Leading Consumer Energy and Environmental Advocate Announces Support for the Save America’s Clean Energy Jobs Act

Solar

WASHINGTON, D.C. — Consumer Energy Alliance (CEA) Federal Affairs Advisor Michael Zehr released the following statement of support for the Save America’s Clean Energy Jobs Act, legislation introduced by U.S. Senator Tom Carper (D-DE), which would give companies a direct pay option in lieu of specific energy-related tax credits.

“We appreciate Sen. Carper’s continued leadership in advancing critical energy legislation supporting investment and deployment of advanced energy technologies that will provide the power we need and the environmental progress we all want.

This legislation addresses a major obstacle facing deployment of new energy technologies in the wake of pandemic and associated challenges in the tax equity market. By providing a direct payment option, this legislation will put much-needed capital with energy companies that can create jobs and build a better environmental and energy future for our families and small businesses.

“CEA has long supported all forms of energy from oil & gas to renewables and nuclear power. Consumers benefit from a diverse, competitive and ever-evolving energy mix. The Save America’s Clean Energy Jobs Act is a clear win-win for supporting more energy and more jobs for our economy and our environment. We thank Senator Carper again for his tremendous leadership and we urge swift passage of this legislation this Congress.”

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About Consumer Energy Alliance
Consumer Energy Alliance (CEA) is the leading voice for sensible energy and environmental policies for consumers, bringing together families, farmers, small businesses, distributors, producers, and manufacturers to support America’s environmentally sustainable energy future. With more than 550,000 members nationwide, we are committed to leading the nation’s dialogue around energy, its critical role in the economy, and how it supports the vital supply chains for the families and businesses that depend on them. CEA works daily to encourage communities across the nation to seek sensible, realistic, and environmentally responsible solutions to meet our nation’s energy needs.

Contact: 
Bryson Hull
(202) 657-2855
bhull@consumerenergyalliance.org

Consumer Group Applauds Court Decision on Northern Access Pipeline Water Permit

Pipeline Connection

Ruling a Win for Commonsense and New York 

Albany, NY – The U.S. Court of Appeals for the Second Circuit overruled the New York Department of Environmental Conservation’s procedural decision to block a water quality permit for the Northern Access Pipeline Project, clearing the largest hurdle keeping the project and its nearly $1 billion in economic activity from moving forward.

Consumer Energy Alliance (CEA) New York Executive Director Wendy Hijos made the following statement today in response to the court’s decision:

“CEA applauds this decision by Court of Appeals to finally say ‘enough is enough’ with the endless and arbitrary delays on the Northern Access Project by New York regulators. Despite the nearly $1 billion in economic activity and energy savings it could create today for New Yorkers, state regulators have repeatedly attempted to play political games that clearly exceed their authority, instead of acting in good faith.”

“As the Court affirmed, the plain reading of the law says states have a year to make a yes or no decision on Clean Water Act Section 401 permits. Instead, the state chose an endless game of keep-away. While the legal antics continued, communities in Western New York were denied revenue for schools, roads and bridges as well as more than 1,600 jobs – the vast majority of which would be for skilled union workers from Buffalo, Niagara and Southwestern trade unions.”

“The Second Circuit’s decision is a huge victory for consumers, households and commonsense. CEA supports strong regulatory controls and oversight, but policymakers have to be held accountable when they intentionally frustrate the permit process for political reasons.”

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About Consumer Energy Alliance
Consumer Energy Alliance (CEA) is the leading consumer advocate for energy, bringing together families, farmers, small businesses, distributors, producers and manufacturers to support America’s environmentally sustainable energy future. With more than 550,000 members nationwide, our mission is to help ensure stable prices and energy security for households and businesses across the country. CEA works daily to encourage people across the nation to seek sensible, realistic and environmentally responsible solutions to meeting our energy needs.

Contact:
Bryson Hull
P: 202-657-2855
bhull@consumerenergyalliance.org

Consumer Advocates, Labor and Small Business Groups Applaud Ohio House Bill Ensuring Natural Gas Access, Protecting Consumers and the Environment

Mother and Son Cooking

Columbus, OH – Consumer Energy Alliance (CEA), the leading energy and environmental advocate for families and businesses, joined together with the Utility Workers Union of America Local G-555, Ohio Home Builders Association, Midwest Hearth, Patio & Barbecue Association, Ohio Council of Retail Merchants and Ohio Chamber of Commerce to voice support during testimony of House Bill 201, which would prevent municipal bans on the delivery of natural gas to existing and new homes and businesses.

“CEA applauds Representative Stephens for introducing this proactive piece of legislation since it will help protect Ohio’s families, local businesses, and manufacturers by ensuring access to affordable, reliable natural gas which has helped to lower energy costs while reducing our environmental footprint,” CEA Midwest Executive Director Chris Ventura said. “Ohioans should be able to rest easy knowing that in their state they can rely on natural gas and propane to heat their homes and fuel their businesses.”

Ventura added: “One of the great untold stories in Ohio and across the country, the United States is leading the world in environmental stewardship and emission reductions, largely due to the use of natural gas and ongoing progress in renewable energy. Governments and the private sector working together to offer sensible, environmentally-positive solutions to our energy challenges are proving that we can have a balanced mix of energy sources including renewables while still keeping prices affordable and services reliable for everyone.”

Paul Talboo, executive treasurer, Gas Workers Union Local G-555 added, “Utility Workers Union of America Local G-555 supports HB 201. We believe that natural gas is a necessary part of a balanced and well-organized decarbonization plan.  We resolutely contend that an ‘electrification only’ policy is unfeasible, will lead to higher energy costs for Ohio residents and businesses, will affect the livelihoods of highly-skilled and well-trained utility workers and could lead to catastrophic collapses of local energy systems. We believe the most responsible – and achievable – approach to decarbonization is to simply optimize the use of existing natural gas systems, not to eliminate it or, worse, cut it into a number of isolated pieces based solely on local politics rather than sound engineering principles. Responsible public policy should direct us to integrate and optimize these systems to support our lives as we reduce our state’s carbon footprint.”

Commenting on the importance of natural gas to Ohio consumers’ daily lives, Vincent Squillace, executive vice president, Ohio Homebuilders Association said, “Natural gas is the energy Ohioans trust most to heat their homes during the winter. It is also homeowners’ preferred choice of fuel for cooking appliances like natural gas stoves. On average, it will cost $20,000 to remove natural gas from each home. This is simply unaffordable for average homeowners.”

Focusing on how this legislation would impact consumers and small businesses and how they choose to cook and heat, Erica Geil, executive director of the Midwest Hearth, Patio & Barbecue Association added, “HB 201 will protect the gas fireplace and barbecue industry and consumers by ensuring consistent regulations throughout the state, giving consumers a choice in the fuels they use to cook and heat, and keeping hearth and barbecue companies in business. Gas fireplaces are a reliable source of secondary heat and can be crucial for families if/when they lose electricity during a storm and need a backup source of heat. Without this legislation, MSHPBA members would be unable to provide these home heating sources, thus severely hindering their businesses, their employees, and their contributions to their communities.”

Discussing how this bill would help to ensure free market choices for Ohioans, President & CEO of the Ohio Council of Retail Merchants Gordon Gough said, “The Ohio Council of Retail Merchants supports legislation such as HB 201, which helps ensure the universality of regulation of commerce and energy in Ohio. A patchwork of varying regulations and ordinances hurts consumers and businesses alike. In addition, the Council supports free market approaches which foster consumer choice and affordability. We appreciate the sponsors bringing this important piece of legislation forward.”

Stephanie Kromer, director of energy & environmental policy for the Ohio Chamber of Commerce added, “The Ohio Chamber of Commerce has long been an advocate for an “all-of-the-above” approach to energy policy. Banning any type of energy would not only be detrimental to our state’s economy but it would also limit affordable energy service choices for consumers. HB 201 and SB 127 are important to ensuring a free market, consumer choice approach to energy for all Ohioans.”

House Bill 201 is currently before the House Energy and Natural Resources Committee. Companion legislation, Senate Bill 127 sponsored by Senators George Lang and Michael Rulli, is currently before the Senate Energy and Public Utilities Committee.

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About Consumer Energy Alliance
Consumer Energy Alliance (CEA) is the leading voice for sensible energy and environmental policies for consumers, bringing together families, farmers, small businesses, distributors, producers, and manufacturers to support America’s environmentally sustainable energy future. With more than 550,000 members nationwide, we are committed to leading the nation’s dialogue around energy, its critical role in the economy, and how it supports the vital supply chains for the families and businesses that depend on them. CEA works daily to encourage communities across the nation to seek sensible, realistic, and environmentally responsible solutions to meet our nation’s energy needs.

Contact:
Bryson Hull
(202) 657-2855
bhull@consumerenergyalliance.org

Leading Consumer Energy and Environmental Advocate Congratulates Biden Nominee Marty Walsh on Confirmation to Serve as Secretary of the U.S. Department of Labor

Pipeline welder

Washington, D.C.Consumer Energy Alliance (CEA), the leading voice for sensible energy and environmental policies for families and businesses, issued the following statement today following the confirmation of President Biden’s nominee, Marty Walsh, to serve as Secretary of the U.S. Department of Labor.

“We congratulate Secretary Walsh on his confirmation. As the former mayor of Boston and head of the Boston Building Trades Council, he will be an excellent leader to focus on helping workers recover from this historic economic downturn,” said CEA President David Holt said.

“The Secretary of Labor plays a critically important role in addressing the challenges facing the nation’s workers. Since the U.S. has demonstrated it has the resolve, discipline and ingenuity required to meet our environmental goals, economic needs and energy requirements simultaneously, we look forward to working together with Secretary Walsh to keep Americans working through the post-COVID recovery while supporting traditional and renewable energy and infrastructure investments that will strengthen America’s economic and energy security.”

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About Consumer Energy Alliance
Consumer Energy Alliance (CEA) is the leading voice for sensible energy and environmental policies for consumers, bringing together families, farmers, small businesses, distributors, producers, and manufacturers to support America’s environmentally sustainable energy future. With more than 550,000 members nationwide, we are committed to leading the nation’s dialogue around energy and the environment, its critical role in the economy, and how it supports the vital supply chains for the families and businesses that depend on them. CEA works daily to encourage communities across the nation to seek sensible, realistic, and environmentally responsible solutions to meet our nation’s energy needs.

Contacts:
Bryson Hull
P: 202-429-4362
bhull@consumerenergyalliance.org

Consumer Energy Alliance Joins National Stakeholders in Asking Congress for Balanced Infrastructure Policies

US Capitol Building

Washington – Consumer Energy Alliance, the leading voice for sensible energy and environmental policies for families and businesses, joined other national stakeholders in a letter to the House Committee on Transportation and Infrastructure appealing for balanced policies to ensure the country can build the critical energy, transportation, water and other infrastructure needed to generate jobs, accelerate the post-COVID economic recovery and bolster American competitiveness.

CEA and 17 groups representing a cross-section of businesses, industries, and consumers signed the letter to Committee Chairman Peter DeFazio and Ranking Member Sam Graves:

“(W)e write you today to show our commitment to finding common ground and helping address many of the important challenges we must overcome to get our country moving as it continues to recover from the economic impacts of COVID-19. We stand ready to work with you to develop the vital infrastructure we need, help streamline vital priorities and ensure water resources are effectively managed while maintaining protections for the environment.”

“Despite the hopeful and unifying tone set at the Inauguration, we are concerned about ongoing regulatory delays and excessive red tape that are hindering recovery efforts needed to rebuild crumbling infrastructure. Ultimately, this will stall America’s footing in a globally competitive marketplace. Such uncertainty could further erode our ability to build new clean energy and transportation projects and grow America’s workforce.”

The letter raises concern about the “specter of revisiting the sweeping regulatory scope of the Waters of the U.S. Rule” by altering U.S. Army Corps of Engineers rules, as well as the “negative economic ripple effect” the cancellation of energy pipelines has caused.

“Other existing projects already in the ground and operating face the risk of additional shutdowns that could cause further chaos for fuel and electricity markets nationally, and price uncertainty for our manufacturers. As we just witnessed with the impact of severe weather on the Texas energy market, the country should not limit the energy being delivered to homes and businesses.”

The letter’s signers expressed an overarching desire to balance protection of the environment and public health with responsible, predictable regulations that provide certainty toward investments that can help fuel our economic growth and revival. While their interests are diverse, all the letter’s signers are unified in their commitment to work collaboratively to ensure regulations and legislation governing energy, water and infrastructure are realistic, smart and fair to all stakeholders.

“The NC Chamber and our statewide business community recognize the importance of protecting human health and preserving our environment through smart, reasonable regulations,” NC Chamber President and CEO Gary Salamido said. “As our nation navigates the next phases of pandemic recovery, our job creators need regulatory certainty and commonsense safeguards to strengthen America’s workforce and global economic competitiveness. We are committed to collaboration for balancing of economic and environmental impacts because a strong economy leads to healthy communities.”

“Every day, Americans depend on our vast pipeline network to deliver an abundant supply of affordable and reliable energy,” said Ryan Watts, executive director of the Kentucky Oil and Gas Association. “On behalf of our association and its members, we urge Congress to work with our industry to provide a fair regulatory environment, which strengthens our economy, jobs and national security.”

“A safe, efficient and cost-effective energy economy is a top priority for the Michigan Chamber of Commerce. We encourage decision makers in Washington to work to understand the energy needs of working class American families and support energy projects that will create jobs and keep energy prices low,“ said Mike Alaimo, Director of Energy and Environmental Affairs for the Michigan Chamber of Commerce.

Please click here for the full text of the letter.

Signers:

Association of Oil Pipe Lines
Consumer Energy Alliance
Colorado Farm Bureau
Energy Equipment and Infrastructure Alliance
Florida Chamber of Commerce
Florida Hispanic Chamber of Commerce
Hispanic Policy Group
Indiana Chamber of Commerce
Kentucky Chamber of Commerce
Kentucky Oil and Gas Association
Michigan Chamber of Commerce
Natural Gas Supply Association
New Mexico Cattle Growers Association
New Mexico Chamber of Commerce
New Mexico Farm and Livestock Bureau
New Mexico Wool Growers Association
NC Chamber
Ohio Chamber of Commerce

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About Consumer Energy Alliance
Consumer Energy Alliance (CEA) is the leading voice for sensible energy and environmental policies for consumers, bringing together families, farmers, small businesses, distributors, producers, and manufacturers to support America’s environmentally sustainable energy future. With more than 550,000 members nationwide, we are committed to leading the nation’s dialogue around energy, its critical role in the economy, and how it supports the vital supply chains families and businesses depend on.

Contacts:
Bryson Hull
P: 202-657-2855
bhull@consumerenergyalliance.org

Leading Consumer Energy and Environment Advocate Applauds Announcement of Gov. Edwards as New Chairman of the Outer Continental Shelf Governors Coalition

Birds flying over the Gulf of Mexico

Washington, D.C.Consumer Energy Alliance (CEA), the leading energy and environmental advocate for families and businesses, applauded the selection of Louisiana Governor John Bel Edwards and Mississippi Governor Tate Reeves as the Outer Continental Shelf (OCS) Governors Coalition chair and vice chair, respectively. Edwards and Reeves were elected as the Coalition’s new leadership during the OCS Governors Coalition Annual Meeting to serve two-year terms. Edwards will replace Alabama Governor Kay Ivey, outgoing chair of the group and Reeves will replace Alaska Governor Mike Dunleavy as vice chair.

“We appreciate Gov. Edwards’ leadership in Louisiana and applaud the Coalition for selecting Governors Edwards and Reeves for these important roles during a critical time for the nation to focus on safely advancing offshore energy issues. I am excited to work together with Governors Edwards and Reeves to help support America’s environmentally sustainable energy future – built with the power of traditional and renewable offshore energy resources to create the best mix for families and businesses, our environment and our economy,” said CEA President David Holt.

Holt added: “Thank you to Governors Ivey and Dunleavy on their successful tenures and accomplishments. CEA stands ready to work together with the Coalition and President Biden’s Administration to ensure American families and businesses have access to reliable, affordable and environmentally sound resources.”

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About Consumer Energy Alliance

Consumer Energy Alliance (CEA) is the leading voice for sensible energy and environmental policies for consumers, bringing together families, farmers, small businesses, distributors, producers, and manufacturers to support America’s environmentally sustainable energy future. With more than 550,000 members nationwide, we are committed to leading the nation’s dialogue around energy and the environment, its critical role in the economy, and how it supports the vital supply chains for the families and businesses that depend on them. CEA works daily to encourage communities across the nation to seek sensible, realistic, and environmentally responsible solutions to meet our nation’s energy needs.

 

Contacts:
Bryson Hull
(202) 657-2855
bhull@consumerenergyalliance.org

CEA’s Top 5 Favorite Energy Stories This Week – March 19

This week we saw news sources reporting that the Biden administration is targeting mid-May to begin relaxing COVID travel restrictions. Around the same time, the U.S. Senate confirmed U.S. Rep. Deb Haaland (D-NM) to serve as secretary of the U.S. Department of the Interior.

Oil prices rose slightly today, following a large sell-off earlier in the week cause by fears of a new wave of coronavirus infections spreading across Europe that generated concerns about a recovery in fuel demand. We also saw positive news as U.S. liquefied natural gas exports were projected to be on track to hit record highs in March.

Meanwhile, Texas and several other U.S. states sued the Biden administration over his decision to revoke a key permit for the Keystone XL pipeline.

This week we also saw a number of states loosening capacity restrictions on restaurants, gyms and other businesses, which many have seen as a positive step forward for their economies and employment. As New York City restaurants were given the ability to operate indoor dining at 50% capacity, a new report found NYC Mayor Bill de Blasio’s energy ban could cost every household in the city over $25,600.

With so much energy news happening this week, be sure to check out our five favorite stories as you kick off your weekend!

 

5Solar power meets interior design

Roof-top or industrial solar panels is usually what comes to mind when most of us think of solar energy, but as the energy source becomes more popular and affordable, we can look forward to seeing it sourced in new and fun ways. My Modern Met reports that designers have designed a solar powered light fixture that mimics the beautiful colors visible at sunrise, during daylight, and at sunset.

4New Volkswagen Electric Microbus to be used as a platform for autonomous driving technology

The VW ID.Buzz electric microbus, could be available for purchase by 2023. Electrek reports that the German automaker may use the bus as a platform for it’s autonomous driving technology.

3Covering canals with solar panels saves billions of gallons of water while generating renewable power

Scientists in California published a study which estimates that 63 billion gallons of water could be saved from evaporating if the state covered their canal system with solar panels, while also providing up to 13 gigawatts of renewable power annually. WIRED reports that this is about half of the new capacity California needs to meet its decarbonization goals by 2030.

2Floating hotel is the latest in eco-friendly tourism

A floating eco-hotel powered by solar, wind and tidal energy could become a reality in just a few years. Yanko Design explains that the hotel, planned for Qatar, would also collect rainwater for irrigation, purify seawater and be mobile, allowing it to be taken to different places.

1Harvest energy from almost any movement with water-filled nanogenerators

Researchers have designed a new modular nanogenerator that uses small water-filled tubes to produce electricity as the water sloshes between two electrodes. New Atlas explains that the device can harvest energy from almost any movement, and can even be attached to vehicles, float on ocean waves or be worn by a human to yield energy.

If Line 5 Closed, Who Would Pick Up the Slack?

Traffic Jam

There is no plan to replace the energy lost when the Line 5 pipeline shuts down.

We repeat – there is NO plan. So who picks up the slack?

Like most significant decisions made by a government, shutting down the pipeline could very well have “unintended consequences,” as they say that we haven’t even considered. And, we know they haven’t since, again, there is no plan.

Not just that, but has anyone thought about what happens to our friends, neighbors, and extended family in Michigan who will be directly impacted when they close the pipeline? It might not be what you think.

Shutting down the pipeline doesn’t mean people won’t need the energy that once came from it; they still will. Except now, it will just be harder to get. That’s because turning off a pipeline is like turning off the water faucet – it won’t change that you’ll eventually get thirsty – it just changes where you’ll get your next drink of water from. And how much it will cost.

Besides the continuing demand for the energy that Line 5 provides, the pipeline has been a solution to energy and funding problems for 65 years. Here are ten things that will be negatively impacted (either by making things more expensive or creating a lack of funding for essential services) when Governor Whitmer shuts down the pipeline.

  1. Air travel
  2. Home heating
  3. Traffic congestion
  4. Police
  5. Parks
  6. Public education funding
  7. Conservation funding
  8. Sewage treatment
  9. Courts and jails
  10. Roads and bridges

Will air travel still be affordable and convenient?

It is probably safe to assume that most of us are looking forward to the end of the pandemic lockdowns. We’ve all been pent-up in our homes, some relationships have taken a hit, some bank accounts are fading, and if we have children, we’re trying to balance our lives and take care of them too. After the pandemic is behind us, we’re all just hoping that the comforts we once had will reappear when this is all done. We want to experience them again, like flying.

Flying is one of life’s great joys. Travel allows us to climb above the clouds, to visit new and sometimes exotic places, to experience new cultures, and to take a break from the daily grind. Michigander’s love of flying can easily be seen through the number of flights in and out of Detroit every day that will need an alternate fuel source. That’s because the light crude oil that passes through Line 5 is currently refined into 2,376,000 gallons of jet fuel each day, which is a little more than half of what aircraft flying out of Detroit Metro use every day – roughly 88 flights.

So, when the pandemic is over, and you are looking to get away, you should plan on either far fewer flights to choose from or flights that are more expensive. We’re guessing that making flights unaffordable is not what you would have expected from shutting down a pipeline.

Home heating

Suppose you live in the Lower Peninsula of Michigan. In that case, you may not need the energy from Line 5 to heat your home, but 65% of families and businesses in the Upper Peninsula do – with almost seven out of 10 households depending on propane for home heating. And even if you don’t use it for your home, 55% of the state depends on it for heating, cooking, engines in industrial settings, farms, and fleet vehicles, including public transportation and school buses. It’s vital to the state since Michigan is one of the top two propane users in the country – and more than half of the state’s propane comes from Line 5.

Most of that is for home heating, and bad things happen when more than half the available and affordable energy supply suddenly disappears. Again, the need for propane stays the same; even if it’s unavailable, prices skyrocket. What happens to people in the UP then? In addition to their day-to-day spending, many of these people have other obligations that they have to pay for with annual incomes of less than $40,000. Despite their incomes, everyone manages their money differently. Maybe this isn’t you, but put yourself in their shoes. Wouldn’t you want the support – especially during Michigan winters with no other alternative?

Decreasing emissions starts with taking traffic off the road, not putting it back on

Many energy activists think that by turning off a pipeline, the demand for energy will stop. We know that’s a pipe dream (pun intended). Like a river in a canyon, it will find the easiest way downstream, so will energy to market. Except, instead of in an encased pipeline underground, it will be put on 2000 more tanker trucks a day or likely 800 railcars to make up for the massive loss of supply from Line 5. If you or anyone you know has to drive in Michigan, how would you feel about making the roads much more dangerous or worse – adding more potholes to avoid? Closing Line 5 will do that.

First, using tanker trucks means there would be an additional 2,000 semis on the roads every day. No one enjoys commuting when there are so many cars and trucks on the road – you or the truckers. Second, like any form of transportation, trucks can have accidents. It’s bad enough when mattresses, pickles, or hogs are scattered across the road, but tanker trucks carrying crude oil can do more than spill. They can explode and burn in an accident, and people get hurt. Truckers also have other loads, but since they can haul large loads, truckers could take what is best for them, not what is needed by the community. That means the market will dictate what gets transported, which could be at the expense of consumers, farmers, and organizations that need to get their goods to market. Not to mention, Michigan is already short of people that carry CDL licenses required by trucking agencies.

But what about trains instead of trucks? There are nowhere near enough train cars to transport the energy needed to get to market. Additionally, there is insufficient infrastructure to transport all of this energy. We have a hard enough time keeping up roads, bridges, and utility lines, just to have to add more rail lines to replace a pipeline. Except remember, one runs underground and is specifically allocated to transport fuel. In contrast, the other runs above ground through our communities and could be more strategically allocated to carry other needed goods.

If these are solutions being considered by activists, how are these better than just utilizing the pipeline? Even with just these considerations, does closing Line 5 sound like a good idea to you?

The pipeline pays property taxes to support local services, fund conservation efforts, and repair infrastructure

Property taxes pay for a host of things like conservation efforts, the police, parks, public schools, sewage treatment, courts, jails, sometimes roads, and other essential services. Those things cost money to operate. Line 5 pays more than $66 million in property taxes annually to local governments in Michigan who allocate that money just for those things. Closing the pipeline means losing all of that funding.

So, besides heating for the UP, propane for the state, jet fuel for our airports, gas for our cars, and extra traffic on our roads – what options will there be for local governments when a chunk of funding suddenly vanishes?

Community colleges could slash courses offered or charge more. Park services may be slashed, which could mean less trash pick-up, playground maintenance, patrols; local schools might be forced to cut programming, positions, or supplies, making it harder for your children to learn and perform at grade level. What happens when all the good teachers quit and move to better-paying school districts that don’t depend on property taxes generated by Line 5?

Almost everywhere, local governments oversee some maintenance of roads and bridges. Property taxes also fund that effort. Maintaining bridges with property taxes is something we want from local governments. What happens when funding is erased for keeping bridges safe?

When funding is erased, local governments have options not just to slash budgets.  They can rebalance the budget by increasing property taxes on homeowners to make up for the taxes lost.

Like the adage says, you can’t squeeze blood from a stone.   Meaning, you cannot get something from a person – especially money – that they don’t have. Especially in the midst of a pandemic.

Perhaps you have friends and relatives residing in counties that depend on property taxes from the pipeline. Would you be okay knowing you could make a difference by supporting the pipeline and didn’t?

This is just the top of the pile of things that will get tossed by the wayside when Line 5 gets shut down.

But wait, there’s more

Products could get more expensive; vehicles will get more expensive to fill up. At the end of the day, we won’t stop needing the things we depend on in our daily life – we’ll just make it harder on ourselves.

All of the products that travel through the line and the things they directly impact are listed here. Go through them to see what you can live without.

For sure, there are better ways to solve problems, most notably by having a plan.

No Plan Would Be Better Than A Bad Plan

Senior Citizen Opening Bill

Line 5 supplies 65% of propane demand in Michigan’s Upper Peninsula, and 55% of Michigan’s statewide propane needs. Still, Governor Whitmer is looking to shut it down with no other feasible plan in place. A decision that ultimately falls on families, businesses, and communities to pay the consequences.

Unfortunately and surprisingly, we often take for granted the access and affordability of the energy in our lives. We flip a switch; the lights turn on. We turn up the heat on the thermostat when the temperature drops. Unless there is an unplanned disaster in the system, Michiganders are used to reliable home heating. This access we’re afforded, and the energy security we experience, would have been astonishing to people a mere 100 years ago.

So, it is no surprise that energy insecurity is a topic people don’t often discuss. It’s not that it is taboo in comparison to other issues; it’s just harder to understand it if you’ve never gone through it. Fortunately, many Americans haven’t had to experience this, but there are a lot of people who do.

Energy insecurity happens in situations just like the one being created right now in Michigan, where families and businesses have a dependable source of energy like propane, and then suddenly it’s in short supply. Abruptly causing price increases and decreasing access to the exact same energy they had before – and that’s if they can even get it – is what is just around the corner.

Imagine when it’s 20 below zero in Northern Michigan and the Upper Peninsula, and your household income is below $40,000. Availability and pricing are the issues.

So, what would an alternative to the pipeline look like? Imagine an additional 800 rail cars a day, loading at the Superior terminal and unloading at refineries in Sarnia and Toledo – around the clock, 365 days a year. That’s only theoretical because there is not enough rail capacity to even handle the capacity of Line 5.

Or, consider an additional 2,000 trucks departing Superior, every day, traveling through the UP, Milwaukee, and Chicago to reach the refineries. Further, imagine these trucks out on the road in January and February, when winter weather makes driving a rig riskier than ever and precisely when propane is needed most in the freezing parts of Michigan. Tanker trucks are also the most expensive and the most inefficient delivery method to deliver crude oil with a maximum load of 250 barrels per tank.

For Perspective

The Detroit News said the propane shortage “would require a flotilla of trucks to replace the 540,000 barrels-a-day capacity of Line 5, a logistical nightmare that would drive up costs and increase the likelihood of an oil spill on Michigan roads.” Again, that’s 24 hours a day, every day of the year.

Not so long ago, a bi-partisan group of people thought through all of this, they did risk analyses and ran through other options. Ultimately, they concluded that the pipeline is the safest and most environmentally friendly option. It’s also underground (and eventually in a tunnel) so that it won’t clog surface transportation routes.

At the end of the day, there are not enough capacity options to replace the supply of propane that comes from Line 5. And we repeat, there is no plan.

The Energy Information Agency (EIA) notes that Michigan uses more propane for home heating than any other state. Nationally, 5% of households heat with propane – which comes out roughly to over 16.4 million people. That’s only 3 million short of the entire state population of New York or half of California’s population. In Michigan 8% of the state uses propane – that’s almost 800,000 people. For context, that’s larger than the state populations of North Dakota, Alaska, Vermont, and Wyoming.

And, about 23,000 U.P. households alone use 22.8 million gallons of propane each year, according to EIA. You can’t slash that to 14.8 million gallons without consequences.

New infrastructure buildout for electricity and natural gas is unlikely to reach these people. Considering the climate of the Upper Peninsula and Northern Michigan, the requirements and costs to bury transmission lines are laughable. Just as many rural homes will never have city water and sewer service because of the cost, there is high cost and little return on the investment for new below-ground electric cables to remote areas like the UP. Besides, households are unlikely to show enthusiasm for spending enough to retrofit their homes, which can cost between $10,000, $26,000 depending on what has to be replaced, and that’s only if the infrastructure was created.

Government sources report the national median household income in 2019 was $69,000. Michigan’s median income in 2018 was almost $57,000. Representative counties in the U.P., where propane dependency is high, have median household incomes of $35,000-$39,000. So, do you think they can afford to foot the bill to retrofit their homes?

Propane has only been available to consumers for about 100 years, but it’s made all the difference for rural and remote families and households because it’s the most easily transported fuel when they don’t have access to other forms of energy. If a propane truck can reach you on a long dirt road in the wilderness, you can have modern appliances, the latest heating, and cooling systems, and you can keep your farm operating. Propane burns cleaner than other fuels and decreases a homeowner’s carbon footprint.

Refineries that make propane run 24/7 to keep up with demand. Due to the exceptionally cold winter of 2008, Michigan used 400 million gallons of propane that year. That’s a high-water mark, but in any given year, things could fall in place, and we could have a repeat of the weather patterns from 2008. Line 5 was in full swing in 2008. What happens in a winter like that after we stop the supply of 55% of the propane used in this market?

The best plan is to proceed with the Line 5 tunnel, 100 feet below the lakebed, in rock and encased in concrete. The current pipeline has not leaked in its entire 65-year history, and the proposed new line, with the most technologically advanced features, will be even better. Contrary to activist pronouncements, this fuel supply is necessary. If the worry is really about the pipeline’s safety, then these individuals should be clamoring to approve plans for the new Line 5 tunnel project. And, if it is about the environment, then Line 5 is still the best option if lowering emissions is the goal.

While establishing the U.P. Energy Task Force, the Governor said the residents of the Upper Peninsula “deserve an energy supply that is affordable, secure, and environmentally sound.” If that’s what Whitmer believes, then why is she still trying to shut down the pipeline? Why would anybody?

Fly In or Out of DTW? It Could Get a Lot More Expensive.

Michigan DTW Airport

When Governor Whitmer promised Michiganders that she was going to shut down Line 5, she promised a lot more than you might think. That’s because promising to eliminate the delivery of light crude oil through the pipeline, Michigan and the region will lose a major supply of jet fuel.

If you consider that more than half the jet fuel used at the Detroit Metropolitan Wayne County Airport (DTW) comes through Line 5, that’s a significant dent in operations. What happens when a powerful business hub like DTW loses such a high percentage of its jet fuel? For Michigan, cutting supply to one of the country’s most important airports means putting at risk 86,000 jobs when DTW is functioning normally. Then there is everyone else who depends on those employees and their paychecks – passengers, businesses, and their families. Not to mention, the economy.

Moreover, all associated tickets, products, and services at the airport and in the terminals will see a price increase. Those events will further diminish jobs associated with the airport until a new, affordable source for jet fuel is found.

Has anyone in Lansing really thought through what shutting down this pipeline will do to our supply chains?

An “orderly shutdown” sounds safe and official, but it’s still an elimination of jet fuel and all of the associated jobs. The act itself is nothing more than a political sound bite for activists that is leading to a crisis of the Administration’s own making. Moreover, while you can substitute sugars and flours in baking, there is no substitute for a molecule of fuel. You either have jet fuel, or you don’t.

Currently, Line 5 delivers 540,000 barrels of oil daily to Michigan. After refining for different fuel products, that translates to 2,376,000 gallons of jet fuel each day, which is more than half of what airplanes departing DTW use daily.

Worse, there is no plan to replace the lost jet fuel or to support those who lose their jobs when the Governor closes Line 5.

This should concern the people of Michigan, especially since DTW is an economic engine –  generating $10 billion in economic activity along with those 86,000 jobs.

Sliced and diced, that $10 billion can be broken down a couple of ways. Visitors passing through DTW generate $4.9 billion in economic activity, while air transportation has an even bigger impact at $5.1 billion. The annual incomes connected to the airport total $3 billion annually, and direct spending is more than $5 billion.

For the ten-county area around metropolitan Detroit, and each local business that depends on the airport, the prosperity and success of DTW are vital. Having a supply of affordable jet fuel is part of that.

This extremely positive cash flow from DTW is attributable to the 32 million yearly passengers, many of whom stay at area hotels, use local transportation, eat at local restaurants, and do business in Michigan. Each year, visitors to metropolitan Detroit alone spend about $1.7 billion after arriving at DTW, which has a $3.2 billion economic impact on the area.

Before COVID, the number of passengers through DTW was increasing significantly. If you compare January and February from 2019 and 2020, travel rose by 449,532. More passengers generate more cash flow and more jobs for area residents – it also helped grow the airport which was able to add more flights and expand its terminal.

The numbers are so immense they may seem like an abstraction. But, if you live within an hour’s drive from DTW, as millions do, and if you look more carefully at what those 86,000 jobs mean to you, your family, and your neighborhood, you can see the interconnectedness. Real people, who have already suffered from COVID job losses, will have even more trouble as they try to claw back the economic gains lost during the pandemic.

For instance, hotels have a variety of employees: concierges, office administrators, desk clerks, housekeepers, event managers, maintenance staff, caterers, barkeepers, directors, reservation agents, accountants, auditors, receptionists, and general managers.

The hotels used by travelers when flying in and out of DTW have restaurants, and if they don’t have restaurants, there are plenty of restaurants nearby. These places need waiters, servers, kitchen staff, hosts, dishwashers, and cleaning services.

Think about the businesses that supply restaurants and hotels with items like food and beverage. When restaurants and hotels suffer, those businesses suffer too. You probably know someone who works, or used to work, in one of these industries. Make no mistake, all of them will be affected by closing Line 5 and the changes associated with the supply of jet fuel.

Closing Line 5 will make jet fuel even more expensive, and who will make up the difference in costs? There are taxes on each business transaction associated with DTW, and with radically reduced tax revenue from the far-reaching losses suffered by businesses associated with the airport, the answer is inescapable: Everyone pays. All of us. Governments want their taxes, and since there is no plan, everyone will face higher taxes and fees, along with other price hikes.

This is just a cautionary tale about the airport. We haven’t dug into the cargo that flies in and out of airports delivering our packages and other consumer goods. What do you think will happen to shipping fees and the cost of those goods? FedEx, UPS, Amazon, and others will pass along any increase in fuel costs. So think, how much more damage could occur when a pipeline is frivolously shut down, and hope to never find out.

DTW’s best plan? Support the Line 5 Tunnel Project.