Pipelines Reborn: They're Back Thanks to Trump

The day after Donald J Trump fired the first salvos in his war against the EPA and others, he delivered on his promise to double down on fossil fuels with the approval of two pipelines. On Tuesday, January 24th, Trump signed Executive Orders that overturn the Obama administration's decision on the Keystone XL (KXL) and the Dakota Access pipeline (DAPL). This authorizes TransCanada Pipelines to move forward with the 1,179-mile KXL and Energy Transfer Partners can also proceed with the 1,172-mile DAPL.

This is a blow for environmentalists and indigenous people who had fought hard to shut down the KXL and DAPL. Keystone was killed by President Barack Obama after years of protests and DAPL was stalled by the U.S. Army Corps of Engineers in the face of massive protests by indigenous people led by the Standing Rock Sioux.

Partial Summary of Oil Spills in 2016

Fossil fuels are the primary cause of climate change, they are also prone to spills. Such spills are toxic and they have been a consistent part of the fossil fuel industry since its inception. As long as we extract and transport oil and gas spills are a statistical certainty.

In December, Wired reported that there are about 30,000 oil spills in US waters every year. In October, Hurricane Ivan caused dozens of leaks in undersea oil wells and pipelines in the Gulf of Mexico. Some of these spills will leak for decades. The Taylor Energy site will continue to leak between 84 and 1,470 gallons per day for the next hundred years. The oil slick from this spill stretches over eight square miles on an average day. Taylor Energy has gone bankrupt and they just walked away from the mess they created.

Liberal Dualism: Canadian Climate Leadership is at Odds with Ramping Up Fossil Fuels

The ruling federal Liberals have canceled one pipeline and approved two others. It is but the most recent example of Canada's one step forward two steps back approach to climate action.

Canadian Prime Minister Justin Trudeau has the laudable goal of wanting to be a climate champion and an economic leader. However, this balancing act is completely undermined when you add increased fossil fuel production to the equation. Canada was criticized at COP22 for expanding its fossil fuel production and now they have compounded the problem by adding a couple of pipelines to the mix.

Contradictory climate and energy policies

Canadian government energy and environmental policy is a checkerboard of seemingly opposing policy positions. The government announced a carbon tax then followed that up with a massive liquefied natural gas (LNG) project. To further illustrate the two faces of this government, they banned tanker traffic off the coast of northern BC while increasing traffic to the south. Most recently they rejected some pipelines while approving others.

Another Day Another Oil Spill This Time in Alabama (Video)

Although nobody seems to have noticed, between a quarter and a third of a million gallons of gasoline has leaked from a pipeline in the middle of September. The Colonial Pipeline Company reported the spill prompting the governors of Alabama and Georgia to declare states of emergency. The sad fact is that oil and gas spills have become so common that it is no longer construed as newsworthy.

The ecological impact of the spill appears to be secondary to concerns about the interruption of the supply. In Alabama the Pipeline spill triggered a supplier 'Red Alert' and Georgia Gov. Robert Bentley issued an executive order Thursday declaring a state of emergency in Alabama.

New Pipeline Safety Law Followed by Another Oil Spill

Mere hours after President Obama signed the PIPES safety bill into law, a pipeline spilled thousands of gallons of oil. Protecting our Infrastructure of Pipelines and Enhancing Safety Act of 2016 became law on June 22nd. Within hours of the signing an oil pipeline erupted in Ventura County, California. It was first noticed by a local rancher early Thursday morning.
The spill emanated from a ten inch underground pipeline owned by Colorado-based Crimson Pipeline LLC. It sent an estimated 29,400 gallons of crude oil down into an arroyo that flows through the city of Ventura and reaches the ocean near the Ventura Pier. The spill marks Crimson’s 11th such incident in the last ten years.

The End of Fossil Fuel Subsidies

Providing handouts to the wealthiest corporations on earth does not make much sense, particularly when their activities are the leading driver of climate change. Ending fossil fuel subsidies is the most obvious next step in our efforts to tackle the climate crisis. In the wake of the Paris Climate Agreement forged at COP21, continuing fossil fuel subsidies is an oxymoron.

These subsidies take many forms including, tax breaks, cheap loans, price controls, purchase requirements, purchasing equipment, royalty breaks and direct spending. According to some reports there are over 800 ways that taxpayers support the fossil fuel industry.

Second Shell Oil Spill in Less than Two Weeks

For the second time in less than two weeks pipelines belonging to Shell have leaked oil. The most recent spill has leaked 21,000 Gallons (500 barrels) of oil near Tracy in San Joaquin County, California. This time the culprit was the company's underground San Pablo Bay Pipeline which transports crude oil from California’s Central Valley to the San Francisco Bay Area. The spill took place on May 20th but Shell did not report the leak until the evening of Monday May 23.

Investor Warning: Fossil Fuels and the Risk of Stranded Assets

It is becoming increasingly apparent that fossil fuels represent a substantial risk that should make investors wary. Fossil fuel reserves, including oil, gas and coal will be rendered obsolete in the coming decades, leaving investors holding valueless investments. A plethora of peer reviewed science tells us the curbing fossil fuel use is key to climate mitigation.

From widespread calamitous coastal flooding to devastating extreme weather events the need to urgently act on climate change has finally been accepted by every nation on earth. The economics of climate action is sound. A cost benefit analysis reveals the overwhelming logic. We must the eradication of fossil fuels as soon as possible. The impetus to act on climate change, once dismissed by some, is now a fact of life for all thinking people.

Diminishing Profits Signal the Beginning of the End of Oil

Oil is dying. Low oil prices are erasing profits and setting into motion a death spiral from which fossil fuels will not recover. Big Oil is cutting costs, and scaling back production, this results in smaller returns and diminished investor confidence. The addition of carbon pricing schemes and the elimination of subsidies will ultimately inflate prices and reduce demand.
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Summary of Fossil Fuel Spills in 2015 (Videos)

Oil spills continued to be a problem in 2015 with a number of major incidents in North America. These spills contaminated both land and waterways and prompted the evacuation of local citizens. Whether by pipe, ship, rail or truck, there are well founded concerns about the safety of transporting fossil fuels. These concerns add weight to the argument that we need to expedite the shift away from fossil fuels. Many consecutive years with substantial numbers of spills illustrate the dangers associated with transporting fossil fuels.

Oil is a Bad Investment

Iinvestors can no longer avoid the realization that their fossil fuel holdings are fraught with risks. While there are many factors at play, the 18 month slide and low price forecasts combine to make the point that investing in oil makes no economic sense.

In the short term China's slowing growth and the glut of oil are driving down the price. The situation will be exacerbated by the lifting of sanctions allowing Iran to sell its oil. High production and lower than expected demand mean that oil prices will continue to fall well into 2016.

Fossil Fuel Subsidies and Renewable Energy Post COP21 (Infographic)

One of the most important things we can do to curb climate change is to end fossil fuel subsidies.  This would reduce the amount of fossil fuels burned and it would level the playing field for clean renewable sources of energy. Event thought 60 percent of all new investment is going into renewable energy fossil fuels still get the lions share of subsidies. The International Energy Agency (IEA) say that government subsidies for fossil fuels are 12 times greater than those for renewable energy.

Financial Losses Associated with Fossil Fuels

The losses associated with fossil fuels are staggering and it is not just oil producing states and companies that are feeling the heat. Pension funds going long on oil are getting killed as they hope that prices will rebound.

With oil prices around $50 per barrel, the IEA estimates that OPEC states have lost half a trillion dollars a year in revenues since the oil price fell from over $100 a barrel in 2011-2014 to current levels. The declining price of oil is also creating volatility in the stock market and significantly impacting the petro-economies of both Russia and Canada.

Keystone XL is Rejected Energy East to Follow

TransCanada's tar sands pipelines are being thwarted at every turn. US President Barack Obama has officially rejected the Keystone XL and the new Canadian Prime Minister Justin Trudeau is expected to cancel the Energy East.

Ahead of Obama's Rejection TransCanada Fails to Suspend Ruling on KXL

Shortly after President Obama announced that he would decide the fate of the Keystone XL before the end of his term, TransCanada pipelines submitted a request to suspend their application.

With good reason TransCanada believes that Obama will not rule in their favor. Now that the Iran crisis is behind him Obama will likely use the remainder of his term to focus on climate change.

Cities, Investors and a Prince Support Fossil Fuel Divestment

What do Prince Charles, Investors and the City of Oslo all have in common? They are all recent advocates of divestment from fossil fuels. What started as a grass roots movement has blossomed into a global effort to call for a future with integrity and common sense. Fueled by the divestment movement, the transition to a more sustainable economy is underway.

Fossil fuel divestment is the fastest growing movement in the world with a 50 fold increase in 2014. If we are to reign in emissions we must radically reduce our use of fossil fuels. This is particularly important as we head down the final stretch towards COP21.

The Arctic is still not Safe from Drilling

Although the Obama administration has effectively shut down Arctic drilling the region is far from being protected from the dangers of  fossil fuel extraction. The President has imposed stringent lease conditions on Arctic oil extraction but other Northern nations do not have such restrictive national laws. Countries  including Russia and Norway continue to set their sights on Arctic oil.

Arctic drilling is a source of concern for many reasons including the risks of a spill.  According to Greenpeace there is a 75 percent chance of a serious spill. This would prove catastrophic in this fragile and remote ecosystem.

Obama Administration Cuts Shell's Arctic Drilling in Half

Shell may be drilling the Chukchi Sea off the coast of Alaska this summer but they will only be able to do half of the drilling they had planned. On Tuesday June 30, the Obama administration announced that it has limited shell's drilling plans in the Arctic citing wildlife protections. The federal government has effectively prevented them from simultaneously boring two wells.

The US Fish and Wildlife Service indicated that they want to reduce the noise from the drilling and they are using a 2013 regulation that prohibits drilling less than 15 miles between wells. Shell's plan was to bore two holes 9 miles apart.

New Charges Against MMA Employees in Lac Mégantic Train Wreck

Several people have been indicted 2 years after the tragic oil train derailment that killed 47 people and decimated the town of Lac Mégantic Quebec. This includes President and CEO of the now defunct Montreal, Maine and Atlantic (MMA) rail company Robert Gindrod, managers and the train's engineer. These people face the possibility of jail terms or fines for violations of the Rail Safety Act and the Fisheries Act.

The Growth of US Renewables are Outpacing Fossil Fuels

Renewable energy is growing faster than fossil fuels in the US. In 2014 new capacity from renewables has grown faster than coal, oil and even gas. Renewable energy generating capacity has increased 72 times faster than coal and 163 times faster than oil. According to the Sustainable Energy in America Factbook, between 2008 and 2015 wind and solar energy capacity in the US has tripled. Renewable energy now contributes just under 17 percent of total installed capacity in the US. That is more than oil and nuclear combined.