House Hearing On Alternative Fuels & Vehicles

Jul 10: The House Energy and Commerce Subcommittee on Energy and Power held a hearing entitled, "The American Energy Initiative: A Focus on Alternative Fuels and Vehicles, Both the Challenges and the Opportunities." Witnesses included representatives from the: Cumberland Gulf Group; American Petroleum Institute; Renewable Fuels Association; American Tradition Institute; Advanced Biofuels Association; Truman National Security Project; National Research Center for Coal and Energy, West Virginia University; National Wildlife Federation; Methanol Institute; Alliance of Automobile Manufacturers; Flex Fuel US; America's Natural Gas Alliance; and Johnson Controls Inc. Much of the hearing dealt with the pros and cons of the Renewable Fuel Standard (RFS) that requires 36 billion gallons of renewable fuel to be blended into transportation fuel by 2022.

 

   In an opening statement from Representative John Sullivan (R-OK) said, "Gasoline and diesel fuel currently dominate the transportation sector, and that is not likely to change any time soon. For that reason, we need to take steps to ensure plentiful and affordable supplies of petroleum and the fuels that are made from it. That means expanding domestic oil production, approving the Keystone XL pipeline to allow more Canadian oil to come into the country, and reviewing the red tape that raises the cost of refining crude into gasoline and diesel fuel. That is why I strongly supported measures like the Domestic Energy and Jobs Act, and why I will continue to fight for a commonsense, pro-consumer, pro-jobs, and pro-energy policy.

    "But in addition, we need to look at options other than petroleum derived fuels, and indeed we are doing so. We are well into implementation of the Renewable Fuel Standard created in the 2005 energy bill and expanded in the 2007 bill. The RFS has achieved some successes such as increased ethanol production. However, some also see shortcomings with the RFS that may need to be addressed. Even beyond ethanol and other biofuels, there are many other alternative fuels and vehicles, including natural gas, electricity, coal-to-liquids, methanol, and flex-fuel vehicles. Each offers its own unique mix of advantages as well as disadvantages, and all offer the benefits of diversification."

 

    Full Committee Ranking Member Henry Waxman (D-CA) said in an opening statement highlighted the benefits from the Administration's finalized and proposed fuel efficiency and carbon pollution standards saying they "will save 2.2 million barrels of oil a day by 2025" and "reduce our carbon pollution by over 6 billion metric tons." But, he said, ". . .we have more work to do. American families are still getting whipsawed when gasoline prices unexpectedly spike. The money we spend on oil abroad continues to conflict with our foreign policy goals and national security."

 

    Rep. Waxman also discussed recent extreme weather events and said, "We cannot afford to ignore climate change in the development of our energy policies. The two are inextricably linked." He concluded, "We need to continue our push towards alternative fueled vehicles, whether they are plug-in electric drive commuter vehicles, long-haul natural gas trucks, or renewable fuels. The Obama Administration has made real progress on a seemingly intractable problem. We're finally heading in the right direction."

 

    American Petroleum Institute (API) testified that it "supports the continued, appropriate use of ethanol, biodiesel, and other biofuels as blending components in transportation fuels" but said, "EPA has allowed the RFS law's volume requirements to drive decisions that are inappropriate and unwise. The law has become increasingly unrealistic, unworkable, and a threat to consumers. It needs an overhaul, especially with respect to the volume requirements." On the E15 waiver API said, "E15 is a different transportation fuel, well outside the range for which the vast majority of U.S. vehicles and engines have been designed and warranted."

 

    The Renewable Fuels Association (RFA) praised the RFS and said, "One important alternative fuel -- ethanol -- is already helping to address these national concerns. America's ethanol industry -- buttressed by a visionary Renewable Fuel Standard (RFS) -- is already decreasing our reliance on foreign oil, already exerting downward pressure on gasoline prices, already employing tens of thousands of American workers, and already cleaning up our air. As a result of the forward-looking nature of the RFS, the industry is poised to make even more significant contributions to our nation's economic and environmental security in the future."

 

    National Wildlife Federation (NWF) testified extensively on extreme weather events and said, "Carbon pollution is changing our climate; and our changing climate is contributing to extreme weather; and in order to slow down this devastating trend, we need to dramatically cut carbon pollution. . . Corn ethanol has shown what is possible, but it is not the long term answer to our nation's energy needs. We need more support to get us to the next generation of biofuels from non-food, perennial crops and wastes, that create significant greenhouse gas reductions and not lead to other major environmental problems. New fuel economy standards are essential. . ."

 

    Access the Republican website for the hearing with statements, testimony and a webcast (click here). Access the Democratic website for the hearing with statements, testimony and a webcast (click here). [#Energy/RFS, #Energy/CAFO]

NTSB Report On Enbridge Oil Spill Near Marshall, MI

Jul 10: The National Transportation Safety Board (NTSB) held a meeting to release its findings on the July 25, 2010, Enbridge Incorporated pipeline rupture in Marshall, Michigan, and the subsequent release of more than 840,000 gallons of crude oil into nearby wetlands, Talmadge Creek and the Kalamazoo River. NTSB is an independent Federal agency charged with determining the probable cause of transportation accidents, promoting transportation safety, and assisting victims of transportation accidents and their families. Deborah Hersman, NTSB Chairman delivered a haunting account of the Enbridge spill events in opening statement as follows:

Over the course of this investigation, I travelled to Marshall twice. During my first trip, I met with local, state and federal officials, and Enbridge officers and had the opportunity to survey the damage and the extensive cleanup effort supervised by the U.S. Environmental Protection Agency. My second time in Marshall I joined other federal and state agencies for a town hall meeting with the community.

 

While there have been larger onshore oil spills, in this case, Enbridge Incorporated is responsible for the release that has been the most expensive to clean up. According to a recent Enbridge SEC filing and the EPA, the total cleanup cost, so far, is more than $800 million dollars. That is already more than five times the next most-costly onshore oil spill.

EPA continues to oversee the cleanup and reports that parts of the area known as the Morrow Lake Delta are still closed. And, in the weeks following the rupture and spill, the Michigan Department of Community Health said that 320 people reported symptoms consistent with crude oil exposure. Further, the U.S. Fish and Wildlife Service reported that nearly 4,000 animals were affected.

 

On that July evening [Sunday, July 25, 2010], at about 6 PM when many people in Marshall were sitting down to dinner, Enbridge's Line 6B ruptured and began spewing crude oil through a more than six-and-a-half-foot-long fracture. For more than 17 hours and over three shifts, the people controlling the pipeline did not respond to the alarms, pressure differentials or even follow one of their own safety procedures established following another catastrophic release in 1991 in Grand Rapids.

 

The people of Marshall would finish their dinners, get ready for the week ahead and go to bed. As they slept, and even when they got up on Monday morning, instead of stopping the flow, Enbridge staff twice pumped more oil -- about 81 percent of the total release -- into the ruptured pipeline. It wasn't until late Monday morning -- 17 hours and 19 minutes after the rupture -- that a worker from a local gas utility found the spill and notified the Enbridge control center. Then, and only then, did the Enbridge staff begin their response and start closing remote valves upstream and downstream of the rupture.

 

Learning about Enbridge's poor handling of the rupture, you can't help but think of the Keystone Kops. Why didn't they recognize what was happening? What took so long? Today, we'll hear about the many failures that allowed a bad situation to get worse. From Enbridge -- its employees, procedures, and priorities -- and too little focus on safety and too little follow up on known safety risks.

 

And, from the regulators -- upon which the people of Marshall depended for the well being of their community -- there was too little regulatory oversight. Here are the issues - what I'll call the four Rs of a rupture.

 

One, recognition. When the pipe had ruptured, multiple alarms were generated, which the Enbridge control center staff failed to understand. Over three shifts, the control center misinterpreted repeated leak alarms as a condition known as "column separation" and re-started the pipeline twice.

 

Two, response. Once notified by another utility that their line had ruptured, Enbridge did act. But, the crude actions taken by the Enbridge employees in Marshall displayed a lack of understanding regarding source control and were completely ineffective in the face of this worst-case release. Compounding the problem, Enbridge's closest oil spill response contractor identified in their response plan was out of state and more than 10 hours away.

 

Three, responsibility. Pipeline operators are required to have an integrity management program, which continually assesses and addresses the safety risks on their pipelines, particularly those in high-consequence areas. In 2005, Enbridge detected the very defect that led to this failure -- located within a corrosion area that Enbridge had identified the year before. Yet, for five years they did nothing to address the corrosion or cracking at the rupture site -- and the problem festered. The responsibility for a thorough, accurate and robust integrity management program rests with the operator. But in the end, Enbridge's program lacked integrity.

 

That brings me to the fourth R and, that is regulatory oversight. The Pipeline and Hazardous Materials Safety Administration [PHMSA] provides this safety net for our citizens and our communities. In this rupture, we saw the operator take advantage of weak regulations for assessing and repairing crack indications; and PHMSA was ineffective in overseeing Enbridge's pipeline integrity management programs, control center procedures, and public awareness programs; and had inadequate review of oil spill response plans. Let me note that last week PHMSA issued proposed enforcement actions and maximum fines against Enbridge. This is a necessary and important step.

 

Last year, we were in this room talking about PG & E and the explosion in San Bruno, California, that killed eight people and injured 58 more. Today, we meet to talk about Enbridge and significant environmental damage in Marshall, Michigan, with more than 840,000 gallons of oil released and record cleanup costs. In both cases, we found problems with integrity management programs, control centers, public awareness programs, and emergency response.

 

While our findings raise red flags about the safety of these two companies, they should also force us to ask hard questions of this vital industry. With more than 2.5 million miles of pipeline running through this country -- enough to circle the Earth one hundred times -- we have to ask, "Are these companies representative of others?" If the answer is yes, we can expect to be back here again discussing the same issues with a different company. The only unknowns are when? Where? And, how much damage?"

    In closing remarks, Hersman said, ". . .this accident was the result of multiple mistakes and missteps made by Enbridge. But, there is also regulatory culpability. Delegating too much authority to the regulated to assess their own system risks and correct them is tantamount to the fox guarding the henhouse. Regulators need regulations and practices with teeth - and the resources to enable them to take corrective action before a spill. Not just after. That's the point of the recommendations we issue today. It's time for operators and regulators to make the needed changes to protect our citizens and communities and prevent such tragic and needless events. Safety is a commitment. It is a requirement. It must be a way of doing business and not just a slogan. If companies commit to safety with the same vigor that they pursue profits, then we will see integrity management programs with real integrity."

 

    Access the meeting information website with links to webcast and final report information (click here). Access the complete NTSB docket with extensive and detailed information on the Enbridge oil spill (click here). Access the NTSB website for more information (click here). [Note: Webcasts are archived for a period of three months from the time of the meeting and should be available by the end of today (click here). A synopsis of the report is available on the website and the complete report will appear on ntsb.gov in several weeks]. [#Energy/OilSpill, #MIEnergy/OilSpill, #MIWater, #MIRemed]

 

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President Signs H.R.4348 - Highway Transportation Funding Bill

Jul 6: President Obama officially signed the "Moving Ahead for Progress in the 21st Century Act" (MAP-21, the highway transportation bill, H.R.4348), at an event at the White House with construction workers, and indicated the bill will ,put Americans to work repairing the nation's crumbling roads and bridges. H.R.4348, reauthorizes taxes that support the Highway Trust Fund through September 30, 2016, and authority to make expenditures from that Fund through September 30, 2014, and makes major reforms to surface transportation programs; reauthorizes the National Flood Insurance Program (NFIP) through September 30, 2017 [See WIMS 6/28/12, & WIMS 7/2/12].

    The conference report, approved on June 29, 2012, provides $105 billion for the nation's surface transportation programs, and it continues the current level of funding plus inflation through FY2014. It is estimated to save and create nearly three million jobs per year, consolidates programs from 90 to about 30, and eliminates earmarks. As a procedural matter, the President signed H.R.6064, the Temporary Surface Transportation Extension Act of 2012, which provided funding for programs funded from the Highway Trust Fund (HTF) for the period June 30, 2012, through July 6, 2012. The following is a summary of the reforms in the transportation bill conference report. The summary was released by Senators Barbara Boxer (D-CA) and James Inhofe (R-OK) who sponsored the Senate version of the MAP-21 transportation bill.

• America Fast Forward - To address the nation's massive investment needs, the conference report builds upon the success of the Transportation Infrastructure Finance and Innovation Act (TIFIA) program to help communities leverage their limited transportation resources and stretch federal dollars further than they have been stretched before.
• Freight Movement - The conference report establishes a National Freight Policy, directs the Secretary of Transportation to develop a National Freight Strategic Plan to identify the most critical freight routes so investments can be made to improve freight movement, and provides incentives to states to develop freight plans and invest highway funding to address freight movement.
• Projects of National and Regional Significance - The conference report includes authorized funding for a Projects of National and Regional Significance Program that can fund all modes of transportation projects, including highways, transit, freight and passenger rail, and intermodal projects.
• Performance measures - The conference report provides accountability for how tax dollars are spent on transportation projects and focuses on key national priorities, such as reducing fatalities, improving road and bridge conditions, reducing congestion, increasing system reliability, and improving freight movement and economic vitality.
• Congestion Mitigation and Air Quality Improvement Program (CMAQ) - The conference report maintains the CMAQ program, which helps to improve air quality and provide congestion relief.
• Surface Transportation Program - The conference report maintains the existing Surface Transportation Program and provides funding comparable to current law to be sub-allocated to metropolitan areas. It also expands eligible activities in order to provide flexibility to fund activities from programs that have been consolidated.
• Transportation Alternatives - The conference report continues to dedicate funding for bike paths and pedestrian walkways and sends half of the funds directly to local entities, while giving states more flexibility on their share. The funds may be used for similar activities that were eligible in MAP-21, including the traditional transportation enhancement activities with slightly modified eligibilities, recreational trails program, and the safe routes to school program.
• Accelerating Project Delivery - The conference report maintains the vast majority of project acceleration provisions in MAP-21. It also includes new provisions that will maintain substantive environment and public health protections and enhances efficiency and accountability in the project delivery process. The conference report rejected provisions contained in the House bill that would have harmed important health and environmental safeguards.
• RESTORE ACT - The conference report includes a provision (the Resources and Ecosystems Sustainability, Tourism Opportunities and Revived Economy of the Gulf Coast Act of 2012 ) that provides a significant investment to help restore the long-term health of the ecosystems and economy along the Gulf Coast, which sustained tremendous damage due to the Deepwater Horizon oil spill of 2010. The RESTORE Act is a bipartisan, regional approach that dedicates 80 percent of Clean Water Act penalties paid by responsible parties for the restoration of the Gulf Coast environment and economies and provides needed resources to Gulf Coast states to start immediate recovery.

    Access a White House blog post and video on the signing (click here). Access a brief White House statement (click here). Access a statement from Sen. Boxer and link to the summary (click here). Access the 599-page compromise bill (click here). Access the Joint Explanatory Statement of the Committee of the Conference and a 91-page summary (click here). Access legislative details for H.R.4348 (click here). [#Transport]

 

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International Negotiations Towards A Global Treaty On Mercury

Jul 5: Over 500 representatives from governments and civil society organizations took part in a United Nations-backed meeting in Punta del Este, Uruguay, seeking to negotiate a global treaty that would reduce the use of mercury. The meeting was the fourth of five sessions of the Intergovernmental Negotiating Committee (INC4). After INC4 there is only one remaining session before the diplomatic conference that will convene in Japan in 2013.

 

    The Executive Director of the UN Environment Programme (UNEP), Achim Steiner, said the six-day meeting will help governments work towards a common goal in reducing "the exposure of significant numbers of people across the globe to a highly hazardous substance whose impacts on human health are well known -- and in doing so make a serious contribution to sustainable development and a transition to an inclusive green economy in the wake of Rio+20."

    The meeting of the Intergovernmental Negotiating Committee covered a wide range of areas, from products and processes that contain mercury, to the supply, trade, storage and waste of the element. UNEP also launched a practical guide at the meeting on methods and techniques to reduce mercury use and non-mercury alternative practices in Artisanal Small-Scale Gold Mining (ASGM). Developed in collaboration with the Artisanal Gold Council and other partners, the guide informs policymakers, miners and civil society about available techniques for reducing and ultimately eliminating mercury use in ASGM.

    With the value of gold having soared amid the recent financial turmoil, small-scale, artisanal gold mining is booming throughout the world. The Artisanal Gold Council estimates that between 12 and 15 million people in over 70 countries are employed in the sector, producing up to 20 percent of the total gold supply. However, the often informal and sometimes illegal status of the sector in many countries has been one of the biggest challenges in addressing the health and environmental issues of the sector. The UNEP guide seeks to also be a useful tool for governments to explain the technical fundamentals that underpin and encourage the formalization of ASGM.

    Steiner said, "[ASGM] is an important economic activity, which can contribute directly to poverty alleviation and regional well-being. The global mercury legal instrument under development gives an important opportunity to ensure that a small-scale activity, such as this one, continues in a safe and sustainable way."

    According to a summary report from International Institute for Sustainable Development (IISD) reporting service, which provided detailed day-by-day coverage of the meeting, "INC4 fulfilled many delegates' expectations expressed on arrival in Punta del Este. Clear progress was made swiftly on some issues like storage, wastes and contaminated sites, and narrowing options on other issues, such as articles related to information and reporting. Yet on the most crucial issues, compliance, finance and control measures for products and processes, divergent views prevailed, with discussions focusing on laying out the range of positions. Delegates met non-stop during the six-day meeting in both plenary sessions and contact groups. A full reading of the text, and division of work into several contact groups addressing key sections of the treaty, allowed delegates to advance towards a 'cleaner' version of a convention text on some issues, leaving brackets around topics that require political resolution for consideration at the next, and last, session of the INC in January 2013."

    The International POPs Elimination Network (IPEN), a global network of more than 700 health and environmental organizations working in 116 countries for a toxics-free future issued a release indicating they are "deeply concerned that, with current text, the treaty may actually legitimize increased global mercury releases to protect short-term economic interests. The price tag may appear to be 'cheap' but the cost of inaction on mercury pollution will be huge." They indicated that, "Allowing the importation and use of mercury in artisanal and small-scale gold mining (ASGM) will create new contaminated sites, and more mercury polluted communities and suffering in ASGM countries." Additionally, they said, "The treaty creates no obligation for responsible parties to pay for mercury pollution cleanup or provide compensation for victims. "This lack of action runs contrary to the treaty objective."

    Access a release from the UN (click here). Access a release from UNEP and link to a video and the ASGM guide (click here). Access the INC4 website for complete details on the meeting including meeting documents (click here). Access the IISD Summary Report issued on July 5 (click here). Access the IISD INC4 Meeting Coverage website (click here). Access a release from IPEN (click here). Access the IPEN website for more information (click here). [#Toxics]

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Japanese Commission Highly Critical Of Fukushima Accident

Jul 5: Chairman Kiyoshi Kurokawa of The National Diet of Japan Fukushima Nuclear Accident Independent Investigation Commission (NAIIC) released the Commission's final report to Takahiro Yokomichi, the Japanese Speaker of the House of Representatives, and Kenji Hirata, President of the Japanese House of Councillors. The long-awaited report comes at the end of a six-month investigation into the nuclear accident of March 11, 2011.

 

    The Commission, the first of its kind in the history of Japan's constitutional government, received its mandate from the National Diet to investigate the causes of the accident, the causes of the subsequent damage and the effectiveness of the emergency response. The Commission was also charged with investigating Japan's nuclear policies and regulations and to offer recommendations to prevent a similar occurrence. The Commission held over 900 hours of hearings and interviews with over 1100 people. It was able to use the powers of the legislative body to obtain necessary documents and evidence. The Commission acted on behalf of the Japanese people -- independent from any elected member of either House of the Diet, from the restrictions of the government bureaucracy, and from the financial influence of the nuclear power lobby.

 

    A New York Times (NYT) article on the report summarizes saying, "The nuclear accident at Fukushima was a preventable disaster rooted in government-industry collusion. . . The commission challenged some of the main story lines that the government and the operator of the Fukushima Daiichi Nuclear Power Plant have put forward to explain what went wrong in the early days of the crisis."

 

    The Commission's charge indicated in part that, "A global perspective should be emphasized, so that the results and conclusions will help to prevent nuclear accidents elsewhere. The investigation's priority should be on human safety, rather than the structural safety of nuclear reactors."

 

    The Commission concludes in part, "In order to prevent future disasters, fundamental reforms must take place. These reforms must cover both the structure of the electric power industry and the structure of the related government and regulatory agencies as well as the operation processes. They must cover both normal and emergency situations. A 'manmade' disaster - The TEPCO Fukushima Nuclear Power Plant accident was the result of collusion between the government, the regulators and TEPCO, and the lack of governance by said parties. They effectively betrayed the nation's right to be safe from nuclear accidents. . ."

 

    Representative Ed Markey (D-MA), senior member of the House Energy and Commerce Committee, which has jurisdiction over the U.S. Nuclear Regulatory Commission (NRC), issued a release saying, "We know what happened in Japan could happen here in the United States. We are currently experiencing how susceptible the United States is to power outages, floods, and other natural disasters, and our nuclear power plants remain at the top of terrorist target lists. Yet, the majority of NRC Commissioners have consistently voted to reject most of the recommendations of the Near-Term Fukushima Task Force and implement nuclear safety upgrades in a way that acknowledges that they are necessary to ensure the adequate protection of America's nuclear power plants. I call on the Commission to stop the delays and fully implement the recommendations of the Fukushima taskforce to address the vulnerabilities to our nuclear fleet that were revealed by the Fukushima meltdowns."

 

    Rep. Markey indicated in his release that "Four of the Commissioners currently serving at the NRC regrettably have a history of voting against the safety recommendations put forward by technical experts, including its own advisory committees.  Some of these votes have occurred since the Fukushima meltdowns." He included a partial summary of the NRC votes.

   

    Access an announcement from the NAIIC (click here). Access links to the final report and executive summary (click here). Access the NAIIC website in English for more information (click here). Access the NYT article (click here). Access the release from Rep. Markey with links to related information (click here). [#Energy/Nuclear, #Haz/Nuclear]

 

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Notice: July 4, 2012

Subscribers & Readers Note:

WIMS will not be publishing today,

July 4, 2012. We'll be back on July  5.

Be safe, stay cool, and

enjoy your July 4th holiday.

Final GHG Rule "Common-Sense, Phased-In Approach"

Jul 3: U.S. EPA announced that it will not revise greenhouse gas (GHG) permitting thresholds under the Clean Air Act (CAA). EPA said its final rule is part a "common-sense, phased-in approach" to GHG permitting under the CAA, announced in 2010 and recently upheld by the U.S. Court of Appeals for the D.C. Circuit [See WIMS 6/26/12]. This is the third step in EPA's phased-in approach to greenhouse gas permitting under the CAA. The current applicability thresholds, established under Step 2 of the GHG Tailoring Rule, went into effect on July 1, 2011. The final rule will become effective 30-days following publication in the Federal Register.

 

    The final rule maintains a focus on the nation's largest emitters that account for nearly 70 percent of the total GHG pollution from stationary sources, while shielding smaller emitters from permitting requirements. EPA is also finalizing a provision that allows companies to set plant-wide emissions limits for GHGs [i.e. plantwide applicability limitations (PALs)], streamlining the permitting process, increasing flexibilities and reducing permitting burdens on state and local authorities and large industrial emitters. 

 

    A PAL is an emissions limit applied sourcewide rather than to specific emissions points. With a PAL, a source can make changes to the facility without triggering PSD permitting requirements as long as emissions do not increase above the limit established by the PAL. This would allow companies to respond rapidly to changing market conditions while protecting the environment. EPA is also revising its regulations to allow a source that emits or has the potential to emit GHGs at levels above 100,000 tpy CO2e but that have emissions of other regulated pollutants at minor source levels to apply for a GHG PAL while still maintaining its minor source status.

    EPA indicated that after consulting with the states and evaluating the phase-in process, it believes that current conditions do not suggest that EPA should lower the permitting thresholds. Therefore, EPA will not include additional, smaller sources in the permitting program at this time. 

    The final rule affirms that new facilities with GHG emissions of at least 100,000 tons per year (tpy) carbon dioxide equivalent (CO2e) will continue to be required to obtain Prevention of Significant Deterioration (PSD) permits. Existing facilities that emit 100,000 tpy of CO2e and make changes increasing the GHG emissions by at least 75,000 tpy of CO2e, must also obtain PSD permits. Facilities that must obtain a PSD permit, to include other regulated pollutants, must also address GHG emission increases of 75,000 tpy or more of CO2e. New and existing sources with GHG emissions above 100,000 tpy CO2e must also obtain operating permits.

    EPA's GHG permitting program follows the same CAA process that states and industry have followed for decades to help ensure that new or modified facilities are meeting requirements to protect air quality and public health from harmful pollutants. As of May 21, 2012, EPA and state permitting authorities have issued 44 PSD permits addressing GHG emissions. These permits have required new facilities, and existing facilities that make major modifications, to implement energy efficiency measures to reduce their GHG emissions.

    The GHG Tailoring Rule will continue to address a group of six greenhouse gases: carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), and sulfur hexafluoride (SF6). The PSD permitting program protects air quality and allows economic growth by requiring facilities that trigger PSD to limit GHG emissions in a cost effective way. An operating permit lists all of a facility's CAA emissions control requirements and ensures adequate monitoring, recordkeeping and reporting. The operating permit program allows an opportunity for public involvement and to improve compliance. 

    Access a release from EPA and link to further information (click here). Access a fact sheet on the latest action (click here). Access a prepublication copy of the Final Rule (click here). [#Climate, #Air]

 

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House Hearing On GHG Rules & D.C. Circuit Opinion

Jun 29: The House Energy and Commerce Subcommittee on Energy and Power, chaired by Representative Ed Whitfield (R-KY), held a hearing with EPA Assistant Administrator for Air and Radiation Gina McCarthy to discuss EPA's greenhouse gas regulations. EPA's McCarthy was the only witness. Rep. Whitfield indicated in a release that the hearing comes on the heels of June 26, ruling by U.S. Appeals Court, D.C. Circuit upholding EPA's authority to regulate greenhouse gases [See WIMS 6/26/12]. He indicated that "members fear [the decision] will expand EPA's overreach to affect thousands of small businesses" and said, "The end result of the court's ruling is that Obama EPA's backdoor carbon tax remains in effect. So now we have an Obama health care tax and a carbon tax."

 

    Full Committee Chairman, Fred Upton (D-MI) said in an opening statement, "Earlier this week, a federal court upheld key portions of EPA's greenhouse gas regulatory agenda. No question, it was a victory for the Obama EPA. However, it is important to note that federal courts can only decide whether agency rules pass legal muster -- not whether they are a good idea. And the GHG regulatory agenda is proving to be a very bad idea. Policy decisions belong in Congress, and Congress needs to stop the threat to our economic future posed by GHG regulations.

 

    "Something else happened recently that in its own way is bigger news than the court decision. Both Alpha Coal and Arch Coal announced that they are shutting down several mines and that hundreds of miners will lose their jobs – adding to the list of victims in the war on coal that is an integral part of EPA's GHG regulatory agenda. The sad reality is that we are no longer just predicting job losses; we are beginning to see them. . . Overall, the threat to our economy from the GHG regulatory agenda – to jobs, prices, and global competitiveness - is becoming harder to deny."

 

    Full Committee Ranking Member Henry Waxman (D-CA) said in an opening statement, "I'm sorry to hear the statement about people losing their jobs in the coal industry. I know that is very difficult for those people and their families, but I would respectfully submit that if they're losing their jobs, it's not because of regulation. It's primarily because they're not able to compete in the marketplace where natural gas is cheaper. Today's hearing continues the 18-month Republican attack on the Clean Air Act, EPA regulations, and the science that informs our understanding of the effects of air pollution. . . The most shameful aspect of this anti-environment campaign is the denial of science. There is no way to govern responsibly if you refuse to accept the findings of the National Academy of Sciences and the rest of the scientific community. . ."

 

    "The question we should be asking is not what we can do to stop reasonable regulations, but how we can help the families whose homes are being burned in Colorado Springs and flooded in Saint Petersburg, and how we can help the families who are losing jobs in the coal industry, because that industry is refusing to recognize reality."

 

    McCarthy submitted 16-pages of testimony and said in part, "On June 26, the U.S. Court of Appears for the D.C. Circuit upheld EPA's endangerment finding, its greenhouse gas emission standards for light duty vehicles and its Tailoring Rule, which, as explained below, establishes a phased approach for applying certain Clean Air Act permitting requirements to stationary sources based on greenhouse gas emissions -- focusing on large sources. The Court confirmed that EPA followed both the science and the law in these actions. In upholding the endangerment finding, the Court stated: "The body of scientific evidence marshaled by EPA in support of the Endangerment Finding is substantial." The court also confirmed that the Clean Air Act required EPA to regulate greenhouse gas emissions from cars and light trucks, and that the Act 'unambiguously' requires application of relevant stationary source permitting programs to greenhouse gases Finally, the court ruled that the litigants in the case are not harmed by EPA's Tailoring Rule -- which establishes a phased approach to stationary source permitting for greenhouse gases –and therefore lack standing to challenge it. . ."

 

    She concluded, "Greenhouse gas pollution, through its contribution to global climate change, presents a significant threat to Americans' health and to the environment upon which our economy and security depends. EPA over the past three years has proceeded in a careful and deliberate manner, in keeping with the requirements established by Congress under the Clean Air Act, to begin limiting carbon dioxide and other greenhouse gas pollution from the largest-emitting categories of mobile and stationary sources. The history of the Clean Air Act since 1970 makes clear that clean air and a healthy economy have gone hand in hand. The Act has created market opportunities that have helped to inspire innovation in cleaner technologies – technologies in which the United States has become a global market leader. Reducing emissions of carbon dioxide and other greenhouse gas pollution will require a gradual transition to cleaner energy sources and more efficient energy production and use. This transition is essential to the long-term protection of public health and the environment and, ultimately, offers real and meaningful economic opportunities to American consumers, entrepreneurs, and businesses."

    Access a Republican release on the hearing including some video clips (click here). Access the Republican hearing website with links to opening statements, background and testimony (click here). Access the Democratic hearing website with opening statement, testimony and a webcast of the hearing (click here). Access the complete D.C. Circuit opinion (click here). [#Climate, #Air]

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"Proposed Final Program" For 5-Year OCS Leasing 2012-2017

Jun 28: Department of Interior (DOI) Secretary Ken Salazar and Bureau of Ocean Energy Management (BOEM) Director Tommy Beaudreau announced the release of a proposed final offshore oil and gas leasing program for 2012-2017 which they said "makes all areas with the highest-known resource potential -- including frontier areas in the Alaska Arctic – available for oil and gas leasing in order to further reduce America's dependence on foreign oil."

    According to an announcement, consistent with the President's direction, the Obama administration's Proposed Final U.S. Outer Continental Shelf Oil and Gas Leasing Program makes available areas focused on the most likely recoverable oil and gas resources that the U.S. Outer Continental Shelf (OCS) is estimated to hold. It schedules 15 potential lease sales for the five-year period, including 12 in the Gulf of Mexico and three off the coast of Alaska.

    Secretary Salazar said, "Put simply, this program opens the vast majority of known offshore oil and gas resources for development over the next five years and includes a cautious but forward-looking leasing strategy for the Alaska Arctic. President Obama has made clear his commitment to expanding responsible domestic oil and gas production in America as part of this all-of-the-above energy strategy, and with comprehensive safety standards in place, this plan will help us to continue to grow America's energy economy and further reduce our dependence on foreign oil, while protecting marine, costal and human health."

    The "Proposed Final Program" is designed to account for the distinct needs of the regions across the OCS, and considers a range of factors, including current and developing information about resource potential, the status of resource development and emergency response infrastructure, recognition of regional interest and concerns, and the need for a balanced approach to the use of the Nation's shared natural resources.

    BOEM Director Beaudreau said, "Offshore oil and gas leasing should not be 'one size fits all. For example, the area-wide leasing model that works for the Gulf of Mexico, where there is a long and consistent history of offshore exploration and development, is not suited to the Arctic. Within the Arctic, where significant resource potential exists, there are also substantial environmental challenges, and social and ecological concerns that warrant a different and more targeted approach that will focus leasing to offer the greatest resource potential while minimizing possible conflicts with environmentally sensitive areas and the native Alaskan communities that rely on the ocean for subsistence use."

    The 15 scheduled potential lease sales contained in the plan will occur in six planning areas – the Western and Central Gulf of Mexico, the portion of the Eastern Gulf Of Mexico not currently under Congressional moratorium, and the Chukchi Sea, Beaufort Sea and Cook Inlet Planning Areas offshore Alaska.

    The release indicates that the Proposed Final Program re-affirms existing protections for Arctic coastal areas by continuing to exclude certain areas from leasing, including a 25-mile buffer area near the coast of the Chukchi, as well as two subsistence whaling areas in the Beaufort near Barrow and Kaktovik, Alaska. The program also identifies an additional exclusion area in the Chukchi, near Barrow, that will not be made available for leasing because of input received from Native Alaskan communities and because the area is known to be of particular importance for subsistence hunting and fishing. With respect to all other areas in the Arctic that are open to oil and gas exploration and development in the Proposed Final Program, BOEM will identify targeted areas to offer in the lease sales based on information the agency will gather about industry interest, resource potential, subsistence hunting and fishing, wildlife, and environmental sensitivities.

    Secretary Salazar said, "We are taking a cautious approach to leasing in the Arctic that accounts for the Arctic's unique environmental resources and the social, cultural and subsistence needs of Native Alaskan communities, and draws from the best available science as well as any new information that we may learn from activity on current leases. When it comes to domestic production, the President has made clear he is committed to producing more oil and natural gas safely and responsibly. The numbers speak for themselves: every year the President has been in office, domestic oil and gas production is up, imports of foreign oil are down, and currently the nation is producing more oil than any time in the last eight years."

    As is mandated by the OCS Lands Act, the Proposed Final Program has been submitted to Congress. The Secretary may implement the Program in 60 days, however no further action is needed prior to its implementation, and BOEM is on track to hold the first sale under the new program later this year. Earlier this month, BOEM held a lease sale for nearly 39 million acres in the Central Gulf of Mexico, which attracted more than $1.7 billion in high bids for more than 2.4 million acres. That follows on a Western Gulf of Mexico lease sale held in December 2011, in which 21 million acres were offered for lease.

    The American Petroleum Institute (API)Group Director of Upstream and Industry Operations Erik Milito described the Interior plan as "a continuation of the administration's discouraging pattern of delay and unnecessary restraint." He said, "Today's proposal will not allow us to realize the full benefits from safe and responsible development of America's oil and natural gas resources, continuing a pattern of delay and unnecessary restraint. For example, this plan pushes back the 2015 Beaufort lease sale, where leasing has already occurred, and makes more areas off limits than it makes available. A sensible long-term strategy would embrace and promote expanded oil and natural gas exploration and development to create new jobs and secure critical energy supplies for future generations. . .

    "We must move past policies that undermine the mission of supplying Americans with the energy they need. While vitally important, the Western and Central Gulf of Mexico areas included in this proposed offshore program are not 'new' areas. We look to the administration and Congress to begin working on a new plan that opens areas in the Eastern Gulf, the Pacific, and the Atlantic, such as offshore Virginia and South Carolina, where we continue to see bipartisan support for new offshore leasing."

    U.S. Senator Lisa Murkowski (R-AK), Ranking Member of the Energy and Natural Resources Committee commented on the plan saying, "The leasing plan released today falls far short of what's needed to get America's faltering economy back on track. It removes nearly 90 percent of the acreage previously available for energy exploration. While it offers the possibility of two lease sales in the Arctic, it substantially delays them and raises the possibility that they might not happen at all. The final plan unilaterally takes millions of acres in the Arctic off the table, in the form of buffer zones and so-called 'study areas.'

 

    "The administration also continues to ignore calls for lease sales off the coast of states such as Virginia and South Carolina, despite strong support from those states. While the administration resists opening any new acreage, nearly every country bordering our waters is showing no such hesitation. Cuba, Mexico, the Bahamas, Canada and Russia are all moving ahead. It's time to roll up our sleeves and put Americans back to work producing the energy we need to be competitive. Hesitation and delay will not right our economy."

    House Natural Resources Committee Chairman Doc Hastings (R-WA) said the Plan "closes 85 percent of America's offshore areas to energy production." He said, "The Obama Administration has neglected their duty to provide a roadmap for America's offshore energy future by tossing aside a plan to expand production and failing to produce a plan of their own for three and a half years. Today, the Obama Administration has announced a bleak future for American energy production by keeping 85 percent of America's offshore areas under lock and key and refusing to open any new areas to drilling. This plan re-imposes the drilling moratoria lifted in 2008, hurts job creation and keeps new areas of American energy production sidelined. . ."

    Representative Ed Markey (D-MA), Ranking Member on the Natural Resources Committee, praised the DOI Plan for offering a "balanced five year oil and gas drilling plan for America's oceans."  He said, "At a time when U.S. oil production is at an 18-year high, this drilling plan is the responsible way to continue to support domestic production, while leaving time to put in place proper safety and environmental protections. While Republicans pass bills in Congress to give away all of our public lands available to drill within just a few short years, the Obama administration knows that an 'oil-above-all' policy serves no one's interests, unless you are an oil company executive. By keeping the East Coast off limits to drilling, this plan also recognizes the widespread opposition to placing oil rigs up and down our Atlantic Coast."

    House Energy and Commerce Committee Chairman Fred Upton (R-MI) issued a statement saying, "The U.S. is home to some of the largest energy reserves in the world, yet today the Obama administration announced it will lock away the vast majority of these resources for another five years. This plan essentially reinstates the offshore drilling ban that was lifted in 2008. The president's plan is a step backwards, opening no new areas for energy leasing and only further delaying domestic production projects. While the president claims to support 'all of the above,' his policies seem more accurately described as advancing 'nothing from below.'"

    Oceana's senior Pacific director, Susan Murray said, "Today's news is a mixed bag. BOEM has taken one step forward by stating a commitment to better science, but it has taken two steps backward by including lease sales in the Chukchi and Beaufort seas.  It is just common sense -- we should not be proceeding without basic science or demonstrated response capability." Jacqueline Savitz, VP for North America at Oceana said, "Sadly, our government has released yet another plan on how to drill for more oil and gas, without making any effort to develop a plan for the desperately needed transition to clean energy. We have known for a decade that we need to shift from fossil fuels, yet there is still no analysis of how to minimize our reliance on oil and gas. Instead the government keeps promoting risky offshore drilling that jeopardizes the health of the entire Gulf and Arctic regions. Encouraging clean energy investments would create jobs without risking people's lives and livelihoods. Instead, this plan sets us up for another devastating oil spill, which endangers human lives, coastal economies and marine life."

    Access a release from DOI with links to complete and extensive information on the Proposed Final Program (click here). Access the Five Year Program website for more information including alternative and mitigation tracking table and regionally-tailored interactive maps (click here). Access the release from API (click here). Access a release from Sen. Murkowski (click here). Access the statement from Rep. Hastings (click here). Access the statement from Rep. Markey (click here). Access the statement from Rep. Upton (click here). Access a release from Oceana (click here). [#Energy/OCS)

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House & Senate Strike Tentative Deal On Transportation Bill

Jun 27: House Transportation and Infrastructure Committee Chairman John Mica (R-FL) announced that House and Senate conferees are concluding a bicameral, bipartisan agreement on a major transportation bill. Representative Mica said the measure focuses on unprecedented reforms by cutting red tape and consolidating federal transportation programs. On the Senate side, Senator Barbara Boxer (D-CA), Chairman of the Environment and Public Works Committee, and Senator James Inhofe (R-OK), Ranking Member, issued a statement on the agreement which they say has been reached on the transportation conference report. They indicate that the agreement provides funding at current levels through the end of fiscal year 2014, which was one of the highly contentious disagreements between House and Senate bills.

    There were substantial differences between the two versions of the reauthorization of the Highway Surface Transportation program that have resulted in a political standstill. The House version, H.R.4348, the Surface Transportation Extension Act of 2012, provided a short-term extension and included highly controversial provisions requiring approval of the Keystone XL pipeline and relaxed standards for the management and reuse of coal ash. The Senate version, S.1813, the Moving Ahead for Progress in the 21st Century (MAP-21), provided a two-year $109 billion surface transportation reauthorization and passed the Senate with 74 votes. The Conference Committee held their first meeting on May 8 [See WIMS 5/09/12]. Funding for the Surface Transportation program which was set to expire on March 31, was extended 90-days to June 30 [See WIMS 3/30/12].

    In the latest developments, Representative Mica said, "This agreement will help strengthen our nation's construction industry and provide stability to highway, bridge and infrastructure projects across the country." He called it a "tentative agreement" that establishes federal highway, transit and highway safety policy and keeps programs at current funding levels through the end of fiscal year 2014. Unlike the last transportation bill, which contained over 6,300 earmarks, he said this bill doesn't include any earmarks. He said the bill also does not increase taxes.

    Rep. Mica continued saying, "This is the jobs bill for the 112th Congress. The unprecedented reforms in this legislation -- cutting red tape, truly making projects 'shovel ready,' shrinking the size of the federal bureaucracy, attracting more private sector participation, and giving states more flexibility to address their critical priorities -- will ensure that we more effectively move forward with major highway and bridge improvements and put Americans back to work. The Highway Trust Fund is going bankrupt, and this paid-for measure provides necessary, real reform that focuses our limited resources on critical infrastructure needs. This legislation is specifically designed to reform and consolidate our transportation programs, streamline the bureaucratic project process, and give states more flexibility to save taxpayers' hard-earned money."

    Senator Boxer said, "I couldn't be more pleased to announce, along with my partner Senator Inhofe, that we have a bipartisan, bicameral agreement on a transportation bill which saves and creates millions of jobs. Not only will this reform bill provide a boost to the economy and the construction industry, but it is a big win for the middle class, business, and our environment. This agreement provides stability and flexibility for the nation's transportation planners, invests in America's crumbling roads and bridges, and puts people back to work. I want to thank Senator Inhofe, Rep. John Mica, Rep. Nick Rahall [D-WV], and all the other conferees, and leadership in both the House and Senate for working virtually non-stop to finish this bill."

    Senator Inhofe said, "The agreement struck on the highway conference report is great news for jobs and economic growth in Oklahoma and across the nation. I would like to thank Chairman Boxer for her leadership and the House and Senate conferees for their hard work and for their dedication to getting this bill done. As with any compromise we didn't get everything we wanted, but I believe we truly have a good bill -- one conservatives can be proud to support. Throughout the conference, we strove for solid conservative reforms: we reduced the number of programs by 2/3; eliminated or consolidated those that are duplicative or don't serve a national transportation goal; got rid of numerous bureaucratic hurdles; we were able to slash the lengthy and often duplicative environmental review process from an average of 15 years down to 7; we found ways to increase the role of state and local governments while working to get the federal government out of the way at every opportunity; and we made sure that states were able to spend highway money on their highest priorities rather than being forced to address Washington's priorities. I look forward to Congress passing this bipartisan jobs bill as soon as possible."

    Martin Hayden, vice president for policy and legislation at Earthjustice, issued a statement on the announced deal saying, "Senate Democrats prevailed in getting toxic coal ash and the controversial Keystone XL Pipeline dropped from the final transportation bill. The Senate deserves credit for rightly rejecting plans passed by the House of Representatives that would have put millions of Americans living near coal ash dump sites at risk. . . However, we are very disappointed that the Senate agreed to include a significant weakening of the National Environmental Policy Act, a bedrock environmental law that provides for public information and participation, as it applies to transportation construction projects. Some of these provisions will shut out nearly all stakeholders -- including low-income residents and communities of color, landowners, business owners, and local governments -- from transportation projects affecting the health, economy, and environment of their local communities."

    The National Wildlife Federation (NWF) indicates in a release on the deal that it also includes the RESTORE Act, the legislation that directs BP fines and penalties to go to Gulf Coast restoration. NWF president and CEO Larry Schweiger said, More than two years into the worst oil disaster in America's history, Washington is finally delivering on its promise to make the Gulf whole again. Once BP's fines and penalties have been established, the RESTORE Act will represent one of the most important investments in natural resources in America's history, a critically-needed commitment to Gulf Coast ecosystems and the people who depend on them. All of us now have the responsibility to make sure every dollar is invested in restoring the Gulf's impacted communities and wildlife habitat." NWF also pointed out that the package also includes provisions to reform the National Flood Insurance Program which includes "critical new protections for floodplains and wetlands that provide clean water, wildlife habitat, and the first line of defense against floods and the impacts of a changing climate, while saving taxpayers an estimated $4.7 billion over the next 10 years."

    Natural Resources Defense Council (NRDC) Legislative Director Scott Slesinger issued a statement saying, "Senate Democrats wisely stood up to House Republicans' attempts to use the transportation bill to ram through unrelated, anti-environmental provisions on the Keystone tar sands pipeline and coal ash disposal. But unfortunately, the Senate also agreed to damaging and unnecessary concessions that weaken environmental reviews of highway projects – reducing public oversight and excluding some from review entirely. They also made concessions that cut funding for transportation choices that would reduce traffic, reduce our dependence on oil and improve our health and environment. Given that the House could not even manage to pass a complete bill while the Senate had approved a bipartisan measure, the American people had every reason to expect a better outcome."

 

    Sierra Club Executive Director, Michael Brune said in part, "Unfortunately, House Republican ideologues sabotaged this chance, proving again they are willing to sacrifice millions of jobs to advance their radical agenda. By being willing to walk away from three million American jobs, House Republicans extracted concessions that will keep our transportation system stuck in reverse. By rolling back critical environmental review laws, they'll curtail the public's ability to have a say on highway and bridge projects in their communities. By undermining efforts to make biking and walking safer and keep our roads and bridges in good repair, they've done their best to ensure we remain dependent on oil and a crumbling infrastructure. When you have extremists in Congress willing to derail the country to push their reckless ideology refusing to negotiate with Senate leaders who want to act to save jobs, the results are grim. Now, we're left with a must-pass bill stripped of its potential. One of the few good things you can say about this bill is that it could have been worse." 

    If a majority of House and Senate conferees approve the conference report, both bodies are then expected to take up the measure before the end of the week, prior to the expiration of the current extension of transportation funding on June 30.

    Access the statement from Rep. Mica (click here). Access the statement from Sens. Boxer and Inhofe (click here). Access the 599-page compromise bill (click here). Access the Joint Explanatory Statement of the Committee of the Conference and a 91-page summary (click here). Access a release from Earthjustice (click here). Access a release from NWF (click here). Access a release from NRDC (click here). Access a release from Sierra Club (click here). Access links to a number of articles on the transportation deal (click here). Access legislative details for H.R.4348 (click here). Access legislative details for S.1813 (click here). [#Transport]

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GOP & Industry Groups Say GHG Decision Is "Devastating Blow"

Jun 27: As WIMS reported yesterday the unanimous decision by the U.S. Court of Appeals, D.C. Circuit in the case of Coalition for Responsible Regulation v. U.S. EPA, and related consolidated cases upholding EPA authority to regulated greenhouse gases (GHG) under the Clean Air Act [See WIMS 6/26/12] was widely applauded by Democratic leaders and environmental organizations. Reactions from Republican leaders and industry groups were not available at press time. The following reactions of Michigan's Representative Fred Upton, Senator Inhofe and the industry coalition involved in the lawsuits were released later in the day.

 

    House Energy and Commerce Committee Chairman Fred Upton (R-MI) issued a statement in response to the ruling saying, "While some in Washington may claim today's court ruling is a win for the Obama administration, it delivers a devastating blow to the U.S. economy and American consumers. After enduring 40 consecutive months of higher than eight percent unemployment, we cannot afford the EPA's continued expansion of red tape that is slowing economic growth and threatening to entangle millions of small businesses. EPA's rules will impose billions of dollars in compliance and delay costs and represent an unprecedented expansion of EPA authority that has the potential to affect virtually every sector of the economy and touch every household. We have a legislative solution that stands up for American workers. The House passed my bill, H.R.910, to stop this power-grab by the Obama administration and block EPA's cap-and-trade agenda that threatens to drive energy prices higher, destroy jobs, and hamstring our economic recovery.

   

    Senator James Inhofe (R-OK), Ranking Member of the Senate Committee on Environment and Public Works, and a major critic of the Administration's GHG regulations and climate change science commented the decision saying, "This 'big win' for the Obama EPA is a huge loss for every American, especially those in the heartland states which rely on fossil fuel development and the affordable energy that comes with it. EPA's massive and complicated regulatory barrage will continue to punish job creators and further undermine our economy. This is the true agenda that President Obama is trying to hide under disingenuous reelection rhetoric about an 'all of the above' approach to energy.

    "And what will Americans get in return for this regulatory nightmare? Even EPA Administrator Lisa Jackson said that these rules will have no effect on the climate so it will be all pain for no environmental gain. Today's court ruling should be a wake-up call for the United States Senate to do its job and prevent what an author of the Clean Air Act amendments, Representative Dingell, called a 'glorious mess.' Last year 64 Senators went on record as wanting to stop these devastating greenhouse gas regulations from taking effect -- it's time they actually do so."

    "The Obama administration is attempting to regulate greenhouse gases in the absence of legislation. Congress and the American people rejected cap-and-trade legislation, but unelected bureaucrats at the EPA are pushing through harmful regulations that will serve as a massive energy tax on American businesses and families. H.R.910 will reassert Congress' authority to direct public policy and will protect Americans from EPA's overreach."

    National Association of Manufacturers (NAM) President and CEO Jay Timmons released a statement on behalf of the industry coalition on the ruling by the U.S. Court of Appeals for the D.C. Circuit saying, "Today's ruling is a setback for businesses facing damaging regulations from the EPA. The Clean Air Act was not designed to regulate greenhouse gases, and even the EPA said that it could not comply with the statute as written to implement these regulations.

    "The EPA's decision to move forward with these regulations is one of the most costly, complex and burdensome regulations facing manufacturers. These regulations will harm their ability to hire, invest and grow. By moving forward, the EPA is adding to the mounting uncertainty facing manufacturers of all sizes. We will be considering all of our legal options when it comes to halting these devastating regulations. The debate to address climate change should take place in the U.S. Congress and should foster economic growth and job creation, not impose additional burdens on businesses."

    In a release, NAM said it is "reviewing the court's decision and will consider further legal options on appeal. The EPA's greenhouse gas regulations will eventually require new burdensome permitting requirements for more than 6 million stationary sources, including 200,000 manufacturing facilities, 37,000 farms and millions of other sources such as universities, schools, hospitals and even American homes -- impacting every aspect of our economy."

    The members of the coalition include American Frozen Food Institute; American Fuel & Petrochemical Manufacturers; American Petroleum Institute; Brick Industry Association; Copper & Brass Fabricators Council, Inc.; Corn Refiners Association; Glass Association of North America; Glass Packaging Institute; Independent Petroleum Association of America; Indiana Cast Metals Association; Michigan Manufacturers Association; Mississippi Manufacturers Association; National Association of Home Builders; National Association of Manufacturers; National Oilseed Processors Association; NFIB Small Business Legal Center; North American Die Casting Association; Specialty Steel Industry of North America; Tennessee Chamber of Commerce & Industry; Western States Petroleum Association; West Virginia Manufacturers Association; and Wisconsin Manufacturers & Commerce.

    Access the statement from Rep. Upton (click here). Access the statement from Sen. Inhofe (click here). Access the NAM release (click here). Access the complete opinion (click here). [#Climate, #Air, #MIAir, #MIClimate, #CADC]

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