Bi-Partisan Opposition to Obama Energy Proposals

The NYT is reporting on the aggressive questioning of Energy Secretary Chu at a hearing on the Obama administration's fiscal 2011 budget proposal for the Energy Department by both Senate Democrats and Republicans.  A sample:  "Chairman Jeff Bingaman (D-N.M.) also criticized DOE's suggestion to cut all funding for oil and gas research, 'especially in light of the recent natural gas discoveries here in the U.S.'"

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FERC - Market-Based Rate Guidance

The Federal Energy Regulatory Commission (FERC) will be holding a technical conference on Wednesday, March 3, 2010, focusing on the mechanics of preparing an initial electric public utility market-based rate application and subsequent filings.  For a copy of the public notice, see here.

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Alternative Energy Initiatives

The Obama Administration has announced several initiatives designed to enhance American energy independence while building a foundation for a new clean energy economy, including the creation of an Interagency Task Force on Carbon Capture and Storage.  For more, see this press release (which includes links to the source documents).

Marcellus Wastewater

The Washington Post has an article reporting on wastewater treatment and disposal issues related to Marcellus production.  A sample:  "Before that can happen [i.e., the Marcellus can become one of the most prolific natural gas fields in the U.S.], the industry is realizing that it must solve the challenge of what to do with its wastewater. As a result, the Marcellus Shale in on its way to being the nation's first gas field where drilling water is widely reused."

Ohio EPA Violated Clean Air Act

The United Stated District Court for the Southern District of Ohio ruled on February 2, 2010 that the Ohio EPA was in violation of the Clean Air Act by improperly exempting from regulation businesses that emitted less than 10 tons per year of certain air pollutants.  A copy of the case can be found here.

Obama Budget

The Oklahoman is reporting that the President's $3.834 trillion budget proposal would raise taxes on crude oil and natural gas producers by about $40 billion over the next ten years.  For the response of the Independent Petroleum Association of America, see here.

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FERC Order 720-A

We reported previously on the Federal Energy Regulatory Commission's (FERC's) request for supplemental comments on possible revisions to the posting requirements adopted in Order 720 (Docket No. RM08-2-000).  The FERC has now issued Order 720-A, modifying its regulations requiring major non-interstate pipelines to post daily scheduled volume information and other data for certain points.  "These modifications include a requirement that major non-interstate pipelines post information for receipt and delivery points at which design capacity is unknown."

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PA Rulemaking Proposal - Well Construction

The Pennsylvania Department of Environmental Protection (DEP) is proposing new well construction regulations, including updated casing and cementing requirements.  For a copy of the published notice, see here; for the proposed regulations see here.  Comments are due March 2, 2010.

[Update:  The DEP is going to be hiring 68 more inspectors this year, according to this article in the Philadelphia Inquirer.  "With the new hires, the DEP will have 193 people dedicated to oil and gas."  (Moved up.)]

Storage Report

The Energy Information Administration is reporting an 86 Bcf withdrawal.  "Stocks were 120 Bcf higher than last year at this time and 87 Bcf above the 5-year average of 2,434 Bcf."  Graphically:

For more, see here.

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FERC Rulemakings

The Federal Energy Regulatory Commission (FERC) has issued several proposed rulemakings related to the wholesale electric energy market, including a rulemaking designed to address the risk and cost of default shared among market participants (credit reform) (see here); and one proposing to grant blanket authorization to acquire securities under Federal Power Act Section 203 and amend the definitions of “affiliate” in Subpart H and Subpart I of Part 35 of the Commission’s regulations (see here).  For a list, see here.

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