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TRUMP’S CHEST THUMPING OVER OIL PRICES TO CONTINUE THROUGH 2020 ELECTION: President Trump is taking credit for single-handedly lowering the global price of oil through a combination of waivers and strategic prodding of OPEC.

“That’s because of me,” Trump said of the low prices at a press conference Wednesday. “If you look at oil prices they’ve come down very substantially over the last couple of months.”

The facts: The Energy Department reported a day earlier that the average oil price shot up by $2 since September, to $81 per barrel. The surge had a lot to do with the build-up to the U.S. imposing sanctions on Iran Nov. 5 after pulling out of the Obama-era nuclear deal.

Nevertheless, oil prices on the spot and futures markets were much lower at the end of October.

Unpacking the rhetoric: Trump is trying to keep things simple by demonstrating to a domestic audience that he has their best interests in mind in using sanctions to go after Iran, and won’t drive up their energy costs.

In explaining why he is allowing some countries through waivers to continue to import Iranian oil, he said: “I did it because I don’t want to drive oil prices up to $100 per barrel, because I’m driving them down.”

Onward to 2020: Some observers see Trump’s attention to energy costs — and doing good by the American people by trying to lower them — as something that will carry on through his 2020 re-election bid.

A big part of that will be continuing a strategy he started on Twitter earlier in the year by scolding OPEC countries — of which Iran is one and Saudi Arabia another — for raising oil prices.  

Oil prices are going up “because you have a monopoly called OPEC. And I don’t like that monopoly,” Trump added at Wednesday’s press conference.

Trump’s strategy might just work: The Energy Department’s 2019 projections show the global oil price hovering around $72 per barrel, and the U.S. domestic price at $7 below that. If that bears out, expect the Trump chest-thumping on oil prices to be a recurring theme.

Meanwhile, his diplomatic corps is working overtime to try and sway countries that continuing to  allow Iranian crude oil to flow is a big liability for them by arguing the cost of insurance.

Insurance costs are through the roof: The Trump administration is using the threat of insurance liabilities to pressure countries into blocking Iranian ships that are transporting oil, a senior State Department official announced Wednesday.

“If Iranian takers make calls to your ports or transit through your waterways, this comes at great risk,” Brian Hook, the department’s special envoy for Iran, told reporters.

“Oil spills and accidents involving tankers are extremely costly,” Hook said. “From the Suez Canal to the Strait of Malacca — and all chokepoints in between — Iranian tankers are now a floating liability,” he said.

“Countries, ports, and canal operators, and private firms should know they will be likely responsible for the cost of an accident involving a self-insured Iranian tanker.”

Welcome to Daily on Energy, compiled 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.  

AFTER SUFFERING BIG ELECTION LOSSES, GOP CLIMATE HAWKS AIM TO REBUILD: The bipartisan Climate Solutions Caucus suffered huge losses of Republican members in the midterm elections, but the remaining GOP members are vowing to rebuild it rather than fold, as some Democratic critics would prefer.

“The losses make it a little bit more lonely for me,” Rep. Francis Rooney of Florida, the newest Republican of the 90-member climate caucus, which has an equal number of Republicans and Democrats, told Josh. “But I am not going to change my behavior just because of who is or is not in the House.”

Republicans among the 20 or so who won re-election say the group would remain important as a vehicle to produce bipartisan legislation to combat climate change, and dismiss the idea that Democrats could succeed by working alone.

Some Democrats go for the kill: Meanwhile, progressives who never bought into the premise of the caucus are cheering the loss of nearly half of the 45 Republican members — including their GOP leader, Rep. Carlos Curbelo of Florida — and hoping that the caucus will now be shut down in favor of Democrat-only legislative action.

“That caucus seems to exist to provide cover for members who otherwise have anemic environmental voting records,” Rep. Gerry Connolly, D-Va., chairman of the rival, Democrat-only Sustainable Energy and Environment Coalition, told Josh.

Connolly added he would like to see the caucus dismantled in the new Democrat-controlled House.

There’s still strength in numbers: But at least 20 Republicans from the group won re-election, including Rooney and Rep. Brian Fitzpatrick of Pennsylvania, who both co-sponsored a carbon tax bill Curbelo introduced late this summer. Caucus supporters view either of them as natural heirs to Curbelo and plan for the caucus to survive and grow.

“We can rebuild the caucus,” said Mark Reynolds, executive director of the Citizens Climate Lobby, a group advocating for a revenue-neutral carbon tax that recruits members to the group.

Read more of Josh’s report here.

LOSS OF CENTRIST REPUBLICANS CEMENTS GOP AS PARTY OF TRUMP: The Democratic takeover of the House has reinforced the GOP as the party of Trump.

Centrist House Republicans from wealthy suburbs suffered many of the party’s losses, including a number who distanced themselves from Trump.

“Yesterday was in no uncertain terms a rebuke of the Republican Party in House districts by middle-of-the-road voters,” Rep. Ryan Costello, R-Pa., a retiring member of the Climate Solutions Caucus, told Josh.

Trump pours salt on the wounds: Other Trump-skeptical Republicans also lost, such as Rep. Mike Coffman, a climate caucus member representing a suburban Colorado district becoming bluer and more diverse.

Coffman was one of several centrist Republicans whom Trump mocked Wednesday, blaming their defeats on their refusal to “embrace” him in their campaigns.

The president also named Curbelo; Barbara Comstock of Virginia, representing the wealthy suburbs around Washington, D.C.; Peter Roskam of Illinois, a longtime mainstay of the Chicago suburbs; Erik Paulsen of Minnesota; and John Faso of New York. All belong to the climate caucus.

Don’t blame climate for moderate GOP losses: Costello said critics from the right have the wrong idea about why GOP moderates with climate credentials like Curbelo lost.

“There are people trying to create this narrative that if you look at the Republicans who lost, climate is a losing GOP issue, which is total bullshit,” he said. “The notion that suburban Republicans or independent voters will vote for a Democrat over a Republican because the Republican speaks out about climate issues is either intellectually dishonest or coming from someone who is just delusional.”

GOVERNMENTS GEAR UP FOR U.N. CLIMATE SUMMIT BIGGER THAN PARIS: The United Nations is holding a major climate summit in Poland next month that will take the next big step on implementing the Paris climate deal.

“This will be most important climate summit since the Paris Agreement was adopted in 2015,” the World Resources Institute said Thursday morning in hosting a call to preview the meeting that begin December 2.

The non-partisan environmental think issued a primer on the meeting to go over the principles the countries will discuss on implementing the Paris deal, which the U.N. has dubbed the Paris Rulebook.

Moving forward on Paris: The rulebook provides the ground rules for setting the Paris Agreement into motion in a fair, transparent way, while countries will commit to strengthen national climate commitments by 2020, and strengthen financial commitments to developing countries to help them reduce carbon emissions.

Trump’s view of it unclear: It is unclear if the Trump administration will participate in the meeting. Most of what the rulebook holds countries accountable for Trump has disagreed with in declaring his intent to exit the Paris deal. That process of withdrawal is still ongoing, and will take up until the 2020 presidential elections to actually begin.

CALIFORNIA DREAMIN’ ABOUT A FRACKING BAN THAT MAY NEVER COME: California’s San Luis Obispo County failed to pass a fracking ban on Tuesday, as early votes showed more than 56 percent saying “no” to the measure.

Reports from the county clerk’s office suggest that it could take a few weeks to compile all the votes on the measure, with most of the votes counted coming from mail-in ballots.

But is there really a cause for a ban on the drilling method?

Although oil drilling has taken place for more than a century near Los Angeles, it is highly questionable whether the big shale-oil and gas rushes seen in Pennsylvania, North Dakota, and Texas will ever be seen in the Golden State.

Read more from John’s coverage here.

EPA ISSUES RULE TO HELP STATES MEET OBAMA-ERA OZONE STANDARDS: The Environmental Protection Agency released on Thursday its final guidelines to help states meet 2015 rules for reducing smog-forming ozone pollution.

The ozone rules were set into motion by the Obama administration, but after a court blocked the Trump administration from trying to delay them, the EPA is now required to enforce the rules.

Maximum flexibility for states: The Trump EPA is doing so through a state implementation plan it released Thursday that shows states what it expects from them in meeting the standards, while giving them maximum flexibility in doing so.

“This final rule grants states the flexibilities they need to incorporate factors that are often outside their control, such as international air pollution, so they can meet the 2015 ozone standards and continue our nation’s tremendous clean air progress,” said EPA Acting Administrator Andrew Wheeler.

RICK PERRY COMPLETES A ‘FASCINATING JOURNEY’: Just before Jeff Sessions resigned on Wednesday, Energy Secretary Rick Perry tweeted out a video and remarks that sounded like he might be going away soon, as well.

“I’m pleased to report that I recently completed that fascinating journey and had the privilege of seeing the incredible work being undertaken by our Nation’s brightest minds,” Perry said in a tweet marking the end of his travels to all 17 Energy Department national labs.

Perry had told John in October that he was set to finish his goal of visiting all 17 labs that the agency oversees as a key milestone in his nearly two years as head of the Department of Energy. On Wednesday, he completed that goal, with a poignant statement and video posted on Twitter.

But could the completion of his “fascinating journey” mean something more than just the meeting a milestone?

Sources close to the administration have said that Perry had always wanted a position closer to the military and national security. And there had been speculation that Perry could have been a pick to lead Veterans Affairs after a meeting with the president earlier in the year.

But Perry has answered questions about his possible departure by saying he is happy where he is at the Department of Energy.

DEMOCRAT SET TO TAKE OVER PUBLIC LANDS COMMITTEE PLANS TO PROBE ZINKE: Rep. Raul Grijalva, D-Ariz., slated to take over the House Natural Resources Committee next Congress, said Wednesday that the panel will use its oversight power to investigate the actions of embattled Interior Secretary Ryan Zinke.

Grijalva told Bloomberg he wants to probe whether the Trump administration sought to replace acting Interior inspector general Mary Kendall with a political appointee to soften the blow of the ongoing Zinke investigations.

The probes facing Zinke: Interior’s inspector general reportedly asked the Justice Department to launch an investigation last month into the possibility that Zinke used his position as secretary for personal gain and enrichment.

The inspector general has been investigating Zinke since July over his ties to a Montana-based foundation that he once ran before becoming a member of the Cabinet, and its involvement in a real estate deal with David Lesar, the head of oil services giant Halliburton, and several others.

Focus of Democratic oversight: The Trump administration abandoned its attempt to replace Kendall after media drew attention to the possible move. It had sought to replace Kendall a week after she referred the Zinke investigation to the Justice Department, Bloomberg reported.

The timing “can’t be dismissed as merely a coincidence,” Grijalva said. “That’s why the oversight is so necessary.” He vowed to “get the facts.”

TRUMP VOWS HE’LL HAVE MORE TO SAY ON ZINKE SOON: Trump reiterated Wednesday that the White House is “looking at” the allegations facing Zinke, and will have more to say about him soon.

“I think he’s doing an excellent job,” Trump said at a White House news conference. Asked about the allegations, the president added: “We’re looking at that, and I do want to study whatever is being said … we will probably have an idea about that in about a week.”

Zinke, meanwhile, sounds like a guy who wants to stick around. He offered congratulations to Democrats for taking the House in a tweet Wednesday, and said he’d press on with the Trump administration’s “energy dominance” agenda.

TESLA REPLACES MUSK AS CHAIRMAN: Electric carmaker Tesla on Thursday chose Australian telecom executive Robyn Denholm to replace Elon Musk as chairman of the board.   

Denholm had been an independent director at the car company for four years, while serving as chief financial officer at the Australian telecom giant Telstra.

Her appointment follows investor distress over how Musk was managing the company, including his tweets about taking the company private that triggered an SEC investigation. In a settlement with federal regulators, Musk agreed to step down as chairman.

RUNDOWN

Houston Chronicle In Washington, politics around oil in flux

Washington Post How science fared in the midterm elections

Bloomberg Trudeau’s reforms won’t break pipeline logjam, oil groups warn

Wall Street Journal Toshiba expects nearly $1 billion hit to get out of U.K. nuclear, U.S. gas businesses