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DOES TRUMP STILL WANT IRAQ’S OIL? President Trump often spoke of seizing Iraq’s oil during his 2016 presidential campaign, arguing that the U.S. should have benefited from the country’s oil wealth before pulling out.

But that idea seems to have taken a backseat to more practical discussions with Iraq, like helping them become more energy independent, and backing away from Iran.

At least that was Energy Secretary Rick Perry’s message to Iraq when he visited the country on Tuesday after leaving Saudi Arabia. Perry is on a tour of the Mideast’s mighty oil and natural gas producers, looking to shore up relations and cooperation on energy development in the Gulf.

In Iraq, Perry said he wanted the country to become energy-secure by building out its own resources, and most importantly becoming less dependent on its neighbor Iran.

“The time has come for Iraq to break its dependence on others and move forward toward true energy independence,” Perry said in Baghdad. “I’m here to tell you that America and its business community stand ready to assist you in that endeavor.”

Perry addressed the country’s leadership with the help of the U.S. Chamber of Commerce, which had in tow a large U.S. trade delegation.

Iraq is no puny energy producer. It has some of the largest oil reserves in the world, and is the second largest oil producer in OPEC after Saudi Arabia.

It faces infrastructure hurdles in the wake of the U.S. invasion and the rise of the Islamic State. It also has a tenuous relationship with the semi-autonomous zone of northern Iraq ruled by the Kurds, who also want to develop their energy resources.

In addition, Iraq also faces electricity production issues. The oil industry is highly dependent upon a steady flow of electricity.  

So much for energy independence: In fact, soon after Perry’s talk, Iraq said it will be traveling to Washington to ask for waivers to allow it to continue receiving energy from Iran, Prime Minister Adel Abdul Mahdi said on Tuesday.

The Trump administration gave Iraq a 45-day exemption for the sanction when they were imposed on Nov. 5 to import natural gas from Iran. But Iraq is not satisfied with the short-term measure, and requires a long-term waiver.

The prime minister suggested that the lights could go out in Iraq if natural gas imports are curtailed too soon.

“The American side is cooperating with Iraq to find solutions that would remove pressure on Iraq because the [imported] gas is linked to a very sensitive issue which is electricity,” Abdul Mahdi told reporters at a news conference.

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DEMOCRATS PRESSURE PERRY FOR UPDATE ON SAUDI NUCLEAR DEAL: When Perry gets back to Washington he will be greeted by Democrats prodding him for details on negotiations between the U.S. and Saudi Arabia on a planned nuclear energy deal with the country.

Democratic Sens. Ed Markey of Massachusetts and Sen. Jeff Merkley of Oregon want Perry to brief the Foreign Relations Committee as soon as possible.

They said on Tuesday in a joint statement that Saudi Arabia’s “flagrant disregard for international rule of law, including the murder of U.S. journalist Jamal Khashoggi,” warrants the “immediate and indefinite suspension” of any negotiations on a civil nuclear energy pact.

In an interview with Reuters Tuesday night, Trump called Saudi Crown Prince Mohammed bin Salman a “good ally,” dismissing the allegations that he was behind the murder of Khashoggi.

Trump reiterated on Tuesday that the “crown prince vehemently denies” that he was involved in the murder.

JOE MANCHIN ELEVATED TO TOP DEMOCRAT ON ENERGY COMMITTEE DESPITE GREEN CRITICS: Sen. Joe Manchin of West Virginia, a vocal supporter of the coal industry, was officially tapped Tuesday to be the top Democrat on the Senate Energy and Natural Resources Committee next Congress.

Senate Minority Leader Chuck Schumer, D-N.Y., announced Manchin’s rise to ranking member status Tuesday afternoon, a move that environmental groups had dreaded.

Environmental groups had urged Schumer to block Manchin from leading Democrats on the committee, which has oversight of key energy programs that relate to climate change.

But Schumer feared setting bad precedent about Democratic seniority rules.

Manchin promises neutral approach: In a statement, Manchin vowed Tuesday to work with senators of both parties on an “all-of-the-above” approach to energy. He did not mention climate change. Manchin last week dismissed environmental groups critical of his green credentials, telling reporters, “I don’t think they’re senators.”

How he came to power: The spot opened up for Manchin because the current energy committee ranking member, Maria Cantwell, D-Wash., is switching to be the top minority senator on the Commerce Committee, a transition that Schumer also made official Tuesday.

Other liberals with seniority over Manchin on the Energy and Natural Resources Committee have said they are not interested in taking over, including Sen. Bernie Sanders, I-Vt., the former presidential candidate and proponent of action to combat climate change, who is keeping his ranking member role on the Budget Committee.

GOP welcomes him: Sen. Lisa Murkowski, R-Alaska, the committee chairwoman, said Wednesday she looks forward to working with Manchin.

“I’m excited to work with him in his new capacity as we continue our committee’s tradition of advancing good, timely, bipartisan legislation for our nation,” Murkowski said.

SENATE REPUBLICANS ARGUE ‘GREEN NEW DEAL’ WOULD BE IMPOSSIBLE AND UNAFFORDABLE: Senate Republicans struck back Tuesday at growing momentum among progressive House Democrats for a “Green New Deal” next Congress to combat climate change.

The Senate Republican Policy Committee, led by Sen. John Barrasso of Wyoming, the chairman of the Environment and Public Works Committee, issued a paper saying the Green New Deal’s focus on eliminating fossil fuels within 10 years would be expensive and technically impossible.

“While the plan is being sold as a solution to climate change and a jobs program, it would cost trillions, and it ignores the rest of the world’s contribution to climate change,” the policy paper said.

Who’s behind the Green New Deal: Incoming House liberals, led by progressive sensation Rep.-elect Alexandria Ocasio-Cortez of New York liberals, are demanding that Democratic leader Nancy Pelosi of California revive a select climate committee and empower it to draft a bill to require that 100 percent of electricity come from renewable sources within a decade.

Is it a real policy? A 100 percent carbon-free or renewable energy target has long been a slogan and broad vision more than an achievable policy goal for Democrats who want to transition the power grid faster to nonemitting sources.

But many experts say 100 percent policies must include “clean” energy sources that aren’t renewable for it to be technically feasible. These include advanced nuclear reactors, or carbon, capture, and storage technologies that can collect carbon emissions from coal or natural gas plants and store it underground.

ETHANOL INDUSTRY AND GREENS GET BEHIND FARM BILL’S CLIMATE PILOT PLAN: The ethanol industry joined with environmentalists on Wednesday in support of a new soil erosion plan in the Farm Bill aimed at curbing the effects of climate change.

The new Environmental Quality Incentive Pilot Program was included in the Farm Bill that was  passed by the Senate on Tuesday after months of deliberations. The House is expected to follow soon.

When Trump signs the bill, he will have added a new program aimed at both combating climate change and creating fuels that can be sold in markets that promote low-carbon energy, such as California.

What it does: The EQIP project aims to document the benefits of farming practices meant to improve soil health by simultaneously lowering emissions. Many of the farming practices it promotes are meant to keep the carbon dioxide released by farming and tilling in the ground.

Carbon dioxide is the most abundant greenhouse gas that is to blame for manmade climate change.

Coalition of the willing: The ethanol industry, corn farmers and the environmental community are taking full advantage of the program, which will incentivize corn-ethanol sales in some states.

Opens up new markets for ethanol: “The economic value farmers can receive from being properly credited for their ability to sequester carbon and participate in low carbon fuel markets and for other climate policies is significant,” said Brian Jennings, CEO of the American Coalition for Ethanol. “ACE is committed to fostering the development of these low carbon market opportunities that also increase income to farmers and rural America.”

Who’s on the list of supporters? Jennings joined with the Environmental Entrepreneurs, the National Corn Growers Association, and the Natural Resources Defense Council to thank the Farm Bill conferees for including the program.

HOUSE PASSES BILL OPPOSING RUSSIA’S NORD STREAM PIPELINE: The House passed a symbolic resolution on Tuesday that outlines opposition to Russia’s planned Nord Stream 2 natural gas pipeline and says that the pipeline is a “drastic step backwards for European energy security and United States interests.”

The Trump administration also opposes the Nord Stream 2 pipeline project that would transport natural gas from Russia to Germany, arguing it would threaten stability in the region.

Russia is a top supplier of natural gas to Europe, which the Trump administration is seeking to change by encouraging the export of U.S. natural gas to the continent now that America the top producer of that fuel.

UTILITY’S POWER LINE NEAR RECORD CALIFORNIA WILDFIRE HAD DAMAGE: California utility PG&E disclosed Tuesday that one of its power lines was damaged prior to the Camp Fire last month that was the state’s deadliest and most destructive wildfire ever.

In a filing to state regulators, reported by the Wall Street Journal, PG&E said a larger power line stopped working just before the fire began. The Northern California fire killed 86 people.

The power line appears to have separated from one of the metal towers that held it, the company said. California investigators have not yet determined PG&E’s faulty power line caused the Camp Fire, but the filing raises the likelihood that the utility could be held liable.

The state’s fire agency, Cal Fire, has already found PG&E responsible for 17 wildfires in 2017, some of which may result in criminal charges.

CONSERVATIVE GROUP SUES ENERGY DEPARTMENT FOR NOT RESPONDING TO DOCUMENT REQUEST: The Competitive Enterprise Institute, a libertarian group, sued the Energy Department in federal court on Tuesday, saying the agency failed to respond to a Freedom of Information request.

The group claims the agency has not provided requested documents related to any lobbying of the Energy Department done by major financial firms such as Goldman Sachs, JP Morgan Chase, Capital One, and Fidelity related to extending and expanding a tax credit that helps fund carbon capture and storage projects. Trump signed a bipartisan bill last year expanding the tax credit, known as 45Q.

NRDC TO FORMALLY ASK CONGRESS TO ADD RICK PERRY TO ITS LISTS OF NEXT YEAR’S PROBES: Perry won’t likely escape the scrutiny of House Democrats next year, if environmental groups like the Natural Resources Defense Council have anything to say about it.

The NRDC is readying a letter to Congress asking it to add Perry and his agency to its oversight agenda after it found earlier this week that the Trump Energy Department may be sitting on hundreds of millions of dollars in grant money that it was supposed to allocate for renewable energy and advanced technology research and development.

RUNDOWN

New York Times Warming in Arctic raises fears of a ‘rapid unraveling’ of the region

Reuters CNPC suspends investment in Iran’s South Pars after US pressure

Politico Pelosi looks to ease concerns of incoming chairmen over climate panel

Chron.com Cornyn, Houston Democratic mayor unlikely allies in support of LNG project

Wall Street Journal Brexit or not, Britain’s oil and gas business is booming

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