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If you build it, they will come
June 2nd, 2023
- JUST RELEASED: Your daily source for the biggest stories in energy, the TEA NEWSROOM.
- American natural gas is the world’s cleanest, most affordable, and most reliable energy. America’s energy independence and national security depends on it.
- ‘Massive tailwind’ from renewable natural gas as proponents seek new fuel tax credit.
- Natural gas eyed as a ‘multi-decade’ investment for LNG exports, low-carbon transition.
- Mexico’s energy regulator gives natural gas a “clean” label, drawing criticism.
- Foxconn’s dispute with Lordstown shows souring EV sentiment.
The debt ceiling deal announced this week included surprise approval of The Mountain Valley natural gas pipeline championed by Sen. Joe Manchin (D-WV).
While the process itself is gravely flawed, the agreement moves this critical project closer to completion. There’s still a lot not to like in this deal, as it will help boost solar and wind projects with more government subsidies.
Frankly, we would have preferred stronger Republican pushback on spending on these wasteful clean energy programs. But, if wishes were horses, beggars would ride. Given the reality of Democratic control of the Senate and the White House, and the nation facing a timeline to default, we applaud the Republican effort to show unity with this deal.
The formula: Cut spending on China’s clean energy technologies and unleash America’s domestic energy sector to fuel our economy and bring back good paying jobs for American families.
The issue: We remain concerned that the push for aggressive renewables and EV deployment aids China. That’s because the “rush to green” is outpacing domestic mineral supply chains, boosting our dependence on Chinese materials.
Some GOP lawmakers didn’t want to support cutting off federal money on clean energy programs, granted by the Inflation Reduction Act’s tax credits. This latest stalemate put them between the proverbial rock and a hard place.
The solution: If you follow TEA’s Common Sense Energy Agenda, especially points 1, 2, and 4, you’ll see the right direction for our country regarding energy policy.
By focusing on building and upgrading our energy infrastructure, including pipelines, the world’s greatest economy will roar back better than ever. That translates to American Energy Independence.
The example: Look no further than Ohio, where Natural Gas is Green became law in January and the Natural Gas CARES (Clean Affordable Reliable Energy Source) resolution was recently introduced in the state senate.
Additional infrastructure needs have been identified that will allow transporting natural gas to parts of the state that currently can’t receive it.
This vision, once fully executed, will turn the Buckeye State into the low-cost energy capital of the US, lowering costs for residents and businesses and encouraging growth and opportunity.
The hurdle: We acknowledge that permitting reform is long overdue. It takes Canada and Australia an average of 1-3 years to get permit approval for energy projects, compared with the US where it takes an average of 5-10 years.
More than 90% of pipeline projects, including the MVP, are entangled in litigation.
Bottom Line: We fully support reforming the permitting process to expedite approval for critical energy infrastructure that creates jobs and reduces our reliance on foreign energy. This is the right path for America’s energy producers and consumers — and for our nation.
President Biden’s top pick for a top Department of Transportation post quietly disclosed a significant stake in an oil and gas development firm despite her past climate activism.
Ann Carlson — an environmental law expert whom Biden nominated in February to lead the National Highway Traffic Safety Administration — owns a financial stake of up to $50,000 in Oklahoma-based upstream fossil fuel developer Eastman Dillon Oil & Gas Associates Partnership, according to her disclosure filed in March and obtained by the American Accountability Foundation.
The White House said Tuesday that President Biden withdrew the nomination following American energy industry criticism of her record on climate policy and climate litigation. It gave no reason for the decision and declined to comment, according to Reuters.
But in a letter this month, 43 industry groups raised concerns about Carlson’s past statements that the agency plays an important role in climate policy, given its responsibility for setting gas mileage standards for cars and trucks.
- This is yet another in a growing list of examples of blatant hypocrisy coming from the Biden administration and its appointees.
- Carlson, who was first appointed in early 2021 to oversee climate standards for cars and trucks at NHTSA as the agency’s chief counsel, has for years argued in favor of policies increasing the price of traditional energy to incentivize green alternatives. In 2008, she argued for a cap-and-trade scheme regulating carbon emissions, saying it would increase prices and incentivize industry changes.
- In 2017 and 2018, Carlson helped coordinate high-profile climate nuisance lawsuits filed by a dark money-fueled law firm against fossil fuel companies. The firm, California-based Sher Edling, has filed more than a dozen such lawsuits on behalf of cities, counties and several states.
Bottom Line: Biden’s pick to oversee climate regulations for transportation has a history of working against oil and gas producers in public forums, but she’s investing and profiting off the industry in private. Yet another example of hypocrisy from the Biden admin.
Gas prices remained in neutral this week, with the national average holding steady at $3.57 per gallon. Defying expectations, gasoline demand dropped even though over 37 million Americans hit the road for Memorial Day Weekend. Gas expert Patrick De Haan now places the odds at less than 2% that this summer’s peak gasoline prices will break last summer’s record of $5.03 per gallon. Good news for Americans!
Hearing On “Clean Power Plan 2.0”: On Tuesday, June 6, the House Energy and Commerce Subcommittee on Environment, Manufacturing, and Critical Materials will have a hearing on “Clean Power Plan 2.0: EPA’s Latest Attack on America’s Electric Reliability.”
Hearing On ESG Compliance: On Tuesday, June 6, the House Oversight and Accountability Subcommittee on Economic Growth, Energy Policy, and Regulatory Affairs will have a hearing on “ESG Part II: The Cascading Impacts of ESG Compliance.”
Hearing On ESG Compliance #2: On Tuesday, June 6, the House Oversight and Accountability Subcommittee on Health Care and Financial Services will also have a hearing on “ESG Part II: The Cascading Impacts of ESG Compliance.”
North American Electric Reliability Corporation Meetings: On Tuesday, June 6, and Thursday, June 8, the North American Electric Reliability Corporation will hold “extreme cold weather grid operations, preparedness, coordination standard drafting team meetings.”
“The most uncomfortable truth in the modern energy narrative: fossil fuels (natural gas) have reduced far more emissions than renewables, and it’s not even close.”
-Energy analyst Max Gagliardi on Twitter.
