Welcome to Daily on Energy, written by Washington Examiner energy and environment writers Callie Patteson (@CalliePatteson) and Maydeen Merino (@MaydeenMerino). Email cpatteson@washingtonexaminer dot com or mmerino@washingtonexaminer dot com for tips, suggestions, calendar items, and anything else. If a friend sent this to you and you’d like to sign up, click here. If signing up doesn’t work, shoot us an email, and we’ll add you to our list.

THE LATEST ON IRAN: Iranian state media reported that Tehran has rejected a ceasefire proposal, despite President Donald Trump’s threats to attack its power plants and bridges. 

Mediators from Egypt, Pakistan, and Turkey sent Iran and the U.S. a proposal for a 45-day ceasefire and the Strait of Hormuz to reopen, the Associated Press reports. But, according to state media, Iran has rejected the proposal and instead is asking for a permanent end to the war and a protocol for vessel safety in the strait. 

“We won’t merely accept a ceasefire,” chief Iranian diplomat Mojtaba Ferdousi Pour told the Associated Press. “We only accept an end of the war with guarantees that we won’t be attacked again.”

The president told the Wall Street Journal yesterday that Iran has until Tuesday evening to agree to open the Strait of Hormuz, threatening to attack Iran’s power plants and bridges if Tehran does not agree. 

The president told reporters at the White House Easter celebration that Iran’s proposal was “significant” but “not good enough.” 

Trump in recent weeks has extended his deadline for Iran to open the Strait of Hormuz, a key trading waterway. But he told reporters it is “highly unlikely” that he would extend the deadline. 

EPA FINALIZES OIL AND NATURAL GAS REGULATIONS: The Environmental Protection Agency said it has finalized revisions to certain aspects of the Biden administration’s oil and natural gas industry rules, known as OOOOb/c. 

The Biden administration rule restricted routine flaring of natural gas from new sources, but allowed for temporary flaring for up to 24 hours in maintenance situations. The new rule would now allow for temporary flaring up to 72 hours. 

Temporary flaring is a controlled burning of natural gas at oil and gas sites to release pressure in pipes or tanks during maintenance or emergencies. 

“During exigent circumstances where site access is limited due to extreme inclement weather, temporary personnel shortage, or supply chain issues due to circumstances outside the owner or operator’s control, the final rule provides additional time beyond the 72 hours,” the EPA said. 

It added that it would also revise the monitoring of the net heat value in vent gas from flares, allowing for owners and operators to generally no longer need to conduct net heat value sampling. 

The agency said, “these changes would reduce the number of unnecessary tests by up to 141,000 per year—about 1.9 million over 15 years.” 

LNG TANKERS ABORT EFFORT TO TRANSIT STRAIT OF HORMUZ: Two liquefied natural gas tankers turned around at the last minute rather than pass through the Strait of Hormuz, according to ship tracking data compiled by Bloomberg. 

The Qatari gas tankers Al Daayen and Rasheeda earlier appeared to be heading east but made a u-turn. Bloomberg said both tankers loaded LNG from Qatar’s export plant in February. It added that, since the war started, tankers carrying LNG have yet to pass through the strait. 

Then, the ships switched their destinations to Pakistan. Iran has said it would allow 20 Pakistani vessels to cross the strait. 

Bloomberg noted that it is unclear whether the ships were trying to pass through the strait and the destinations are not final. It added that Al Daayen was earlier signaling delivery to China. 

The effective closure of the trading waterway has squeezed the supply of natural gas in the global markets. 

OPEC TO BOOST OUTPUT ONCE STRAIT OPENED: Over the weekend, OPEC agreed to increase oil output by 206,000 barrels per day next month – a move that won’t really make a difference to the global markets while the Strait of Hormuz remains closed. 

This is less than 2% of global crude oil supply disrupted by the closure of the strait, which had been seeing more than 20% of worldwide flows transit through before the war began. 

The production increase includes hikes for both Saudi Arabia and Russia of 62,000 barrels per day. Iraq will increase by 26,000 barrels per day, the UAE by 18,000, and Kuwait by 16,000. Kazakhstan, Algeria, and Oman will see increases below 10,000 barrels per day.

These production hikes could prove difficult for countries like Saudi Arabia, the UAE, Kuwait, and Oman, as Iran continues to damage energy infrastructure in the Persian Gulf. 

WHERE PRICES STAND: OPEC’s decision to expand production offered little relief to traders today as the markets brace for attacks on Iranian power plants tomorrow. 

International and domestic benchmarks for crude were slightly down this morning, on the news that U.S. and Iranian ceasefire talks were advancing. By this afternoon, though, following the president’s rejection of Iran’s proposal, prices began to tick back up. 

Just before 3 p.m. EDT, Brent Crude was up by 0.76%, selling at $109.86 per barrel. West Texas Intermediate had also risen by 0.74% and was priced at $112.37.

How about gasoline? Prices at the pump are inching closer to record highs, as the average price of gas nationwide is now at $4.119 per gallon. The average price of diesel now sits at $5.618, just 20 cents below the 2022 all-time record. 

The city of San Francisco made its own record over the weekend, as it became the first U.S. city where diesel prices hit more than $8 per gallon. 

GasBuddy analyst Patrick De Haan warned earlier today that prices at the pump could see another shock this week, with sharp increases expected to be seen in the Plains, Great Lakes, and part of the Rockies region. 

In a recent piece by the Examiner’s Molly Parks, De Haan also explained why prices won’t come down until the strait is opened. You can read more on that here. 

FLY ME TO THE MOON – ARTEMIS II UPDATE: The four astronauts with NASA’s Artemis II mission have now traveled further from the Earth than any humans before. 

At roughly 1:57 p.m. EDT, the astronauts broke the record set by Apollo 13 in 1970 by traveling further than 248,655 miles from Earth. This isn’t even the farthest the Artemis II crew is expected to travel, as they will hit a maximum distance of 252,760 miles from Earth just after 7 p.m. EDT, as they travel around the far side of the moon. 

“As we surpass the furthest distance humans have ever traveled from planet Earth, we do so in honoring the extraordinary efforts and feats of our predecessors in human space exploration,” Canadian astronaut Jeremy Hansen said in a message sent back to Earth. “We will continue our journey even further into space before Mother Earth succeeds in pulling us back to everything that we hold dear, but we most importantly choose this moment to challenge this generation and the next to make sure this record is not long-lived.”

The record came just before the crew members were scheduled to begin their seven-hour observation period as they fly by the moon. 

The flyby is being streamed on NASA’s website, as well as major platforms, including YouTube, Apple TV, Netflix, and HBOMax. 

USED ELECTRIC VEHICLE SALES JUMP: Sales of used electric vehicles have jumped in the U.S. as oil prices rise, the Financial Times reports. 

Cox Automotive’s recent report found that first-quarter used EV sales jumped 12% compared to the same time last year and 17% from the previous quarter. 

The publication noted that analysts are saying there is excess supply of used EVs on the market because consumers are returning cars they purchased in the early-2020s as their leases end. 

The supply glut has also helped to bring down prices by 8.5% between February 2025 and 2026, Cox Automotive said. 

ICYMI – KEN PAXTON PROBES ROOFTOP SOLAR FIRMS OVER FRAUD: Texas Attorney General Ken Paxton is taking legal action against several major rooftop solar companies, accusing the firms of using deceptive and fraudulent sales practices in the Lone Star State.

The details: On Friday, Paxton’s office announced that it issued Civil Investigative Demands to solar firms, including Freedom Forever, SunRun, Lone Star Solar Services, and CAM Solar. The attorney general’s office said it had received over 100 complaints against these firms, over alleged misrepresentations of energy savings for consumers. 

Paxton is also investigating the companies over alleged misrepresentations regarding the efficacy of solar panel systems, equipment implementation, and terms and policies.  

The Civil Investigative Demands order the companies to disclose documents on how they track changes to electricity bills for consumers in order to determine energy savings, as well as warranties, service plans, marketing materials, and contract information. 

“Thousands of Texans have been targeted by companies selling solar panel systems, and it’s imperative that these companies are held responsible for any lies or deceptive marketing they use,” Paxton said in a statement. 

A LOOK AHEAD: 

April 7 The Carnegie Endowment for International Peace is holding a webinar titled, “Crude Diplomacy: Oil and the Iran War”

April 8 The Transmission Infrastructure South Conference will be held in Austin, Texas

April 8 Utility Dive will be holding a webinar titled “Tackling Transmission, Unlocking power for growing demand.”  

April 8 S&P Global is holding a webinar taking a look at the first 90 days after the European Union’s Carbon Border Adjustment Mechanism went into effect over the new year

April 8 Widehall Events is bringing together industry leaders and policy experts in Washington D.C. for a conversation focusing on how the war in Iran is affecting the race for energy and critical minerals. 

April 8 – 9 The 16th International Conference on Climate Change will be held in Washington D.C. by the Heartland Institute, featuring keynote remarks from Environmental Protection Agency administrator Lee Zeldin.  

April 9 The United States Energy Association is holding a webinar providing an overview of a $50 million funding opportunity from the Department of Energy’s Office of Indian Energy

April 9 The Atlantic Council is holding its Global Prosperity Forum in Washington D.C. 

RUNDOWN 

Canary Media These Palo Alto kids are pushing the city to promote induction stoves

Associated Press From digging coal to selling noodles? China’s mining workers face change

Bloomberg State Climate Laws Targeted Around US as Iran War Spikes Gas Prices