Control Act (BCA). The Mineral Leasing Act is the negotiated process for guaranteed fair sharing of energy resources developed in the states on public lands. As you are aware, these royalties are used by States to fund such necessary items as public school systems, community colleges, emergency response activities and basic infrastructure projects.

According to a response sent to states from the Congressional Research Service, “Distribution of revenue received from lease sales, bonuses, and royalties under the Mineral Leasing Act is directed in 30 USC 191. Because the funding for these payments is not provided in an appropriations Act, such payments would appear to be correctly classified as non-defense, direct spending for purposes of the BCA. Additionally, section 225 of the BCA (2 USC 905) exempts a number of programs from sequestration, however the royalty payments under the MLA do not appear to be exempt.[1]” This rationale is an incredibly narrow interpretation of the BCA and obviously ignores the intent of the law. Royalty payments are based upon actual development of mineral resources on public lands within the states. The “distribution of revenue” is the legally required portion due to the states where the development occurs. The states have as much of a right to these revenues as the federal government.

The Interior Department’s action is designed only to maximize the negative impact on the American public and thereby placing additional financial burdens on States to cover traditional federal spending. The federal government should get its own house in order and perform a thorough audit of its spending to eliminate duplicative programs across budget lines before it starts stealing from the states.

In closing, the EPSC believes that withholding mineral royalty payments to states as a result of sequestration contradicts the original intent of the Budget Control Act and requests that Congress encourage the ONRR to rescind their decision and fully provide states with their entitled mineral royalties. We encourage our State Attorney Generals to seek legal remedies, and encourage our membership to educate their State and Congressional leaders, counties and school districts and other constituents negatively affected by this sequestration decision.

Read more.

 

 

WSJ is asking: Time to expand offshore drilling?

A poll is being taken over at the Wall Street Journal’s Market Beat:  Should the U.S. expand off shore drilling, click through below to cast your vote.

The U.S. is by far the world’s largest consumer of oil. Gasoline prices have been generally high and volatile for the past several years.

Supporters of offshore drilling say that to help meet this demand and reduce reliance on imports, the country will need to increase offshore oil drilling. They say critics understate the benefits of drilling and exaggerate the risk of accidents like the 2010 Deepwater Horizon explosion and spill in the Gulf of Mexico.

Opponents say there’s no need for expanded offshore drilling because demand for oil has fallen and domestic production is already climbing, thanks to surging shale-oil output on land. The impact of any added offshore oil production on gasoline prices would be scant, they say. Moreover, they add, many states and communities depend on clean-ocean economies.

So, should the federal government allow more offshore oil drilling? Vote and let us know what you think. Your comment may be included in a special report we’ll be publishing in The Wall Street Journal.

Vote!

Labor Rallies for KXL

Constructing a pipeline requires skilled labor.  In Oklahoma this week members of a pipeliners union rallied in support of completing construction of the Keystone XL pipeline which will connect the United States to new sources of Canadian oil.

AP Reports

TULSA, Okla. (AP) — Hundreds of union workers rallied in Tulsa on Tuesday to support a regional pipeline construction project they say would create thousands of jobs and improve the economies of cities along the line’s route.

Organizers of the rally backing Calgary-based TransCanada’s Keystone XL Pipeline said the project would allow the U.S. to tap a key energy source in North America instead of sending its money overseas to import millions of barrels of oil every day.

“To me, we need to stop the transfer of wealth out of this country to OPEC,” said Danny Hendrix, business manager for the Pipeliners Local 798, which is headquartered in Tulsa and has about 6,500 members across the country. “We get a barrel of oil from it, but we also get a barrel of problems.”

On Average, U.S. Consumers Paid 97% More for Energy in 2012 Than in 2000

Over the past 12 years, the average price paid by Americans for gasoline, electricity and other forms of energy rose 97.5 percent, the Consumer Energy Alliance (CEA) noted today. Using data from the Bureau of Labor and Statistics, CEA found that the price of energy in the United States rose in 50 of the 55 years since the index was established.

New England Could Take Brunt of Connecticut Electricity Tax

Electricity customers in New England could see rates jump if Connecticut successfully extends a $76 million a year tax on electricity generation.

The Connecticut State Senate is set to consider the budget this month.  Consumer Energy Alliance has launched a net roots campaign urging people to write to legislators to stop the tax.

Advocates warn extending the tax could hinder economic growth, especially among small businesses. “Small businesses operate on very thin margins and the exorbitant cost of electricity in Connecticut is a major impediment to growth and job creation,” said Andy Markowski, Connecticut state director of the National Federation of Independent Business. “The tax on electricity generation is passed on directly to utility customers. That hurts small businesses and consumers.”

According to the U.S Chamber of Commerce Institute for 21st Century Energy the highest average rate in the continental United States belongs to Connecticut, where electricity costs nearly 16 cents per kilowatt hour – 60% higher than the national average of just under 10 cents.

Impact of the tax will not be limited to just Connecticut. Other New England states will see prices increase because they are served by the same electricity market. Already, the attorneys general from Rhode Island and Massachusetts have voiced their opposition to the tax, arguing that as much as 75% of the tax would be passed to consumers outside of Connecticut. New Hampshire residents are starting to protest as well. The New Hampshire Journal noted that in a recent poll conducted by Opinion Dynamics three out of four residents in the region, including those in New Hampshire, opposed the tax.

The tax will not only burden consumers, but also the generating companies, which contribute significantly to local economies. A 2011 study conducted by the consulting firm Chmura Economics & Analytics for Dominion Power, which operates the Millstone power station located in Waterford, found the plant produces $1.2 billion in annual economic benefits for the state, supporting 4,200 jobs in Connecticut.

The tax, which is unique to Connecticut, was agreed to in 2011, but only if temporary and utilities did not pass the cost on to customers.  The tax is a $2.50 per megawatt hour charge levied on electric power plants that generate and upload electricity to the regional power grid. The Connecticut Senate is now evaluating whether to include Governor Malloy’s proposal in its 2014-2015 budget. If you’re a New England resident who may be affected by the tax increase, write to the Connecticut legislature today and voice your opposition.

 

Brett Vassey Joins Consumer Energy Alliance Board of Directors

Houston, TX – Consumer Energy Alliance welcomes Brett A. Vassey, President & CEO of the Virginia Manufacturers Association, to its board of directors.

“Long joined at the hip, energy and manufacturing are in a better position than ever to showcase America’s economic potential,” said John Heimlich, Chairman of CEA Board of Directors.  “Brett’s experience working with Virginia manufacturers brings a critical perspective to the CEA board, and we look forward to tapping his skills to advance the interests of energy consumers.”

“CEA has long benefited from Brett’s support and counsel,” said David Holt, CEA President.  “Brett understands well how a balanced energy policy helps American consumers and generates many other benefits for the economy. Looking ahead, we will tap his knowledge and experience overseeing the Virginia Manufacturers Association to guide CEA as it continues to grow its membership and reach across the United States.”

“CEA is leading a broad coalition ready to utilize North American energy to boost the the economy, create jobs, and supply American consumers with affordable energy,” said Brett Vassey. “I look forward to helping lead the organization and ensuring CEA continues to deliver a quality service to its members.”

Mr. Vassey brings a depth of experience working within the manufacturing industry, as well as policy development in the Southeast.

Virginia Manufacturers Association represents the Commonwealth’s 6,000 manufacturers, which employ over 220,000 individuals, that contribute over $34 billion to the gross state product, and account for over 80% of the state’s exports to the global economy.

Vassey joins Consumer Energy Alliance board members: John Heimlich, Chairman, Vice President and Chief Economist for Airlines for America; Jennifer Diggins, Vice Chairwoman, Director of Public Affairs for the Nucor Corporation; Mark Pulliam, Treasurer, Solution Partner with Sabre Airline Solutions; Dave Harbour, APR, Commissioner Emeritus, National Association of Regulatory Commissioners, Publisher, Northern Gas Pipelines; Troy Bredenkamp, General Manager, Nebraska Rural Electric Association; and Wayne Zemke, Caterpillar, Incorporated.

When it comes to Energy, what are you for?

CEA-Texas Executive Director David Blackmon writing at Forbes.com asks a pretty good question:  If you're against everything, what are you for?

By contrast, these Occupy Anti-development activists appear to simply be opposed to anything and everything, including renewable energy projects, protection of threatened or endangered species, and even safeguarding the environment. If there’s a highway project that needs to be built, they’re against it. A new housing subdivision – they’re opposed. A multi-use development project designed to replace urban blight – sorry, no. A planned development of an old warehouse district to revitalize a downtown area – uh, not a chance. A solar project that might disturb a desert mouse that exists in the millions – forget about it. A wind farm that disturbs the viewshed of a favored supporter or constituent – you’re kidding, right?  (Full Article)

1...271272273...338Page 272 of 338

IN CASE YOU MISSED IT

© Consumer Energy Alliance