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TAKING STOCK AS THE SHUTDOWN EXTENDS TOWARD A MONTH: A record 30 days in the partial government shutdown, federal websites feature shutdown disclaimers spelling out what workers and the public should expect. “Due to a lapse in appropriations, EPA websites will not be regularly updated,” the Environmental Protection Agency’s homepage says. The EPA has made clear from the beginning that it will update its website in the event of an “environmental emergency,” if some event imminently threatens the safety of human life, or where necessary to protect certain property. But other than that, don’t expect new information. Also, companies and others looking for guidance on environmental rule and regulatory procedure, or other information, will have to wait until funding is restored to get an answer. Other agencies, like the Pipeline and Hazardous Materials Safety Administration, have been more straightforward, with flat out cancellations of advisory panel meetings throughout January. The National Oceanic and Atmospheric Administration issued new ethics rules for furloughed employees last week, warning them not to take employment from foreign governments as they go without a paycheck. Don’t go on a foreign payroll: “You may only accept employment or engage in an activity that is compatible with your Government position,” the guidance issued on Thursday reads. “Incompatible activities include working for a foreign government or contacting a Federal agency or court (if open) on behalf of others.” No running for office during shutdown: Government employees may not engage in fundraising for a political party or candidate, or run for office during a shutdown. Welcome to Daily on Energy, written by Washington Examiner Energy and Environment Writers John Siciliano (@JohnDSiciliano) and Josh Siegel (@SiegelScribe). Email [email protected] 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. KAMALA HARRIS FOR PRESIDENT NOT GREAT FOR FOSSIL FUELS: Sen. Kamala Harris, D-Calif., made a name for herself before running for the Senate by going after Exxon Mobil for allegedly lying to investors on the effects of climate change. Harris announced Monday morning that she would be running for the Democratic nomination in 2020. Harris had joined a cadre of Democratic attorneys general in 2016, when she was the Golden State’s top law enforcement official, in investigating reports that Exxon Mobil withheld findings from investors that showed its business would be harmed by climate change. OIL PRICES COULD SOAR HEADING INTO THE ELECTION YEAR AS NEW CLEAN FUEL MANDATE KICKS IN: President Trump has been playing up low oil prices as a second tax cut for the American people and boasting that the low prices are a direct result of his actions. An impending oil price increase brought on by new global clean fuel rules taking effect, however, is set to undermine his talking points. Oil prices are set to go up by this time next year, along with jumps in the price of diesel fuel that could make transporting food and goods more expensive, according to an analysis released by the Energy Information Administration last week that also delved into the causes of the looming price increases and its effects of consumers. Read more from John’s coverage. JAPAN RECEIVES FIRST SHIPMENT OF IRANIAN OIL SINCE US SANCTIONS: Japanese refiners on Monday imported oil from Iran for the first time since the Trump administration granted it a waiver from U.S. sanctions. Japan is the last of the four biggest Iranian oil customers to resume imports after being granted an exemption from sanctions by the Trump administration, according to Reuters. China, India, and South Korea have already been importing crude from Iran. How we got here: After promising a zero-tolerance approach to cutting off oil supplied from Iran, the Trump administration blinked at the prospect of higher oil and gas prices, and granted exemptions in November, to eight countries. The exemptions contributed to the recent fall in oil prices, as less crude came off the market than expected. Brian Hook, the State Department’s special representative for Iran, recently said that of the countries that secured exemptions to continue buying oil from Iran, only five are still making purchases. He said U.S. sanctions have cut Iran’s exports to about 1 million barrels a day from 2.7 million. MEXICAN PIPELINE EXPLOSION KILLS 85: An explosion at an illegally tapped gas pipeline in central Mexico has killed 85 people as of Sunday, with 58 people hospitalized, the Wall Street Journal reported. Fuel thieves had punctured the pipeline, helping create a massive fireball that engulfed people trying to collect spilled fuel into buckets, plastic jugs, and garbage cans. The explosion, which occurred Friday, comes as new leftist President Andres Manuel Lopez Obrador has vowed to crackdown on fuel theft from illegal taps of pipelines, which is common in Mexico. “It’s very painful that these practices have become ingrained in our country. The images of people with cans and tanks for taking out gasoline or diesel is an issue that unfortunately extends throughout oil country,” Lopez Obrador said on Saturday at a press conference. Lopez Obrador launched a initiative after taking office Dec. 1 to prevent the illegal practice of fuel tapping, deploying 3,200 marines to guard pipelines and refineries. He also shut down some pipelines to deter tapping, leading to gasoline shortages in parts of the country. CHINA’S POWER DEMAND REMAINS STRONG DESPITE TRADE WAR WITH US: Power demand in China has grown massively despite trade tensions with the U.S., the energy consultancy group Wood MacKenzie said Sunday. Wood Mackenzie’s Frank Yu said power demand increased 8.7 percent in the first 10 months of last year. This massively beat expectations, as the group had projected China’s total power demand in 2018 could fall by 0.5 percent because of China’s retaliatory tariffs on $34 billion of U.S. goods that went into effect in July, targeting goods such as agriculture products and electric vehicles. China later imposed a percent tariff on American liquefied natural gas, beginning in October. Why China has weathered the storm: Yu said the effects of the trade war on China’s power market have been limited because Beijing exports more than it imports. The U.S. also is a relatively small export market for Chinese producers, and Beijing is developing alternative markets. US is feeling the impact: U.S. energy industry officials, meanwhile, have pushed for a trade truce. Mike Sommers, the president and CEO of the American Petroleum Institute, expressed concern this month about China’s tariff on American LNG. He said the levy is threatening to discourage China, the world’s fastest growing LNG market, from signing long-term contracts with American developers. FERC COMPLETES ENVIRONMENTAL REVIEW FOR DRIFTWOOD LNG TERMINAL: The Federal Energy Regulatory Commission issued a final environmental analysis Friday for Tellurian’s Driftwood liquified natural gas terminal, a major step towards its completion. The Driftwood project in Louisiana promises to export 27.6 million tons per of LNG from the U.S. Gulf Coast. FERC staff determined the project “would result in adverse impacts on the environment; however, impacts on the environment would be reduced to less than significant levels” with proper mitigation efforts. “We look forward to receiving [FERC’s] order granting authorization to site, construct and operate our Driftwood project,” Tellurian President and CEO Meg Gentle said in a statement. Gentle said Tellurian plans to begin construction on Driftwood in the first half of 2019, and expects to deliver its first shipment of LNG in 2023, assuming it can line up customers. The big picture: Driftwood is one of dozens of LNG projects being developed in the U.S., intended to meet rising global demand for the chilled liquid fuel. FERC has struggled to keep up with a backlog of projects seeking permits because of a manpower shortage. FERC Chairman Neil Chatterjee has emphasized approving LNG projects as a priority. The Energy Department says that America’s two currently operating LNG export facilities ship the liquefied gas to 30 nations on five continents, and have increased exports of LNG from 0.5 billion cubic feet per day in 2016 to nearly 2 billion cubic feet per day in 2017. RUNDOWN Wall Street Journal Puerto Rico picks bidders for ailing power utility Reuters European power firms aim to harness electric car batteries Bloomberg Tesla gets green light to start delivering Model 3 in Europe The Atlantic The Green New Deal hits its first major snag |
CalendarMONDAY | January 21 Martin Luther King Jr. Day federal holiday. All day, San Diego. National Biodiesel Conference & Expo is held at the Marriott Marquis San Diego Marina, Jan. 21–24. THURSDAY | January 24 TBD, Energy Information Administration releases its Annual Energy Outlook. |