News

Alaska Gov.Takes Salazar to Court Over Offshore Moratorium; Get This, Salazar Flack DeniesSuch a Moratorium Exists (!) TheAP(9/9) reports, "The state claimed Thursday that the Interior Departmentillegally halted offshore drilling in Arctic waters, even though the departmentsaid there’s no such moratorium in place. Alaska Gov. Sean Parnell said InteriorSecretary Ken Salazar illegally imposed a moratorium because he failed toconsult with state officials, did not consider the economic effects and did notissue a written decision explaining the basis for the action. Such requirementsare specified under the federal Outer Continental Shelf Lands Act. Aspokeswoman for the Interior Department, Kendra Barkoff, said there is nomoratorium on offshore drilling in Alaska and therefore no basis to sue.Salazar last week had referred to a moratorium on Arctic drilling but laterclarified his remarks to say there was not. At the heart of Alaska’s argumentis Salazar’s decision this summer to withhold approval for Shell Oil to drillexploratory wells in the Chukchi and Beaufort seas. Parnell said Alaska’s economicgrowth potential was at risk by Salazar’s decision. Shell Alaska spokesmanCurtis Smith said in an e-mail that the company believes Alaska is justified insuing. "Our progress in Alaska has been severely compromised by unforeseenevents that are not related to our specific program in the Alaskaoffshore," he said. "Our inability to drill is not only costly toShell, but also to a state that is working hard to create jobs and find new oilsupplies for the Trans Alaska Pipeline by promoting responsible offshoredevelopment."

You Read ThatIndependent Report BP Issued Yesterday? Well, Not so "Independent"Today. Turns Out Report Had to Clear the Legal Department Before it was Issued. WallStreet Journal (9/10) reports, "BP PLC, which billed its DeepwaterHorizon inquiry as an independent look at the disaster, said its lawyers wereallowed to "review" the long-awaited report before it was published.A BP spokesman said its lawyers provided "legal advice and counsel to the[investigative] team," but wouldn’t elaborate on what exactly thatentailed. He also declined to characterize the nature of the review, and whatchanges, if any, the lawyers made to BP’s 193-page report on the April accidentthat triggered the worst U.S. offshore oil spill. But he said the BP lawyers"were walled off from the rest of the company." The spokesman alsosaid some "internal and external" lawyers for BP worked withinvestigators "in order to interact with lawyers for other companies toobtain evidence for the investigation," and to "assist in thepreservation of evidence for litigation and ongoing investigations." Thedisclosure raises questions about the extent of the independence of BP’sreport, which was released Wednesday and assigned much of the blame for theaccident to BP’s contractors, Transocean Ltd. and Halliburton Co. The U.K. oilgiant has said its four-month investigation on the causes of the accident,which killed 11 workers, was carried out without interference from seniormanagement. Transocean, Halliburton and others quickly blasted the report fornot being tough enough on BP itself, with some legal analysts suggesting thereport served as a preview of BP’s future legal strategy. As operator of theDeepwater Horizon rig, BP faces many lawsuits over the accident."

Cry Me a River.Steel Workers File Complainant Against China for "unfairly subsidizing itsclean energy industry," We Ask, What About the US Subsidies? They NotUnfair? NewYork Times (9/10) reports, "A broad trade case filed on Thursday by anAmerican labor union, accusing China of unfairly subsidizing its clean energyindustry, pressed a hot-button jobs issue in the United States during aCongressional election season. But even if the Obama administration agrees topursue the case, it could prove hard to resolve, as both countries considertheir industries crucial to energy security and future economic growth. Thefiling, by the 850,000-member United Steelworkers union, accuses China ofviolating the World Trade Organization’s free-trade rules by subsidizingexports of clean energy equipment like solar panels and wind turbines. Throughits policies, fair or otherwise, China has helped turn its makers of thatequipment into the global leaders, while manufacturers in the United States andEurope have struggled financially, cut jobs and in some cases moved operationsto China. President Obama has cited clean energy manufacture as a priority oneconomic and environmental grounds, and in a speech this week, he called for "ahomegrown clean energy industry." Mr. Obama has shown a willingness to confrontChina before, imposing steep tariffs a year ago on Chinese tire imports – adecision that China is itself challenging before a W.T.O. panel in Geneva,which is expected to give an initial ruling this month."

Anti-Energy,Anti-Fracing Administration Kicks it up a Notch Today With EPA Calling onService Companies to "Voluntarily" Disclose HF Additives. PittsburghPost-Gazette (9/10) reports, "As part of an ongoing scientific studyof the environmental and health impacts of hydraulic fracturing, the U.S.Environmental Protection Agency has asked nine companies to disclose thechemical components of fluid used in the gas drilling technology also known as"fracking." The voluntary requests were issued by the EPA Thursday toBJ Services, Complete Production Services, Halliburton, Key Energy Services,Patterson-UTI, PRC Inc., Schlumberger, Superior Well Services and Weatherford.The information gathered will be used in the two-year federal study that beganin March to determine the impacts of fracking fluid chemicals on drinking watersupplies and also standard operating procedures at drill sites. Hydraulicfracturing uses large amounts of water — between 1 million and 4 milliongallons per well — mixed with sand and chemicals, some of them toxic — andpumps the mixture under pressure more than a mile underground to crack layersof shale rock and release the natural gas it contains. The Marcellus Shaleformation underlies about three-fourths of Pennsylvania and portions of NewYork, West Virginia, Ohio, Maryland and Virginia. The Pennsylvania Departmentof Environmental Protection website on Marcellus Shale activities lists 84chemicals used by well drilling companies in the state."

Pelosi Meetswith Canadian Energy Ministers to Talk Oil Sands; Chances are She ExperiencedThis Reliable Energy Source First Hand on Her Flight Home. EE News (subs req’d, 9/9)reports, "Environmental groups today pleaded their case with House SpeakerNancy Pelosi (D-Calif.) after her meeting last night with Canadian officials todiscuss the nation’s controversial oil sands. Pelosi and Rep. Ed Markey(D-Mass.), chairman of the House Select Committee on Energy Independence andGlobal Warming, are in Ottawa this week, meeting with Canadian leaders as wellas environmental and business groups to discuss energy and environmentalissues, including the oil sands. "As the main customer of tar sands oil,the U.S. has a leadership role to play where our governments at home arefailing," said Rick Smith, executive director of Environmental DefenceCanada, after meeting with Pelosi. "We took the time to clarify theserious environmental problems that exist right now in the tar sands and therisks posed by expansion." Pelosi and Markey met last night with premiersof three Canadian provinces as well as federal environmental officials. AlbertaPremier Ed Stelmach called the meeting "an open and candiddiscussion" that "acknowledged that the development of oil sands hadits challenges." But he stressed that Alberta is taking steps to"balance energy security with environmental responsibility and economicgrowth." Stelmach told Canada’s CBC News that his goal was to "appealto her sense of reason, to communicate very clearly that we continue to befocused on environmental improvement in developing the oil sands."

Fracing 101: PennState Researcher Takes to the Pages of Pa. Newspaper to Explain the Process ofHydraulic-Fracturing. David Yoxtheimer  (9/9) writes in the LockHaven Express, "This week’s article provides an overview of hydraulicfracturing technology (commonly known as hydrofracing or fracing), thetechnology used in drilling within the Marcellus Shale, and addresses some ofthe challenges and concerns about fracing technology. Hydrofracing is a processwhere water, pressure and additives/chemicals are used to create small cracksin the Marcellus Shale. These small cracks are more than a mile under thesurface of the earth but are what enable natural gas to be released from thevery hard and dense Marcellus Shale. Although the technology has evolved overtime, the key concepts of hydraulic fracturing have been around for more than60 years and used on more than a million wells in the United States to produceoil and natural gas from deep geologic reservoirs. North America has abundantnatural gas resources. However, natural gas is often "trapped" withintight rock formations that cannot be produced without the use fracturingtechnology. As the United States looks to increase its domestic fossil fuel andrenewable energy portfolio, natural gas extraction has become a key part ofthat portfolio. Advances in directional drilling and hydraulic fracturingtechnology have unlocked unconventional shales, like the Marcellus, and theavailability of natural gas in North America. That being said, development ofnatural gas is not without its critics as many environmental groups andlandowners are raising concerns about the potential for water resource impactsfrom the hydrofracing process."

How Bad is thePolitical Environment for Democrats? So Bad that Affordable Energy Advocate andW. Va. Gov. in Tough Fight for Once Safe Senate Seat. EE News (subs req’d, 9/9) reports,"Democrat Joe Manchin’s bid for the open West Virginia Senate seat — onceconsidered a sure thing — is now very much in doubt, according to a new poll.In a Rasmussen Reports survey conducted yesterday, 50 percent of respondentssaid they would vote for Manchin, West Virginia’s sitting governor. But 45percent said they support Manchin’s Republican opponent, business mogul JohnRaese. The poll has a 4.5-point margin of error. Following the poll, Rasmussenchanged its classification of the race from leaning toward Manchin to a tossup.Rasmussen two weeks ago had rated the race as "solidly Democratic"after Manchin cruised to the Democratic nomination. Manchin led Raese by a 51percent to 35 percent margin in a Rasmussen poll conducted in July, shortlyafter the state Legislature approved a special election for the seat thatopened after Sen. Robert Byrd (D) died in June. The seat is currently held bySen. Carte Goodwin (D), a Manchin appointee who is stepping down at the end ofthis term. Manchin is running on his record as governor, promising he willbring fiscal discipline and moderate pragmatism to Washington, D.C."

TheWorm Turns: US Agency Loaned Mexican Gov’t More than $1 Billion Last Year toHelp State-Run Company Develop Energy Offshore – And More in the Offing ThisYear. CNS News (9/8) reports, "TheU.S. Export-Import Bank, an independent federal agency, loaned more than $1billion to the Mexican state oil company PEMEX in 2009 to support the company’soil drilling in the southern Gulf of Mexico. The bank has another $1 billion inloans in the pipeline for 2010, unless Congress objects. On May 27, after theBritish Petroleum oil spill, President Obama imposed a moratorium on U.S.deepwater drilling in the Gulf, effecting 33 deepwater drilling rigs in theregion. PEMEX was the Export-Import Bank’s largest borrower in 2009 and hasborrowed $8.3 billion from the U.S. federal government since 1998. Under the2009 loan agreements, PEMEX agreed to contract with American firms and purchaseequipment from American manufacturers in exchange for the money. One loan,worth $600 million, went to finance the development of 18 oil and natural gasfields in the Bay of Campeche in the southern Gulf of Mexico. Campeche is thearea where the majority of Mexico’s oil and gas production takes place and islocated just north of the Yucatan Peninsula. Another loan, worth $300 million,went to fund the building of oil production facilities in Mexico’s Cantarelloffshore oil field, which provides a large portion of Mexico’s oil production,according to EIA.

Dim:Federal Mandate Forcing Folks to Buy More Expensive Lightbulbs an Inconveniencefor Most – and an Outright Job Killer for 200 Workers in Virginia. WashingtonPost (9/8) reports, "The last major GE factory making ordinary incandescentlight bulbs in the United States is closing this month, marking a small, sadexit for a product and company that can trace their roots to Thomas AlvaEdison’s innovations in the 1870s. The remaining 200 workers at the plant herewill lose their jobs. "Now what’re we going to do?" said TobySavolainen, 49, who like many others worked for decades at the factory, makingbulbs now deemed wasteful. What made the plant here vulnerable is, in part, a2007 energy conservation measure passed by Congress that set standardsessentially banning ordinary incandescents by 2014. The law will force millionsof American households to switch to more efficient, expensive bulbs.Everybody’s jumping on the green bandwagon," said Pat Doyle, 54, who hasworked at the plant for 26 years. But "we’ve been sold out. First sold outby the government. Then sold out by GE. " Doyle was speaking after a shiftlast month surrounded by several co-workers around a picnic table near thepunch clock. Many of the workers have been at the plant for decades, and mostappeared to be in their 40s and 50s. Several worried aloud about findinganother job. "When you’re 50 years old, no one wants you," Savolainensaid. It was meant half in jest, but some of the men nod grimly.

SixMos. Ago, Clean Energy Works Had 45 Staff in DC and 200 Paid Organizers in theStates; Today? They’re Shuttering the Place – Sending Folks Back to Sierra,NRDC. Politico(9/8) reports, "Climate advocates stung by defeat in the Senate are folding oneof their big umbrella lobbying groups. Clean Energy Works, a coalition of 80environmental, religious, veteran and labor groups, will phase out itsoperations this fall as Democratic congressional leaders abandon plans for asweeping bill to cap greenhouse gas emissions. At its peak, the coalition had200 field organizers in key states and more than 45 staffers based out of a "warroom" in downtown Washington. It is led by Paul Tewes, who ran President BarackObama’s 2008 campaign operations in Iowa and other battleground states. "If youcame over from LCV, you’re going back to LCV," Di Martino said, referring tothe League of Conservation Voters. "If you’re a consultant like me, you’llhopefully go on to other like-minded campaigns." Despite the ultimate failureto enact a climate bill, Di Martino and others tied to the coalition said theydid their job well on the communications front. The commitment to collaborationsecured impressive and tangible results: hundreds of disciplined message eventsacross the country and thousands of earned media clips."

SeeIf You Can Follow This One: Green Pork Subsidies in US are Outrageously High,But Not as High as In Communist China – So Labor Folks Are Mad. Bloomberg(9/9) reports, "The United Steelworkers union said it will file a tradecomplaint with the U.S. government against renewable-energy products fromChina, urging an investigation of subsidies and preferences given by thatnation. The case "reveals five major areas of protectionist and predatorypractices utilized by the Chinese to develop their green sector at the expenseof production and job creation here in the U.S.," the American union said in astatement, indicating specifics will be provided later today.  The complaint that China is doing toomuch to help its companies expand their clean-energy sales contrasts with internationalefforts to encourage renewable energy and reduce greenhouse-gas emissions inorder to curb global warming. Nations including the U.S. and China plan to meetin Cancun, Mexico, at the end of November to renew climate-change talks.Legislation to limit carbon emissions and set requirements for the use ofrenewable energy have stalled in the U.S. Senate. The union’s filing will bemade to the U.S. Trade Representative’s office. The Obama administration willhave 45 days to decide if it will investigate the petition under U.S. law.

NortheastPA, the Region that Helped USA Win Two World Wars Thanks to Abundance ofAnthracite Coal, Found to Have Massive Reserves of Marcellus Natural Gas. Wilkes-BarreCitizens Voice (9/9) reports, "Eight of the 10 wells that produced thelargest volume of gas last year are in Susquehanna County, including the topwell – Chesapeake Appalachia LLC’s Clapper 2H well in Auburn Township – whichproduced 2.8 billion cubic feet of gas over 270 days. Of the top 20 producingwells, all but one are in Susquehanna, Bradford or Tioga counties. RaymondDeacon, an analyst with Pritchard Capital Partners LLC, sorted the wells’production depending on how long they were online in order to measure theirperformance. "It seemed like in every case, all the counties in thenortheast really stood out as being among the strongest in terms ofproduction," he said. "It shows the northeast looks much moreprolific in terms of how much you’re getting out of the wells." The actualnumbers last year surpassed the company’s expectations, even though"expectations were quite high," Engelder said. Matt Pitzarella, aspokesman for Range Resources, which reported a total production of about 35billion cubic feet of natural gas and 402,000 barrels of natural gas liquidslast year, said the report indicates what the industry believed, "which isthat it is a very large natural gas discovery and could be one of the largestanywhere when it’s all said and done. It’s just going to take time."Pitzarella added that the "very promising" production numbers in thereport represent the earliest stages of the shale development, and it willstill take several years for each well to break even.

RogerMaris Smiles: North Dakota, Previously a State with a Population of 12 andDeclining Oil Production, Turns the Beat Around Thanks to HF and Bakken Shale. IPAA/EID’s Lee Fuller writes in the Bismarck(N.D.) Tribune (9/9), "In an Aug. 30 letter, Roberta Nelson perpetuates ahost of unfounded claims related to the use of hydraulic fracturing, atechnology that’s played a key role in helping North Dakota leverage theopportunity of the Bakken into jobs and opportunity for everyone in the state.Unfortunately, to hear Nelson tell the story, hydraulic fracturing is "exempt"from a whole host of federal laws, which she then turns around and blames onthe former vice president. Civics 101 aside, here are the actual facts:Fracturing has been used safely in the United States for more than 60 years,and has never in that time been directly regulated by the EPA. For decades,that responsibility has remained with states, which continue to compile aremarkable record of oversight and enforcement. How good? In 60 years, not asingle case of groundwater contamination has been credibly tied to hydraulicfracturing. Don’t believe us? Just ask the EPA – it confirmed as much to theU.S. Senate earlier this year. Fortunately, support for the Bakken and thecritical energy technologies that make its development possible is somethingyou’ll find from parties in North Dakota.

OnlyYou Can Prevent Forest Conspirers: National Park Service Announces Plan toSpend Millions of Taxpayer Dollars to Advocate on Behalf of CarbonCriminalization. EnergyGuardian (9/9, subs. req’d) reports, "The National Park Service is enactinga sweeping climate change strategy aimed at reducing its greenhouse gasemissions, protecting natural landmarks from the impact of global warming andusing its unique role as the country’s nature educator to better familiarizeAmericans with emerging threats and solutions. NPS Director Jarvis unveiled thenew policy Wednesday and named a longtime climate scientist, Dr. Leigh Welling,to oversee the agency’s Climate Change Response Program. "Global climate changethreatens the integrity of our national parks. It challenges the NPS mission toleave park resources unimpaired for future generations unlike any threat in ourhistory," the agency’s new plan states. "We will reduce the National ParkService carbon footprint (the amount of greenhouse gases emitted through NPSactivities) through energy-efficient and sustainable practices and integratethese practices into planning and operations," the plan added. "Finally,through clear. directed communication, the NPS will raise employees’ and thepublic’s awareness of the implications of climate change and inspire them totake steps to address this challenge."

FormerMMS Set to Make Tons of New Hires, Spend Billions More to Ramp Up Regulationson OCS – One Problem: No One’s Actually Producing Out There Right Now. E&E News (9/8,subs. req’d) reports, "The agency today released a blueprint report to"reinforce and expand" reforms at the Bureau of Ocean EnergyManagement, Regulation and Enforcement, the former Minerals Management Service.The report recommends that the agency increase the number of offshore inspectors,conduct more surprise inspections, and stiffen fines and penalties forcompanies that violate federal rules, among other suggestions. "The report… is honest; it doesn’t sugarcoat challenges we know are there,"Interior Secretary Ken Salazar said. "It provides a blueprint for solvingthem, and it shows that we are on precisely the right track with our reformagenda." Salazar said the agency will request some $100 million inadditional funds in an amended 2011 budget request to hire new inspectors,strengthen training programs and implement other recommended reforms. ButSalazar and BOEMRE Director Michael Bromwich stressed that today’s report doesnot signal the end of the administration’s moratorium on deepwater drilling. Adecision whether to lift or prolong that ban won’t come until BOEMRE issues aninterim final rule on offshore drilling safety later this fall, they said.

Obama’s PiggyBank: As Economy Continues to Struggle, White House Looks Increase Taxes on Oiland Gas Industry to Fund Second Stimulus Package. TheHill (9.6) reports, "President Obama Monday called for an upfrontinvestment of $50 billion to improve roads, railways and runways as part of alarger six-year strategy to update the nation’s aging infrastructure. Obamaannounced the strategy at the Milwaukee Laborfest in Wisconsin hosted by theAFL-CIO and Milwaukee Area Labor Council and was joined by Labor SecretaryHilda Solis and Transportation Secretary Ray LaHood. The president wantsCongress to approve this first-year $50 billion "as soon as possible" and payfor it by scaling back oil and gas industry tax incentives, a senioradministration official said. "Over the next six years, we are going to rebuild150,000 miles of our roads – enough to circle the world six times," Obama said,according to remarks prepared for delivery the White House released ahead ofhis speech Monday afternoon. "We’re going to lay and maintain 4,000 miles ofour railways – enough to stretch coast-to-coast. "We’re going to restore150 miles of runways and advance a next generation air-traffic control systemto reduce travel time and delays for American travelers – something I thinkfolks across the political spectrum could agree on."

Shrimp and OilFestival Marks 75th Anniversary in Morgan City, La, "We Still Need Both…That’s what makes our community. That’s our lifeblood." LATimes (9.6) reports, "After the BP oil spill, the organizers of one ofAmerica’s more unusual civic celebrations began fielding the phone calls, theones that invariably asked: Are you really going to have it this year? Inresponse, they erected a big billboard on U.S. 90 as it winds west from NewOrleans through the heart of Cajun country. "YES," the sign said."We Are Having 75th Annual Shrimp and Petroleum Festival." MorganCity’s civic leaders never doubted they would green-light their paean tocrustaceans and crude, even though one of the featured industries has beenthreatening, of late, to wipe the other one out. "We still needboth," said Lee Darce, assistant director and vendor chairwoman of thefestival, as she drove a golf cart on this muggy September Sunday among busybooths hawking boiled shrimp, shrimp on a stick, bacon-wrapped shrimp andshrimp etouffee. "That’s what makes our community. That’s ourlifeblood." Mayor Tim Matte is aware that the festival can seem pretty weirdto outsiders. "But we’ve always thought it’s unusual that they think it’sunusual," he said. "As far as the workers are concerned, there’salways been a kinship of working over the water." Matte and others say theoil spill, instead of smothering this year’s festivities, has infused them witha new intensity: a yearning for catharsis after a soul-crushing summer, a hopefor a return to a lost harmony between the two industries, and a celebration ofa culture that is resilient enough to withstand the worst. "There’s aspirit here that we’re going to overcome this," said Adams, carrying hisking’s crown on the city docks Sunday morning."

Seeing theAttention Waxman and Markey Received During BP Oil Spill, Nick Joe Rahall Quickto Call for Hearings/Investigation into Mariner Rig Fire; Won’t be Outdone ThisTime Around. Politico (9.3)reports, "The House is beginning to ratchet up its investigatory power inthe wake of the second offshore drilling accident this year. House NaturalResources Committee Chairman Nick Rahall (D-W.Va.) on Friday sent InteriorSecretary Ken Salazar a letter requesting a slew of documents, saying he is "alarmed"by the disaster aboard the Mariner Energy rig in the Gulf of Mexico. Thisfollows on the heels of the House Energy and Commerce Committee’s request thatMariner brief committee members. Those against offshore drilling likely will beemboldened by this disaster. The fire didn’t happen in deep water but, rather,in just 350 feet of water, a fact Rahall highlighted in his letter to Salazar.Rahall seems to be readying for a full-blown investigation, asking forunredacted copies of several records, including well activity reports, requeststhat Mariner made to modify its drilling plans and the rig’s inspectionreports. He also is asking for e-mails between Mariner employees and thegovernment – federal malfeasance has been a particular interest of committeesinvestigating oil drilling disasters."

Big Wind Goeson Defense. Study out Earlier This Year Sheds Light on Carbon Footprint of WindEnergy; Bode and Co. Go on PR Blitz to Discredit Study. TheOklahoman (9.5) reports, "The Obama administration’s emphasis on cleanenergy and the fight in Congress over energy legislation is creating sometension among certain sectors, including the natural gas and wind powerindustries. The American Wind Energy Association has been fighting to counter arecent column in The Wall Street Journal that challenged a key selling point ofwind – that it reduces carbon emissions. The industry also is defending itsfederal subsidies, arguing that they are actually less than those received byoil and gas companies. "We’ve been under attack by the fossil fuelindustry for the last six months," Denise Bode, CEO of the American Wind EnergyAssociation, told reporters in July. Now, her organization is claiming that anoil and gas company trade group and think tanks financed in part with energymoney are spreading misinformation to discredit wind as a renewable energysource. The Western Energy Alliance, formerly the Independent PetroleumAssociation of Mountain States, released a report earlier this year that concludedrenewable electricity mandates had actually caused pollution increases in Texasand Colorado because coal and natural gas plants operated less efficiently toaccommodate the variability in wind sources. The study was cited in The WallStreet Journal column, written by Robert Bryce, a senior fellow at theManhattan Institute, and that column was then cited by the Heritage Foundation,a conservative think tank in Washington. Bryce questioned whether wind energy’scontribution to reducing emissions would ever be significant and argued thatthe emphasis should be on natural gas."

LouisianaOfficials Hit the Road to Talk Water Management, Hydraulic Fracturing in anEffort to Educate, Get the Facts Out on Shale Gas Development. ShreveportTimes (9.7) reports, "As predicted several years ago, water has becomea critical limiting factor as the natural gas industry expands from one shaleplay to the next, according to Gary Hanson, director of the Red River WatershedManagement Institute at LSU-Shreveport. Hydraulic fracturing is required in all of the gas shale plays and it iscrucial that industry continues to work with northwest Louisiana communitiesand voluntarily use predominantly surface water or the Red River AlluvialAquifer instead of the limited Carrizo-Wilcox groundwater for fracing. "Byaddressing our water concerns in a proactive manner and allowing development toproceed in a responsible way, we are a model to other areas of the countrywhere unfortunately, fear, instead of facts, is driving resistance to shale gasdevelopment," Hanson said. As a result of Louisiana’s success, Hanson hasbeen invited to several water and energy venues in the Southwest and on theEast Coast to share the story and lessons learned. In one of the sessions setnext month in Pennsylvania, Hanson will be joined by Lt. Gov. Scott Angelle,state conservation Commissioner Jim Welsh and Mike Mathis of Chesapeake Energy.Recent water policies, including the newly adopted surface water use law, arebeing driven by the Haynesville activity. However, DNR’s approach shows"institutions that are typically considered rigid and inflexible can infact become flexible and adaptive with the right leadership," Hansonadded. "In an unprecedented manner, but typical of his hands-on managementstyle, Scott Angelle (interim lieutenant governor) has chaired numerous andlengthy Ground Water Commission meetings throughout the state. This has givenLouisiana residents, statewide, the opportunity to attend and have their waterconcerns heard."

OffshoreDevelopment Continues in China; Chevron Purchases Stake in South China SeaProject. WallStreet Journal (9.7) reports, "Chevron Corp. has acquired operatinginterests in three exploration blocks in the South China Sea, and China’sgovernment has given approval for BP PLC to take a stake in part of thedeep-water acreage despite its Gulf of Mexico oil spill, a statement by CnoocLtd. said Tuesday. Financial terms of the deal were not released. Theacquisitions from Devon Energy Corp. underscore how western energy giants areseeking to stake out new positions in the South China Sea, after largelyabandoning the area decades ago when shallower wells turned up dry. They alsoshow that BP’s involvement in the worst U.S. oil spill in history isn’tstopping governments from allowing the U.K. major to participate in newoffshore drilling, or rival producers from selecting it as a partner indeep-water projects. Chevron has taken a 59.18% interest in block 42/05 fromDevon Energy, and BP will hold the remaining interest. Water depths in theblock-located around 250 kilometers south of Hong Kong-range from 198 meters tomore than 1,980 meters across an area spanning nearly 7,000 square kilometers.San Ramon, Calif.-based Chevron has also acquired 100% interests in nearbyblocks 53/30 and 64/18 in separate deals with Devon."

Harry Reid’sClean Energy Summit Kicks off Today; Wonder if He’ll Address Nevada’s 14.2Percent Unemployment Rate.  LasVegas Review-Journal (9.7) reports, "The National Clean Energy Summitlooks like it’s running a little low on wattage. Tuesday will bring the thirdannual installment of the summit, a creation of Senate Majority Leader HarryReid, D-Nev. And when the curtain rises on the event at the University ofNevada, Las Vegas, it will show considerably less star power than 2009’sversion, which featured former President Bill Clinton, former Vice President AlGore, Energy Secretary Steven Chu and Labor Secretary Hilda Solis, amongothers. This year’s summit boasts an array of prominent policymakers andbusiness leaders, to be sure, but no participants beyond Reid himself andnatural-gas magnate T. Boone Pickens carry household names or holdCabinet-level positions in the Obama administration. Attendees includingventure capitalist John Doerr, former White House Chief of Staff John Podestaand Obama economic adviser Austan Goolsbee all serve in important positions,but you won’t see them collecting Oscars or appearing on the cover of theNational Enquirer (wait — that could be a good thing). The summit will alsolaunch a parade of economic and fiscal studies. Consider the Center forAmerican Progress Action Fund, an event organizer that will use the summit torelease the results of a study evaluating states on policies that promoteenergy efficiency (Nevada’s set to earn high marks, the group’s researcherssaid Tuesday). But some clean-energy watchers say other factors have forcedchanges in the summit’s guest list. Start with the economy. Nevada inparticular continues to suffer a deep recession, and the rest of the nationisn’t exactly enjoying a roaring recovery. That makes clean energy, with itshigher costs and federal subsidies, politically unpopular these days, said JackSpencer, a research fellow in nuclear energy policy for the HeritageFoundation, a conservative think tank in Washington, D.C."

Shameless.Nike/WVU Football Introduce Uniform to Honor 29 Miners That Passed on April 5;Greenies Pressure Nike to Change Design on Bases That Uniform "Promotes"Mountain Top Mining. The AP(9.2) reports, "After angry environmentalists objected to a Nikepromotional ad for a new West Virginia University football uniform, theathletic apparel giant said Thursday it will modify a graphic depicting amountaintop removal mine. Nike issued a statement through the university,repeating what the school had said earlier in the day: The new black and whitePro Combat uniform was designed to honor the heritage of coal mining and 29 menkilled in the April explosion at Upper Big Branch mine. "We are modifyingthe graphic of the player on our website to address concerns," thestatement said. The Oregon-based company did not return repeated messages fromThe Associated Press. The Mountaineers will wear the coal-themed uniform foronly one game this season, the Nov. 26 Backyard Brawl at Pittsburgh. Nike paidfor the new gear. The problem environmental activists had with the ad was notthe color of the gear – off-white that appears coated in coal dust – or thenumber 29 on the coal-black helmets. It’s the depiction of a mountaintopremoval mine behind the image of a player, complete with flat, treelessmountaintop, the sound of an explosion and the image of falling rock." Click HEREfor Nike/WVU Promotional Video.

One Week, TwoFederal Judges Rebuke Obama Admin. Anti-Energy Agenda. This Time, Court Rules77 Leases in Utah Were Revoked Without Merit, Slazar "exceeded hisstatutory authority." Oiland Gas Journal (9.2) reports, "US Interior Sec. Ken Salazar exceededhis authority when he order 77 federal oil and gas leases in Utah withdrawn inearly 2009, a federal court judge ruled on Sept. 1 in Salt Lake City. But USDistrict Judge Dee Benson also ruled that plaintiffs waited too long tochallenge Salazar’s action. Commissioners from three eastern Utah counties andthree area independent producers who brought the suit indicated that the judge’sdecision keeps an unacceptable precedent from being established. Salazarordered the leases canceled early in 2009, soon after he became Interiorsecretary, after the US District Court for the District of Columbia issued atemporary restraining order on Dec. 22, 2008, preventing the US Bureau of LandManagement from issuing them. The tracts were among 116 parcels sold at aregularly scheduled lease sale on Dec. 19. The Southern Utah WildernessAlliance had sued 2 days earlier to block their being offered. "In this case,the secretary exceeded his statutory authority by withdrawing leases afterdetermining which parcels were to be leased and after holding a competitivelease during which the BLM named the plaintiffs high responsible bidders," saidBenson. "Ultimately, though, the plaintiffs’ claims are time-barred," hecontinued. "Faced with a strict statute of limitations, the plaintiffs failedto file their suit within 90 days of the secretary’s final decision."

Anti-EnergyAdvocates/POLITICO/Waxman Licking Their Chops After Rig Catches Firein Gulf, We’re Just Glad Everyone’s Safe. The AP(9.3) reports, "Stark differences exist between the oil platform fire inthe Gulf of Mexico and the blast that led to the massive BP spill. Mostnotably, no one was killed and no crude was gushing into the water, but thedistinctions don’t end there. Even though the Mariner Energy-owned platformthat erupted in flames Thursday was just 200 miles west of the site of thespill, everything from the structures to the operations to the safety deviceswere different. Yet, when word spread of the latest mishap, Gulf Coastresidents could only think of the three-month BP spill that began after thedrilling rig Deepwater Horizon exploded on April 20, killing 11 workers. "It’sunbelievable," said Sophie Esch, 28, a graduate student at Tulane who isfrom Berlin, Germany. "They should finally stop drilling in the Gulf. Theyshould shut down all the drilling out there and not give permission to do anymore. They’ve shown that it’s just unsafe." Mariner Energy officials saidthere were seven active production wells on its platform, and they were shutdown shortly before the fire broke out. The Coast Guard said they wouldcontinue to monitor the platform to make sure no leaks. Houston-based MarinerEnergy said it did not know what caused the fire. The platform was still intactand a small portion appears burned, Cassidy said. Louisiana Gov. Bobby Jindalsaid the company told him the fire began in 100 barrels of light oil condensate."

Are Weather andClimate One in the Same? According to the UN, No, Except When it Suits TheirArgument. TheHill (9.2) reports, "Environmental ministers meeting in Geneva todaywere told a series of weather disasters point to the need for action on climatechange. The ministers are attending a session at the United Nations focused onfinancing a shift to green technologies in poorer countries. More than 40countries are attending the meetings. Christiana Figueres, the U.N.’s climate chief, said a string of weathercalamities point to the need for swift action, according to AFP.  Figueres mentioned the devastatingfloods in Pakistan and fires in Russia, which she said were a wakeup call forthe need for a new global climate-change agreement. "Science will show whetherand how those events are related to climate change caused by humanity’sgreenhouse-gas emissions, but the point is clear: We cannot afford to faceescalating disasters of that kind," she said, according to AFP. The talks inGeneva run until Friday and are focused on how to provide financing for poorercountries to shift from fossil fuels."

Double-Dip.Congressman Submits Earmark Request for "Non-Profit" to DevelopOffshore Wind Technology. Weeks Later, Same Congressman Signs Letter in Supportof Same Project for Energy Dept. Funding. PittsburghTribune-Review (9.3) reports, "Rep. Joe Sestak said Thursday he made amistake by failing to connect two requests from the same person, one of whichcould have led to a $350,000 earmark going to a for-profit company in violationof House rules. The requester, Drew Devitt, applied for the earmark in Marchfor his nonprofit Thomas Paine Foundation, to develop a type of wind turbinethat could be located miles offshore. A month later, he asked Sestak,D-Delaware County, to write a letter to the Department of Energy supporting thesame project. This time, the letter identified Devitt’s for-profit company, NewWay Energy, as well as his nonprofit. "On April 12, I signed and sent theletter forward," along with about 4,500 similar letters he signed thatmonth, Sestak said. "In that, I made an error: that I failed to put twoand two together." Devitt issued a statement saying he was up-front withSestak’s staff when he made the request. "I am an inventor, writer,entrepreneur, and employer of people who actually make things," Devittsaid. "I believe that the U.S. government has unwisely spent its funds onthe purchase of foreign wind turbines that have not been placed in zones thatwould be the most effective at generating energy. My efforts have been topromote what I believe is a better plan for wind energy."

Who Said Chinais Going Green? Remember that 75 Mile Traffic Jam in China Last Week, Turns out10,000 of Those Trucks Were Carrying Coal (!?!). WashingtonExaminer (9.3) reports, "Did you hear about that epic 75-mile longtraffic jam they had in China earlier this week? Yes, you read that right, itwas a traffic jam that stretched for 75 miles. Here in the nation’s capital,people are amazed when I-95 heading south of town or the Beltway around thecity develop jams that go for 10 miles. But incredible as a 75-mile traffic jamis in and of itself, there was something else of importance worth noting in theChinese traffic choker – it was mainly caused by trucks hauling coal. Accordingto China Daily, "more than 10,000 trucks mainly carrying coal are stuck ina 120 km (75 mile) traffic jam in the north Chinese region of Inner Mongolia,in the latest dramatic snarl-up on the country’s roads." Imagine that,10,000 trucks hauling coal. There is a reason for that, however. China’smassive manufacturing economy runs on coal, a fact that somehow gets lost inPresident Obama’s frequent exhortations to Americans that we must go greenbecause China allegedly is doing it faster than we are."

Fearthe Feld: Obama Request for Courts to Toss Out Challenge to Its Always Illegal,and Now Increasingly Unpopular, Offshore Ban Denied by Judge Feldman. WallStreet Journal (9/1) reports, "The federal judge who struck down the Obamaadministration’s initial six-month moratorium on deepwater oil drilling onWednesday dealt the government another blow. U.S. District Court Judge MartinFeldman denied the government’s request to throw out a suit challenging thedrilling halt that had been filed by offshore oil service companies. JusticeDepartment lawyers had argued the lawsuit was moot because the InteriorDepartment imposed a new, temporary drilling ban on July 12, replacing a May 28order that Judge Feldman had struck down in June. But Judge Feldman ruled thatInterior Secretary Ken Salazar’s second moratorium order "is substantiallythe same as the first one" and "applies to the exact same rigs, tothe exact same deepwater drilling, for the exact same time period," thejudge said in his ruling. Judge Feldman also noted that in crafting the secondmoratorium, Salazar appeared to have relied heavily on documents and data thathe had at the time of the first moratorium order.  "Nearly every statement in the July 12 decisionmemorandum is anticipated by documents in the May 28 record, or by documentsthat were otherwise available to the Secretary before May 28," the judgesaid.

Rallyfor Jobs Event in Houston Turns Out Lots of Very Loud Folks In Support ofResponsible Offshore Development – Think Anyone in DC Was Listening? HoustonChronicle (9/1) reports, "The emcee for the event was Minerva Perez, theco-host of Latina Voices on PBS. The lead-off speakers included Sherman LewisIII, the owner of a local chain of gas stations who is African American;Carroll G. Robinson, head of the Houston Citizens Chamber of Commerce; andBrandy Jones, founder of the social networking website Energy People Connect.Lewis got the biggest cheer when he talked about killing any cap-and-trade billthat tries to put a price on carbon emissions.  Jones lamented the volatility of the energy job market thatmakes "a geologist in their mid-30s … more scarce than a unicorn."The keynote, however, goes to former Shell USA CEO John Hofmeister. His talk,which started around 12:15 p.m. was being broadcast to rallies in CorpusChristi and Port Arthur. "Mr. President, Democrat to Democrat, I’m givingyou some straight talk," Hofmeister boomed. "When you flew to FortBliss, where’d that jet fuel come from? The Gulf of Mexico. When you haverecord snow fall in Washington, D.C. like you did in the winter of 2010, wheredid the natural gas come to keep people warm? The Gulf of Mexico. So why are weshutting down the Gulf of Mexico? You’ve cut your nose of to spite your face,Mr. President."

YouKnow the NYT Talking Point: Offshore Ban Hasn’t Resulted in Exodus of Rigs;Time to Update It: 1 More Left Last Week, and Another Is Set to Leave NextWeek. Reuters(9/1) reports, "Transocean Ltd has moved one of its deepwater rigs out of theGulf of Mexico, as the Obama administration’s deepwater drilling moratoriumhampers U.S. offshore oil and gas operations. Transocean’s Marianas rig is itsfirst to move from the Gulf since the suspension began and departed last week,bound for Nigeria, a company spokesman confirmed on Wednesday. The rig, undercontract with Italy’s ENI, was set to drill the Triton field. Oil companies andGulf state lawmakers have warned that the Interior Department’s halt onexploratory deepwater drilling will push idled rigs to foreign waters and costthe region thousands of jobs. The department imposed the six-month ban after anexplosion sank Transocean’s Deepwater Horizon rig, ruptured an undersea welland spilled 4.1 million barrels of oil into the Gulf. Transocean, the world’slargest drilling rig contractor, had more than a dozen deepwater rigs operatingin the Gulf when the drilling ban was put in place.

UseIt or Lose It, Anyone? Dilettante Solar "Developers" Snatch Up Prime Solar RealEstate in the Desert, But Refuse to Do Anything with It – Turns Out Solar’sExpensive! AssociatedPress (9/1) reports, "Nowhere is this more evident than in Nevada, where aGoldman Sachs & Co. subsidiary with no solar background has claims with theBLM on nearly half the land for which applications have been filed, but no firmplan for any of the sites. The Obama administration says it is expediting themost promising projects, with some approvals expected as soon as September."Clearly we spent a lot of time and effort on oil and gas, but thosepriorities have changed," Ray Brady, BLM’s head of energy policy inWashington, told the AP. BLM’s solar leasing system ended up allowingdevelopers to lay claim to prime sites – many located in the deserts that spanCalifornia, Nevada and Arizona. All developers had to do was fill out anapplication, pay a fee and file development plans. But many were so vague thatit was difficult for BLM to separate the serious projects from the speculativeones. In the Southern California desert near Palm Springs, for example, SanDiego-based LightSource Renewables filed an application in August 2008 for2,500 acres, BLM records show. The small, two-person development firm knewenough to recognize the land’s worth – it was close to transmission lines – buthad no previous experience with such projects. Co-founder Paul Whitworth saidit is now focusing on getting private land, and is not pursuing plans for itsBLM site. The agency, however, still considers the application active, meaningother interested firms cannot access it.

We’reNot Saying All Enviros Are as Nuts as the Guy Who Stormed Discovery Channel HQwith a Gun Yesterday Demanding Action on Climate – But They Read the SameBooks. WashingtonPost (9/1) reports, "Animals and bugs were good, Lee wrote. But war wasbad, along with global warming, pollution and international trade. As forcivilization?  The environmentalmilitant who was killed Wednesday at the end of a tense hostage standoff atDiscovery Communications headquarters in downtown Silver Spring, termed it"filth." Lee, who once listed a Silver Spring homeless center as hisaddress but who had inherited property in Hawaii that he sold for $90,000, heldextreme views about the environment. According to writings on the Internet, hebelieved that humanity had polluted the planet and that human reproduction wasthe worst pollutant. "Humans are the most destructive, filthy, pollutivecreatures around and are wrecking what’s left of the planet with their falsemorals and breeding culture," he wrote in an 11-point Internet communiquethat authorities said was similar to demands he made Wednesday. "Savingthe Planet means . . . decreasing the Human population. That means stopping thehuman race from breeding any more disgusting human babies!" "Theplanet does not need humans." What a coincidence: The WoodrowWilson Center in DC is holding a briefing today on "scarcity and populationcontrol."

ChetEdwards Generally a Guy Who Understands Difference Between Good, Bad andIrrelevant on Energy – Which Makes His Full-Throated Support for DOE Bizarre. DallasMorning News (9/1) reports, "Rep. Chet Edwards  dinged Republican challenger Bill Flores today forsuggesting earlier this year that the Department of Energy be eliminated."Maybe Mr. Flores doesn’t understand what the Department of Energy does,but that is a very dangerous misunderstanding," said Edwards, D-Waco, in acall with reporters. "This proposal would have serious consequences, bothhere in Texas and across our nation." The criticism derives from commentsthat Flores made at a radio candidates’ forum in March, where he suggestedcutting funds for the department. Edwards said the proposal would negativelyimpact research projects at Texas A&M and jobs for the expansion of theComanche Peak Nuclear Power Plant. The Department of Energy also plays animportant role in protecting against nuclear terrorism and working for energyindependence, he said. " The Flores campaign brushed aside the criticismas a "desperate attack." "Since the Energy Department wascreated in 1977 to end our dependence on foreign oil, it has failed to meet itsprimary objective even though it costs taxpayers about $30 billion eachyear," he added.

Facebook,Google, YouTube – You Know What They All Have in Common? They Use Electrons,and Those Come from Reliable Coal – Enviros Hate That. UKGuardian (9/1) reports, "Facebook is coming under pressure from its usersto switch to renewable energy. In one of the web’s fastest-growingenvironmental campaigns, Greenpeace international says at least 500,000 peoplehave now protested at the organisation’s intention to run its giant new datacentre mainly on electricity produced by burning coal power. Facebook will notsay how much electricity it uses to stream video, store information and connectits 500m users but industry estimates suggest that at their present rate ofgrowth all the data centres and telecommunication networks in the world willconsume about 1,963bn kilowatt hours of electricity by 2020. That is more thantriple their current consumption and more electricity than is used by France,Germany, Canada and Brazil combined. The company has said it will source itselectricity from Pacific Power. It uses coal power for 67% of its electricity,and produces less than 12% of its electricity from renewable sources. Thecompany has said it plans to generate more electricity from renewables infuture but has given no detailed information.

Thank You, Sen.Murkowski for Your Service to the Last Frontier and the Nation. AnchorageDaily News (8.31) reports, "Alaska Sen. Lisa Murkowski on Tuesday nightconceded the Republican primary election to Joe Miller, the tea party backedchallenger who maintained his Election Day lead after thousands of additionalabsentee and other ballots were counted through the day. Miller said Murkowskicalled him early this evening to say she was conceding. "I thanked her forthe hard-fought contest and wished her the best and asked for unity,"Miller said in a telephone interview from his hometown of Fairbanks. Millersaid he thinks Murkowski will end up supporting him in the general election."I’m going to give her some time and we’re going to talk more about itlater," he said. Miller said he’s going to meet with close friends andfamily Tuesday night. "Then we’ll probably head back to the office and dosome more campaign work a little bit later tonight," Miller said onTuesday. Miller will now face Democrat Scott McAdams, the mayor of Sitka, inthe November general election."

Hey NYT, Lookingfor Good-Paying, Family Sustaining Jobs? Look no Further Than Pennsylvania, andThank the Marcellus Shale and Hydraulic Fracturing; or Does That Not Count? NYTimes (8.31) reports, "With the country focused on job growth and withunemployment continuing to hover above 9 percent, comparatively littleattention has been paid to the quality of the jobs being created and what thatmight say about the opportunities available to workers when the recessionfinally settles. There are reasons for concern, however, even in the earlystages of a tentative recovery that now appears to be barely wheezing along.For years, long before the recession began, job growth had become increasinglypolarized in this country. High-paid occupations that require significantamounts of education and training grew rapidly alongside low-wage, service-typejobs that do not, according to David Autor, a labor economist at theMassachusetts Institute of Technology. The growth of these low-wage jobs beganin the 1980s, accelerated in the 1990s and began to really take off in the2000s. Losing out in the shuffle, Dr. Autor said, were jobs that he describedas "middle-skill, middle-wage" – entry-level white-collar positions, likeoffice and administrative support work, and certain blue-collar jobs, likeassembly line workers and machine operators."

Lame DuckStrategy Takes Hold. Days Before Senate Returns from Recess, and After Big Windand Solar Spent Millions Lobbying, Expensive, Intermittent Energy Mandate Backin the Picture. TheHill (8.31) reports, "Senate Majority Leader Harry Reid (D-Nev.) saidTuesday a nationwide renewable-electricity standard, or RES, is "absolutely" inthe mix as he tries to salvage energy legislation this year – possibly in alame-duck session. Before the August recess, Reid said he doubted an RES -which would require utilities to provide escalating amounts of power fromsources like wind and solar energy – could win 60 votes. It was left on thecutting-room floor when Reid unveiled a modest energy bill in late July. ButReid told reporters on a conference call Tuesday the energy bill is still awork in progress and cited two Republicans who have expressed interest in anRES. He did not name them. "I am going to tie them down a little more closely,"Reid said. He spoke on a conference call to promote a Sept. 7 energy conferencethat he is co-hosting at the University of Nevada-Las Vegas. Reid alsosuggested passing energy legislation could be more likely during a lame-ducksession. He noted the Senate would resume work after the recess but added, "Maybe,after the elections, we can get some more Republicans to work with us."

More Hot Air.Mass. High Court Sides With Cape Wind Developers; Still have to Answer ThisFundamental Question: Who’s Going to Buy the Electricity? The AP(8.31) reports, Developers of a proposed Nantucket Sound wind farm were clearedto move forward Tuesday when Massachusetts’ high court rejected a claim thatthe project sidestepped local opposition to win a key permit. Cape Windproject, a 130-turbine proposal that would be the nation’s first offshore windfarm, was given permission last year by a state board to build powertransmission lines through state waters. The Supreme Judicial Court backed thatdecision in a 4-2 ruling. Cape Wind had gone to the state after a local board,the Cape Cod Commission, rejected in 2007 its request to build about 18 milesof undersea and underground transmission cables to connect to the regionalelectric power grid. The local board said Cape Wind hadn’t provided sufficientinformation. Opponents argued the state exceeded its powers and was trumped bythe local ruling, but the court disagreed. It said that that interpretationwould mean the state Energy Facilities Siting Board’s authority appliedeverywhere but Cape Cod. Next week, the Massachusetts Department of PublicUtilities will begin considering whether Cape Wind’s pending 15-year deal withNational Grid is a good deal for ratepayers. Under the deal, the utility would buy half of Cape Wind’s power,starting at 18.7 cents per kilowatt hour. That’s about twice what the utilitypays for power from conventional sources, but Cape Wind backers say thatgiven the volatility of fossil fuel costs, the price will be a good deal overthe life of the contract."

Add Japan tothe List. Countries Around the World see Value in Marcellus Shale; Wonder WhenBoth Ends of Pennsylvania. Ave. will Take Note. Bloomberg(9.1) reports, "Sumitomo Corp., Japan’s third- largest trading company,agreed to pay Rex Energy Corp. about $140 million for a 30 percent stake in agas venture in the Marcellus Shale region in the U.S. Sumitomo plans to investabout $1.2 billion in the project during the next ten years, it said today in astatement on the company’s website. Sumitomo’s Summit Discovery Resources IILLC unit will pay about $88.4 million in cash for the stake and a further $52million toward drilling costs, Rex Energy said in a statement yesterday.Japanese trading companies including Mitsubishi Corp. are increasinginvestments in extracting methane trapped in shale rock thousands of feet belowthe earth’s surface to tap demand for the cleaner-burning fuel. The latest dealis Sumitomo’s second purchase of shale gas assets in the U.S. after it paid $25million for a 12.5 percent stake in a venture in the Barnett Shale region ofTexas from Carrizo Oil & Gas Inc. The Marcellus Shale project involvesdrilling more than 1,100 wells in an area located in Butler County,Pennsylvania, in the next decade. Gas output is expected to peak at 46 billioncubic feet a year, Sumitomo said in the statement."

Blame it onBush. AP Dispatch on Solar Points Finger at Bush Admin. For Lack ofDevelopment; Could it be that Suncatchers are Expensive, Unreliable and Use aTon or Water? The AP(9.1) reports, "Not a light bulb’s worth of solar electricity has beenproduced on the millions of acres of public desert set aside for it. Not oneproject to build glimmering solar farms has even broken ground. Instead, fiveyears after federal land managers opened up stretches of the Southwest todevelopers, vast tracts still sit idle. An Associated Press examination of U.S.Bureau of Land Management records and interviews with agency officials showsthat the BLM operated a first-come, first-served leasing system that quicklyoverwhelmed its small staff and enabled companies, regardless of solar industryexperience, to squat on land without any real plans to develop it. At a timewhen the nation drills ever deeper for oil off its shores even as it tries todiversify its energy supply, the federal government has, so far, failed to usethe land it already has – some of the world’s best for solar – to producerenewable electricity. "Clearly we spent a lot of time and effort on oiland gas, but those priorities have changed," Ray Brady, BLM’s head ofenergy policy in Washington, told the AP. The Bush administration, however,kept BLM’s focus on oil. BLM’s database of solar applications shows manylanguished for years while the agency approved more than 73,000 oil and gasleases in the last five years. BLM has yet to give final approval to one solarlease. BLM’s solar leasing system ended up allowing developers to lay claim toprime sites – many located in the deserts that span California, Nevada andArizona. All developers had to do was fill out an application, pay a fee andfile development plans."

George Sorosand Co. Hard at Work Supporting/Funding Anti-Energy Movement in America; StoryYet to be Picked up by MSM. EdLasky writes (9.1) at TheAmerican Thinker, "The sinister, omnipresent moneybags of the Americanleft, George Soros, knows that distraction and misdirection make for a gooddefense. So do his many lackeys and sympathizers in the American media. JaneMayer’s 10,000-word article in the New Yorker, titled "Covert Operations:the billionaire brothers who are waging a war against Obama," has beenwidely cited in other liberal media. Mayer just let the claim that Soros has nomonetary interest when he gives money stand unchallenged — and that wasshameful. Where was the famed New Yorker fact-checking department? Did they getlaid off? What planet do Mayer and Rich live on? Soros obviously has hisfinancial interests in mind when he gives, and he knows how to use his billionsto make more billions by tapping his friends in high places in the DemocraticParty.Soros’s pet think-tank, the Center for American Progress, constantlypushes green schemes. Democratic politicians are on board, as well. This groupincludes Barack Obama who, runs after one electric battery, solar power plant,and windmill after another (when he is not on the links or listening to livemusic at the club he created in the East Room of the White House). How generoushave Obama and the Democrats been to the green schemers? The grand champion ofbudget-busting departments has been the "Energy Efficiency and RenewableProgram," which received $1.7 billion in 2008 and $16.8 billion in 2009, a1,014% increase in just one year. Media reports over the past year or so havetied numerous Democratic donors to these "ventures." They have beenrichly rewarded with taxpayer dollars."

TrustUs, You Won’t Feel a Thing: EPA Chief Characterizes UpcomingCommand-and-Control Carbon Criminalization Rules over Entire US Economy as "ModestIn Scope." TheHill (8/30) reports, "EPA Administrator Lisa Jackson said over the weekendthat upcoming climate regulations are modest in scope, comments that come amidCapitol Hill efforts to scuttle the rules, EPA is set to begin regulatinggreenhouse gases from power plants and other large emissions sources in 2011,but vows to phase in the requirements slowly and shield small businesses. "They[the rules] will be modest, each and every one, because business needs time tounderstand the regulations that are coming at them. There won’t be any hugeshocks to the system," Jackson told National Public Radio in an interviewbroadcast Sunday. Some Capitol Hill lawmakers hope to derail EPA’s ability toregulate greenhouse gas emissions; regulations also face court challenges. Criticsof the regulations allege they will harm the economy, while defenders call thefears overblown and say the rules are needed to help slow global warming. Sen.Jay Rockefeller (D-W.Va.) has said that Majority Leader Harry Reid (D-Nev.) haspromised him a vote this year on his bill to block EPA rules governingstationary emissions sources for two years. Opponents have also eyedappropriations bills for riders to scuttle EPA’s authority. Jackson also saidshe remains hopeful Congress will return to climate.

Haley’sComment: Mississippi Gov. Gets Another Top Interior Official to Go On theRecord Predicting Premature End to Obama’s Failed Offshore Ban. AssociatedPress (8/30) reports, "Alabama Gov. Bob Riley and Mississippi Gov. HaleyBarbour used the Southern Governors’ Association convention in suburbanBirmingham to press the funding issue with two officials of the Obamaadministration: senior adviser Valerie Jarrett and assistant secretary ofInterior Wilma Lewis. The convention offered Barbour an opportunity to air hisfrustration with the administration’s moratorium on deepwater drilling,particularly after President Obama did not discuss it Sunday in his visit toNew Orleans. Lewis said people must remember that 11 workers lost their livesin the April accident. She said a six-month pause to Nov. 30 was needed to makesafety changes and make sure a future spill can be contained. But she said somerigs that are deemed to be safer than others might be allowed to return to workbefore Nov. 30. Barbour said the moratorium had worsened the spill’s economicimpact on the Gulf states and caused oil companies to increase their interestin drilling in areas far beyond the Gulf. "I don’t know how to describe itother than pouring salt in a wound," he said. Barbour and Riley alsocomplained about a lack of information about the administration’s recovery planfor the region, headed by former Mississippi Gov. Ray Mabus.

ThatShould Do It: New BOEMRE Chief Thinks He’s Found the Cure to All that AiledFormer MMS: Prevent BOEMRE Inspectors from Eating Lunch with Industry. The HoustonChronicle (8/31) reports, "The Obama administration on Monday imposed anunprecedented conflict-of-interest policy on federal drilling regulators in abid to put greater distance between inspectors and the offshore platforms andrigs they police. The rule is aimed at strengthening oversight of the offshoredrilling industry following the Gulf of Mexico oil spill and reports thatofficials at the former Minerals Management Service – now the Bureau of OceanEnergy Management, Regulation and Enforcement – sometimes were too cozy withenergy companies. Bureau Director Michael Bromwich announced the new policy,which takes effect immediately, in an e-mail to employees late Monday. Bureauemployees now must tell supervisors about any potential conflict of interestand submit formal requests not to be assigned inspections or other officialduties when those conflicts arise. The employees also must ask to step downwhen their inspections or official duties involve a company employing a familymember or close personal friend. And for at least two years, they cannot perform inspections or otherwork involving former employers in the industry. Lawmakers in the House andSenate have advanced proposals for a similar two-year timeout.

Who’sDown for a Rally? Lots of Pro-Energy Folks All Across Texas This Week, and AllAcross Ohio, Illinois, N.M, and Colo. over the Next Few Weeks. HoustonBusiness Journal (8/30) reports, "A group led by the American PetroleumInstitute is simultaneously holding a "Rally for Jobs" in three Texas cities,including Houston, on Sept. 1. The rallies, scheduled for 10:30 a.m., will takeplace in Houston at the George R. Brown Convention Center, in Port Arthur atthe Port Arthur Civic Center and the American Bank Center Convention Center inCorpus Christi. The rallies will focus on the energy industry’s impact on thestate’s economic development. The oil and natural gas industry supports morethan 1.7 million jobs in Texas and accounts for almost 25 percent of the state’seconomy, according to API. "The focus of the rallies will be jobs and theeconomy," said Jack Gerard, API president and chief executive, in a statement. "U.S.unemployment is high, and Americans have growing concerns over the economicrecovery." The Texas rallies will be the first in a series to take place inOhio, Illinois, New Mexico and Colorado during the congressional recess period,according to the organizers.

InvestigatorsRecommend a Bit Less Political Cheerleading in the Future from UN’s IPCC Panel -No Need to Cut the Hackery Out Completely, But Moderation would be Prudent. LondonTelegraph (8/31) reports, "A group of leading scientists from around theworld said on Monday that the leaders of the UN’s Intergovernmental Panel onClimate Change had left themselves open to the accusation that they had"gone beyond IPCC’s remit". In March the Amsterdam-based InterAcademyCouncil (IAC) was called in after a number of errors were found in the IPCC’slandmark 2007 Fourth Assessment Report into man-made climate change. On Mondaythe IAC announced its recommendations on how to strengthen the IPCC, saying it"needs fundamental reform" to convince an ever more skeptical publicthat its science was solid. The report also recommended that a "rigorousconflict-of-interest policy" should be drawn up for senior IPCC leadershipand authors of its reports. In the future no individual should chair the IPCCfor more than one six-year term, it stated.  Additionally, "formal qualifications for the chair andall other Bureau members need to be developed", the IAC said. The IAC alsosaid the IPCC should tighten up on its use of so-called "grayliterature" – that which has not been peer-reviewed. Prof Shapiro said:"IPCC has guidelines for the use of such sources, but these guidelines arevague and have not always been followed."

SoYou Have an Extra $35,000 Sitting Around and a Hankering for a 100-HP ElectricCar that Dies After 100 Miles of Sputtering Along? Nissan’s Got You Covered. VentureBeat magazine (8/30) reports, "Word on the street is that Nissan will starttaking orders tomorrow for the hotly anticipated Leaf, the world’s firstmass-produced electric vehicle priced low enough for the general consumer. Theautomaker has been accepting reservations for a refundable fee of $99, andalready has 18,000 pre-orders, according to John Schilling, Nissan spokesman -with a goal of reaching 20,000 by December. More than half of the reservationsare from people in the five states where the Leaf will have its initialrollout. The rollout will be staggered. The first vehicles will go to driversin Arizona, Tennessee, California, Washington and Oregon, then in January toTexas and Hawaii. The car maker expects the Leaf to be available everywhere inthe U.S. by the end of 2011. Officially, Nissan declined to comment on the dateorders will start, saying only that it "will happen soon," but it’s beingreported that a Washington dealership has posted on Mynissanleaf.com that tomorrow’sthe big day. Nissan says it can take the car 100 miles in a single charge.

RememberWhen Germans Made Cars? Now They Make Ridiculous Promises about How Much Windand Solar They’ll Use 40 Years from Now – Achtung! Dow Jones(8/30) reports, "Most of Germany’s energy demand can be met through renewablesources by 2050 but this is dependent on agreeing ambitious, multi-billion euroexpenditure, according to the conclusions of a government-commissioned reportinto the country’s future energy policy. Environment Minister Norbert Roettgenand Economics Minister Rainer Bruederle, who jointly presented the findings ofthe report in Berlin Monday, said all of the several scenarios the report hasdrawn up project that Germany can meet its climate protection targets if itincreases the use of renewable energies, improves energy efficiency andmodernizes its energy infrastructure. To achieve the goals, however, massiveinvestments by both private and public sectors will be required.  Germany plans to reduce greenhouse gasemissions 40% by 2020 and at least 80% by 2050 compared with 1990 levels.Roettgen and Bruederle also said the study argues for the longer use of nuclearenergy to assist in reaching these goals. "The appraisal shows thatextending the lifespan will lower CO2 gas emissions," said Bruederle.

Savethe Possums: Enviros Play Dead in Weekend Feature in the Wash Post – Say They’reDown and Out, But Influx of Lots MoreCash Could Change All That. WashingtonPost (8/29) reports, "On Thursday, some of the country’s most respectedenvironmental groups – in the midst of their biggest political fight in twodecades – sent a group of activists to Milwaukee with a message. We’re losing.A year ago, these groups seemed to be at the peak of their influence, needingonly the Senate’s approval for a landmark climate-change bill. But they lostthat fight, done in by the sluggish economy and opposition from business andfossil-fuel interests. Now the groups are wondering how they can keep this lossfrom becoming a rout as their opponents press their advantage and try to undothe Obama administration’s climate efforts. At two events last week inWisconsin, environmental groups seemed to be trying two strategies: defianceand pleading for sympathy. Neither one drew enough people to fill a high schoolgym. "What was revealed by the last year or two was that the energyindustry hasn’t even had to break a sweat yet in beating this stuff off. Ourside did absolutely everything you’re supposed to do . . . but gotnowhere," said author Bill McKibben, who co-founded the climate-focusedgroup 350.org.

YouWon’t Believe This; Are You Sitting Down? Turns Out Folks in Europe Are Gamingthe Cap-and-Raid System – Making Lots of Money, with Zero EnvironmentalBenefit. NYTimes (8/29) reports, "The business works as follows: Factories producingrefrigerants install equipment to transform the waste gas so it has lesswarming potential and then apply to the United Nations for permission to sellcredits.  The factories sellcredits in proportion to the overall amount of gas destroyed to buyers thatinclude governments, banks, trading companies and utilities. Buyers can sellthe credits again on emissions trading markets or use them to meet their legalor voluntary obligations to cut emissions. Most of the demand for those creditsis in the European Union, where polluters have operated under a mandatory cap-and-tradesystem since 2005. Europe dominates a market for greenhouse gases worth $144billion worldwide in 2009.  Chinahas been among the biggest beneficiaries by generating offsets under a programknown as the Clean Development Mechanism that is overseen by the U.N. climateoffice in Bonn. Critics have warned for years that this form of offsettingwould encourage profiteering, with little or no value in efforts to curbclimate change. More recently, opponents of offsetting have likened the systemto the kind of financial engineering on Wall Street that helped precipitate therecent banking crisis.

LouisianaGov. Says Offshore Ban Is Hurting His State’s People and Economy – In WaysAnalysts in New York and Washington DC Have No Ability to Comprehend. TheHill (8/29) reports, "Louisiana Gov. Bobby Jindal (R-La.) on Sunday blastedPresident Obama’s failure to revisit his ban on offshore oil drilling.   "We don’t think the fact thatthey’re not doing their jobs in D.C. should cost thousands of Louisianans ourjobs," Jindal told reporters shortly after the president spoke at XavierUniversity in New Orleans. Obama’s speech on the fifth anniversary of HurricaneKatrina addressed the rebuilding of New Orleans and his commitment to clean upthe BP spill in the Gulf of Mexico, but did not mention his administration’sdecision to halt deepwater offshore exploration until Nov. 30. The White Houseis reportedly considering an early end to the ban but Jindal wants to see a "greatersense of urgency" from the president. "The experts all agree, we can end thismoratorium before six months," he said. "Let’s put our people back towork. "I don’t think they understood how the energy industry worked – I thinkthey really thought that the rigs could simply flip a switch," he said. "In thebeginning, the administration suggested people file BP claims with unemploymentclaims. We made it clear that people want to go back to work." Clickhere to see William O’Reilly’s interview on Platts Energy Weekyesterday – one in which he makes clear that he opposes Obama moratorium.

WhatAbout that Effect? Obama Says Economic Situation in Gulf a Lot Better thanExpected – Just Wait a Couple Weeks, Says API’s Radford – ‘Bout to Get a LotWorse. NewOrleans Times-Picayune (8/29) reports, "Only a few rigs have left the Gulfof Mexico because of the federal deepwater drilling moratorium, but thedirective could dampen long-term activity in the Gulf if it drags on, a seniorpolicy adviser at the American Petroleum Institute said last week.  "Large operators have a number ofleases in play, and they can ride out some level of inactivity," AndyRadford told a group of journalists convened in New Orleans by the PoynterInstitute, a Florida-based school and resource for journalists. "There isa willingness to ride it out," but companies are also waiting to see someindication that they will be allowed to resume deepwater drilling. "Ithink the next few months will be critical," Radford said.  The moratorium, which the Obamaadministration put in place in late May soon after the BP oil spill, suspendsexploratory drilling at 33 deepwater wells in the Gulf of Mexico for sixmonths, but it remains unclear just how long the moratorium could last.  A long moratorium eventually could curbinterest among energy companies in bidding for drilling tracts in the Gulf andcause a downward trend in offshore production.  "You won’t feel the (full) effects of it until down theroad," Radford said.

Facedwith Far Less Attention After Splashy Release of GasLand, Director Forced toRatchet Up the Bombast to Cling to the Spotlight – Credibility Be Damned. IPAA /EID’s Lee Fuller writes in the GlenwoodSprings (Colo.) Post Independent, "In an Aug. 26 story, Josh Fox – directorof the film Gasland – continues to perpetuate a host of blatantly false claimsabout American’s natural gas industry, particularly the use of hydraulicfracturing technology. Your readers should understand that hydraulic fracturinghas been safely used nationwide over 1.1 million times since it first came intocommercial use in 1949. It’s a technology that has never contaminatedgroundwater, a fact reinforced by top EPA officials as recently as this year.Colorado’s top oil and gas regulator, David Neslin, also confirms "there hasbeen no verified instance of harm to groundwater caused by hydraulic fracturingin Colorado." And while Fox claims that "a huge array of chemicals" are used inthe fracturing process, the truth is these fluids are composed almost entirelyof water and sand – with a small portion of additives (0.05 percent of the mix)used to kill bacteria and reduce friction. These additives can be commonlyfound in one’s kitchen cupboard and in every day food products, and a list ofthese are required by federal law to be available at every well site in thenation. The top environmental regulator in Pennsylvania has called Josh Fox a "propagandist,"saying the film is "fundamentally dishonest" and "a deliberately falsepresentation for dramatic effect." And a longtime New York Times editor calledthe film "one-sided," "flawed," and "in the Michael Moore mode." But you don’thave to take their word for it. Download our point-by-point rebuttal of thefilm at Energyindepth.org.

What’sthe President Focusing on Right Now in the Gulf? Shrimpers? Crabbers? TheClean-Up? Nope – He’s Trying to Convince Brian Williams This Isn’t His Katrina.NBC News(8/29) reports, "As BP struggled for weeks to cap the well that began gushingoil into the Gulf of Mexico in April, Obama came under similar pressure fromenvironmental activists who said the federal government should have stepped inearlier and taken greater control – leading, as Williams noted, to critics’characterization of the oil spill as "Obama’s Katrina."  "That is just not accurate," Obamasaid, pointing to the $20 billion fund BP set up under federal  supervision to compensate victims ofthe oil spill. Obama said failures in the aftermath of Katrina made it clearthat "the real protection for New Orleans and the coast are the wetlands,"lessons that he said provided important guidance in allowing his administrationto respond quickly in the days after the oil spill. "We’ve got a lot more workto do," he said. "But the fact is because of the sturdiness and swiftness ofthe response, there’s a lot less oil hitting these shores and these beaches thananybody would have anticipated given the volume that was coming out of the BPoil well."

Scienceof the Lambs: Extremists Who Took Orgo and Therefore Say They’re "Scientists"Angry that More Hasn’t Been Done Faster to Dismantle Modern Economy. E&E News (8/27,subs. req’d) reports, "Obama outlined a slew of intentions in a March 2009memo, writing that political officials "should not suppress or alterscientific or technological findings and conclusions." Research, he wrote,should be transparent and available to the public, while agencies should hirescientists solely for their expertise. The president also directed the WhiteHouse Office of Science and Technology Policy to create a set of guidelines toensure agencies met these goals. But Holdren wrote in June that Obama’s memoalready bound agencies to improving their policies regarding research andtransparency. "There should not be any doubt that these principles havebeen in effect — that is, binding on all Executive departments and agencies –from the date of issue of the Memorandum on March 9, 2009," he wrote.Advocacy groups are skeptical. "I’m sure there’s been improvement. Thequestion is how much and how widespread," said Grifo. "Is it enough?No. We’re still hearing from folks. … Decisions are being made that aren’twith the best science." The Union of Concerned Scientists has been closelyfollowing the issue for more than two years, keeping track of decisions and newsthat indicate whether federal agencies are beginning to give scientists moreclout. When EPA disclosed the ingredients of the oil dispersant used in theGulf, the nonprofit marked the move as a step forward. But the National Oceanicand Atmospheric Administration earned a "red light" on UCS’s websitewhen scientists criticized the agency for inaccurately measuring the spill’ssize.

EtTu, Grumet? Fmr. Obama Energy Advisor Drops Heavy Political Ordnance on WhiteHouse in Form of New Report Calling for Obama Offshore Ban to Be Lifted.Bloomberg(8/26) reports, "President Barack Obama’s moratorium on deep-water drilling isno longer needed because new rules reduce the risk of an uncontrolled spill,according to a report for a panel investigating BP Plc’s blowout. Rules issuedin June by the Interior Department "provide an adequate margin of safety toresponsibly allow the resumption of deep-water drilling," according to thereport today from the Bipartisan Policy Center, a Washington-based researchgroup. The rules, if followed by BP, Apache Corp. and other drillers, andenforced by regulators, "will achieve a significant and beneficial reduction ofrisk." "It confirms what we’ve been saying in Louisiana, that a six-monthmoratorium is arbitrary and capricious," Louisiana Lieutenant Governor ScottAngelle, a Democrat, said today in an interview. The rules "have created anenvironment where a bipartisan, independent group says we can get back to work.We need to start issuing permits." Contributors to the report issued today alsoinclude Elgie Holstein, senior director for strategic planning at the NewYork-based Environmental Defense Fund. Grumet’s report can be found here.

EtTu, Bob Gates? Obama Defense Department Also Poking the Administration in theEye on Energy – This Time, Expressing Concerns on Wind Mills in the Mojave. NYTimes (8/26) reports, "The United States military has found a new menacehiding here in the vast emptiness of the Mojave Desert in California: windturbines. Moving turbine blades can be indistinguishable from airplanes on manyradar systems, and they can even cause blackout zones in which planes disappearfrom radar entirely. Clusters of wind turbines, which can reach as high as 400feet, look very similar to storm activity on weather radar, making it harderfor air traffic controllers to give accurate weather information topilots.  Although the military saysno serious incidents have yet occurred because of the interference, the windturbines pose an unacceptable risk to training, testing and national securityin certain regions, Dr. Dorothy Robyn, deputy under secretary of defense,recently told a House Armed Services subcommittee. Because of its concerns, theDefense Department has emerged as a formidable opponent of wind projects indirect conflict with another branch of the federal government, the EnergyDepartment, which is spending billions of dollars on wind projects as part ofPresident Obama’s broader effort to promote renewable energy.

SeeHow They Run: If You’re a Public Official in Appalachia with the Letter "D"After Your Name, "Obama" and "EPA" Aren’t Things You’re Associating YourselfWith Right Now. Greenwire/NYTimes (8/26) reports, "Democrats in Appalachia are running away from the Obamaadministration’s coal record like their political lives depend on it. They maybe right. After decades in Democrats’ hands, much of the mountain corridor hasdrifted toward Republicans in national elections. Energy issues have driven theswitch, particularly since 2000, when Al Gore came to West Virginia touting acarbon-free future and became the fourth Democratic presidential candidate tolose the state since the Great Depression. Along with the president’s push forlimits on greenhouse gas emissions, U.S. EPA in April singled out the sixstates for special restrictions on mountaintop removal coal mining. EPA alsostopped the U.S. Army Corps of Engineers from issuing permits for 79 surfaceand mountaintop mines in the region, saying they would have violated the CleanWater Act. To date, six of those permits have been approved. "I thinkthere is a danger for Democrats that being seen as a Democrat means being seenas being a supporter of Obama’s EPA," said Phil Smith, a spokesman for theUnited Mine Workers of America. "There is a risk for Democratic candidatesto be tied to it, if they let themselves."

Deloitte:Shale Gas, Other Not-So-Unconventionals Primed for Enormous Expansion Over Next20 Years – Will Double Their Share of the Market, All Thanks to HF. Greenwire (8/26, subs.req’d) reports, "Unconventional natural gas sources will double their share ofthe U.S. market in the next 20 years, say analysts at Deloitte in a new report.Abundant supplies of gas from huge shale deposits in the United States and theexpanding international market for liquefied natural gas (LNG) should also keepprices depressed for years to come, the company says. At the same time,Deloitte’s survey of evolving trends in the industry shows shale gas productionis getting cheaper and more cost-effective, enticing the world’s largest oilcompanies to creep into a sector long dominated by smaller independent producers.Deloitte sees low pricing as the norm for some time but does not see it as aproblem for shale gas developers as companies have undertaken impressive costreductions. Gas at $3.38 per million Btu is the "break even point"for producers at the Eagle Ford shale formation in south Texas, the firm pointsout. The relative success of independent oil and gas producers, driven largelyby shale exploration, is now causing larger producers to enter the fray in anincreasingly big way.

DevonChief: Reid Tried to Pull a Fast One with Sweet-and-Sour Approach to NatGas inEnergy Bill – But Be Advised: Helluva Lot More Vinegar in There Than Molasses. Devon CEO Larry Nichols writes (8/27) in the Oklahoman,"The [Reid] bill would have had the Environmental Protection Agency requirenatural gas producers to identify chemicals added to water used to fractureshale natural gas formations. Environmental groups have been campaigning foryears to move hydraulic fracturing oversight from states to federaljurisdiction, where it would be subject to a host of new regulatory burdensthat could discourage exploration, slow production, reduce gas supplies, raiseenergy costs and erode high-paying jobs. The Reid bill would have been a firststep. Reid’s bill presented some difficult choices for Inhofe and Coburn. Bothsenators support the use of natural gas as a transportation fuel. Natural gasis the cleanest fossil fuel, it is abundant and Oklahoma is the nation’sthird-largest producer. The bill would also have encouraged energy efficiencyand, perhaps, created manufacturing jobs in Oklahoma. The problem is thenegatives far outweigh the positives. Because of Inhofe, Coburn and others whoput our nation’s economy before ideology, Reid’s bill never made it to thefloor. For the time being, we are relieved. Meanwhile, we are still waiting foran energy policy that will promote all of our energy resources, create jobs,strengthen our economy and ensure our nation’s energy security.

JohnDoerr Made a Billion Dollars the Right Way – Now He’s Trying to See if He CanMake a Billion More Through Rent-Seeking, Crony Capitalism, "Green" Hedging. Amanda Carey writes (8/26) for the DailyCaller, "Doerr has been responsible for the firm’s successful investmentsin companies like Compaq, Intuit, AOL, Amazon, Netscape and Google. No onewould argue that Doerr hasn’t earned his spot on Forbes magazine’s annualrichest people in the world list. However, in recent years, Doerr hasredirected his talent from picking out successful start-up companies tosuccessfully lobbying the Obama administration into supporting "green"initiatives. While Doerr considers himself "a raging capitalist," what he hasbeen doing the last few years may be more akin to crony capitalism. With hislobbying, political advising and picky investing, Doerr has been one of themain movers behind green policy initiatives in Washington D.C, creating a webof players within a new industrial complex of green initiatives and renewableenergy. He’s also been one of the biggest profiteers from it. "I think Doerr,like most, supports people he knows will support him," Chris Horner, seniorfellow at the Competitive Enterprise Institute, told The Daily Caller. "He[Doerr] is invaluable to them as a committee hearing witness. And, because they[politicians] are promoting the coercive transfer of wealth to ‘investments’ ofhis – investments that he made on the cheap because they’re uneconomic, but canreap tremendous ‘rents’ if their agenda of taking effective control of theenergy sector is affected – they are invaluable to him," said Horner. He added,"I don’t know if he has been trading tit for tat, but it is clearly a mutualbenefits society."

Here’sHow Much Greens Hate Coal: So Much, That They’d Rather Keep 80 Million Peoplein India in the Dark than Allow Them Access to Coal-Fired Electricity.  TheHill (8/26) reports, "I’m pleased with the unanimous vote of approval tobuild an Indian power plant, which will lead to hundreds of jobs forMilwaukee-area residents. I hope this vote symbolizes a new direction for theObama Administration, where policies promote American economic growth ratherthan ship jobs overseas. Next, the President should acknowledge the harmfulconsequences cap-and-tax will impose on American workers," said Sensenbrenner,the ranking member of the Select Committee for Energy Independence and GlobalWarming, in a statement. But several environmental groups are bashing thefinancing. Three groups – Friends of the Earth, the Sierra Club and PacificEnvironment – said in a statement Wednesday that the project alone wouldproduce carbon dioxide emissions equivalent to one-fifth of the coal plantsproposed in the United States. "The fix is in at Ex-Im Bank. The Bank’s boardbowed to political pressure and in so doing wastes public financing to worsentheir fossil fuel binge," said Doug Norlen, policy director of PacificEnvironment. The bank board’s decision to approve the financing Wednesday is areversal of the bank’s earlier rejection of the project, according to multiplepress accounts.

It’sClearly Not About the Carbon, Friends: Same Enviros – Same Damned Ones! – WhoOppose Coal in India Oppose Emissions-Free Nuclear Power in South Carolina. ClimateWire (8/26)reports, "The five NRC commissioners are scheduled to announce a decision on achallenge raised by the Sierra Club and Friends of the Earth against twoproposed nuclear reactors planned for the Virgil C. Summer Nuclear Station inFairfield County, S.C. The two environmental activist organizations contendthat the project’s sponsors — South Carolina Electric and Gas Co. (SCE&G)and the South Carolina Public Service Authority (Santee Cooper) — did notseriously consider "greener" alternatives to the proposed reactors,such as offshore wind and demand response programs. And that violates theNational Environmental Policy Act (NEPA), which the NRC is obliged to uphold,the Sierra Club and FOE insist. An NRC Atomic Safety and Licensing Board paneldismissed the environmental groups’ objections to the utilities’ environmentalplan for the Summer project last year, calling the challenge "vague andgeneralized." In its environmental statement to the NRC, SCE&Gprojected that its baseload capacity would increase by 24 percent between 2007and 2021, due to growing demand for power it anticipates in the state from anexpanding population and business base (South Carolina also exports power toother states).

MusiciansSay They Won’t Play a Horse Show Because It’s Sponsored by a Local Coal Company- No Problem Using Those ELECTRIC Guitars Though, Huh Fellas? Lexington(Ky.) Herald-Leader (8/24) reports, "At least four entertainment acts haverefused to perform during the Alltech FEI World Equestrian Games because a coalcompany is one of the major sponsors. Acts who won’t be appearing as part ofthe Kentucky Experience Pavilion include the musical groups Reel World StringBand, Kentucky Wild Horse and Randy Wilson, and storyteller Octavia Sexton. Allare performers with strong Appalachian ties, who often incorporate coal mines andminers into their performances. Reel World String Band, for example, wouldlikely have performed The Taking, which includes a line about stopping"the greed of the coal companies." The artists were selected by theKentucky Arts Council several months ago as part of an effort to showcase thestate’s tourism, businesses and arts and crafts in a group of large structuresat the Kentucky Horse Park. While the arts council was choosing performers, thestate Department of Tourism was lining up sponsors. John Harrod, a member ofthe group Kentucky Wild Horse, said that was something he could not do. "Icould not in good conscience allow myself to be used as an advertisement for anindustry that has bought and corrupted our legislature and consistently blockedall efforts by our state to move ahead on sustainable energy," Harrod saidMonday.

Rockin’Bakken: Innovative Technology, Leadership of Folks from Whiting, Others,Helping Transform North Dakota’s Economy – So Much So that Even NPR Is Smitten. NPR(8/25) reports, "JEFF BRADY: Head out to the wheat fields south of Stanley, andthe peace and quiet folks around here value is interrupted.  Whiting Petroleum owns this talldrilling rig and plans to drill about 400 wells in the region. It can take 20days to drill just one, according to the company’s Blaine Hoffman.  Mr. BLAINE HOFFMANN (Whiting): We’lldrill two miles down and then two miles out. BRADY: Hoffmann is a North Dakotanative, and he’s seen oil booms before. This one started in 2006. The number ofdrilling rigs in the state has steadily increased to more than 140. Each rigneeds a crew and plenty of supplies, which Hoffmann says helps North Dakota’seconomy Mr. RON NESS (President, North Dakota Petroleum Council): North Dakotawas ninth-largest oil-producing state in 2006. Today, we’re the fourth-largestoil-producing state, and we’re growing rapidly. BRADY: There’s plenty of newconstruction and some, like Betty Harstad, now get royalty payments. She hasone well on her farm outside town. Ms. HARSTAD: So for farmers it was a nicegift because farming isn’t all that economical. There’s, you know, a lot ofstress with it. So it relieved the stress of some of the farmers in the areathat were able to receive royalties.

"TheyOwe Us": Greens Incensed over Justice Dept. Brief Arguing that Suing Utilitiesfor Providing People Power Under "Nuisance" Statutes Isn’t Such a Great Idea. Greenwire (8/25, subs.req’d) reports, "The Obama administration has urged the Supreme Court to tossout an appeals court decision that would allow lawsuits against major emittersfor their contributions to global warming, stunning environmentalists who seethe case as a powerful prod on climate change. In the case, AEP v. Connecticut,the 2nd U.S. Circuit Court of Appeals sided with a coalition of states,environmental groups and New York City. The decision, handed down last year,said they could proceed with a lawsuit that seeks to force several of thenation’s largest coal-fired utilities to reduce their greenhouse gas emissions.Matt Pawa, an attorney representing plaintiffs in the case, said he and hiscolleagues expected the White House to stay out of the matter. During a meetingwith more than 30 administration lawyers at the solicitor general’s office onJune 24, it seemed they had "a lot of friends in the room," he said."We feel stabbed in the back," Pawa said. "This was really adastardly move by an administration that said it was a friend of theenvironment. With friends like this, who needs enemies?" Professional reaxpurveyor Frank O’Donnell writes in (8/26) to Politico, "Some believe theObama White House, having failed to enact climate change legislation, hasadopted the old maxim when it comes to polluters: if you can’t beat ’em, join’em….I think they owe us a better explanation than the one given so far."

DayAfter Biden Calls Green Pork Stimulus the Greatest Accomplishment of His Tenure(Scary: He’s Right), AP Blows It Up with Big-Time Fact Check Rebuttal. Associated Press(8/25) reports, "The Obama administration claimed this week that $100 billioninvested in innovative technologies under the economic stimulus law is"transforming the American economy" by putting the nation on trackfor technological breakthroughs in health care, energy and transportation. Butan examination of details in the 50-page report unveiled Tuesday by VicePresident Joe Biden reveals something a bit different: a collection of rosyprojections that ignore many of the challenges, pitfalls and economic realitiesin all those areas. The claim: Thanks to the stimulus, the U.S. is on track to"doubling U.S. renewable energy generation capacity and U.S. renewablemanufacturing capacity by 2012." Robert L. Nelson, a partner at the AkinGump law firm who co-chairs its renewable energy group, said that themanufacturing claim reminded him of a story told in the old Soviet Union. Acommissar, or government official, asks a farmer how good next year’s crop willbe. The farmer says it will be 10 times as good as last year’s. The commissarthinks to himself, "Ten times zero is zero."

BigSolar, Mighty Wind Ramp Up Lobbying by 1,200 Percent over Last 10 Years – WhileActual Percentage of Energy Derived from Their Products Remained a RoundingError. OpenSecrets.org(8/26) posts: "By 2007, the alternative energy industry had begun todrastically increase its lobbying spending, almost doubling its expendituresfrom the previous year. In 2009, alternative energy organizations shelled outan unprecedented $30 million to protect and promote their interests on CapitolHill, and this year, it’s on pace to equal that record output. The alternativeenergy industry’s lobbying expenditures have grown to 12 times from its 1998level. In comparison, oil and gas spending and mining spending have grown lessthan three times their 1998 amount, and electric utility spending has grown tojust twice its 1998 amount. By 2009, there were about 200 alternative energycompanies and organizations employing lobbyists to help advance the industry’sinterests.  The American WindEnergy Association is one of those organizations that recently andsignificantly increased lobbying efforts. The recent involvement of AWEA infederal affairs, she said, "reflects the urgency of the industry’s numberone priority — passing a national renewable electricity standard withaggressive, binding near- and long-term targets, as part of comprehensiveenergy and climate legislation." Azua de Real cites "marketcertainty" as a concern of AWEA’s members, who need legislative support oftheir industry "in order to expand their operations and invest in newmanufacturing as well as new wind farm facilities."

ProtractedEconomic Downturn Great News for Folks Who Care About Slashing Energy Use – US Continuesto Use Less and Less and Economy Grows Worse and Worse. ChristianScience Monitor (8/25) reports, "The United States used significantly lesscoal and petroleum in 2009 than in 2008, and significantly more wind power,according to energy flow charts released by Lawrence Livermore NationalLaboratory (LLNL), a government national security laboratory in Livermore,Calif. There also was a decline in natural gas use and increases in use ofalternative energy sources, including solar, hydrothermal and geothermal power,the researchers say. However, the consumption dip doesn’t necessarily reflect asea change in the way Americans think about and use energy, or a shift to more"green" behavior. Rather, the decrease is due, in part, to thecurrent economic downturn as well as advances in technology. "Energy usetends to follow the level of economic activity, and that level declined lastyear," said A.J. Simon, an energy systems analyst for LLNL. "At thesame time, higher efficiency appliances and vehicles reduced energy use evenfurther." "As a result, people and businesses are using less energy ingeneral," Simon added. "The reduction in the use of natural gas, coaland petroleum is commensurate with a reduction in carbon emissions," Simonsaid. "Simply said, people are doing less stuff. Therefore, they’reburning less fuel."

AllIn a Day’s Work: Guy Who Makes His Living Fracking Wells in Northern PA Savesan Old Woman from a Burning House in Southern NY. ElmiraStar-Gazette (8/23) reports, "A gas industry worker who recently moved toWellsburg from Oklahoma got an unusual opportunity on his birthday Monday: thechance to save a life. Billy Watts, who turned 37 Monday, was driving home onSouth Broadway from Troy at about 6 p.m. when he saw black smoke in the air.Watts, a hydrofracturing operator for Cudd Energy Services in Pennsylvania,pulled over and helped a volunteer firefighter at the scene before any firetrucks arrived. The pair went down the hill toward the burning home at 2726South Broadway and saw a woman who looked to be in her 70s, Watts said."As we got there she was in the back yard by the fence," Watts said."She was bent over the fence and couldn’t get out, couldn’t breathe."A dog was with her, he said. Watts and the firefighter helped the woman and dogget away from the house. Watts said he breathed in some smoke and feltcongested from it, but otherwise he was fine. "It’s important for peopleto stop and try to help out," Watts said, noting that other bystanderscame by. Some helped carry the woman up the hill from her home; another triedto call the fire department, he said.

CAAssembly Loves Passing Outrageous Energy Mandates – Like the One Targeting HDTVs; But Then It Comes Time to Implement Them, and They Run Like Rats. AssociatedPress (8/25) reports, "The nation’s first energy-efficiency standards fortelevisions would be delayed by six months if Gov. Arnold Schwarzenegger signsa bill approved by the California Senate. The bill sent to his desk Wednesdaywould push the regulations adopted last year by the California EnergyCommission back to July 2011. Republican Sen. Bob Huff of Diamond Bar says thatwould give the Federal Trade Commission time to develop its own nationwideenergy efficiency labeling rule for televisions. His bill lets California’srules take effect only if the federal commission fails to act by next July.State regulators had hoped to lead the nation in setting new standards. Therewas no spoken opposition to the bill, SB1198. It passed on a 26-9 vote.