American Petroleum Institute

Thu, 2014-12-18 15:31Steve Horn
Steve Horn's picture

Not Just Public Lands: Defense Bill Also Incentivizes Fracked Gas Vehicles

DeSmogBlog recently revealed how Big Oil's lobbyists snuck expedited permitting for hydraulic fracturing (“fracking”) on public lands into the National Defense Authorization Act (NDAA) of 2015, which passed in the U.S. House and Senate and now awaits President Barack Obama's signature.

A follow-up probe reveals that the public lands giveaway was not the only sweetheart deal the industry got out of the pork barrel bill. The NDAA also included a provision that opened the floodgates for natural gas vehicles (NGVs) in the U.S.—cars that would largely be fueled by gas obtained via fracking.

The section of the bill titled, “Alternative Fuel Automobiles” (on page 104) lays it out:

NDAA of 2015 Natural Gas Vehicles
Image Credit: U.S. Government Publishing Office 

Sun, 2014-12-14 15:38Steve Horn
Steve Horn's picture

Revealed: How Big Oil Got Expedited Permitting for Fracking on Public Lands Into the Defense Bill

The U.S. Senate has voted 89-11 to approve the Defense Authorization Act of 2015, following the December 4 U.S. House of Representatives' 300-119 up-vote and now awaits President Barack Obama's signature.

The 1,616-page piece of pork barrel legislation contains a provision — among other controversial measures — to streamline permitting for hydraulic fracturing (“fracking”) on U.S. public lands overseen by the Bureau of Land Management (BLM), a unit of the U.S. Department of Interior.

Buried on page 1,156 of the bill as Section 3021 and subtitled “Bureau of Land Management Permit Processing,” the bill's passage has won praise from both the American Petroleum Institute (API) and the Independent Petroleum Association of America (IPAA) and comes on the heels of countries from around the world coming to a preliminary deal at the United Nations climate summit in Lima, Peru, to cap greenhouse gas emissions.

We applaud the Senate…and are hopeful the president signs this measure in a timely fashion,” said Dan Naatz, IPAA lobbyist and former congressional staffer, in a press release

Alluding to the bottoming out of the global price of oil, Naatz further stated, “In these uncertain times of price volatility, it’s encouraging for America’s job creators to have regulatory certainty through a streamlined permitting process.”

Streamlined permitting means faster turn-around times for the industry's application process to drill on public lands, bringing with it all of the air, groundwater and climate change issues that encompass the shale production process. 

At the bottom of the same press release, IPAA boasted of its ability to get the legislative proposal introduced initially by U.S. Sen. Tom Udall (D-NMas the BLM Permit Processing Improvement Act of 2014 after holding an “educational meeting” with Udall's staffers. Endorsed by some major U.S. environmental groups, Udall took more than $191,000 from the oil and gas industry during his successful 2014 re-election campaign.

IPAA's publicly admitted influence-peddling efforts are but the tip of the iceberg for how Big Oil managed to stuff expedited permitting for fracking on U.S. public lands into the National Defense Authorization Act of 2015.

Sun, 2014-11-16 16:00Steve Horn
Steve Horn's picture

State Department's Keystone XL Contractor ERM Approved Project Now Melting Glaciers

A controversial government contractor once again finds itself in hot water, or in this case, melting glacier water.

TransCanada chose Environmental Resources Management Group (ERM) as one of its contractors to conduct the environmental impact statement for Keystone XL on behalf of the U.S. State Department. ERM Group also happens to have green-lighted a gold mining project in central Asia that is now melting glaciers.

ERM Group has a penchant for rubber-stamping projects that have had tragic environmental and public health legacies. For example, ERM formerly worked on behalf of the tobacco industry to pitch the safety of its deadly product.

A January 2014 study about Keystone XL's climate change impacts published in the journal Nature Climate Change paints a drastically different picture than ERM Group's Keystone XL tar sands study.

The Kumtor Gold Mineowned by Centerra Gold/Cameco Corporation, was provided a stamp of approval from ERM Group in October 2012. Similar to the TransCanada arrangement with the State Department on Keystone XL, Centerra served as the funder of the report evaluating its own project. 

ERM Group Melting Glaciers

“The mine sits at an altitude of 4,000 meters above sea level, in the Tien Shan mountain range and among some of Kyrgyzstan's - and the region's - most important glaciers,” explained an October 28 story published in Asia Times.

“Centerra Gold has consistently dismissed as untrue that operations at Kumtor have had negative implications for the glaciers, which are reportedly melting with observable speed due to years of dumping rock tailings onto the ice sheet. The Canadian company has backed its position with expert evaluations from consultancies such as Environmental Resources Management.” 

Sat, 2014-11-15 12:00Justin Mikulka
Justin Mikulka's picture

Government Accountability Office Report on Oil Export Ban Based On Industry-Funded Studies

oil exports

Earlier this year, at CERAWeek, the must-attend energy conference for industry players, Sen. Lisa Murkowski (R-AK) made an interesting statement while advocating for lifting the oil export ban in her keynote speech.

This year – 2014 – will be the Year of the Report. Think tanks and research institutions across the country are examining the possibility of crude exports and the potential ramifications. Working groups are assembling, writing papers, crunching numbers.  And that’s a good thing,” Murkowski said.

Sen. Murkowski made this statement as part of prepared remarks described as a “roadmap” for lifting the ban on crude oil exports. Murkowski’s prediction would make it seem like she already knew the reports would reach the conclusion that lifting the ban on crude oil exports was “a good thing.” Perhaps it was just a lucky guess for her back in March, but she was right.

In October, the Governmental Accountability Office (GAO) reached just that conclusion in its report, Changing Crude Oil Markets: Allowing Exports Could Reduce Consumer Fuel Prices. It should be noted that the GAO undertook this effort at the request of none other than Alaskan Senator Lisa Murkowski.

The GAO concluded that lifting the crude oil export ban was a positive because it could potentially lower consumer fuel prices in the U.S. However, when it came to analyzing the environmental impacts of increased oil production and exports, the Congressional agency was unable to reach any quantifiable conclusions.

Thu, 2014-10-23 06:00Justin Mikulka
Justin Mikulka's picture

Rail Industry Fights Speed Limits, Brake Regulation in Quest for Profits

CP Rail train

Earlier this month Hunter Harrison, the CEO of Canadian Pacific told the Globe and Mail that he thought regulators have “overreacted” to the oil-by-rail disaster in Lac-Megantic that killed 47 people. 

Lac-Mégantic happened, in my view, because of one person’s behaviour, if I read the file right,” Harrison said.

As detailed by DeSmogBlog, he didn’t read the file right. The accident was directly related to lack of regulation and the railroads putting profits before safety.

Harrison’s choice of words echoed those of American Petroleum Institute CEO Jack Gerard commenting on the new proposed oil-by-rail regulations when he stated: “Overreacting creates more challenges than safety.” 

Yea, that’s right, according to Big Oil and Big Rail, the biggest threat to the 25 million people living in the bomb train blast zones is the overreaction of regulators.

Tue, 2014-10-07 10:41Justin Mikulka
Justin Mikulka's picture

‘Wild West’ Approach to Regulation in Bakken Shale Means Bomb Trains Continue to Roll

Wild west Bakken

Prepare yourself for a rare moment of honesty from the oil industry.

It happened on Sept. 23 at a hearing of the North Dakota Industrial Commission during a discussion on ways to make Bakken crude oil less flammable for transportation.

The flammable characteristics of our product are actually a big piece of why this product is so valuable. That is why we can make these very valuable products like gasoline and jet fuel,” said Tony Lucero of oil producer Enerplus.

So, there you have it: making Bakken crude safer to transport by rail via oil stabilization, which removes flammable natural gas liquids such as butane, means making it less valuable to the refineries.

This profit motive is at least part of the reason why the American Petroleum Institute has made it clear it will not accept mandatory oil stabilization as part of the new oil-by-rail regulations.

Thu, 2014-10-02 17:59Justin Mikulka
Justin Mikulka's picture

Oil and Rail Industries Still Fighting Oil Train Safety Measures 23 Years and Counting

Oil train

On the final day of the public comment period for the new proposed oil-by-rail regulations, the oil industry came out swinging. At a press conference held by American Petroleum Institute (API) president Jack Gerard, Gerard said: “Overreacting creates more challenges than safety.” 

One of the main “overreactions” Gerard and the API want to avoid is the discontinuation of the DOT-111 tank cars for transporting dangerous products like Bakken crude oil.

Based on that, you might think that banning DOT-111s is some kind of reactionary new idea, not something that’s been on the books for more than two decades.

Take this line from a 1991 National Transportation Safety Board document: “The inadequacy of the protection provided by DOT-111A tank cars for certain dangerous products has been evident for many years in accidents investigated by the Safety Board.” 

Yet, here’s the American Petroleum Institute, 23 years later arguing that halting the shipment of explosive Bakken crude oil in DOT-111 tank cars is “overreacting.”

Thu, 2014-09-25 14:49Justin Mikulka
Justin Mikulka's picture

U.S. Oil Imports From Canada Hit All-Time High Despite Opposition

Oil tankers

While the battle against TransCanada’s Keystone XL pipeline rages on and oil-by-rail faces increased scrutiny, U.S. oil imports from Canada have quietly hit a record high of 2.99 million barrels per day.

That number — from the week ending Sept. 12, 2014 — marks a 20 per cent increase from a year earlier.

While rail is still handling only a small amount of crude oil compared to pipelines, it continues to rapidly expand.

In a May 19, 2014 meeting between the American Petroleum Institute (API) and the White House Office of Information and Regulatory Affairs (OIRA), API indicated the oil industry estimated it would need 12,000 rail cars to move Western Canadian crude, which is predominantly tar sands oil.

And in the second half of this year, it is becoming evident that the API’s prediction was a pretty good one. Rail is going to play an increased role alongside pipelines in getting tar sands oil to market despite opposition from activists across North America.

Sun, 2014-08-31 08:00Steve Horn
Steve Horn's picture

Legal Case: White House Argues Against Considering Climate Change on Energy Projects

Just over a month before the United Nations convenes on September 23 in New York City to discuss climate change and activists gather for a week of action, the Obama White House Council on Environmental Quality (CEQ) argued it does not have to offer guidance to federal agencies it coordinates with to consider climate change impacts for energy decisions.

It came just a few weeks before a leaked draft copy of the Intergovernmental Panel on Climate Change's (IPCC) latest assessment said climate disruption could cause “severe, pervasive and irreversible impacts for people and ecosystems.”

Initially filed as a February 2008 petition to CEQ by the International Center for Technology Assessment, the Sierra Club and the Natural Resources Defense Council (NRDC) when George W. Bush still served as President, it had been stalled for years. 

Six and a half years later and another term into the Obama Administration, however, things have finally moved forward. Or backwards, depending on who you ask. 

NEPA and CEQ

The initial February 2008 legal petition issued by the plaintiffs was rather simple: the White House's Council for Environmental Quality (CEQ) should provide guidance to federal agencies it coordinates with to weigh climate change impacts when utilizing the National Environmental Policy Act (NEPA) on energy policy decisions. 

A legal process completely skirted in recent prominent tar sands pipeline cases by both TransCanada and Enbridge, NEPA is referred to by legal scholars as the “Magna Carta” of environmental law.

Magna Carta; Photo Credit: Wikimedia Commons

CEQ oversees major tenets of environmental, energy and climate policy. It often serves as the final arbiter on many major legislative pushes proposed by Congress and federal agencies much in the same way the White House's Office of Information and Regulatory Affairs (OIRA) does for regulatory policy. 

Wed, 2014-08-20 07:00Justin Mikulka and Steve Horn
Justin Mikulka and Steve Horn's picture

Big Rail Cites Bin Laden, Al Qaeda to Fend Off Oil-by-Rail Route Transparency

While many states around the U.S. have released information to the public about the frequency and routes of trains carrying oil obtained from hydraulic fracturing (“fracking”) in North Dakota’s Bakken Shale basin, holdouts still remain. 

Why the delay? Homeland security concerns, claim some companies. 

In an ongoing Maryland court case over the issue of transparency for in-state oil-by-rail routes, a July 23 affidavit from Carl E. Carbaugh — director of infrastructure security for Norfolk Southern — goes into extensive detail about the supposed risk presented by terrorism attacks on “Bomb Trains.” 

In so doing, Carbaugh mentions Al-Qaeda. 

The most recent edition of Inspire magazine, March 2014, the online, English-language propaganda publication of [Al-Qaeda in the Arabian Peninsula], presents a full-page collage depicting varied images…in order to construct an explosive device,” reads Carbaugh’s affidavit

Among these images are a derailed passenger train and a partly covered note paper listing cities in the [U.S.] as well as the terms ‘Dakota’ and ‘Train crude oil.’” 

Carbaugh also cited Osama bin Laden, the late Al-Qaeda international ring-leader, in his affidavit.

Among the materials seized in the May 1, 2011, raid on Osama bin Laden’s compound in Abbottabad, Pakistan, were notes indicating interest in ‘tipping’ or ‘toppling’ trains — that is causing their derailment,” Carbaugh wrote.

Osama Bin Laden Compound Diagram; Image Credit: Wikimedia Commons

Pages

Subscribe to American Petroleum Institute