Daily on energy: Top Trump environment picks advance in Senate

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SENATE COMMITTEE ADVANCES TOP TRUMP ENVIRONMENTAL NOMINEES: The Senate Environment and Public Works Committee on Wednesday morning advanced the nominations of Kathleen Hartnett White for the top White House environmental post and Andrew Wheeler to be deputy administrator of the EPA.

The committee approved both nominees, who were strongly opposed by Democrats, on party lines. They now go before the full Senate for a vote.

‘Preposterous nominee’: Democrats especially resent Harnett White, who they say holds views contrary to established science on climate change that make her unfit to lead the the Council on Environmental Quality, which coordinates environmental policy at the White House. White would be in charge of implementing President Trump’s executive orders on energy and the environment.

“A nominee who can’t follow the thread from carbon pollution, to ocean warming, to sea level rise, who imagines science that is not there, and ignores science that is there, is a preposterous nominee,” Sen. Sheldon Whitehouse, D-R.I., said before the vote.

Record of climate statements: White is former chairwoman of the Texas Commission on Environmental Quality who last worked at the Texas Public Policy Foundation, a conservative think tank that has received funding from Koch Industries, Exxon Mobil, Chevron and other energy companies.

She has said that “carbon dioxide is not a pollutant” and once referred to former President Barack Obama’s climate change policies as “deluded and illegitimate.”

She also has said that those who believe in climate change follow a “kind of paganism” for “secular elites.”

Industry ties: Wheeler, tabbed for EPA’s No. 2 spot, is a energy industry lobbyist whose ties to Murray Energy, a privately owned coal giant, have drawn scrutiny. He previously worked on the staff of Sen. Jim Inhofe, R-Okla., a committee member and former chairman known for his climate change skepticism.

Wheeler told the committee during his confirmation hearing that he met with the Department of Energy on behalf of Murray a few months ago about Energy Secretary Rick Perry’s proposal to subsidize coal and nuclear plants.

Say no to ‘name calling’: Inhofe, at Wednesday’s vote, criticized Democrats for harshly rebuking White and Wheeler.

“I am sure name calling makes everyone on the Left feel better,” he said. “We have people out there singing [White’s] praises. You don’t need to get down in the mud and name calling on these things.”

COAL INDUSTRY USES EPA CLIMATE HEARING TO PLAY UP SUPPORT FOR FERC INCENTIVES: The coal industry group American Coalition for Clean Coal Electricity laid out its case Wednesday morning for repealing the Obama administration’s Clean Power Plan, saying it would undercut proposed Trump administration rules providing incentives for coal and nuclear plants.

Stark contrast: “The [Clean Power Plan] would be in stark conflict with [the Department of Energy’s] goal of preventing further retirements of coal-fired generating capacity,” said Vicky Sullivan, a vice president for the group.

Day two of hearings: The group testified during the second of two days of hearings in the heart of coal country in Charleston, W.Va., on the Environmental Protection Agency’s proposal to repeal the Obama-era climate rules.

At the same time, the Federal Energy Regulatory Commission is considering a rule providing market incentives to prop up coal and nuclear power plants. The incentives were put forward by Perry for FERC to approve on an expedited schedule. A decision is expected by Dec. 11.

As many coal plants as two West Virginias: If the Obama climate plan were allowed to continue, it would close coal plants numbering twice the electricity supply of West Virginia, according to the coal group.

The EPA projected that the climate plan would have caused the retirement of 29,000 megawatts of coal-fired generating capacity by 2025, Sullivan said.

“For perspective, these CPP-caused coal retirements would be twice as large as the entire electricity supply of West Virginia,” Sullivan said, according to prepared remarks.

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CLEAN ENERGY COALITION WARNS SENATE OF UNINTENDED CONSEQUENCES OF TAX BILL: A large swath of the renewable energy industry warned the Senate Wednesday of a provision in its tax reform bill that would harm clean energy development.

One good turn deserves another: The coalition said in a letter to lawmakers that while it appreciates the Senate not ending solar and wind tax subsidies early as the House bill does, it does see potential harm in the Base Erosion Anti-Abuse Tax, or BEAT, provisions in the Senate Tax Cuts and Jobs Act of 2017.

Devastating for wind and solar: “As drafted, the BEAT program would have a devastating, if unintended, impact on wind and solar energy investment and deployment,” the letter said.

100 percent tax on subsidized energy: “While we are grateful that the Senate tax proposal leaves the current phase-down schedules for wind and solar energy tax credits unchanged, the bill’s BEAT provisions undermine our capacity to use renewable energy tax credits, which have value only if they can be monetized.”

For many of the renewable energy companies involved in building wind and solar projects in the U.S., the BEAT would make their subsidies subject to a new 100 percent tax.

Banks threaten to pull plug on capital: “Not surprisingly, major financial institutions have indicated that, under such a regime, they would no longer participate in tax equity financing, the principle mechanism for monetizing [ wind and solar] credits,” the letter said.

Wind firms, for example, are able to use the tax equity they gain from having access to the federal subsidies to get banks to lend them the capital to construct the plants. The BEAT provision would undermine that process in the equity market and stop renewable energy development.

MEANWHILE, ENGINEERS RAIL AGAINST HOUSE REPEAL OF EDUCATION TAX CREDITS: Top scientific and engineering groups urged the Senate “to resist” provisions in the House-passed tax bill that would kill vital tax credits for advanced scientific degrees, including those sought by the energy industry.

“Repealing the very provisions that allow graduate students to continue to study in critical STEM [Science, Technology, Engineering and Math] fields means that we will be shutting the door on new opportunities for discovery, exploration and innovation,” said a letter sent to Senate leaders led by the American Association for the Advancement of Science.

Oil industry study: The American Petroleum Institute, coincidentally, issued a report Wednesday that underscored the need for STEM education for the fossil fuel industry.

“The oil and natural gas industry will experience significant turnover and growth in the years to come, greatly expanding career opportunities for women and communities of color,” said API President Jack Gerard. “This study shows that STEM education is the key to creating a workforce that reflects the many faces of this great nation with skilled workers of all backgrounds.”

FORMER COAL CEO MAKES A PLAY FOR THE SENATE AFTER SERVING JAIL TIME: Don Blankenship, the former Massey Energy CEO, has filed to run as a Republican candidate for the Senate in West Virginia.

Blankenship recently served a year in jail after a federal grand jury indicted him three years ago for conspiring to violate federal mine safety rules as well as securities fraud.

A lack of safety at one of his largest mines in West Virginia resulted in the deaths of more than two dozen miners.    

After serving his jail time, Blankenship wrote to President Trump explaining that his conviction was based on politics and not facts. He later asked the Supreme Court to overturn his conviction, but the high court refused to take up his petition to review the case.

HOUSE TAKES UP BILL GIVING CONGRESS FINAL SAY ON MINNESOTA MINING: The House is expected to vote on a bipartisan bill Wednesday rejecting the Obama administration’s proposed permanent ban on mining and energy development in a swath of public forest in Minnesota.

Jobs, jobs, jobs: The Mining Act would secure “the opportunity for job creators to present mining plans in an area already authorized for mining twice by Congress and rejects political and unwarranted actions taken by the previous administration that will harm responsible mineral production, kill jobs and decimate education revenues,” according to the House Congressional Western Caucus.

Four billion tons of benefits: Four billion tons of mineral ore and valuable metals such as copper and nickel are “within the area the previous administration tried to shut down, which represents the largest known undeveloped deposit of strategic and critical metals in the world,” according to the caucus.

Keeps protections: The lawmakers point out that the bill is not seeking to erode environmental protections. “No one is proposing to mine in the 1.1 million-acre Boundary Waters Wilderness Area, an area that already has significant buffers, and the bill actually protects this area,” according to the statement.  

The lawmakers say they only want to ensure that the economic benefits of public land development is able to be realized. They say that $1.5 billion in annual wages and $2.5 billion annually for the local economy “are at risk” if the House doesn’t pass the bill.  

TRUMP TO VISIT UTAH MONDAY TO ANNOUNCE SHRINKING OF MONUMENTS: President Trump will visit Utah Monday to announce his decision to shrink the Bears Ears and Grand Staircase-Escalante national monuments.

Trump plans to travel to Salt Lake City to make the announcement and not visit the monuments themselves, the Salt Lake Tribune reported Tuesday.

How we got here: Trump ordered Interior Secretary Ryan Zinke to review 27 national monuments shortly after his inauguration. The administration says previous presidents abused their authority under the 1906 Antiquities Act to unilaterally declare national monuments, by setting aside larger and larger swaths of public land.

Ear me out: Zinke recommended that Trump shrink the contentious Bears Ears, a 1.35 million-acre monument covering mesas and canyons in Utah’s poorest county.

Obama created Bears Ears just before he left office. It is an area in the southeastern part of the state that five Native American tribes consider sacred. The president will reduce Bears Ears by more than 1 million acres, the Washington Post reported Tuesday.

Stair master: Zinke also proposed reducing the size of the 1.9 million-acre Grand Staircase-Escalante monument, which President Bill Clinton declared in 1996.

Ron Dean, an aide to Sen. Orrin G. Hatch R-Utah, testified before the Utah Legislature’s Commission for the Stewardship of Public Lands this month that Grand Staircase “will probably be somewhere between 700,000 acres and 1.2 million” under Trump’s revised boundaries.

SHELL PLEDGES TO CUT CARBON EMISSIONS IN HALF BY 2050: Royal Dutch Shell, Europe’s largest oil company, pledged Tuesday to increase its investment in renewable fuels and cut its carbon dioxide emissions 20 percent by 2035 and in half by 2050.

Ben van Beurden, Shell’s chief executive, said the company will spend up to $2 billion a year from 2018 to 2020 on renewable energy sources such as wind, solar, and hydrogen power, as well as on charging stations for electric vehicles.

Big picture: The commitment is less than 10 percent of Shell’s total investment dollars. Still, it’s another recent example of the energy industry showing it is committed to combating climate change even as the Trump administration rolls back regulations, and President Trump pulls out of the Paris climate change agreement.

Pro Paris: Van Beurden told investors Shell supports the Paris Agreement, which aims to limit global warming to “well below” 2 degrees Celsius, or 3.6 degrees Fahrenheit, the temperature at which many scientists say the world would see irreversible effects from climate change.

TRUMP ADMINISTRATION GRANTS PERMIT TO ALLOW DRILLING IN ARCTIC OCEAN: The Trump administration on Tuesday approved an oil company’s request to drill an exploratory well on a man-made artificial island in the Arctic Ocean.

The Bureau of Safety and Environmental Enforcement granted a permit for Italian oil company Eni SpA to drill an exploratory well in the Beaufort Sea to test production conditions there, the agency announced. Its permit allows the company to begin work as early as December.

New era, new rules: The agency says this is the first time in two years that the government has approved drilling exploration on the American section of the Arctic Ocean, which is part of the Outer Continental Shelf.

Dems oppose: Environmentalists and many Democrats say it’s too hazardous and expensive to drill in the Outer Continental Shelf.

FERC CHAIRMAN SAYS ‘NO CONSPIRACY’ ON DELAY IN SWEARING IN NEW MEMBERS:  Temporary Federal Energy Regulatory Commission Chairman Neil Chatterjee denied Tuesday that he is purposely delaying the swearing in of two fellow commissioners who would fill out the five-member board.

The theory: Critics have speculated that Chatterjee could be delaying Republican Kevin McIntyre, slated to be the new FERC chairman, and Democrat Richard Glick, from being sworn in so that he can ensure a favorable vote on Energy Secretary Rick Perry’s proposal to subsidize coal and nuclear plants.

Not ‘nefarious’: “I do want to be clear with everybody: You guys are reading way too much into this. There is no conspiracy here. There is no intentional delay or dragging things out to some nefarious end,” Chatterjee told reporters Tuesday morning after speaking at a Consumer Energy Alliance Event.

Glick sworn in: Glick was sworn in Wednesday morning, FERC confirmed. However, the commission has not said when McIntyre will be sworn in.

TRANSCANADA VOWS TO ENGAGE LANDOWNERS ON NEW KEYSTONE XL ROUTE: TransCanada has begun connecting with landowners on an alternative route for its Keystone XL Pipleine approved by Nebraska regulators last week.

Permit please: Nebraska regulators on Nov. 20 approved a key permit for the Keystone XL expansion of the pipeline network, but it rejected TransCanada’s preferred route, approving a costlier alternative that would move the pipeline further east.

Reaching out: “The alternate route would involve a number of new landowners for us, and as always, we’re striving to understand their perspectives on the project,” Dean Patry, TransCanada’s senior vice president of liquids, told investors in Toronto on Tuesday, according to Reuters.

The company must secure property easements from a new group of landowners to build the pipeline.

‘Encouraged’ by economics: TransCanada is expected to decide next month whether to proceed with the long-delayed project as it weighs whether the pipeline would still be economically viable after nine years of planning.

CEO Russ Girling said Tuesday the company has been “very encouraged” with the discussions with potential shippers over the past week and expects to “conclude sufficient binding shipping commitments to advance the project.”

RUNDOWN

Wall Street Journal Russia, Saudi Arabia clash ahead of OPEC meeting

Washington Post EPA curb on nonstick chemical may have reduced number of babies with low birth weight

Bloomberg Moody’s warns cities to address climate risks or face downgrades

Milwaukee Journal Sentinel We Energies’ coal-fired power plant in Pleasant Prairie, Wis., to be shut down in 2018

Miami Herald Florida again rejects bid to search for oil in eastern Everglades

Wall Street Journal The new corporate perk: gassing up at work

Reuters U.S. ethanol makers call on Mexico, India to reduce biofuel glut

Washington Post ‘Campaign to elect a pipeline:’ Dominion Energy ran multi-front fight in Virginia governor’s race

Calendar

WEDNESDAY, NOV. 29

9 a.m.-5 p.m., Charleston, W.Va. The EPA holds the second day of public hearing on the proposed repeal of the Clean Power Plan.  

epa.gov/newsreleases/epa-announces-public-hearing-proposed-repeal-clean-power-plan

9 a.m., One Potomac Yard South Building, Arlington, Va., The EPA holds a meeting of the Federal Insecticide, Fungicide, and Rodenticide Act Scientific Advisory Panel to consider and review the “Continuing Development of Alternative High-Throughput Screens to Determine Endocrine Disruption, Focusing on Androgen Receptor, Steroidogenesis, and Thyroid Pathways,” through Nov. 30.

epa.gov/sap

10 a.m., 1331 Pennsylvania Ave. NW. The Federal Mine Safety and Health Review Commission holds a meeting to consider and act upon Secretary of Labor v. The American Coal Co. on whether on remand the judge erred by not adequately explaining the basis for the assessed penalty amounts.

fmshrc.gov/

10 a.m., 1957 E St. NW. The American Petroleum Institute holds a discussion on “STEM Education and the Energy Workforce of the Future.”

api.org

Noon. Webinar. The American Council on Renewable Energy and Bloomberg New Energy Finance hold a webinar on “Is Energy Storage at a Crossroads?”

tinyurl.com/y756gprh

THURSDAY, NOV. 30

Deadline for the EPA to announce the Renewable Fuel Standard for 2018.

8:30 a.m., 620 Perry Parkway, Gaithersburg, Md. The Energy Department holds a meeting of the DOE/NSF High Energy Physics Advisory Panel on scientific priorities within the field of high energy physics research., Nov. 30-Dec. 1.

science.energy.gov/hep/hepap/meetings

8 a.m., 1616 Rhode Island Ave. NW. The Center for Strategic and International Studies holds a discussion on “Hydrogen and Green Shipping: Zero Emission Fuel in the Maritime Sector,” focusing on U.S.-Norwegian cooperation.

csis.org/events/hydrogen-and-green-shipping-zero-emission-fuel-maritime-sector

8 a.m., 214 Massachusetts Ave. NE. The Heritage Foundation and the Texas Public Policy Summit hold a discussion on “At the Crossroads IV: Energy and Climate Policy Summit” at the Allison Auditorium.

heritage.org/energy-economics/event/the-crossroads-iv-energy-climate-policy-summit

12:30 p.m., 1135 16th St. NW. The American Gas Association holds a discussion with Federal Energy Regulatory Commission Chairman Neil Chatterjee.

aga.org/natgasroundtable/event-month

12:45 p.m., 1616 P St. NW. The Resources for the Future holds a seminar on “New Realities for U.S. Energy Security.”

rff.org/events/event/2017-11/new-realities-us-energy-security

TUESDAY, DEC. 5

All day, Las Vegas. Powergen International holds its annual convention at the Las Vegas Convention Center.

power-gen.com/index.html

THURSDAY, DEC. 7

TBA, 2125 Rayburn. EPA Administrator Scott Pruitt testifies before House Energy and Commerce Committee Environment Subcommittee.

energycommerce.house.gov/news/press-release/subenvironment-announces-december-7-hearing-epa-administrator-pruitt/

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