Category Archives: tar sands

Energy & Environment: Oil companies pushed to release more data on offshore drilling

Anne C. Mulkern, E&E reporter
Published: Monday, April 14, 2014

Companies involved in offshore oil drilling in federal waters along
California’s coast should voluntarily test for chemical leaks and
release the information, a state lawmaker said Friday.

Providing water quality data would bolster people’s faith that oil
companies want to prevent pollution, Assembly member Das Williams (D)
told industry representatives at an Assembly Select Committee on
Coastal Protection hearing in Santa Barbara, Calif.

California’s S.B. 4, which passed last year, requires base line
testing of water near sites where hydraulic fracturing and other well
stimulation treatments are used, including state waters. But the law
doesn’t apply in the ocean controlled by the federal government.

“If the regulatory structure of S.B. 4 provides that extra level of
safety, and frankly, testing and verification, so therefore
accountability, why would your industry not voluntarily agree to
adhere to those standards in federal waters?” Williams said. “Why
would you not provide that testing data to state regulators? There’s
nothing stopping you from adhering to state regulations in federal
waters.

“Would you do it?” he added.

The inquiry took place at the informational hearing focused on
offshore drilling that uses hydraulic fracturing. Throughout
California, city and state officials are examining rules related to
fracking operations. In the Legislature, S.B. 1132, which would
temporarily ban hydraulic fracturing and other unconventional oil
drilling, last week passed out of its first committee in the state’s
Senate (EnergyWire, April 9).

That same day, the board of supervisors in Butte County, 80 miles
north of Sacramento, in a 4-1 vote directed staff to come back with an
ordinance that would bar fracking. There have been similar votes
seeking moratorium ordinances in Los Angeles and Culver City. Nearby,
Carson last month imposed a ban on all oil drilling.

Williams’ question Friday came after Dan Tormey, while speaking on
behalf of the California Independent Petroleum Association (CIPA),
supported new state rules on water.

“With S.B. 4 and the addition of water quality monitoring, I do think
that’s a good idea,” Tormey said, “to measure what the base-line
conditions are and then to see afterward whether those have been
affected.”

Williams then asked about voluntarily providing the data as it relates
to drilling in federal waters.

“It’s an unfair question,” replied Peter Candy, an attorney also
representing CIPA. “You would have to ask individual operators.” Those
drilling platform operators would need to talk to federal officials,
Candy said, adding that there currently are movements toward those
conversations.

‘Prove good faith’

“We don’t need them if you guys voluntarily decided to do it,”
Williams said, which triggered applause from the audience. “If you
really wanted to prove good faith to the public, you could decide to
do that.”

Candy said that it “would go operator by operator. It’s difficult for
us to sit up here today and answer for individual operators.”

Craig Johns, representing the Western States Petroleum Association
(WSPA), said that S.B. 4’s provisions on water testing focus on
protecting groundwater. Ocean water isn’t used for drinking, he said.
Additionally, he said, EPA monitors for any adverse impacts on the
aquatic environment from offshore drilling.

Williams responded sharply.

“I think on behalf of fishermen and swimmers and surfers and
beachgoers of this county and the state, seawater does have a
beneficial use,” even if it’s not used for drinking water, though
that, too, is changing, he said, referring to desalination.

The California Coastal Commission began probing offshore fracking last
year after a news report revealed that regulators had allowed fracking
in the Pacific Ocean at least a dozen times since the late 1990s. The
Associated Press unearthed the data through a Freedom of Information
Act request.

In waters controlled by the federal government, there are 23 platforms
with outer continental shelf (OCS) plans granting approval for
exploration. A dozen individual wells have done some form of fracking
in the last 25 years, Alison Dettmer, chief deputy head of the Coastal
Commission’s Energy and Ocean Resources division, told lawmakers.

The agency has limited power when it comes to federal waters, she
said. Its purview is limited to evaluating whether activities are
consistent with state law.

Discharges to the ocean are prohibited in state waters but are allowed
and practiced in a number of federal waters, the Coastal Commission
has said previously. The agency plans to send U.S. EPA a letter
requesting that the agency modify its permits so that drilling
platform operators that plan to discharge would submit to an
additional Coastal Commission review, Dettmer said.

Assemblymember Mark Stone (D), chairman of the Select Committee on
Coastal Protection, at the hearing noted that he had seen in his
background materials that the oil and gas industry rejects that the
commission has review authority over OCS plans.

Dettmer said that it’s “a complicated question.”

“We’re going to have to go case by case to look at the individual OCS
plans,” Dettmer said, explaining that the agency would be evaluating
whether each initial plan “actually anticipated at that time doing any
form of well stimulation.”

Federal vs. state jurisdiction

During questioning later, Stone asked Candy — representing CIPA —
his view of the Coastal Commission’s authority. Candy said that CIPA’s
position isn’t that the state agency “lacks all authority to do
consistency reviews.”

But, Candy said, “in cases where you’ve got an established facility
and an approved OCS plan, then the commission needs to be wary of
infringing upon” the jurisdiction of the Bureau of Safety and
Environmental Enforcement and the Bureau of Ocean Energy Management.
Federal regulations give those agencies “exclusive jurisdiction” for
determining what falls within the scope of an OCS plan versus what
would require significant revision, which would trigger a commission
consistency review, he said.

“This industry is highly regulated,” Candy said. “The protections are
in place.” The Coastal Commission should be ensuring that “the
regulators are doing their jobs,” he said, “but not requiring
consistency review every time an operator proposes to hydraulically
fracture a well.”

Stone responded that “the point of consistency review is that
oversight over a federal agency” to “ensure that the federal action is
not jeopardizing coastal resources.”

Interior Department representatives turned down a request to testify
at the hearing, Stone said.

Environmental groups, meanwhile, urged more protections.

Brian Segee, staff attorney with the Santa Barbara-based Environmental
Defense Center, said that the Santa Barbara channel is rich with
marine life that includes threatened and endangered species. There are
bluefin, humpback and killer whales, porpoises, dolphins, southern sea
otters and hundreds of other fishes, birds and invertebrates, he said.

Fracking releases harmful air pollution, uses large amounts of water,
could increase risk of earthquakes and, by producing more oil, hurts
efforts to reduce climate change, Segee said.

In addition, he said, some companies are using hydrochloric and
hydrofluoric acid in wells and should fall under the definition in
S.B. 4 for well stimulation. But there’s an industry attempt to
curtail S.B. 4’s scope by exploiting an exclusion for “routine well
cleanout work, routine well maintenance and routine removal of
formation damage due to drilling.”

“Until a moratorium is enacted … it is imperative that attention be
paid to this critical issue and attempt to circumvent the plain
language and intent of S.B. 4,” Segee said.

Special thanks to Richard Charter

Common Dreams: In Small Canadian Town Democracy Wins, Tar Sands Loses; Kitimat, British Columbia’s ‘no’ vote follows widespread opposition to Northern Gateway

Published on Monday, April 14, 2014

– Andrea Germanos, staff writer

Photo: Stephen Boyle/cc/flickrIn a vote cheered as a victory for democracy, one community in British Columbia has given a flat rejection to a proposed tar sands pipeline.

Over 58 percent of voters who headed to the polls in the North Coast municipality of Kitimat on Saturday said “no” to Enbridge’s Northern Gateway project.

That project would include a pipeline to carry tar sands crude from near Edmonton, Alberta to Kitimat.

CBC News reports that

Kitimat is the community most affected by the $6.5-billion project, because as the endpoint for the pipeline bringing bitumen from Alberta, it would house a marine terminal where the supertankers would load up.

“The people have spoken. That’s what we wanted — it’s a democratic process,” Kitimat Mayor Joanne Monaghan said in a statement following the vote. “We’ll be talking about this Monday night at Council, and then we’ll go from there with whatever Council decides.”

One group welcoming the rejection is the Dogwood Initiative, a B.C.-based group that advocates for decision-making power for environmental decisions to be in the hands of the people.

“This shows what happens when you actually give people the chance to vote on Enbridge’s proposal,” stated Kai Nagata, Energy & Democracy Director with the group.

The rejection was also a reflection of voter awareness of the environmental threats posed by the Northern Gate, according to the B.C.-based Raincoast Conservation Foundation.

“The vote in Kitimat illustrates how acutely aware British Columbians are that our province’s coast, which hosts incomparable land and seascapes, is in imminent jeopardy from the proposed export of diluted bitumen from Alberta’s tar sands to the oil industry’s global markets by the threat of a catastrophic Exxon Valdez type spill, as well as a host of other impacts,” said Chris Genovali, Executive Director of Raincoast.

“For example, the Enbridge Northern Gateway Project will result in increased tanker traffic and vessel noise through sensitive and productive waters, impoverishing critical habitat for numerous species of threatened and endangered whales. Additionally, the chronic oiling accompanying Northern Gateway’s tankers and terminal will likely slowly degrade habitat and water quality to the point where near-shore environments are no longer productive or capable of supporting nurseries for wild salmon, one of B.C.’s greatest natural assets,” said Genovali.

Photo: Neal Jennings/cc/flickrIn December 2013, a federal Joint Review Panel (JRP) gave its recommendation to approve the pipeline, but that approval prompted backlash from environmental groups, including ForestEthics Advocacy and Living Oceans Society, who say the approval was made without taking into consideration the full environmental impacts of the project. The groups, representing by Ecojustice, have filed suit to block the JRP’s report from being used as a basis for full federal approval of the project.

“The panel cannot consider the so-called economic benefits of oilsands expansion tied to this pipeline but ignore the adverse impacts that expansion will have on climate change, endangered wildlife and ecosystems,” stated Nikki Skuce, senior energy campaigner with ForestEthics Advocacy, when their lawsuit was filed.

A resounding “No” for the pipeline was also heard this past Friday, when, as the Globe and Mail reports,

A group of First Nations with territory covering a quarter of the route for the proposed Northern Gateway oil pipeline met with federal representatives Friday to officially reject the project.

The First Nations representatives said there is no more debate, as they banned the pipeline under their traditional laws.

“We do not, we will not, allow this pipeline,” the Globe and Mail reports Peter Erickson, a hereditary chief of the Nak’azdli First Nation, as telling the bureaucrats. “We’re going to send the message today to the federal government and to the company itself: Their pipeline is dead. Under no circumstances will that proposal be allowed.”

“Their pipeline is now a pipe dream,” Erickson added.

Nagata’s group is saying that all British Columbians should have a vote on the Northern Gateway.

“This project would have serious ramifications for the whole province, so all British Columbians deserve to vote on it,” said Nagata. “That should extend far beyond just speaking to a panel or writing your local newspaper. Regardless of whether you support this proposal, the decision should be made by British Columbians.”

To help make this happen, the Dogwood Initiative has launched a new website, LetBCvote.ca, to harness the province’s direct democracy laws by gathering the signatures of at least 10 per cent of the registered voters to get the issue onto a ballot.

A federal review panel is expected to give its final decision on Enbridge’s project in June.

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Reuters.com: U.S. review of LNG export plant should weigh shale gas impact -EPA

By Ayesha Rascoe
WASHINGTON, March 31 Tue Apr 1, 2014 3:30am IST
http://in.reuters.com/article/2014/03/31/sempra-cameron-environment-idINL1N0MS0TS20140331

(Reuters) – The U.S. environmental regulator has raised concerns that a federal review of Sempra Energy’s proposed liquefied natural gas export project did not include an assessment of the potential effects of more natural gas drilling. The Environmental Protection Agency issued its finding earlier this month. It urged the Federal Energy Regulatory Commission to weigh indirect greenhouse gas emissions and other environmental effects that would flow from the increase in gas drilling needed to support exports from the Cameron plant in Louisiana.

The Department of Energy approved exports from the project in February, but the plant must still get clearances from FERC. The EPA’s assessment is a fresh angle in the long running debate of how much LNG the U.S. should export. FERC should “consider the extent to which implementation of the proposed project could increase the demand for domestic natural gas extraction, as well as potential environmental impacts associated with the potential increased production of natural gas,” the EPA said in response to the commission’s draft review of the project.

The finding, dated March 3, was released by FERC late on Friday. FERC has long resisted calls from environmental groups such as the Sierra Club to consider the effects of shale gas production in its review of the safety and environmental impacts of LNG export facilities.

A spokeswoman said FERC would take the EPA’s comments and other public input into consideration as it crafts its final environmental review, currently set for release by April 30. Energy analysts said FERC will probably decide there is no need for an extensive analysis of the indirect greenhouse gas emissions that would be caused by one LNG export project.

A federal appeals court ruled in FERC’s favor in 2012 in a similar case regarding Crestwood Midstream Partner’s Marc 1 natural gas pipeline. In that case, environmental groups argued that the commission should have done a more expansive review of the impact of natural gas production.
“I don’t think FERC will defer to Sierra Club’s or EPA’s issues on the upstream unless or until regulations change,” said Christi Tezak, energy analyst for ClearView Energy Partners.

The shale gas boom, spurred by advances in drilling techniques such as hydraulic fracturing, or fracking, has led to record U.S. natural gas production and paved the way for the United States to become a major gas exporter.

Fracking involves injecting water, sand and chemicals underground at high pressure to extract fuel. Critics have blamed the practice for water contamination and say that increased drilling is polluting the air. (Reporting by Ayesha Rascoe, editing by Ros Krasny and David Gregorio)

Special thanks to Richard Charter

Common Dreams: Forget Russian Gas, Just Frack Europe: Obama

http://www.commondreams.org/headline/2014/03/27-2
Published on Thursday, March 27, 2014
Obama calls for combination of European fracking and US exports to serve EU energy needs
– Jacob Chamberlain, staff writer

US president Barack Obama at EU summit

President of the European commission Jose Manuel Barroso, US president Barack Obama and president of the European council Herman van Rompuy at the summit in Brussels. (Photonews/Photonews via Getty Images)Speaking after a meeting with European leaders at the EU-US summit in Brussels on Wednesday, President Barack Obama suggested that the U.S. is open to exporting fracked shale gas, once promised as the source of American “energy independence,” to the EU and urged the EU to open up its own fracking reserves amid energy fears related to the crisis in Ukraine. Environmental groups have warned these policies will do nothing by way of energy security and everything for global environmental destruction and climate chaos.

“Once we have a trade agreement in place,” Obama said at a news conference in Brussels in reference to the Transatlantic Trade and Investment Partnership deal currently in the works, “export licenses for projects for liquefied natural gas destined to Europe would be much easier, something that is obviously relevant in today’s geopolitical environment.”

European Council President Herman Van Rompuy and European Commission President Jose Manuel Barroso reportedly pressed Obama during Wednesday’s meeting to ease current restrictions on U.S. gas exports, claiming fears over the future of Russian gas imports, which make up a quarter of EU gas supplies.

While insisting that U.S gas exports could be done sometime in the future, Obama used more candid language to suggest EU leaders should first open up their own shale gas reserves to fracking—amongst other energy options such as increased nuclear power.

“I think it is useful for Europe to look at its own energy assets, as well as how the United States can supply additional energy assets,” Obama said. “Because the truth of the matter is, is that just as there’s no easy, free, simple way to defend ourselves, there’s no perfect, free, ideal, cheap energy sources. Every possible energy source has some inconveniences or downsides. And I think that Europe collectively is going to need to examine, in light of what’s happened, their energy policies to find are there additional ways that they can diversify and accelerate energy independence.”

He added: “The United States as a source of energy is one possibility, and we’ve been blessed by some incredible resources. But we’re also making choices and taking on some of the difficulties and challenges of energy development, and Europe is going to have to go through some of those same conversations as well.”

The comments came, Reuters reports, as “a clear reference to opposition in parts of the EU on environmental grounds to nuclear power and the extraction of shale gas.”

France and Bulgaria currently ban the controversial drilling practice, which has been known to contaminate ground water supplies and pollute the air, while countries such as Britain and Poland have faced protests against ongoing fracking exploration, as Reuters reports.

Since the onset of the Ukraine crisis has sparked conversations regarding EU energy concerns, environmentalists have warned that the fossil fuel industry and fossil fuel friendly leaders are using the crisis to push through energy policies they have wanted all along—particularly having to do with the production and export of unconventional fossil fuels such as Canada’s tar sands and the U.S’s shale gas. As Stewart Trew writes at the Council of Canadian’s blog today:

Now Canada, political voices in the United States, and the European Commission for that matter, are trying to leverage the political crisis in Ukraine to make a case for more (not less) North American imports of the dirty stuff: tar sands from Alberta and fracked gas from North America’s “boom” in unconventional shale production. The first puts pressure on Obama to approve the Keystone XL pipeline, which would bring bitumen from Canada to refineries on the Gulf Coast before shipping the final product to Europe and Asia. (The Energy East pipeline would do the same in Canada.)

The second (fracked gas) would require the U.S. to approve new LNG plants and remove energy export restrictions, which the EU is trying to do through trade and investment negotiations with the United States. David Cameron’s government in the UK is also using the crisis to justify a European shale gas boom that environmental groups and the general public strongly opposes.

“Fossil fuels should not be used as a geopolitical bargaining chip, nor should giant oil and gas corporations write our foreign policy,” Wenonah Hauter, executive director of Food & Water Watch also recently noted. “The hypocrisy of the call for exports is highlighted by the fact that it will take years for our export facilities to be able to process the volumes of gas proposed for overseas sales.”

“There’s been a lot of talk about fast tracking and streamlining” the approval process, Mike Tidwell, Executive Director of the Chesapeake Climate Action Network, recently told Common Dreams in reference to natural gas export plans and a proposed LNG export terminal in Cove Point, Maryland. “People need to understand that what they are talking about is cutting corners on processes put in place to protect people and the environment.”

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Common Dreams: BP Spill at Tar Sands Refinery Has ‘Crapped Up Lake Michigan’

https://www.commondreams.org/headline/2014/03/26-4

Published on Wednesday, March 26, 2014
Company with tarnished past doubling tar sands processing near major water source
– Jacob Chamberlain, staff writer
another BP spill
BP oil spill into Lake Michigan (Screengrab: NBC Chicago)

Oil giant BP has caused yet another oil spill in a crucial water way this week, following an increase in tar sands refining at its Indiana plant on the shores of Lake Michigan.

BP notified the federal government’s National Response Center around 5 p.m. Monday that its Whiting Refinery was leaking oil into the lake, which is the source of drinking water for 7 million people in nearby Chicago, due to a malfunction in the refinery’s cooling water system.

The spill comes less than a year after BP started processing Canadian tar sands at the refinery. Tar sands oil, many environmental groups have warned, is the “the dirtiest fuel on Earth” and is “more corrosive, more toxic, and more difficult to clean up than conventional crude.”

Enumerating a long list of historical problems at the Whiting Refinery, Henry Henderson at the Natural Resources Defense Council notes Wednesday, “The week of the Exxon Valdez disaster anniversary and a week after the Council of Canadians released a report highlighting the threat that tar sands oil imposes on the Great Lakes, BP did what it always does: crapped up Lake Michigan.”

He continues:

While the scope of yesterday’s spill is clearly a tiny fraction of the Kalamazoo disaster, it’s still not clear what kind and how much oil made its way into Lake Michigan from the refinery. A day later, we still don’t know […]

It is that lack of transparency that drives environmentalists and government decisionmakers alike crazy. The public needs to know what has made its way into their drinking water sources and whether it is being adequately cleaned. Sure, state and federal regulators need to do better: press calls to state and federal EPA were routed directly to BP to answer.

“The malfunction occurred at the refinery’s largest crude distillation unit, the centerpiece of a nearly $4 billion overhaul that allowed BP to process more heavy Canadian oil from the tar sands region of Alberta,” reports the Chicago Tribune. “The unit … performs one of the first steps in the refining of crude oil into gasoline and other fuels.”

It was still uncertain Wednesday as to exactly how much of the oil spilled. BP said it had managed to stop the discharge by Tuesday and cleanup efforts continued throughout the day on Wednesday.

The EPA stated:

Under EPA oversight, BP has deployed more than 2,000 feet of boom to contain the oil. In addition, the company has used vacuum trucks to remove about 5,200 gallons of an oil/water mixture from the spill location. BP crews also are combing a nearby company-owned beach for oil globs and conducting air monitoring to ensure the safety of the public. The U.S. Coast Guard has flown over the area and has not observed any visible sheen beyond the boomed area.

Sens. Mark Kirk and Dick Durbin of Illinois said in a joint statement that they are “extremely concerned” about future spills. BP recently said they are doubling its processing of heavy crude oil at the refinery.

“We plan to hold BP accountable for this spill and will ask for a thorough report about the cause of this spill, the impact of the Whiting Refinery’s production increase on Lake Michigan, and what steps are being taken to prevent any future spill,” they stated.

A recent report by the Council of Canadians, warns that the Great Lakes are at risk of becoming a “liquid pipeline” for the dirtiest forms of oil and gas available, citing ongoing plans to transport “extreme energy” sources such as tar sands under and across the Great Lakes.

“We are only seeing the tip of the iceberg and only just beginning to understand the grave impacts these extreme energy projects are going to have on the Great Lakes,” said national chairperson of the Council Maude Barlow. “We often see these projects approved piecemeal but we have to step back and think about how all these projects are going to affect the Lakes.”

This week’s spill comes four years after BP’s Deepwater Horizon oil disaster, the largest in U.S. history, which continues to plague the Gulf of Mexico.

Despite BP’s history, the EPA recently removed a ban on BP drilling contracts and new leases in the U.S., an offer BP was quick to capitalize on.

spill2

Crews clean up an oil spill along Lake Michigan in Whiting, Ind. (E. Jason Wambsgans, Chicago Tribune, March 25, 2014)

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