Mon, 2014-11-03 15:41Chris Rose
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“Citizen Interventions” Have Cost Canada’s Tar Sands Industry $17B, New Report Shows

Oil companies and fossil fuel investors seeking further developments in the Alberta tar sands have been dealt another setback with the publication of a report showing producers lost $17.1 billion USD between 2010-2013 due to successful public protest campaigns.

Fossil fuel companies lost $30.9 billion overall during the same period partly due to the changing North American oil market but largely because of a fierce grassroots movement against tar sands development, said the report — Material Risks: How Public Accountability Is Slowing Tar Sands Development.

A significant segment of opposition is from First Nations in Canada who are raising sovereignty claims and other environmental challenges, added the report, which was produced by the Institute for Energy Economics and Financial Analysis (IEEFA) and Oil Change International (OCI).

Tar sands producers face a new kind of risk from growing public opposition,” Tom Sanzillo, director of finance at IEEFA, and one of the lead authors on the report, said. “This opposition has achieved a permanent presence as public sentiment evolves and as the influence of organizations opposed to tar sands production continues to grow.”

Mon, 2014-11-03 13:14Emma Gilchrist
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Energy Executive Quits Trans Mountain Pipeline Review, Calls NEB Process A ‘Public Deception'

Marc Eliesen

An energy executive is weighing in on the federal review of Kinder Morgan’s Trans Mountain oil pipeline expansion with a scathing letter that calls the National Energy Board’s review process “fraudulent” and a “public deception” — and calls for the province of British Columbia to undertake its own environmental assessment.

Marc Eliesen — who has 40 years of executive experience in the energy sector, including as a board member at Suncor — writes in his letter to the National Energy Board that the process is jury-rigged with a “pre-determined outcome.”

Eliesen is the former CEO of BC Hydro, former chair of Manitoba Hydro and has served as a deputy minister in seven different federal and provincial governments.

In his letter, Eliesen tells the National Energy Board (NEB) that he offered his expertise as an intervenor in good faith that his time would be well spent in evaluation Trans Mountain’s proposal.

Unfortunately, I have come to the conclusion that the board, through its decisions, is engaged in a public deception,” Eliesen writes. “Continued involvement with this process is a waste of time and effort, and represents a disservice to the public interest because it endorses a fraudulent process.”

Mon, 2014-11-03 12:30Steve Horn
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Federal Reserve Policy Keeps Fracking Bubble Afloat and That May Change Soon

In August 2005, the U.S. Congress and then-President George W. Bush blessed the oil and gas industry with a game-changer: the Energy Policy Act of 2005. The Act exempted the industry from federal regulatory enforcement of the Safe Drinking Water Act, the Clean Water Act and the National Environmental Policy Act.

While the piece of omnibus legislation is well-known to close observers of the hydraulic fracturing (“fracking”) issue — especially the “Halliburton Loophole” — lesser known is another blessing bestowed upon shale gas and tight oil drillers: near zero-percent interest rates for debt accrued during the capital-intensive oil and gas production process.

Or put more bluntly, near-free money from the U.S. Federal Reserve Bank. That trend may soon come to a close, as the Federal Reserve recently announced an end to its controversial $3 trillion bond-buying program.

In response to the economic crisis and near collapse of the global economy, the Federal Reserve dropped interest rates to between 0 percent and .25 percent on December 16, 2008, a record low percentage. It also began its bond-buying program, described in a recent Washington Post article as implemented to provide a “booster shot” to the economy.

“The Federal Reserve will employ all available tools to promote the resumption of sustainable economic growth and to preserve price stability,” the Fed stated in a press release announcing the maneuver. “In particular, the [Federal Reserve] anticipates that weak economic conditions are likely to warrant exceptionally low levels of the federal funds rate for some time.”

That free money, known by economics wonks as quantitative easing, helps drilling companies finance fracking an increasingly massive number of wells to keep production levels flat in shale fields nationwide.

But even with the generous cash flow facilitated by the Fed, annual productivity of many shale gas and tight oil fields have either peaked or are in terminal decline. This was revealed in Post Carbon Institute's recently-published report titled, “Drilling Deeper: A Reality Check on U.S. Government Forecasts for a Lasting Tight Oil & Shale Gas Boom.” 

Mon, 2014-11-03 11:31Chris Rose
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In Starkest Warning Yet, IPCC Calls on Politicians To Rapidly Transition to Renewables to Avoid Climate Disaster

In its starkest warning yet about the challenges facing humanity, the Intergovernmental Panel on Climate Change said Sunday humans are responsible for all of the planet’s warming since 1951.

The Fifth Assessment Report by the Intergovernmental Panel on Climate Change includes a strict carbon budget for governments for the first time. More than two-thirds of that carbon budget has already been used up and at current rates the world would burn through the rest in less than 30 years, the panel warned.

With this latest report, science has spoken yet again and with much more clarity. Time is not on our side,” said UN Secretary-General Ban Ki-moon. “Leaders must act.”

For the best chance of avoiding severe levels of warming, governments will need to peak emissions, rapidly phase fossil fuels down to zero and transition to 100 per cent renewable energy, the report said.

This transition is not only possible, but economically viable, according to the IPCC. Since 2007, clean energy costs have dropped dramatically and continuing down a path of investing in renewable energy will be cheaper than paying a growing bill for “severe, pervasive, and irreversible impacts.”

The report sets governments a clear choice: “Either put policies in place to achieve this essential shift, or they can spend the rest of their careers dealing with climate disaster after climate disaster.”

Mon, 2014-11-03 05:00Mike Gaworecki
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Utilities Couldn't Kill Distributed Solar, So Now They're Co-Opting The Business Model

First they ignore you, then they laugh at you, then they fight you, then they… steal your business model?

Solar energy is booming: More than half a million US homes and businesses have gone solar, some 200,000 in just the last two years alone. The Solar Energy Industries Association estimates that in the first half of 2014, a new solar installation went up every 3.2 minutes.

That scares the hell out of the electric utilities, who have been fighting rooftop solar tooth and nail.

Utilities are right to be scared—the rise of distributed solar energy generation presents an existential crisis to their business model. But solar's steady march has not slowed down, so now the utilities are taking a different tact: they're simply trying to co-opt the rooftop solar business altogether.

“You have to question their motives,” Will Craven, a spokesman for the Alliance for Solar Choice, told the San Francisco Chronicle. “They’ve been attacking rooftop solar for years at this point, and they’ve tended to lose most of those battles. This is just the latest tactic.”

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