Illinois

Thu, 2014-08-21 12:26Steve Horn
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After Oregon Rejects Coal Export Plan, Long Beach Votes to Export Coal and PetKoch

Just a day after the Oregon Department of State Lands shot down a proposal to export 8.8 million tons per year of coal to Asia from the Port of Morrow in Boardman, Oregon, the Long Beach City Council achieved the opposite.

In a 9-0 vote, the Council voted “yay” to export both coal and petroleum coke (petcoke, a tar sands by-product) to the global market — namely Asia — out of Pier G to the tune of 1.7 million tons per year. Some have decried petcoke as “dirtier than the dirtiest fuel.“ 

More specifically, the Council determined that doing an environmental impact statement before shipping the coal and petcoke abroad was not even necessary. 

decision originally made in June and then appealed by Earthjustice on behalf of the Sierra Club, Natural Resources Defense Council (NRDC) and Communities for a Better Environment, the Council shot down the appeal at an August 19 hearing

“We are very disappointed about the decision, but that does not diminish the amazing victory in Oregon,” Earthjustice attorney Adrian Martinez said in a statement provided to DeSmogBlog via email. “The decision in Long Beach just highlights the grasp that the fossil fuel industry has on the City's leaders.”

The Earthjustice legal challenge and the the subsequent August 19 hearing was not about banning coal or petcoke exports. Rather, Earthjustice and its clients requested that the City of Long Beach do an environmental impact statement for two companies given contracts to export the commodities for 15-20 years.

One of those companies, Oxbow Carbon, is owned by the “Other Koch Brother,” William “Bill” Koch. Like his brothers David and Charles Koch, he has made a fortune on the U.S. petcoke storage and export boom. Also like his brothers, he is a major donor to the Republican Party.

Tue, 2014-08-19 15:40Steve Horn
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Court: Key Environmental Law Doesn't Apply to Part of Enbridge Keystone XL "Clone"

Keystone XL Clone Flanagan South

A U.S. District Court for the District of Columbia has ruled that Enbridge’s 600-mile-long Flanagan South Pipeline, a Keystone XL “clone,” is legally cleared to proceed opening for business in October

Approved by the U.S. Army Corps of Engineers via a controversial regulatory mechanism called Nationwide Permit 12 (NWP 12), Judge Kentanji Brown Jackson, an Obama-appointed judge, ruled NWP 12 was not a federal government “action.” Thus, Brown posited that Enbridge did not need to use the National Environmental Policy Act (NEPA) regulatory process and NWP 12 was up to snuff.

The case pitted the Sierra Club and the National Wildlife Federation (NWF) against the Army Corps of Engineers and Enbridge and has lasted for just over a year, with the initial complaint filed on August 13, 2013 (Case #: 1:13-cv-01239-KBJ). 

Sierra Club and NWF submitted the recent precedent-setting Delaware Riverkeeper v. Federal Energy Regulatory Commission (FERC) case as supplemental authority for Sierra Club v. U.S. Army Corps of Engineers on the day that decision was handed down. 

But Jackson brushed it aside, saying it doesn't apply to Flanagan South, despite the fact that the Delaware Riverkeeper v. FERC decision said that a continuous pipeline project cannot be segmented into multiple parts to avoid a comprehensive NEPA review.

Although Enbridge will operate this project as a single pipeline, Flanagan South was broken up into thousands of “single and complete” projects by the Army Corps of Engineers. This helped Enbridge skirt the requirement of a more comprehensive and public-facing NEPA review, which involves public hearings and a public comment period.

“Here, not only was there no NEPA analysis of this massive project, there was never any public notice or opportunity for involvement before it was constructed across four states,” Sierra Club attorney for the case, Doug Hayes, told DeSmogBlog. “The entire thing was permitted behind closed doors.”

For all intents and purposes, then, Flanagan South is a fait accompli and tar sands diluted bitumen (“dilbit”) will begin pumping through it as summer turns to fall. 

Fri, 2014-08-15 17:30Steve Horn
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Investor Call: Enbridge's Keystone XL Clone Opens in October, Rail Facility to Follow

In a recent quarter two call for investors, Enbridge Inc executives said the company's “Keystone XL” clone — the combination of the Flanagan South and Seaway Twin pipelines — will open for business by October.

As previously reported by DeSmogBlog, Enbridge has committed a “silent coup” of sorts, ushering in its own Alberta to Port Arthur, Texas pipeline system “clone” of TransCanada's Keystone XL tar sands pipeline. Unlike Keystone XL's northern leg, however, Enbridge has done so with little debate. 

With the combination of the Alberta Clipper (now called Line 67, currently up for expansion), Flanagan South and Seaway Twin pipelines, Enbridge will soon do what TransCanada has done via its Keystone Pipeline System.

That is, bring Alberta's tar sands to Gulf of Mexico refineries and send it off to the global export market.

According to Guy Jarvis, president of liquids pipelines for Enbridge, even though the Cushing, Oklahoma to Port Arthur, Texas Seaway Twin is technically operational, it will not become functional until Flanagan South opens in October. 

“The base plan had been, and still is, to do the line fill of the Seaway Twin from Flanagan South. So we don't expect to see too much off the Seaway Twin until Flanagan South does go into service,” Jarvis said on the investor call.

“It does have the capability to be line filled at Cushing if the barrels are available and the market signals would suggest that you would want to do that. But at this point in time, we think it will be the base plan that it is filled on from Flanagan South.”

Beyond piping diluted bitumen (“dilbit”) to market, Enbridge also has plans to market dilbit via rail in a big way.

Tue, 2014-07-08 12:27Steve Horn
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America's Dairyland Turning to Petrostate: Wisconsin Oil-By-Rail Routes Published for First Time

DeSmogBlog is publishing the first documents ever obtained from the Wisconsin government revealing routes for oil-by-rail trains in the state carrying oil obtained via hydraulic fracturing (“fracking”) in the Bakken Shale basin.

The information was initially submitted to the U.S. Department of Transportation (DOT) under the auspices of a May 7 Emergency Order, which both the federal government and the rail industry initially argued should only be released to those with a “need to know” and not the public at-large. 

The Wisconsin documents show the three companies that send Bakken crude trains through the state — Burlington Northern Santa Fe (BNSF), Union Pacific and Canadian Pacific — all initially argued routes are “sensitive security information” only to be seen by those with a “need to know.”

As covered in a previous DeSmogBlog article revealing the routes of oil trains traveling through North Dakota for the first time, the rail industry used this same line of legal argument there and beyond.

Wisconsin Emergency Management did not buy the argument, though, and released the documents to DeSmogBlog through the state's Public Records Act.

Thu, 2014-06-19 09:57Steve Horn
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Silent Coup: How Enbridge is Quietly Cloning the Keystone XL Tar Sands Pipeline

While the debate over the TransCanada Keystone XL tar sands pipeline has raged on for over half a decade, pipeline giant Enbridge has quietly cloned its own Keystone XL in the U.S and Canada. 

It comes in the form of the combination of Enbridge's Alberta Clipper (Line 67), Flanagan South and Seaway Twin pipelines.

The pipeline system does what Keystone XL and the Keystone Pipeline System at large is designed to do: ship hundreds of thousands of barrels per day of Alberta's tar sands diluted bitumen (“dilbit”) to both Gulf Coast refineries in Port Arthur, Texas, and the global export market.

Alberta Clipper and Line 67 expansion

Alberta Clipper was approved by President Barack Obama and the U.S. State Department (legally required because it is a border-crossing pipeline like Keystone XL) in August 2009 during congressional recess. Clipper runs from Alberta to Superior, Wis.

Map Credit: U.S. Department of State

Initially slated to carry 450,000 barrels per day of dilbit to market, Enbridge now seeks an expansion permit from the State Department to carry up to 570,000 barrels per day, with a designed capacity of 800,000 barrels per day. It has dubbed the expansion Line 67.

As reported on previously by DeSmogBlog, Line 67 is the key connecter pipeline to Line 6A, which feeds into the BP Whiting refinery located near Chicago, Ill., in Whiting, Ind. BP Whiting — the largest in-land refinery in the U.S. — was recently retooled to refine larger amounts of tar sands under the Whiting Refinery Modernization Project.

Thu, 2014-02-20 15:22Mike G
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Peabody Energy Faces Popular Revolt at Illinois EPA Coal Hearing

Last night, at an Illinois Environmental Protection Agency hearing about a water quality permit for the expansion of a Peabody Energy strip mine in Rocky Branch, IL, local residents made it clear that they've had enough of the coal industry's destructive presence in their community.

According to writer Jeff Biggers, residents outnumbered Peabody supporters four-to-one among those willing to make public comments, and they had one overriding message: “We the people of Rocky Branch,” one resident, Jennifer Dumberis, said, “we will decide what happens to us and our civil rights—not Peabody.”

This is not the first time Illinois residents have taken their concerns directly to Peabody and the regulatory bodies who are failing to protect Illinois communities from the impacts of the company's mining operations. Residents have presented ample evidence of what has been done to Cottage Grove township, which is adjacent to the strip mine Peabody is seeking to expand: blasting that is like “small earthquakes”toxic coal dust that seeps through cracks in their homes caused by the blasts, and polluted waterways that some residents fear will eventually make their homes uninhabitable altogether.

Peabody had already started clearcutting the area intended to become its Rocky Branch Mine, just south of the Cottage Grove strip mine, but federal regulators stepped in and ordered Peadody to stop logging immedately because it was being done in violation of the law.

It's unclear what, if any, benefits Peabody can offer the residents of Rocky Branch should its strip mine be allowed to expand. No jobs are expected to be created, and the state already loses an estimated $20 million annually to support the coal industry.

Citizen action to hold coal companies and regulators accountable is more important than ever in Illinois, as the coal industry does not seem to be waning in the state. Even while coal is losing market share across the country and renewable energies like wind power are rapidly achieving cost parity (in fact, wind is already cheaper than coal in Iowa, Illinois' neighbor), Illinois just received a $1 billion grant from the U.S. Department of Energy to continue the controversial “clean coal” project FutureGen.

Mon, 2013-12-09 05:00Steve Horn
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Stink Tanks: Historical Records Reveal State Policy Network Was Created by ALEC

A 1991 report tracked down by DeSmogBlog from the University of California-San Francisco's Legacy Tobacco Documents reveals that the State Policy Network (SPN) was created by the American Legislative Exchange Council (ALEC), raising additional questions over both organizations' Internal Revenue Service (IRS) non-profit tax status. 

Titled “Special Report: Burgeoning Conservative Think Tanks” and published by the National Committee for Responsive Philanthropy, the report states that State Policy Network's precursor — the Madison Group — was “launched by the American Legislative Exchange Council and housed in the Chicago-based Heartland Institute.”

Further, Constance “Connie” Campanella — former ALEC executive director and the first president of the Madison Group — left ALEC in 1988 to create a lobbying firm called Stateside Associates. Stateside uses ALEC meetings (and the meetings of other groups) as lobbying opportunities for its corporate clients

“Stateside Associates is the largest state and local government affairs firm,” according to its website. “Since 1988, the Stateside team has worked across the 50 states and in many local governments on behalf of dozens of companies, trade associations and government and non-profit clients.”

Constance Campanella; Photo Source: Twitter

Named Constance Heckman while heading ALEC, Campenella also formerly served on the Board of Directors of Washington Area State Relations Group, a state-level lobbyist networking group. 

“The Washington Area State Relations Group (WASRG) is one of the nation’s largest organizations dedicated exclusively to serving state government relations professionals,” explains its website. “Since the mid-1970s, WASRG has been providing its corporate, trade association and public sector members with a unique and valuable opportunity to interact with their peers, key state officials and public policy experts.”

Tue, 2013-11-26 15:31Steve Horn
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Obama Approves Major Border-Crossing Fracked Gas Pipeline Used to Dilute Tar Sands

Although TransCanada's Keystone XL tar sands pipeline has received the lion's share of media attention, another key border-crossing pipeline benefitting tar sands producers was approved on November 19 by the U.S. State Department.

Enter Cochin, Kinder Morgan's 1,900-mile proposed pipeline to transport gas produced via the controversial hydraulic fracturing (“fracking”) of the Eagle Ford Shale basin in Texas north through Kankakee, Illinois, and eventually into Alberta, Canada, the home of the tar sands. 

Like Keystone XL, the pipeline proposal requires U.S. State Department approval because it crosses the U.S.-Canada border. Unlike Keystone XL - which would carry diluted tar sands diluted bitumen (“dilbit”) south to the Gulf Coast - Kinder Morgan's Cochin pipeline would carry the gas condensate (diluent) used to dilute the bitumen north to the tar sands.

“The decision allows Kinder Morgan Cochin LLC to proceed with a $260 million plan to reverse and expand an existing pipeline to carry an initial 95,000 barrels a day of condensate,” the Financial Post wrote

“The extra-thick oil is typically cut with 30% condensate so it can move in pipelines. By 2035, producers could require 893,000 barrels a day of the ultra-light oil, with imports making up 786,000 barrels of the total.”

Increased demand for diluent among Alberta's tar sands producers has created a growing market for U.S. producers of natural gas liquids, particularly for fracked gas producers.

“Total US natural gasoline exports reached a record volume of 179,000 barrels per day in February as Canada's thirst for oil sand diluent ramped up,” explained a May 2013 article appearing in Platts. ”US natural gasoline production is forecast to increase to roughly 450,000 b/d by 2020.”

Thu, 2013-05-30 11:45Steve Horn
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Fracking "Shock Doctrine" Unveiled as 2013 Illinois Legislative Session Nears End

The shale gas industry has performed the “shock doctrine” at the 11th hour of the 2013 Illinois State Legislature's debate over hydraulic fracturing (“fracking”), the toxic horizontal drllling process through which oil and gas is obtained from shale rock basins nationwide. 

This year, both the Illinois House and Senate are set to adjourn for the year on May 31 and the Hydraulic Fracturing Regulation Act will likely receive a full floor vote by adjournment. The regulatory bill has 59 House co-sponsors and eight Senate co-sponsors. Democratic Party Gov. Pat Quinn said he will sign the bill when it arrives on his desk. 

With the deadline looming rapidly, anti-fracking activists - or “fracktivists” - have been protestingsitting intestifying in committee hearings and committing acts of non-violent civil disobedience daily at the Illinois State Capitol in Springfield. 

Two days before that deadline, the Associated Press (AP) reported that records from the state Department of Natural Resources (DNR) indicate fracking already has begun in Illinois' New Albany Shale Basin

“Carmi, Ill.-based Campbell Energy LLC submitted a well-completion report last year to the [DNR] voluntarily disclosing that it used 640,000 gallons of water [fracking] a well in White County,” AP reports. AP also explained the report was first obtained by the Natural Resources Defense Council (NRDC).  

The last-minute announcement paves the way for a “buzzer beater” public relations effort by the industry to ram through a regulatory bill deemed the “most comprehensive fracking legislation in the nation” by its proponents and a “worst case scenario” by its detractors. The bill was predominatly written by Illinois Oil and Gas Association (IOGA), working alongside two major environmental groups: the Illinois Sierra Club and NRDC

NRDC told DeSmogBlog it caught wind of the Campbell Energy well-completion report not from the industry itself at the negotiating table, but through a Freedom of Information Act (FOIA) request. The FOIA request also showed another company has fracked a well: Strata-X Energy Ltd.

Tue, 2013-05-21 09:36Steve Horn
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"Gasland 2" Grassroots Premiere in Illinois Highlights Industry PSYOPS and Ongoing Fracking Fights

Gasland 2” screened yesterday in Normal, IL and DeSmogBlog was there to gain a sneak peak of the documentary set for a July 8 HBO national premiere. 

Josh Fox's documentary played at the Normal Theater, the second-ever screening since the film officially premiered on April 21 at the Tribeca Film Festival in New York City

The movie builds on Fox's Academy Award-nominated “Gasland,” further making the case of how the shale industry's hydraulic fracturing (“fracking”) boom is busting up peoples' livelihoods, contaminating air and water, polluting democracy and serving as a “bridge fuel” only to propel us off the climate disruption cliff. 

A central theme and question of the film is, “Who gets to tell the story?” That is, industry PR pros and bought-off politicians utilizing the “tobacco playbook” and saying “the sky is pink,” or families directly injured by the industry? Fox explains how the industry has gamed the system, ensuring the communities have their voices drowned out. The Gasland films seek to tell some of the victims' stories. 

Another theme is the bread and butter of following any big industry's influence: following the money. In depicting the financial clout of Big Oil, “Gasland 2” shows that the oil and gas industry has gone to the lengths of deploying warfare tactics - literally - on U.S. citizens to ram through its agenda. 

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