September 2012 Climate Change Summary Report

 

 

“Automakers explore ‘lightweighting,’ another route to boost gas mileage”

September 27, 2012: ClimateWire reports: “Using advanced lightweight materials on even the most basic car parts can improve overall fuel efficiency, too. According to the Department of Energy, reducing a vehicle’s weight by 10 percent can improve fuel economy by 6 to 8 percent. Steel has traditionally made up about 60 percent of a vehicle’s total weight. But in order to meet consumer demands and increasingly stringent federal fuel economy standards, automakers are looking to alternatives, including advanced high-strength steel, aluminum, magnesium and carbon fiber. Lightweight materials are a cost-effective way to boost fuel efficiency on conventional combustion engine vehicles and advanced automobiles like hybrids, electric vehicles and hydrogen fuel-cell vehicles. ‘There are literally hundreds of different technologies that can be brought to bear to help improve fuel efficiency, but all of them begin with lightweighting,’ said Kevin Lowery, a spokesman with the aluminum company Alcoa Inc.”

“Report: Carbon tax could halve deficit”

September 27, 2012: The Hill reports: “Taxing carbon emissions could raise enough money to eventually cut the deficit in half, but policymakers would face tough questions about whether to use the cash to brighten the fiscal outlook or tackle other needs, a report finds. Carbon tax proposals to help battle climate change are politically dead in Congress right now. But the Congressional Research Service overview nonetheless arrives at a time of renewed interest in the idea from some policy wonks, Democrats, and former GOP lawmakers. The report finds that imposing an escalating fee that starts at $20 per metric ton could reduce the projected 10-year budget deficit by more than 50 percent, from $2.3 trillion to $1.1 trillion.That estimate relies on the Congressional Budget Office’s (CBO) ‘baseline’ deficit projection.”

“Australia, moving ahead with cap and trade, talks to Calif. about linkage”

September 27, 2012: ClimateWire reports: “Australia is ‘keen’ to link its new emissions trading system to California’s, a top Australian climate official said yesterday. Mark Dreyfus, Australia’s parliamentary secretary for climate change and energy efficiency, said that he met earlier this week with California officials and that the government is eager for more conversations. Though he declined to speak in detail about the conversations, he noted that nine months after European Commission President José Manuel Barroso came to Australia to commence talks on joining systems, the countries announced they would merge systems no later than 2018. ‘We are keen to pursue links with California, but it’s a matter of discussion, and we’re going to pursue those discussions. I can’t tell you more, because that’s the way it’s done,’ Dreyfus said.”

“Toyota drops electric car plans; Tesla reveals fast-charging stations”

September 26, 2012: Greenwire reports: “All plans for large-scale sales of Toyota Motor Corp.’s new electric mini-car have been axed, the company announced yesterday, saying the technology wouldn’t meet public demands. The company had planned to sell thousands of the all-electric eQ vehicle per year. But this year, the automaker said it would sell about 100. … The news comes as Tesla Motors Inc. revealed its solar-powered charging stations today for electric vehicles. The company says its stations make refueling times for electric vehicles comparable to the time it takes for conventional car users to fill up on gas and take a restroom break. The Supercharger stations are already operational at six highway stops in California. They are free and can fully power up a Tesla Model S sedan in one hour.”

“US coal exports raise EU carbon emissions”

September 26, 2012: The Hill reports: “Cheap natural gas has driven coal from U.S. power plants to those of the European Union, helping cause a boost in carbon emissions there by 2.2 percent this year, according to a Reuters report. More U.S. electricity generators have turned to natural gas as the energy source prices its dirtier coal counterpart out of the market. That has also helped bring U.S. carbon emissions to an 18-year low. As a result, U.S. exports of inexpensive coal to the cash-strapped EU rose 29 percent in the first quarter of 2012 compared with 2011, Reuters said, citing Bernstein Research. In the process, U.S. carbon emissions will likely fall 2.4 percent this year, Reuters said, citing the U.S. Energy Information Administration (EIA).”

“Burgers pollute more than diesel trucks, study shows”

September 24, 2012: Fuel Fix reports: “Charbroiling one hamburger contributes more to air pollution than a heavy-duty truck, according to a study released this week by the University of California, Riverside. A diesel-powered 18-wheeler would have to travel 143 miles to emit the same pollution as one burger on a commercial charbroiler, the study showed. The study earned praise from the diesel industry trade group, the Diesel Technology Forum, which used it to illustrate just how clean diesel engines can be. There is no significant difference in emissions between engines burning diesel and those burning natural gas, said Allen Schaeffer, executive director of the group.”

“E.U., China to partner on greenhouse gas reduction programs”

September 21, 2012: ClimateWire reports: “China has agreed to work with the European Union to decrease its greenhouse gas emissions, according to the European Commission. Though the European Union and China have historically been at odds when it comes to climate policy, the two have signed a financing deal to transition ‘towards a low-carbon economy and a reduction of greenhouse gas emissions in China,’ the commission said. Over four years, the European Union will give $33 million and technical assistance to three carbon-reduction plans. The projects include efforts to help Chinese cities develop resource efficiency, cut water and heavy-metal pollution, and implement sustainable waste treatment policies.”

“Report: US fuel-efficiency standards on trucks stricter than in Europe, Canada”

September 21, 2012: The Hill reports: “U.S. fuel-efficiency standards are more aggressive in some respects than those in Europe and Canada, according to two International Energy Agency (IEA) reports published Wednesday. One of the reports noted the recently finalized standards for light-duty vehicles set tougher greenhouse gas emission-reduction targets than in Canada and the European Union. The U.S. is shooting for 163 grams of carbon dioxide emissions per mile by 2025. The European Union has the next most stringent standard, at 209 grams per mile by 2015. The report also mentioned the U.S. and Japan are the only Organisation for Economic Co-operation and Development nations with fuel-efficiency standards for heavy-duty vehicles.”

“U.S. electric car policy to cost $7.5 billion by 2019: CBO”

September 21, 2012: Reuters reports: “U.S. federal policies to promote electric vehicles will cost $7.5 billion through 2019 and have “little to no impact” on overall national gasoline consumption over the next several years, the Congressional Budget Office said in a report issued on Thursday. Consumer tax credits for buying electric vehicles, which can run as high as $7,500 per vehicle, will account for about 25 percent of the $7.5 billion cost, the CBO said. The rest of the cost comprises of $2.4 billion in grants to battery makers and projects to promote electric vehicles as well as $3.1 billion in loans to auto companies designed to spur production of fuel-efficient vehicles.”

“E.U. strategy to boost CO2 price is moving too slowly, analysts say”

September 20, 2012: ClimateWire reports: “E.U. attempts to prop up the price of carbon dioxide emissions are progressing slowly. Meanwhile, a new supply of carbon allowances is coming on the market, nearly ensuring that CO2 pollution will remain cheap, analysts say. A 41 percent drop in E.U. carbon prices over the past 12 months is delaying major investments in green technologies such as carbon capture and storage. To counter the drop, the European Commission is working on a plan to temporarily delay the sale of some carbon emission permits between 2013 and 2015. The commission, which is the European Union’s executive arm, has not given a specific proposal, providing instead three scenarios based on delaying the auctioning of 400 million, 900 million or 1.2 billion allowances in a move dubbed ‘backloading.’ If a deal is not made to permanently cancel the delayed permits, they will be added again into the market at a later date.”

“U.S. groups enter fray as E.U. proposes curb on ‘food-based’ fuels”

September 19, 2012: Greenwire reports: “The European Commission is proposing to limit the amount of food-based biofuels to 5 percent of the E.U. transportation fuel sector, a pair of commissioners confirmed yesterday after a draft proposal spread last week. In a joint statement, E.U. Commissioner of Energy Günther Oettinger and Commissioner of Climate Action Connie Hedegaard expressed concern about biofuels competing with food and requiring additional land. The policy shift away from corn-based fuels, which would be in effect until 2020, would represent a change in direction for the European Union, which has in recent years emphasized renewable fuels. … The U.S. ethanol industry today criticized the proposed plan.”

 

“Fuel use in new cars could halve by 2030 –IEA”

September 19, 2012: Reuters reports: “Fuel consumption in new vehicles could be slashed by half in the next 20 years, helping the world curb its dependency on oil, provided governments set up bold policies to boost the use of available technologies, the International Energy Agency said on Wednesday. The transport sector, which consumes around one fifth of global primary energy, will account for nearly all the future growth in oil use, said the Paris-based agency, which advises industrial nations on energy policy. The necessary technologies are already cost-effective, the IEA said, in that fuel savings outweigh the additional costs over vehicle life, but those are not deployed widely enough. ‘Strong policies are needed to ensure that the full potential of these technologies is achieved over the next 10 to 20 years,’ the IEA said in one of two reports on the fuel economy of road vehicles.”

“The Gas Tax Is Running Low. But What Should Replace It?”

September 17, 2012: The Wall Street Journalreports: “The gasoline tax is running on fumes. For decades, the excise tax on gasoline and diesel fuel has been the main source of funds for building and maintaining the nation’s roadways. It has paid for most of the four million road miles currently in service. But now there is agreement across the political spectrum that the gas tax is broken and needs to be replaced, or at least overhauled. The problem is twofold: First, the tax has failed to keep up with the rising cost of highway construction and repair. And second, improved fuel economy and the rise of hybrid and electric vehicles means that more driving won’t be matched by higher gasoline sales, and that how much people pay for the roads won’t necessarily reflect how much they use them. ‘The gas tax served our country extremely well as long as the amount that people drive continued to go up and people continued to get lousy gas mileage,’ says Pete K. Rahn, leader of the national transportation practice at HNTB Corp., a Kansas City, Mo., architectural, engineering and construction firm. Now, he says, ‘we do not have a sustainable way of paying for our transportation system.’”

 

“Carbon Trading Heating Up”

September 17, 2012: The Wall Street Journalreports: “After a series of false starts, the market for trading carbon-emission credits is showing new signs of life in California. Trading volumes for these carbon credits—which allow holders to emit as many greenhouse-gas emissions as they want, provided they acquire enough of them—are at a nine-month high. Prices are up 1% since the start of this year, even as prices on carbon allowances elsewhere in the world are plumbing lows. While federal efforts to regulate carbon-dioxide pollution collapsed in 2010—and other carbon markets have run into trouble—California is now on track to implement its own laws capping heat-trapping gases that scientists believe contribute to climate change. As the Jan. 1, 2013, start date for the new rules approaches and as opponents of the rules run out of time to mount new legal challenges, operators of power plants, oil refineries and other facilities are wading in to purchase credits.”

 

“Saving gas, wasting lives”

September 17, 2012: A Washington Posteditorial states: “While the Obama administration can mandate new gas-mileage standards, the president can’t alter the laws of physics. No estimate was proffered of the additional highway deaths likely to result from the expected shift to less-substantial vehicles. An extensive study of crash data by USA Today in 1999 found that as autos got smaller and more fuel-efficient, every mile-per-gallon increase in gas economy resulted in about 7,700 roadway deaths. In a separate report in 2002, the National Academy of Sciences concluded that a small increase in the CAFE standard during the late 1970s and early ‘80s ‘probably resulted in an additional 1,300 to 2,600 traffic fatalities in 1993.’ Accordingly, the downsizing of vehicles that would help manufacturers achieve the new mandates could conservatively result in thousands of additional fatalities each year.”

“House Republicans scrub climate change concerns from EPA bill”

September 14, 2012: The Hill reports: “The latest House bill aimed at thwarting climate change regulations drops previous language that acknowledged scientific concerns about global warming and evidence of rising temperatures and sea levels. The House is slated to vote next week on several bills aimed at battling what Republicans call a White House ‘war’ on coal — a package that includes previously passed legislation to block greenhouse gas rules from the Environmental Protection Agency (EPA). But the new version of the greenhouse gas bill from House Energy and Commerce Committee Chairman Fred Upton (R-Mich.) omits a ‘sense of Congress’ section that describes scientific concerns about climate change while casting it as an international issue.”

“Advanced biofuels in US, Canada to surge to 1.6-2.6 billion gallons by 2015 amidst domestic manufacturing comeback”

September 13, 2012: Biofuels Digest reports: “New downloadable reports from Environmental Entrepreneurs and PriceWaterhouseCoopers detail strong advances in advanced biofuels, chemicals, wood, plastic and rubber sectors. In California, Environmental Entrepreneurs has just released its annual survey of advanced biofuels, the Advanced Biofuels Market Report for 2012, and is projecting that, for the US and Canada, advanced biofuels production (qualifying for RFS2 consideration) will increase to at least 1.6 billion gallons by 2015 and on the high end, this number could reach 2.6 billion gallons. The group noted that ‘Requirements such as the RFS2 and LCFS, in concert with financial support from federal agencies like DOE and USDA are resulting in the construction or retrofit of 27 biorefineries by 2015. Fuel standards can be met by the capacity of these & existing facilities, but continued support of these government programs is crucial.’”

“EU to trim biofuel targets on greenhouse gas fears”

September 12, 2012: AFP reports: “The European Union plans to trim targets on biofuel use, once seen as a potential source of cheap alternative energy but now widely blamed for soaring food prices, according to a draft proposal. In 2009, the EU fixed a target for renewables to account for 20 percent of all the bloc’s energy consumption and 10 percent in the transport sector, with biofuels set to play a growing role. The aim was to reduce greenhouse gas emissions, seen as responsible for global warming. But a draft EU proposal seen by AFP on Tuesday said some biofuel production was failing to deliver hoped-for reductions in greenhouse gases because changing land use to grow crops for energy had its own adverse impact on emissions. Emissions driven by land use change ‘can vary substantially … and can negate some or all of the greenhouse gas savings of individual biofuels relative to the fossil fuels they replace,’ it said.”

“IEA says world well supplied with oil”

September 12, 2012: Reuters reports: “Global oil demand is poised to be depressed for the next 18 months while supply levels from OPEC countries are at fairly comfortable levels, the West’s energy agency said on Wednesday as it faces calls for an emergency stocks release. Sources have told Reuters the United States is considering an emergency stocks release in a move to help suppress high oil prices, and other members of the International Energy Agency, such as France and Great Britain, could join the move. Some members of the IEA have opposed the release although its head has recently said high oil prices were a cause for concern. The IEA, which represents developed energy consuming countries, made only one mention of ‘market rumors of an imminent release of U.S. strategic stocks’ in its monthly report while painting a supply-demand picture implying such a release would not be necessary. The IEA said it made no significant changes to its global oil demand outlook and forecast it would grow at a steady rate of around 0.8 million barrels per day (bpd) or 0.9 percent in both 2012 and 2013.”

“How high can U.S. crude production go? New research sees roaring decade”

September 11, 2012: EnergyWire reports: “New research suggests the United States could raise crude oil production nearly 75 percent in the next decade, shifting a large share of its oil dependence to Canada, Mexico and itself. The forecast, which one oil expert called ‘way out on the bullish end,’ came from Bentek Energy, an analysis firm based near Denver. In a report released yesterday, Bentek forecast U.S. crude production to reach 11.5 million barrels per day by the end of 2022, compared to roughly 6.6 million bpd this year. Jodi Quinnell, manager of oil analysis at Bentek and lead author of the report, denied that it is over-bullish. She said it is based on the reality on the ground: Oil rigs are swarming into the productive shale plays, and companies are getting more and more efficient at harvesting black gold. … Energy experts cautioned that a decade is a long time to expect calm seas in the energy market. Oil prices could wax and wane. Regulations could change. Wall Street could find another sector in which it prefers to invest. But if current trends continue unabated, Bentek said, the U.S. oil picture will look very different in 2022. Instead of getting 45 percent of its crude by oil tanker, as it does today, the United States would only count on tankers for 5 percent.”

“EU to limit use of crop-based biofuels – draft law”

September 11, 2012: Reuters reports: “The European Union will impose a limit on the use of crop-based biofuels over fears they are less climate-friendly than initially thought and compete with food production, draft EU legislation seen by Reuters showed. The draft rules, which will need the approval of EU governments and lawmakers, represent a major shift in Europe’s much-criticized biofuel policy and a tacit admission by policymakers that the EU’s 2020 biofuel target was flawed from the outset. The plans also include a promise to end all public subsidies for crop-based biofuels after the current legislation expires in 2020, effectively ensuring the decline of a European sector now estimated to be worth 17 billion euros ($21.7 billion) a year.”

“Obama doesn’t believe in climate science. He believes in climate fantasy.”

September 11, 2012: A column in The Examiner states: “The joke was that Obama could control the sea levels. He can’t. Under no circumstance could public policy slow sea-level rise in the next 35 years. More on that below. Obama also didn’t get that the joke was on him: My plan will continue to reduce the carbon pollution that is heating our planet, because climate change is not a hoax. More droughts and floods and wildfires are not a joke. (Cheers, applause.) They are a threat to our children’s future. What’s most interesting about that line is what Obama’s not willing to say. He no longer says he’ll do anything about it. Since his climate-change bill died in the summer of 2009, Obama has not pushed any legislation to restrict greenhouse-gas emissions. He’s decided it’s a loser, apparently, and for good reason. Polls show that people are willing to fight global warming, but not really if it means paying more.So instead of calling for sacrifice to save the planet, Obama in Charlotte decided to hit the sweet spot between ignoring climate change and calling for action: he acknowledged climate change, and suggested his opponents didn’t.”

“House panel to explore potential for North American energy independence”

September 10, 2012: E&E News reports: “The House Energy and Commerce Subcommittee on Energy and Power on Thursday will convene a hearing on “the outlook for achieving North American energy independence within the decade” that will feature testimony from Romney’s top energy adviser as well as experts whose work the candidate cited in his recent energy white paper. Judging by the witness list — and the prevailing preferences of House Republicans — the hearing will focus heavily on newly discovered reserves of oil and natural gas in the United States and elsewhere on the continent. However, some of the witnesses scheduled to appear also have emphasized the significant role that demand reductions — driven by policies such as the Obama administration’s new automobile fuel efficiency requirements — have played in putting North America on a path to potential import elimination. The highest-profile attendee at Thursday’s hearing likely will be Harold Hamm, the CEO of oil driller Continental Resources and a top adviser to the Romney campaign.”

“Yes, energy independence is possible”

September 7, 2012: An op-ed for CNN by Dr. Scott W. Tinker, associate dean of research UT Austin and state geologist of Texas, states: “It’s important to remember that no energy choice is perfect. All involve tradeoffs. Without hydraulic fracturing, for example, we would use more coal for electricity generation, producing more CO2, or we would use more nuclear power, with its attendant concerns. We would also likely import more oil for transportation. So what’s my forecast now? Energy security is still an important goal, but that is a topic for a different column. More importantly, energy independence is actually possible, but getting there will require some of each of these: replacing some consumption with alternatives, cutting some demand with efficiency, and increasing some domestic supply with shale oil and gas. These changes will take time and effort from industry, consumers and government. But the potential impact will be remarkable.”

“Despite Challenges Advanced Biofuels Grow”

September 7, 2012: Domestic Fuel reports: “Even though the past year has been tough for the biofuels industry, the “Advanced Biofuels Market Report 2012,”  from Environmental Entrepreneurs (E2) says the advanced biofuels industry is still growing. Today, advanced biofuel production has exceeded 685 million gallons. Estimates are that the industry has the ability to grow to between 1.6 billion to 2.6 billion by 2015. There are several drivers to growth including the California Low Carbon Fuel Standard (LCFS) and the Renewable Fuel Standard (RFS2). As the industry matures, costs should come down as well as carbon emissions. The policies both include reduction of carbon emissions measured by a carbon intensity score and this becomes an added incentive to commercialize advanced biofuels. The study estimates if the standards come to full fruition, somewhere between 18,407 and 47,700 new jobs could be created.”

“Canada begins construction on first-ever carbon capture project in oil sands”

September 6, 2012: ClimateWirereports: “Royal Dutch Shell PLC announced yesterday it is moving forward with construction of the world’s first major carbon capture project in the Canadian oil sands. … In addition to being the first large-scale carbon capture initiative in the oil sands, the project constitutes the first time that captured carbon dioxide from a commercial project of any type will be injected in North American rock formations for permanent storage. Existing large-scale CCS projects use captured gas for injection in oil fields as part of enhanced oil recovery or are part of noncommercial demonstrations.”

“USDA GAIN report provides outlook of Brazil’s ethanol industry”

September 6, 2012: Ethanol Producer Magazine reports: “A recently published USDA Global Agricultural Information Network report addresses the Brazilian biofuel industry. The annual biofuel report, which was filed by Brazil’s Agricultural Trade Office in late August, includes an update of the country’s biofuel policies and programs and provides production, supply and demand estimates and forecasts for 2012 and 2013. Regarding the level of ethanol blended into Brazil’s transportation fuel, the GAIN report noted that the blend level was dropped from 25 percent to 20 percent in 2011 due to a poor sugarcane crop and the lower ethanol production that resulted. According to the report, the current blend level of 20 percent is expected to remain unchanged until the beginning of the 2013/2014 crop year.”

“Saudi Arabia may become oil importer by 2030”

September 5, 2012: Bloomberg reports: “Saudi Arabia, the world’s biggest crude exporter, risks becoming an oil importer in the next 20 years, according to Citigroup. Oil and its derivatives are used for about half of the kingdom’s electricity production, which at peak rates is growing at about 8 percent a year, the bank said Tuesday in a an emailed report. A quarter of the country’s fuel production is used domestically, more per capita than other industrialized nations, as the cost is subsidized, according to the note. ‘If Saudi Arabian oil consumption grows in line with peak power demand, the country could be a net oil importer by 2030,’ Heidy Rehman, an analyst at the bank, wrote. The country already consumes all its natural-gas production and plans to develop nuclear power, which pose execution risk amid a lack of available experts, safety issues and cost overruns, Rehman said.”

“Costs of U.S. dependence on petroleum imports are huge, expert says”

September 5, 2012: Climatewire reports: “The costs of U.S. dependence on petroleum imports are enormous and should not be overlooked, a national expert said yesterday in making the case for reducing greenhouse gas emissions from the transportation sector. Oil dependence cost the United States $2 trillion between 2007 and 2011, Oak Ridge National Laboratory researcher David Greene said in a presentation to the California Air Resources Board. The board is in the midst of implementing a slew of auto emissions policies, including production requirements for alternatively fueled vehicles as well as limits on the emissions of fuels themselves. ‘This is a lot of money that we’re talking about, and it is a very significant benefit of our effort to reduce carbon emissions from the transportation sector,’ he said.”

“Ethanol production not hurting corn supply”

September 4, 3012: In a letter to The Baltimore Sun, Christina Martin, executive vice president of the Renewable Fuels Association, states: “Charles Campbell’s letter (‘U.S. must abandon corn-based ethanol,’ Aug. 29) blames American biofuels for everything from air pollution to malnutrition. But the facts tell a very different story. Far from having no impact on air pollution or actually contributing to it (and Mr. Campbell makes both claims), greenhouse gas emissions from ethanol are ‘…equivalent to a 48 percent to 59 percent reduction compared to gasoline, a twofold to threefold greater reduction than reported in previous studies,’ according to a study published by Yale University’s Journal of Industrial Ecology. Nor does U.S. ethanol production ‘double the price of fuel worldwide.’ In the U.S., ethanol’s impact is insignificant because 86 cents of every dollar spent on food pays for energy, transportation, packaging and other supply chain costs. Only 14 cents pays for agricultural costs, of which corn is only one. … Blaming ethanol for every problem is easier than thinking through real solutions.”

 

“Oil sands growth would continue without pipelines”

September 4, 2012:Oil & Gas Journalreports: “Preventing construction of the Keystone XL pipeline would not keep Alberta oil sands activity from growing, the president of the Canadian Energy Research Institute said. ‘There could be 50,000-200,000 b/d of rail capacity for bitumen if the pipeline isn’t built. That would slow down, but not stop, production,’ Peter Howard indicated. The outlook for constructing pipelines to export terminals on Canada’s west coast is mixed, he said in an Aug. 30 presentation at the Center for Strategic and International Studies. Opposition in British Columbia to Enbridge Inc.’s proposed Northern Gateway pipeline project is strong, particularly among coastal First Nations, Howard said. … He added that there are oil sands projects which are economic that would not proceed if the four major export pipelines aren’t built. ‘There’s a proposal to take a TransCanada [Corp.] pipeline across Canada and into Ontario, where refineries are configured to handle heavy crude,’ Howard said. ‘That would not work for Montreal area refineries which process sweeter grades.’”