Top Stories

  • After ruling on Monday to shutter Energy Transfer Partners’ controversial Dakota Access oil pipeline until after a more thorough environmental review, U.S. District Judge James Boasberg rejected the project attorney’s request for an emergency order delaying the Aug. 5 shutdown. However, Boasberg said he will schedule a status hearing to allow Energy Transfer to argue its case before the shutdown deadline, and the pipeline company said it will push for an expedited appeal, among other options. (S&P Global Platts)
  • Even if humans succeed in cutting greenhouse gas emissions by at least 5 percent or more per year, those actions may take decades to slow the rate of the Earth’s warming due both to the huge quantity of fossil fuels burned since the Industrial Revolution and to the complexity of the climate, according to a new study from the Center for International Climate Research in Oslo that was published in Nature Communications. Researcher Bjorn Samset said the delayed benefits could complicate efforts by government leaders and policymakers to quickly reduce the use of fossil fuels and that “we have to curb our expectations a little bit” when it comes to how soon people will see results from emissions cuts. (The Washington Post)
  • The Trump administration said it will not make public its list of infrastructure projects being fast-tracked as a result of a June 4 executive order that gave the Interior, Agriculture and Defense departments 30 days to identify projects to expedite in light of the coronavirus pandemic. Environmental attorneys and other officials have expressed skepticism about the legality of the government’s veil over the list of projects. (Bloomberg Law)

Chart Review

Short-Term Energy Outlook: July 2020
Energy Information Administration 

Events Calendar (All Times Local)

07/08/2020
Federal Energy Regulatory Commission Commissioner-led Technical Conference
United States Energy Association webinar: Natural Gas as a Flexible Fuel and Complement to Renewable Energy 10:00 am
WCEE lunch and learn series: What Americans Think About Federal Aid for Oil and Gas 12:00 pm
LF Energy Technical Architecture Workshop 2:00 pm
CSIS Online Event: A New U.S. International Energy Policy 2:00 pm
House Natural Resources Committee Office of Insular Affairs Forum on the Federal Emergency Management Agency’s response to Pacific Natural Disasters in 2018 4:00 pm
2020 Climate Speaks Youth Performances 7:00 pm
07/09/2020
Federal Energy Regulatory Commission Commissioner-led Technical Conference
WRI Webinar: The Journey of the Global Environment Facility: Delivering Transformational Change 9:00 am
CEA webinar: The Holy Grail of Solar: How to achieve investment confidence and competitive LCOE in the COVID-19 era 10:00 am
WRI Webinar: Introduction to Designing a Policy Roadmap for Urban Freight 10:30 am
The NYT Climate Hub virtual event: Applying Covid-19’s Hard-Earned Lessons to Climate Change 1:30 pm
2020 Climate Speaks Youth Performances 7:00 pm
View full calendar

New Report: How the Pandemic Has Altered Expectations of Remote Work

COVID-19 is reshaping the future of work more rapidly than employers could have planned for.

As balancing business and safety needs becomes more complex and talent expectations evolve, employee work preferences and habits are also changing. Download the full report to learn what employers can do and expect as the new norm takes place.

General

How the coronavirus pandemic changed mobility habits, by state
Sara Wise and Amy Harder, Axios

Americans in most states are moving at nearly the same level as, and sometimes even more than, before the pandemic compelled lockdowns across the U.S.

Fiscal 2021 Energy, Water Spending Clears First House Hurdle
Dean Scott, Bloomberg Law

A spending measure that would boost energy and water spending 3% in fiscal 2021, including increased renewable energy and advanced energy research, cleared its first hurdle Tuesday with approval by a House Appropriations subcommittee.

EPA Union Says Agency Has Quietly Changed Reopening Criteria
Stephen Lee, Bloomberg Law

The EPA’s biggest union claims the agency is quietly changing its criteria for reopening offices during the pandemic, adding a new metric that could let it move faster from one phase to the next, under President Donald Trump’s three-step reopening plan.

Al Gore: Where Sustainable Investing Goes From Here
Emily Chasan, Bloomberg

At the end of last year, sustainable investing was having its biggest moment. Climate change was a hot topic and green energy stocks were hitting new highs. Then Covid-19 hit and everything changed. The global pandemic may be just what’s required to address the environmental crisis once and for all, says former U.S. Vice President Al Gore.

Oil Stuck Below $41 With Signs U.S. Crude Stockpiles Swelled
Saket Sundria and Alex Longley, Bloomberg

Oil was anchored below $41 a barrel with an industry report signaling a surprise gain in U.S. crude stockpiles, while concerns linger about the threat to demand from rising coronavirus infections.

Oil and Natural Gas

2020 could decide fate of Keystone and Dakota Access pipelines
Ben Geman, Axios

Two new court actions — one by the Supreme Court and another by a federal judge — together highlight and raise the energy stakes of November’s election.

U.S. Energy Secretary blames activists for big pipeline setbacks
Doina Chiacu and Richard Valdmanis, Reuters

U.S. Energy Secretary Dan Brouillette said on Monday that he blames activists for a pair of high-profile pipeline setbacks in recent days, including a court’s decision to force Energy Transfer Partners LP to close its Dakota Access crude oil pipeline over its environmental impact study.

Legal and Environmental Setbacks Stymie Pipelines Nationwide
Hiroko Tabuchi and Brad Plumer, The New York Times

They are among the nation’s most significant infrastructure projects: More than 9,000 miles of oil and gas pipelines in the United States are currently being built or expanded, and another 12,500 miles have been approved or announced — together, almost enough to circle the Earth.

UAE’s ADNOC to boost August oil exports as OPEC+ cuts set to ease: sources
Dmitry Zhdannikov et al., Reuters

Abu Dhabi National Oil Company plans to boost its oil exports in August, the first signal that OPEC and its allies are preparing to ease record oil output cuts next month, three sources familiar with the development told Reuters.

US EIA trims gas production forecasts once again on lower prices, curtailments
Maya Weber, S&P Global Platts

The US Energy Information Administration July 7 again lowered its estimates for natural gas marketed production for the rest of 2020, pointing to low gas and oil prices and production curtailments, but it anticipated a pickup in production toward the second half of 2021, as prices rebound.

Pipeline Setbacks in U.S. Rattle Oil-Sands Producers in Canada
Kevin Orland and Robert Tuttle, Bloomberg

This week’s escalation of American pipeline setbacks is heightening concerns among Canadian oil producers who export almost all of their crude to the U.S.

US gasoline demand recovery slows as top-consuming states face coronavirus outbreaks
Ken Raphael and Meghan Gordon, S&P Global Platts

While US gasoline demand continues to recover from April lockdowns, driving fell last week in three states hit hard by rising coronavirus cases, highlighting the ongoing risks to oil demand from reimposed stay-at-home restrictions.

Utilities and Infrastructure

Puerto Rico Unions to Strike Against $1.7 Billion Power Deal
Jim Wyss, Bloomberg Law

A coalition of Puerto Rico unions plans a series of strikes beginning July 15 to protest a contract that will put power transmission and distribution in the hands of a private consortium.

Momentum grows for piloting Netflix-like fixed subscription rates, but not everyone’s on board
Herman K. Trabish, Utility Dive

Momentum is growing for giving electricity customers the kind of predictable subscription bill options that smartphone and home entertainment customers get.

Regulators reject utility moves to recover revenue lost to COVID-19 as analysts, advocates see trend continuing
Emma Penrod, Utility Dive

‘Absurd’ requests by utilities to pass COVID-19 losses to consumers are unlikely to get purchase with regulators in the near future, though long-term impacts may be discussed in future rate cases, consumer advocates predict.

Renewables

US offshore wind power spending has oil in its sights
Gregory Meyer, Financial Times

From zero 10 years ago, projects are set for $78bn in capital investment this decade.

Big spending, legal appeals in $1B transmission project
David Sharp, The Associated Press

Central Maine Power and Hydro Quebec have spent more money in support of a $1 billion hydropower transmission project than the spending total on a failed referendum on a casino in York County in 2017, an environmental advocacy group said Tuesday.

Coal

US 2020 coal production expected to fall 28.9% on year to 57-year low: EIA
Tyler Godwin, S&P Global Platts

The US is estimated to produce 501.3 million st of coal in 2020, the US Energy Information Administration said July 7, lowering its estimate from a month ago by 28.7 million st, or 5.4%

Wyoming regulators approve state’s first new coal mine in decades
Camille Erickson, Casper Star Tribune

Wyoming environmental regulators have approved a coal firm’s application to construct the state’s first new coal mine in nearly half a century.

Nuclear

Gas to nuclear? Dominion looks beyond pipeline’s demise
Heather Richards and Peter Behr, E&E News

In killing the stalled $8 billion Atlantic Coast pipeline proposal and selling its existing gas pipe and storage business for $9.7 billion to Berkshire Hathaway, Dominion Energy Inc. has positioned itself for the big move into renewable power that the state’s Democratic leadership has demanded.

Climate

Carbon180 brings on The Coefficient Group for new carbon removal lobbying
Ben Geman, Axios

The nonprofit group Carbon180, which advocates for deployment of emerging carbon removal technologies and methods, has brought on The Coefficient Group to lobby, a new filing shows.

Boulder Climate Lawsuit Against Exxon, Others Advances
Ellen M. Gilmer, Bloomberg Law

Local governments in Colorado can pursue a high-stakes climate lawsuit against the fossil fuel industry in state court, judges ruled Tuesday in a setback for Exxon Mobil Corp. and other companies. The U.S. Court of Appeals for the Tenth Circuit rejected industry lawyers’ claims that a lawsuit from Boulder, Boulder County, and San Miguel County belongs in federal court.

Climate Activists See ‘New Era’ After Three Major Oil and Gas Pipeline Defeats
Marianne Lavelle, InsideClimate News

Court rulings on Monday dealt setbacks to the Dakota Access and Keystone XL pipelines, a day after utilities abandoned the Atlantic Coast Pipeline.

Opinions, Editorials and Perspectives

2020: A Shifting Paradigm for Rail Safety
Rob Benedict, Morning Consult

The ultimate goal of safety policy is to reduce or even virtually eliminate risk, and policymakers and regulated industries continually face difficult decisions in working toward this objective. In the context of rail safety, all stakeholders must do their part to mitigate the consequences of incidents and take steps to prevent them from occurring altogether. A healthy focus on both mitigation and prevention will make an already safe U.S. freight rail system even safer.

A Hopeful House Climate Plan Has a Big Hole
Ellen R. Wald, Bloomberg

Setting ambitious emissions targets is one thing. Banking on technology that doesn’t exist yet to get there is another.

The scariest thing about global warming (and Covid-19)
David Roberts, Vox

“Shifting baselines syndrome” means we could quickly get used to climate chaos.

Research Reports

Race to the Top: The Case for a New U.S. International Energy Policy
Sarah Ladislaw and Nikos Tsafos, CSIS

U.S. foreign policy has always thought about energy and, more recently, climate. In the last decade, however, the energy landscape has changed dramatically. These changes are occurring within broader geopolitical shifts, which redefine the context for U.S. foreign energy and climate policy. In January 2021, a new administration, and maybe a new president, will be sworn in and the continued search for an international energy and climate strategy will go through another iteration.

Morning Consult