GOP Presses Secretary Chu & Chu Challenges Congress

Mar 20: According to a release from the House Committee on Oversight and Government Reform, Chaired by Representative Darrell Issa (R-CA) reports authored by the Republican staff show a pattern of "mismanagement, high-risk lending to green energy firms, and shoddy work performed under Department of Energy (DOE) weatherization programs."

    Chairman Issa said one report documents that "DOE disregarded its own taxpayer protections, ignored lending standards and eligibility requirements, and as a result, amassed an excessively risky loan portfolio -- some $14.5 billion in total loan guarantees were authorized. Oversight investigators also identified instances when DOE faced barriers to completing a loan and simply sought to justify and overcome those regulatory barriers rather than giving the barriers due consideration. In one glaring example, the report shows how DOE appears to have manipulated analysis and strategically modified evaluations in order to issue loans to First Solar that would make the project qualify under the statutory and regulatory guidelines."

    A related Republican Committee report also documents "shortcomings" from a $5 billion federal weatherization improvement program funded through the Department of Energy. According to the report, the program "[R]epresents the kind of failure that materializes when you have an economic stimulus strategy contingent upon asking the federal bureaucracy to absorb billions of dollars when the structural infrastructure to administer, disseminate and manage that influx of new money is not put in place." The release indicates that, "The report documents faulty construction and retrofitting that left consumers with faulty home electrical, ventilation, insulation and other systems. It also includes a series of photographs showing shoddy workmanship in several states."

    Chairman Issa added, "These reports document a Department of Energy seemingly unprepared to deal with the exponential increase in taxpayer funds it received under the stimulus, leading to serious questions of waste and abuse.  Taxpayers are right to expect better from the Department of Energy and the Obama Administration and to seek protections that this type of approach can be avoided in the future."

    In an opening statement at a hearing today to investigate DOE loan and funding programs with Secretary Steven Chu, Chairman Issa said, "Today the price of gasoline is approaching $4.00 per gallon, twice its level in 2009. American consumers understandably ask what the Department of Energy and the Obama Administration have done to address this.  But during the Obama Administration, you might say the DOE has been DOA when it comes to delivering affordable energy to consumers. 
 
    "A report released today by the Committee on Oversight and Government Reform paints a startling picture of mismanagement at the Department of Energy. From the very inception of the Obama Administration's $14.5 billion loan program, warning signs pointed to a likely loss of taxpayer dollars -- these signs were largely ignored by Administration officials seemingly more interested in picking political winners and losers than addressing American consumers' need for abundant and affordable energy. There appears to be a significant amount of evidence indicating that DOE manipulated analyses and strategically modified evaluations in order to get loans out the door. . . By addressing the issues raised at today's hearing, we can help put our country back on the path to achieve these two goals and deliver real benefit to the American people."

    Yesterday (March 19), Representative Elijah Cummings (D-MD), the Ranking Member of the House Committee on Oversight and Government Reform, sent a detailed letter to Chairman Issa asking him "to refrain from making unsubstantiated allegations against Department of Energy employees and to correct the record for multiple claims that have proved inaccurate after further investigation." Rep. Cummings indicated, "Over the past year, Issa has launched 11 investigations into the Department and its employees, sent at least 46 document requests, and received more than 300,000 pages of documents. Many of these investigations, however, have been based on allegations that were made with little or no evidence to support them when they were made. For example, Issa has repeatedly accused Department employees of engaging in illegal criminal conduct, disregarding the law, and basing decisions on partisan politics and corruption -- all claims that turned out to be inaccurate." His letter provides documentation for his concerns.

    Rep. Cummings said, "As a result of our Committee's extremely broad jurisdiction, we have a tremendous opportunity to perform constructive oversight of the Department of Energy and the energy industry to promote the bipartisan goal of energy independence for our nation. Although I fully support aggressive oversight to ensure that government programs work effectively and efficiently, I believe the Committee should refrain from making accusations without evidence to support them and should correct the record when claims turn out to be inaccurate. Only in this way will we be able to uphold the integrity of the Committee and protect the reputations of officials who have dedicated their careers to serving this nation."

    Secretary Chu testified at the hearing, "As part of the Recovery Act, the Energy Department received more than $35 billion to

help jolt the economy and to position the United States to lead in the global clean energy race. By the end of fiscal year 2010, the Department had obligated virtually 100 percent of its Recovery Act contract and grant funds. We are supporting more than 15,000 projects across the country. And since the summer of 2010, we have consistently supported between 40,000 and 50,000 direct jobs each quarter, and likely thousands more throughout the supply chain. . .

 

    "Oversight of our Recovery Act funds has been a top priority for the Department and me. We have put in place an aggressive monitoring system to ensure that the Department and its grantees spend Recovery Act funds wisely and that taxpayers get the value they deserve. . . He continued to provide an overview the extensive accomplishments of the Recovery Act in advancing energy efficiency and renewable energy initiatives.

 

    He concluded saying, "The Department of Energy's Recovery Act efforts are working: they've created jobs and put us in a stronger position to compete in the $260 billion global clean energy economy. Last year -- for the first time since 2008 -- the United States reclaimed the title from China as the world's leader in total clean energy investments. This welcome news comes with a huge caveat, however. Our comeback is due in large part to programs and tax incentives that have expired or are set to expire soon.

 

    "America has reached a crossroads and members of Congress have a big decision to make: We can play to win in the clean energy race -- investing in America's workers, industries, and innovations -- or we can wave the white flag and cede leadership to other countries that are investing in these industries. Trillions of dollars will be invested in clean energy in the coming decades, and countries around the world are moving aggressively to seize this economic opportunity. I believe the United States can and must win this race. The Recovery Act gave us a strong foundation to build on, but we must move forward with fierce urgency."

    Access the Republican Committee release (click here). Access a release and letter from Rep. Cummings (click here). Access links to the reports and Secretary Chu's testimony (click here). [#Energy/Efficiency, #Energy/Renewable]

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GAO Calls For Some Improvements In Federal Electronics Stewardship

Mar 19: The U.S. Government Accountability Office (GAO) released a report entitled, Electronic Waste: Actions Needed to Provide Assurance That Used Federal Electronics Are Disposed of in an Environmentally Responsible Manner (GAO-12-74, February 17, 2012). The report was prepared for the Ranking Member of the House Committee on Oversight and Government Reform, Elijah Cummings (D-MD).

 

    GAO indicates that U.S. EPA estimates that across the Federal government 10,000 computers are discarded each week. Once these used electronics reach the end of their original useful lives, Federal agencies have several options for disposing of them. Agencies generally can donate their reusable electronics to schools; give them to a recycler; exchange them with other Federal, state, or local agencies; or sell them through selected public auctions, including auctions sponsored by the General Services Administration (GSA). As the world's largest purchaser of information technology, the U.S. government, through its disposition practices, has substantial leverage to influence domestic recycling and disposal practices. GAO was asked to examine: (1) key initiatives aimed at improving the management of used Federal electronics; and, (2) improvements resulting from these initiatives and challenges that impede progress, if any. To do this, GAO evaluated Federal guidance and policy, as well as guidance and initiatives at five selected agencies. GAO selected agencies based on, among other things, the amount of electronics purchased.

 

    GAO found that over the past decade, the executive branch has taken steps to improve the management of used Federal electronics. Notably, in 2003, EPA helped to pilot the Federal Electronics Challenge (FEC) -- a voluntary partnership program that encourages Federal facilities and agencies to purchase environmentally friendly electronic products, reduce the impacts of these products during their use, and manage used electronics in an environmentally safe way. EPA also led an effort and provided initial funding to develop third-party certification so that electronics recyclers could show that they are voluntarily adhering to an adopted set of best practices for environmental protection, worker health and safety, and security practices. In 2006, GSA issued its Personal Property Disposal Guide to assist agencies in understanding the hierarchy for disposing of excess personal property, including used electronic products: reutilization, donation, sale, and abandonment or destruction. In 2007 and 2009, executive orders were issued that, among other things, established improvement goals and directed agencies to develop and implement improvement plans for the management of used electronics. The Office of Management and Budget, the Council on Environmental Quality, and the Office of the Federal Environmental Executive each play important roles in providing leadership, oversight, and guidance to assist Federal agencies with implementing the requirements of these executive orders. To lay the groundwork for enhancing the Federal government's management of used electronic products, an interagency task force issued the July 2011 National Strategy for Electronics Stewardship [See WIMS 7/20/11]. The strategy, which describes goals, action items, and projects, assigns primary responsibility for overseeing or carrying out most of the projects to either EPA or GSA.

 

    Federal agencies have made some progress to improve their management of used electronic products, as measured by greater participation in the FEC and an increase in certified electronics recyclers, but opportunities exist to expand their efforts. For instance, agency participation in the FEC represents only about one-third of the Federal workforce. GAO identified challenges with the tracking and reporting on the disposition of Federal electronic equipment. For the five agencies GAO reviewed (Departments of Defense, Energy, Education, and Housing and Urban Development and the National Aeronautics and Space Administration), data provided on the disposition of electronic products were inconsistent, which hampered GAO's efforts to accurately assess the extent to which electronic products procured by Federal agencies are disposed of in an environmentally sound manner. Challenges associated with clarifying agencies' responsibility for used electronics sold through auctions also remain. Currently, neither the agency nor the auction entities are required to determine whether purchasers follow environmentally sound end-of-life practices. Not having controls over the ultimate disposition of electronics sold through these auctions creates opportunities for buyers to purchase Federal electronics and export them to countries with less stringent environmental and health standards. Other challenges that may impede progress toward improving Federal agencies' management of used electronics include defining key terms such as "electronic product" and "environmentally sound practices," as each agency uses its own definition of electronic products to report progress in implementing policies for electronics stewardship.

 

    GAO recommends, among other things, that the White House Council on Environmental Quality, the Office of Management and Budget, and GSA take actions to require consistent tracking and reporting of used electronics and ensure appropriate management of electronics sold at auction. Each agency concurred with GAO's recommendations but, in some instances, proposed alternatives for executing the recommendations.

 

    Access the complete 43-page GAO report (click here). [#P2, #Haz, #Solid]

 

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Environmental Outlook 2050 & Consequences of Inaction

Mar 15: The Organization for Economic Co-operation and Development (OECD) has issued its Environmental Outlook to 2050 report which warns that as countries struggle with the immediate challenges of stretched public finances and high unemployment, they must not neglect the longer term. Action needs to be taken now to prevent irreversible damage to the environment. OECD Secretary-General Angel Gurría said, "Greener sources of growth can help governments today as they tackle these pressing challenges. Greening agriculture, water and energy supply and manufacturing will be critical by 2050 to meet the needs of over 9 billion people." said

    The report, OECD Environmental Outlook to 2050: The Consequences of Inaction, presents the latest projections of socio-economic trends over the next four decades, and their implications for four key areas of concern: climate change, biodiversity, water and the health impacts of environmental pollution. Despite the recent recession, the global economy is projected to nearly quadruple to 2050. Rising living standards will be accompanied by ever growing demands for energy, food and natural resources - and more pollution. The report indicates that, "The costs of inaction could be colossal, both in economic and human terms." Without new policies:

• World energy demand in 2050 will be 80% higher, with most of the growth to come from emerging economies (for North America about +15%, for OECD Europe +28%, for Japan +2.5, for Mexico +112%) and still 85% reliant on fossil fuel-based energy. This could lead to a 50% increase in greenhouse gas (GHG) emissions globally and worsening air pollution.
• Urban air pollution is set to become the top environmental cause of mortality worldwide by 2050, ahead of dirty water and lack of sanitation. The number of premature deaths from exposure to particulate air pollutants leading to respiratory failure could double from current levels to 3.6 million every year globally, with most occurring in China and India. Because of their ageing and urbanized populations, OECD countries are likely to have one of the highest rate of premature death from ground-level ozone in 2050, second only to India.
• On land, global biodiversity is projected to decline by a further 10%, with significant losses in Asia, Europe and Southern Africa. Areas of mature forests are projected to shrink by 13%. About one-third of biodiversity in rivers and lakes worldwide has already been lost, and further losses are projected to 2050.
• Global water demand will increase by some 55%, due to growing demand from manufacturing (+400%), thermal power plants (+140%) and domestic use (+130%). These competing demands will put water use by farmers at risk. 2.3 billion more people than today -- over 40% of the global population -- will be living in river basins under severe water stress, especially in North and South Africa, and South and Central Asia.

    The projections highlight the urgent need for new thinking. Failing that, the erosion of our environmental capital will increase the risk of irreversible changes that could jeopardize two centuries of rising living standards. Gurría said, "We have already witnessed the collapse of some fisheries due to overfishing, with significant impacts on coastal communities, and severe water shortages are a looming threat to agriculture. These enormous environmental challenges cannot be addressed in isolation. They must be managed in the context of other global challenges, such as food and energy security, and poverty alleviation."

    According to a release, well-designed policies to tackle environmental problems can also help to address other environmental challenges, and contribute to growth and development. Tackling local air pollution contributes not only to cutting GHG emissions but also to reducing the economic burden of chronic and costly health problems. Moreover, climate policies help protect biodiversity, for example by reducing emissions from deforestation. 

    To avert the grim future painted by the Environmental Outlook to 2050, the report recommends "a cocktail of policy solutions:" using environmental taxes and emissions trading schemes to make pollution more costly than greener alternatives; valuing and pricing natural assets and ecosystem services like clean air, water and biodiversity for their true worth; removing environmentally harmful subsidies to fossil fuels or wasteful irrigation schemes; and encouraging green innovation by making polluting production and consumption modes more expensive while providing public support for basic R&D.

    Green growth policies are already in place in many countries. OECD cites for example, Mexico's new pilot programme gives direct cash transfers to farmers instead of subsidizing the electricity they use to pump irrigation water, thus removing the price distortion that encouraged over-use of groundwater. The UK government has earmarked 3 billion British Pound (GBP 3 billion) for the new UK Green Investment Bank; this should leverage an additional GBP 15 billion of private investment in green energy and recycling by 2015. The US government has been working to phase out preferential tax provisions worth about USD 4 billion per annum that continue to support the production of fossil energy. Capitalizing on its knowledge-base and environmental technologies, city of Kitakyushu in Japan is working with businesses to enhance its competitiveness as a "green city" for low-carbon growth. Governments, businesses, consumers all have a part to play to move towards greener growth.

 

    Access a release from OECD and link to related information (click here). Access the complete report, executive summary and related documents (click here). Access the OECD website (click here). [#Sustain]

 

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U.S. Challenges China's Unfair Export Restraints On Rare Earths

Mar 13: U.S. Trade Representative Ron Kirk announced that the United States has requested consultations with the People's Republic of China at the World Trade Organization (WTO) concerning China's unfair export restraints on rare earths, as well as tungsten and molybdenum. These materials are key inputs in a multitude of U.S made-products and American manufacturing sectors, including hybrid car batteries, wind turbines, energy-efficient lighting, steel, advanced electronics, automobiles, petroleum, and chemicals.

    Consultations are the first step in the WTO dispute settlement process, and parties are encouraged to agree to a solution at this stage. Under WTO rules, if the matter is not resolved through consultations within 60 days, the United States may request the establishment of a WTO dispute settlement panel. The European Union and Japan also requested WTO consultations with China on this matter also.

    Ambassador Kirk said, "America's workers and manufacturers are being hurt in both established and budding industrial sectors by these policies. China continues to make its export restraints more restrictive, resulting in massive distortions and harmful disruptions in supply chains for these materials throughout the global marketplace. The launch of this case against China today, along with the President's creation of the Interagency Trade Enforcement Center, reflects the Obama Administration's commitment to make all of our trading partners play by the rules. We will continue fighting for a level playing field for American workers and manufacturers in order to grow our economy, and ensure open markets for products made in America."

    The United States recently won a WTO challenge against China's export restraints on nine other industrial inputs. China's export restraint measures on rare earths, tungsten, and molybdenum appear to be part of the same troubling industrial policy aimed at providing substantial competitive advantages for Chinese manufacturers.

    China imposes several different types of unfair export restraints on the materials at issue in the consultations request, including export duties, export quotas, export pricing requirements as well as related export procedures and requirements. Because China is a top global producer for these key inputs, its harmful policies artificially increase prices for the inputs outside of China while lowering prices in China. This price dynamic creates significant advantages for China's producers when competing against U.S. producers – both in China's market and in other markets around the world. The improper export restraints also contribute to creating substantial pressure on U.S. and other non-Chinese downstream producers to move their operations, jobs, and technologies to China.

    U.S. Senator Debbie Stabenow (D-MI) applauded the action and said, "I have been calling for strong action to address China's illegal actions and am glad that action is now being taken. Michigan's economic turnaround depends on innovative businesses being able to manufacture the products of the future. We cannot let China's unfair trade practices stop job growth." She indicated that China is currently hoarding rare earth elements critical to a wide range of industries -- from hi-tech batteries for advanced technology vehicles, to smart phone batteries to important military technologies. She said China now controls production of more than 95% percent of the world's supply -- and has increasingly been using export controls to reduce the amount available on the world market.

 

    U.S. Senator Lisa Murkowski (R-AK) took the opportunity to criticize the President and said, "The president wants to sue the Chinese for something that we could -- and should -- be producing for ourselves. Instead of settling for Chinese imports, the president should be taking steps to jumpstart development of our own supplies of rare earth elements and other critical minerals. All he has to do is look north to Alaska, which has already identified roughly 70 rare earth elements sites. We have some of the strictest environmental standards in the world, but the president prefers to import minerals critical to our competitiveness and security from a country that has some of the lowest. If the president wants to address China's dominance in critical minerals production, he should support changes to U.S. federal minerals policy to allow domestic mining."

 

    Senator Murkowski said, "The United States is 100 percent dependent on foreign sources for 17 critical minerals." She has been calling for reforming Federal minerals policy for the past two years. Murkowski introduced the Critical Minerals Policy Act (S. 1113) last year, with 19 bipartisan cosponsors, to update Federal mining policy, but the legislation has languished in the committee waiting for the Majority to schedule a markup.

    Access a release from the U.S. Trade Representative with additional information and background (click here). Access a release from Sen. Stabenow (click here). Access a release from Sen. Murkowski and link to related information (click here). Access legislative details for S.1113 (click here). [#Land]

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Senate Approves Transportation Reauthorization Bill 74-22

Mar 14: With the current transportation authorization set to expire on March 31, 2012, the full Senate has now approved S.1813, the Moving Ahead for Progress in the 21st Century (MAP-21), a two-year $109 billion surface transportation bill, which maintains funding at current levels. The bipartisan bill, sponsored by Senator Barbara Boxer (D-CA), Chairman of the Environment and Public Works (EPW) Committee, and Senator James Inhofe (R-OK), Ranking Member of the Committee, was approved unanimously in Committee last November  [See WIMS 11/10/11] and was approved for consideration on the Senate Floor on February 9 [See WIMS 2/8/12], and has been awaiting action until last week when it was agreed that only 30 amendments would be considered. A number of non-germane and controversial amendments have been considered over the last several days. After all of the amendment were considered, the main bill passed by a vote of 74-22. The bill now goes to the House for consideration where more non-germane amendments are likely to be proposed.

 

    The Senate Committee on Commerce, Science, and Transportation Chairman John (Jay) Rockefeller IV (D-WV) issued a statement after the Senate passed S.1813 and said, "We've seen a lot of good trends recently about the safety of our roads and highways as well as the growth of travel. Highway deaths are at their lowest since 1949. Deaths in crashes involving drunk drivers have dropped almost 5 percent. And American drivers traveled 46 billion more miles in 2010 than 2009. It's important that we keep fostering these trends with federal programs that keep the focus on making transportation safety and smart infrastructure growth top priorities.

    "This Senate surface transportation reauthorization will do just that.  It helps create a long-term roadmap for our surface transportation system. Among other things, it improves large truck and bus safety by making certain only the safest motor carriers and drivers are able to enter the industry. The bill tackles the distracted driving epidemic and modernizes the National Highway Traffic Safety Administration to meet the challenges of modern automobiles. It increases the maximum civil penalty for hazardous materials transportation violations. It further builds upon the foundation Congress laid for a robust passenger rail system and makes smart rail safety improvements. And it establishes a much-needed, long-term vision for our federal surface transportation and freight networks to keep the flow of commerce running smoothly.

    "Now that the Senate has acted and we are quickly approaching expiration of these programs, I urge the House to move on this bill. Without well-supported, effective federal surface transportation programs, jobs are on the line, the economy is on the line, and the public's continued safety is on the line."

    According to a summary provided by Senator Rockefeller, The major surface transportation, safety, and freight provisions of this legislation would:

• Improve and establish National Highway Traffic Safety Administration (NHTSA) grant programs to address long-standing and emerging driving issues, such as distracted and teenage driving; enhance NHTSA's enforcement authority and transparency; mandate lifesaving new child safety standards; and strengthen the agency's expertise in advanced technologies.
• Modernize the Federal Motor Carrier Safety Administration's (FMCSA) approach to truck and bus safety by increasing the use of technology and data to drive enforcement efforts; ensure that only the safest truck and bus drivers are authorized to drive on our highways; improve the safety laws and regulations that govern drivers and vehicles that operate in the industry; and enhance FMCSA's authority to oversee the truck, bus, and household goods movers industries.
• Establish a clear and unified mission for our federal surface transportation and freight networks, including a long-term vision for surface and freight transportation programs that the Secretary of Transportation will have to implement through a surface transportation and freight strategic plan; and provide more transparency and accountability to the federal surface transportation funding programs.
• Build on existing rail programs at Amtrak and at the Federal Railroad Administration to further refine and streamline development of a robust intercity passenger rail system and take steps to address key rail safety concerns.
• Enhance the Research and Innovative Technology Administration's (RITA) innovative planning and research capability; streamline RITA's current authority; improve RITA's ability to spur innovation in transportation research; and increase the safety and oversight of the hazardous materials being transported through our nation's transportation networks.

    House Democratic Leader Nancy Pelosi (D-CA) released a statement saying, "Today, Democratic and Republican Senators voted to create jobs, invest in road, rail, transit, and highway construction, rebuild our infrastructure, and strengthen our economy. Now, it is time for House Republicans to abandon their 'my way or the highway' agenda and send the bipartisan Senate bill to the President's desk before current law expires on March 31st. . . Put simply, the House Republican transportation bill is bad for jobs, bad for public safety, and bad for our economic growth. We must pursue a different path – the bipartisan path of enacting the Senate bill – to make the investments necessary to strengthen our economy and our middle class, create jobs, and rebuild America."

 

    Access a release from Senator Rockefeller (click here). Access the roll call vote on final passage (click here). Access a release from Rep. Pelosi (click here). Access a 4-page MAP-21 bill summary (click here). Access the complete 600-page draft MAP-21 bill (click here). Access legislative details for S.1813 (click here). [#Transport]

 

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Insurance Think Tank Report On Climate Risk & Other Extreme Events

Mar 8: The Geneva Association, which says it is the leading international insurance think tank for strategically important insurance and risk management issues, published the Geneva Report No 5: Extreme events and insurance: 2011 annus horribilis, a global and detailed picture of the major 2011 natural catastrophes and an analysis of the role and mechanisms of insurance in managing climate risk and other extreme events.

 

    The report comprises nine essays by leading insurance academics, economists and insurers that underline the significant importance of risk adaptation and management measures in developing physical and economic resilience to natural catastrophes, including the important role of insurance in such mechanisms. It also provides the implicit "lessons learned" from the catastrophes that will enable better risk assessment and adaptation to similar risks in future. The report indicates that 2011 was an unusual year with regards to the regional distribution of events and the proportion of geological activity in the total number of events but one consistent theme is the global need for adaptation and risk reduction measures. The report highlights how a clear and transparent allocation of risks and responsibilities among public authorities, private firms, including insurers, and individuals is a key component of any comprehensive disaster risk management strategy.

 

    The first section of the report, "Insurance and Extreme Events" provides a broad overview of both the economic and insured losses of the 2011 natural catastrophes and a description of the insurance role in managing extreme events. This is followed by an analysis of the potential of public-private initiatives to cover extreme events and the development of catastrophe bonds and other risk-linked securities as sources of capital to for insurance mechanisms. The second section, "2011 Events and National Studies", analyzes the five most significant natural catastrophes of 2011, namely the March 11, Japanese earthquake, the Australian and Thai floods, the New Zealand earthquakes, and the U.S. tornadoes. Each chapter provides a detailed description of the nature of the event, its impact on local insurance markets, and any lessons learned for the management of similar risks in future.

 

    Walter Stahel, Vice Secretary General and Head of the Risk Management Programme of The Geneva Association said, "Predictions suggest that by 2025 more than 5.5 billion people worldwide will live in cities and a large proportion of them close to regions prone to extreme events. It is also likely that powerful extreme events will affect several of these large urban areas in the coming decades. Governments and decision-makers should keep the dramatic events of 2011 in mind and recognize the potential seriousness of this situation. The insurance industry is one part of any solution for efficient catastrophe risk management. Without a real effort from all stakeholders, including governments, to develop and implement such programmes, it seems inevitable that the worst is yet to come."

 

    Michael Butt, Chairman of AXIS Capital Holdings and co-Chair of The Geneva Association's Climate Risk and Insurance Project said, "The nature and scale of the challenge of natural catastrophes is greater than can be covered by insurance alone. The principle reason for increasing damage and loss figures are more socio-economic changes rather than changes of natural variability. A closer cooperation and collaboration between governments, industry and insurers is needed to manage disaster risks and to reduce the financial impact of extreme events."

 

    Access a release from the Geneva Association (click here). Access the complete 147-page report (click here). [#Climate]

 

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Update On President's Blueprint For A Secure Energy Future

Mar 12: The President received a one-year progress report on his "Blueprint for a Secure Energy Future" [See WIMS 3/30/11]. A White House release indicates that the original Blueprint outlined the Administration's all-of-the-above approach to American energy -- a strategy aimed at reducing reliance on foreign oil, saving families and businesses money at the pump, and positioning the United States as the global leader in clean energy.

 

    In a statement from the President, he indicated, "The progress report I received today from members of my administration underscores the headway our nation has made towards reducing our reliance on foreign oil, while also expanding American made energy. As the report highlights, we have made progress, with imports of foreign oil decreasing by a million barrels a day in the last year alone. Our focus on increased domestic oil and gas production, currently at an eight year high, combined with the historic fuel economy standards we put in place, means that we will continue to reduce our nation's vulnerability to the ups and downs of the global oil market. We've also made progress in the expansion of clean energy, with renewable energy from sources like wind and solar on track to double, along with the construction of our first advanced biofuel refineries. And yet, despite the gains we've made, today's high gas prices are a painful reminder that there's much more work to do [to] free ourselves from our dependence on foreign oil and take control of our energy future. And that's exactly what our administration is committed to doing in the months ahead."

 

    The White House highlighted the following as the major accomplishments:

• "Increasing American Energy Independence: A year ago, the President set a bold but achievable goal of reducing oil imports by a third in a little over a decade, relative to where they were when he ran for office. Thanks to booming U.S. oil and gas production, more efficient cars and trucks, and a world-class refining sector that last year was a net exporter for the first time in sixty years, we have already cut net imports by ten percent – or a million barrels a day – in the last year alone. And with the new fuel economy standards the President announced last year, we are on pace to meet our goal by the end of the decade.
• "Expanding Domestic Oil and Gas Production: Domestic oil and natural gas production has increased every year President Obama has been in office. In 2011, American oil production reached the highest level in nearly a decade and natural gas production reached an all-time high.
• "Setting Historic New Fuel Economy Standards: The Obama Administration has put in place the first-ever fuel economy standards for heavy-duty trucks, and proposed the toughest fuel economy standards for passenger vehicles in U.S. history, requiring an average performance equivalent of 54.5 miles per gallon by 2025. Over time, these new standards will save consumers more than $8,000 in lower fuel costs.
• "Improving Energy Efficiency in 1 Million Homes: Since October 2009, the Department of Energy and the Department of Housing and Urban Development have completed energy upgrades in more than one million homes across the country. For many families, these upgrades save over $400 on their heating and cooling bills in the first year alone.
• Doubling Renewable Energy Generation: Thanks in part to the Obama Administration's investment in clean energy – the largest in American history – the United States has nearly doubled renewable energy generation from wind, solar, and geothermal sources since 2008.
• "Developing Advanced, Alternative Fuels: In 2010, President Obama set a goal of breaking ground on at least four commercial scale cellulosic or advanced biorefineries by 2013. That goal has been accomplished, one year ahead of schedule. Together, these projects, and associated demonstration and pilot projects will produce a combined total of nearly 100 million gallons per year of advanced biofuels capacity.
• "Supporting Cutting-Edge Research: The Department of Energy's Advanced Research Projects Agency – Energy (ARPA-E), which the Obama Administration funded for the first-time ever in 2009, has supported more than 120 individual projects aimed at achieving new and transformational energy breakthroughs."

    The White House indicated, "Today, we are experiencing yet another painful reminder of why developing new American energy is so critical to our future. Just like last year, gas prices are climbing across the country -- except this time, even earlier. While there are no silver bullets to solve these challenges, the Obama Administration will continue to build on the progress we've made over the past three years. Through a sustained, all-of-the-above approach to American energy we'll work to restore middle class security, reduce our dependence on foreign oil, and create an economy that's built to last."

    In response to the Blueprint update report, the office of House Speaker John Boehner (R-OH) indicated in a blog posting, "As is typically the case when its policies are under fire. . . the Obama White House is doubling down on its marketing efforts. Today the president will try 'selling his energy successes,' a head-scratcher of move that will certainly come as a surprise to families, nonprofit organizations, and small business owners struggling with the pain at the pump.

    "The White House is also releasing a new 'report' that 'doesn't offer much new,' just again attempts to take credit for increased domestic energy production, a claim that has been thoroughly debunked by independent voices. No amount of misleading talking points can hide the president's record of consistently blocking American energy production, including 'personally lobbying' members of Congress just days ago to block a Keystone XL pipeline jobs amendment in the Senate [See WIMS 3/9/12]. With the pain at the pump showing no sign of letup, Americans are looking for solutions -- not excuses -- and Republicans are delivering with a real 'all-of-the' above energy policy as part of a pro-growth jobs plan."

    Representative Ed Markey (D-MA), Ranking Member of the Natural Resources Committee and senior member of the Energy and Commerce Committee, issued a statement on the President's Blueprint saying, "Today's release by the Obama administration of its progress report for securing America's energy future shows that the President has put in place an 'All of the Above' American energy plan that has put us on a path to freeing our nation from the grip of the OPEC oil cartel. Increased domestic oil and gas production, historic new fuel economy standards, coupled with expanded renewable energy generation and improved energy efficiency represents a vision that strikes fear in hearts of the OPEC oil cartel and the Big Oil companies who want to keep us addicted to high-priced oil.
 
    "In contrast, Republican leaders in Washington are pursuing an 'Oil Above All' scheme that preserves $4 billion in annual tax breaks for the Big Oil companies, slashes funding for solar, wind and other renewable energy, and promotes exports of oil and natural gas from the U.S. to foreign countries -- all at the expense of higher prices for American consumers. The GOP energy strategy is to drill here in America, export our oil and gas abroad, and force Americans to pay more for gasoline, home heating oil, and natural gas."

    Access a release from the White House (click here). Access the President's statement (click here). Access the complete 20-page Blueprint update report (click here). Access the original Blueprint announcement and link to the President's speech and the 44-page report (click here). Access the blog posting from Speaker Boehner's office (click here). Access the statement from Rep. Markey (click here). [#Energy]

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Despite Excessive Rhetoric Keystone XL Pipeline Moves Forward

Mar 8: As politicians continue to beat the Keystone XL pipeline "horse" to death, the Administration and TransCanada Corporation are continuing to proceed with the ultimate development of the project. With encouragement from the White House, TransCanada, the project developer continues to say that it is, "fully committed to the Keystone XL project and expects to place the pipeline in service by early 2015." It is interesting to note that while all parties involved are aware of this, there is a continuing misrepresentation by the parties and the media that the project has been permanently halted and the developer and Canada are pursuing new alternatives that will eliminate any energy resource, economic or jobs benefit to the U.S. will result in selling tar sand oil to China [See WIMS 2/28/12].

 

    Despite this reality, the political rhetoric was thick following last evening's vote on an amendment to "approve the pipeline and move forward construction" on the project. The amendment which required 60 votes for passage failed by a vote of 56 - 42 -- 11 Democrats also voted for the amendment. Reportedly, two additional Republican senators unable to vote, would have also supported the measure. The amendment, along with many others, is being proposed to S.1813, the transportation funding reauthorization bill, Moving Ahead for Progress for the 21st Century Act (MAP-21) [See WIMS 3/8/12].

 

    The operative part of the Keystone XL amendment (SA 1537), offered by Senator John Hoeven (R-ND) indicates, "Notwithstanding any other provision of law, no permit pursuant to Executive Order 13337 (3 U.S.C. 301 note) or any other similar Executive Order regulating construction, connection, operation, or maintenance of facilities at the borders of the United States, and no additional environmental impact statement, shall be required for TransCanada Keystone Pipeline, L.P. to construct, connect, operate, and maintain the facilities described in paragraph (1). . ."

 

    Senator Hoeven said in a release, "In spite of congressional support, the Administration continues to block efforts to move forward on this project. It is disappointing that President Obama personally called senators to urge them to oppose this important amendment, which would enable the Keystone XL pipeline to move forward with all necessary environmental safeguards. This vote provides good momentum for our legislation. We'll continue working not only in the Senate, but also with our colleagues in the U.S House, where we have a good opportunity to include this amendment in their version of the Highway bill. With a majority of senators already voting in favor of our amendment, it would have strong support when the bill gets to conference committee." 

 

    U.S. Senate Republican Leader Mitch McConnell (R-KY) issued a statement on the amendment saying, "The Democrat-controlled Senate just turned its back on job creation and energy independence in a single vote by rejecting the bipartisan Hoeven-Lugar amendment. They rejected legislation that would have led to construction of the Keystone XL Pipeline and the thousands of private-sector jobs that come with it. At a moment when tensions are rising in the Middle East, millions of Americans are struggling to find work and millions more are struggling with the rising cost of gas, Democrat opposition to this legislation shows how deeply out of touch they are with the concerns of middle-class Americans. President Obama's personal pleas to wavering Senators may have tipped the balance against this legislation. When it comes to delays over Keystone, anyone looking for a culprit should now look no further than the Oval Office."

 

    At his weekly press briefing, House Speaker John Boehner (R-OH) said President Obama owes the American people an explanation for "'personally lobbying' against the Keystone XL pipeline, and the 20,000 new American jobs it would create, and lobbying for sending North American energy to China." The Speaker said, ". . .by 'personally lobbying' against the Keystone pipeline, it means the President of the United States is lobbying for sending North American energy to China, and lobbying against American jobs.  So the president told the nation he supports an 'all-of-the-above' energy strategy that Republicans have long supported.  But his actions don't match his words. . ."

 

    While the heated rhetoric continues in Congress, on February 27, 2012, TransCanada Corporation announced it has sent a letter to the U.S. Department of State (DOS) informing the Department the company plans to file a Presidential Permit application (cross border permit) in the near future for the Keystone XL Project from the U.S./Canada border in Montana to Steele City, Nebraska. TransCanada said it would supplement that application with an alternative route in Nebraska as soon as that route is selected. The company also informed the DOS that what had been the Cushing [Oklahoma] to U.S. Gulf Coast portion of the Keystone XL Project has its own independent value to the marketplace and will be constructed as a stand-alone Gulf Coast Project, not part of the Presidential Permit process. The approximate cost is US$2.3 billion and subject to regulatory approvals. The company said it anticipates the Gulf Coast Project to be in service in mid to late 2013 [See WIMS 2/28/12]. At the same time, the White House issued an statement saying:

"The President welcomes today's news that TransCanada plans to build a pipeline to bring crude oil from Cushing, Oklahoma, to the Gulf of Mexico. As the President made clear in January, we support the company's interest in proceeding with this project, which will help address the bottleneck of oil in Cushing that has resulted in large part from increased domestic oil production, currently at an eight year high. Moving oil from the Midwest to the world-class, state-of-the-art refineries on the Gulf Coast will modernize our infrastructure, create jobs, and encourage American energy production. We look forward to working with TransCanada to ensure that it is built in a safe, responsible and timely manner, and we commit to take every step possible to expedite the necessary Federal permits.

 

"Separately, TransCanada gave the State Department advance notice of its intention to submit a new application for the cross-border segment of the Keystone XL pipeline, from Canada to Steele City, Nebraska, once a route through Nebraska has been identified. House Republicans forced a rejection of the company's earlier application in January, by not allowing sufficient time for important review or even the identification of a complete pipeline route. But as we made clear, the President's decision in January in no way prejudged future applications. We will ensure any project receives the important assessment it deserves, and will base a decision to provide a permit on the completion of that review."

    Another amendment was proposed by Democrats related to the Keystone XL project and was also defeated. Amendment SA 1817 proposed by Senator Ron Wyden (D-OR) would, "ensure the expeditious processing of Keystone XL permit applications consistent with current law, prohibit the export of crude oil produced in Canada and transported by the Keystone XL pipeline and related facilities unless the prohibition is waived by the President, and require the use of United States iron, steel, and manufactured goods in the construction of the Keystone XL pipeline and related facilities with certain exceptions."

 

    Senator Hoeven issued a statement on the Democrats proposal saying, "The Democrats' amendment actually adds further impediments to the construction of the Keystone XL pipeline project. Not only does it require TransCanada to start over in the application process after more than three and half years -- just as the President's denial did -- but it also adds more restrictions which aren't workable. This makes it worse. . ." The amendment was defeated by a vote of 33-65.

 

    Access the Keystone XL pipeline amendment SA1537 (click here, scroll down). Access a release from Sen. Hoeven (click here). Access a release from Sen. McConnell (click here). Access a release from Speaker Boehner (click here). Access the TransCanada release (click here). Access the White House statement (click here). Access the White House press briefing transcript (click here). Access the TransCanada Keystone XL project website for additional information (click here). Access complete details and background from the DOS Keystone XL Pipeline Project website (click here). Access the Keystone XL pipeline amendment SA1817 (click here, scroll down). Access a release from Sen. Hoeven on SA1817 (click here). Access legislative details for S.1813 including links to amendments and roll call votes (click here). [#Energy/Pipeline, #Energy/KXL, #Energy/OilSands, #Energy/TarSands]

 

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Transportation Bill Exemplifies Broken Congressional System

Mar 8: In a classic example of why the Congressional approval rating is around 10%, the House and Senate have both demonstrated an inability to address the critical need of adopting a transportation funding reauthorization bill, despite bipartisan backing and support from over 1,000 diverse organizations that have come together despite their differences [See WIMS 2/15/12]. The current surface transportation bill expires on March 31, and the many groups, ranging from the U.S. Chamber of Commerce to the AFL-CIO, have called for immediate action to reauthorize the nation's transportation programs. Instead, the House and Senate have been bogged down for over a month debating non-germane related amendments and issues including even an amendment to a transportation bill by Senator Roy Blunt (R-MO) to allow employers to object to providing insurance coverage for birth control.

 

    Reportedly, the Senate leadership has now reached a "deal" to consider some 30 amendments to the bill. Senate Majority Leader Harry Reid (D-NV) indicated last evening that the Senate would consider the amendments today, but other reports indicate that only some will be dealt with today and the others will be addressed next week. The Hill publication reports that, "Among the amendments that will get a vote are ones from Sen. David Vitter (R-LA) to extend oil and gas drilling permits in the Outer Continental Shelf, one from Sen. Tom Coburn (R-OK) to eliminate duplicative federal programs and one from Sen. Bob Corker (R-TN) to reduce the 2013 discretionary spending cap. Another amendment authorizing the Keystone XL pipeline is also up for a vote."

 

    Senator Charles Schumer (D-NY) issued a statement on March 6 saying in response to House Speaker John Boehner's (R-OH) comments that he is open to bringing up the Senate's bipartisan highway bill (S.1813) saying, "Senate Republicans have been using amendments to delay this bipartisan highway bill until Speaker Boehner could figure out a path for dealing with it in the House. Now that the Speaker has publicly signaled he is willing to buck his conservative bloc and give the Senate bill a vote, momentum is on our side. Senate Republicans have no reason to drag this out any longer."

 

    On the House side, the path may not be so clear. An earlier attempt to pass a highly controversial bill failed and then Speaker Boehner indicated that the House might consider a Senate bill. However, on March 7, at a GOP Conference, House Transportation and Infrastructure Committee Chairman John Mica (R-FL) indicated that his long-term (5 years) transportation reform bill received the support of U.S. House leaders and will continue to be the focus of efforts to pass a major transportation and energy jobs initiative through the House.

 

    Rep. Mica said, "House leaders and I agree that the five-year transportation measure approved by the Committee in February is the best option for a job-creating bill to improve our infrastructure. During a meeting today with House Republicans, we had a productive discussion and outlined our hope to move forward with the Committee's five-year bill with a few changes, including the financing of transit from the Highway Trust Fund. The Committee crafted a responsible bill with much needed and long overdue reforms. Working with the Republican leadership and GOP Conference members, we hope to move forward with a bill in the coming weeks that will create jobs and lower energy costs for Americans."

 

    Access a Reuters article on Senate consideration of S.1813 (click here). Access The Hill article on Senate consideration of S.1813 (click here). Access the Sen. Schumer statement (click here). Access the statement from Rep. Mica (click here). Access a listing of the Senate amendments to be considered (click here); and (click here). Access legislative details for S.1813 (click here). Access the Senate roll call votes as they occur (click here). [#Transport]

 

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Hearing On Rising Gasoline Prices Indicates Political Energy Divide

Mar 7: As WIMS has previously reported the political parties and interest groups remain far apart on energy policy and solutions to stabilize gasoline prices [See WIMS 3/2/12]. Today, the House Energy and Commerce Committee, Subcommittee on Energy and Power Subcommittee Chaired by Representative Ed Whitfield (R-KY) held a hearing on Rising Gasoline Prices. Witnesses included representatives from: American Petroleum Institute; The Rapidan Group (energy market & policy research firm); American Fuel & Petrochemical Manufacturers; CarbM Trucking; Center for American Progress; Truman National Security Project; and National Association of Convenience Stores. The opening statements and witness testimony provide a clear outline of the issues and different positions.

 

    In an opening statement Chairman Whitfield said: "With every gas price spike comes some very familiar calls from policymakers. Some argue for increased domestic drilling, some say we should release oil from the Strategic Petroleum

Reserve. Others lay the blame for high prices on Wall Street and the oil companies. Before we discuss the merits of these causes and solutions, let's start with the facts.

 

    "First, Iran has threatened to block the Strait of Hormuz – a narrow channel in the Middle East through which a third of the world's waterborne crude oil passes every single day. As a result, a geopolitical risk premium is being priced into every barrel of oil. Until the situation with Iran is resolved, and hopefully that is soon, we will see above-average oil and gasoline prices.

 

    "Second, in addition to geopolitical tensions and their effect on oil prices, fundamental supply and demand is creating an environment of high prices. There is large demand growth from China, India, the Middle East, and Brazil. At the same time, current supplies are not growing at rate that can keep up with surging demand from these economies. That is why countries like Brazil and China are moving forward with aggressive oil production plans at home and abroad.

 

    "Third, North America's oil market has undergone a dramatic transformation over the past five years. We are now producing over 500,000 barrels per day in North Dakota. In 2005, that number was below 100,000. In Texas, oil production has increased 50 percent in just four years. Like the natural gas revolution, North America is now experiencing its own oil boom. Oil production is surging in this country in no thanks to the Obama administration. All the new volumes coming online are happening on private- and state-owned lands. Production is declining at an alarming rate on federal lands and waters. There is a lot more that can be

done if the federal government would simply get out of the way. . .

 

    "The president has proclaimed we have only two percent of the world's proven oil reserves and we can't drill our way to energy security. But if you know what a proven oil reserve is, you would realize America's energy potential is nearly unlimited. A proven oil reserve is a figure that is obtained by an oil producer once they have fully explored and developed an oil field. Using the president's definition, the U.S. has 28.4 billion barrels of oil. That equates to two percent of the world's oil. But if you look at all the untapped resources, the U.S. holds trillions of barrels of oil. The Obama administration says we have only two percent of the world's oil because that's all they will let us have. . ."

 

    Full Committee Chairman Fred Upton (R-MI) said, "The administration's hostility towards domestic drilling has not changed, only his rhetoric has. The president now boasts that domestic drilling is up - but he neglects to mention that the increase is due to production on private and state-owned lands where federal regulators have little to no power to block drilling. Production actually declined on federal lands from 2010 to 2011, and the administration has offered up no policy changes that would reverse this disturbing trend. Some in Washington claim that producing more domestic oil won't make any difference in prices, but the American people know better. The American people also know better when it comes to the Keystone XL pipeline expansion project that would allow more Canadian oil to reach American market. . ."

 

    In response, Ranking Member Henry Waxman (D-CA) said, "Gasoline prices go up; politicians make false promises about how they will bring prices down; and nothing gets accomplished. We've seen it with the push to open our coastlines to more drilling. We've seen it with enactment of legislation to promote refineries in 2005. Still, prices rise. Now, the Republican mantra is that we need to "drill, baby, drill." This slogan may sound good, but it's based on a complete fiction. We are drilling more, but prices are still going up. U.S. crude oil production is the highest it's been in eight years, and the U.S. has more oil and gas drilling rigs operating right now than the rest of the world combined. Net oil imports as a share of our total consumption declined from 57% in 2008 to 45% in 2011 -- the lowest level since 1995.

 

    "We need to face reality. And the reality is that oil prices are determined on a global market. No matter how much we drill, our gasoline prices are going to rise if there's a crisis in the Middle East, labor unrest in Nigeria, or any of a host of other factors we can do little about. There's only one way we can protect ourselves from the impacts of rising oil prices: we need to reduce our dependence on oil. There are no short-term solutions. There is no silver bullet. We need to invest in clean energy to diversify and reduce our energy use. The President has taken important steps. He has acted to cut the emissions of cars and trucks, doubling the fuel efficiency of our fleet. As a result, our dependence on oil has declined.

 

    "But he needs our help. Oil companies are making record profits, yet they are still getting $4 billion in subsidies from taxpayers each year. We can't afford to take money from taxpayers struggling to pay their mortgages and fill up their tanks and hand it to oil companies making billions in profits. That is why we need to repeal the oil subsidies and use the money to develop sources of clean energy that reduce our dependence on oil. Today, we are going to hear a lot of the same old unsupported claims. . .

 

    "My staff contacted some of the nation's leading energy economists, and they told us that the so-called solutions we'll hear today from the oil industry will not reduce our gasoline prices. John Parsons is an economist at MIT and one of the nation's leading experts on oil markets. He told us the industry claims are 'not remotely plausible' because drilling more will have 'at best a miniscule impact' on gasoline prices. Oil industry expert Phil Verleger told us that announcing more production would have: 'no impact – ZERO on the current price.' He predicted that the people who buy or sell oil would simply ridicule these recommendations as a plan for reducing gasoline prices. . . We should start by facing facts, listening to experts, and crafting policies that will reduce our dependence on oil."

   

    The Rapidan Group testified, "A crucial step is to increase oil supply everywhere: In a tight market and especially when spare capacity is otherwise low, every extra barrel of supply on the margin counts and can help reduce future price volatility. If North America succeeds at increasing oil supply by some 6 mb/d or more, then it would free up more Middle East oil to go to Asia or remain in spare capacity to offset a disruption."

 

    The Truman Project testified, "A $10 increase in the price of a barrel of oil costs the Department of Defense an estimated $1.3 billion. . . Reliance on this single source of fuel is a security risk we can no longer tolerate. . . America sends over $1 billion per day overseas for oil. iv It should not be a surprise, then, that oil is the single largest contributor to our foreign debt, outpacing even our trade deficit with China. . . research concluded that for every $5 rise in the price of a barrel of crude oil, Putin's Russia receives more than $18 billion annually, Chavez's Venezuela an additional $4.9 billion annually, and Ahmadinejad's Iran an additional $7.9 billion annually. . . a simple request: lead us in building an alternative energy economy that can break our dependence on oil, ensure our future prosperity and security, and finally put Americans in control of our own energy future."

 

    American Petroleum Institute (API) testified, "Gasoline prices are climbing primarily because the cost of crude oil -- which accounts for 76 percent of the price at the pump -- also has been rising, pushed higher by global demand and Middle East tensions. These market forces are challenging, but America doesn't have to be held captive by them. We have choices. By increasing access to North American energy, we will help put downward pressure on fuel prices."

 

    Access the Republican Committee website for background, statements and testimony (click here).  Access the Democratic Committee website for a webcast, statements and testimony (click here). [#Energy, #energy #gas #POTUS #DEMS #GOP]

 

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Worldwide Progress On Drinking Water & Sanitation 2012

Mar 6: According to a report issued by UNICEF and the World Health Organization (WHO) the world has met the Millennium Development Goal (MDG) target of halving the proportion of people without sustainable access to safe drinking water, well in advance of the MDG 2015 deadline. A release indicates that between 1990 and 2010, over two billion people gained access to improved drinking water sources, such as piped supplies and protected wells.

 

    United Nations Secretary-General Ban Ki-moon said, "Today we recognize a great achievement for the people of the world. This is one of the first MDG targets to be met. The successful efforts to provide greater access to drinking water are a testament to all who see the MDGs not as a dream, but as a vital tool for improving the lives of millions of the poorest people." UNICEF Executive Director Anthony Lake said, "For children this is especially good news. Every day more than 3,000 children die from diarrhoeal diseases. Achieving this target will go a long way to saving children's lives."

 

    The report, Progress on Drinking Water and Sanitation 2012, by the WHO/UNICEF Joint Monitoring Programme (JMP) for Water Supply and Sanitation, indicated that at the end of 2010, 89 per cent of the world's population, or 6.1 billion people, used improved drinking water sources. This is one per cent more than the 88 per cent MDG target. The report estimates that by 2015, 92 per cent of the global population will have access to improved drinking water.

 

    Lake warned that victory could not yet be declared as at least 11 per cent of the world's population -- 783 million people -- are still without access to safe drinking water, and billions without sanitation facilities. He said, "The numbers are still staggering. But the progress announced today is proof that MDG targets can be met with the will, the effort and the funds." The report highlights that the world is still far from meeting the part of the MDG target for sanitation, and is unlikely to do so by 2015. Only 63 per cent of the world now have improved sanitation access, a figure projected to increase only to 67 per cent by 2015, well below the 75 per cent aim in the MDGs. Currently 2.5 billion people still lack improved sanitation.

 

    Access a release from WHO/UNICEF (click here). Access the 2012 Update Report (click here). Access the JMP website (click here). [#Drink, #Water, #MDG, #WHO, #UNICEF, #JMP, #UN]

 

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