Energy Secretary Rick Perry Emerges as Coal Industry's Advocate

 

 

By Anthony Adragna, Eric Wolff, Esther Whieldon and Alex Guillén

April 23, 2017 - Look for coal projects to get plenty of help from the Energy Department as Rick Perry tries to fashion a strategy for the industry to adapt for the future, Pro’s Darius Dixon reports. The former Texas governor and other backers know the coal industry must continue to reduce its emissions and recognize that simply throwing out Obama-era environmental regulations won’t bring the sector back to its glory days. “It has to be accompanied by a thoughtful, programmatic effort to invest in the necessary technologies for coal, coal usage and utilization,” said Charles McConnell, an outspoken coal booster who nevertheless ran DOE’s fossil energy office during Obama’s first term.

Of course, there may be fewer federal dollars to throw around, especially if President Donald Trump’s administration gets its 5.6 percent budget cut for DOE and the elimination of the agency’s loan guarantee program. But coal supporters argue the administration can also help simply by convening states willing to invest in new technologies and ushering in a change of tone toward the fuel source than the Obama administration. “I know that sounds a little yoga/Woodstock, but the reality is that in a lot of cases, what people really need is encouragement,” Mike McKenna, an industry lobbyist who had a stint running the DOE transition team, tells Darius.

Speaking of help, a coalition of coal, environmental and union groups sent letters to Trump, House and Senate leaders Thursday urging the inclusion of carbon capture and sequestration projects in any broader infrastructure package. They also asked Congress to extend the Section 45Q tax credit to help get CCS projects off the ground.

GEARING UP FOR THE MARCH FOR SCIENCE: What started as a grassroots movement on social media turns into some 500 events scattered across the country on Saturday when the March for Science convenes. Organizers expect tens of thousands to convene in Washington for the nonpartisan celebration of “the very real role that science plays in each of our lives and the need to respect and encourage research that gives us insight into the world.”

In Washington, festivities kick off at 9 a.m. with a teach-in, followed by a rally and then a march to Capitol Hill. Co-hosted with Earth Day Network, the March for Science will feature speakers including Bill Nye; Mona Hanna-Attisha, a pediatrician whose efforts helped expose the Flint water crisis and Megan Smith, the first female U.S. Chief Technology Officer. The Roots’ Questlove also participates in the rally. Send ME pics of your favorite signs and notable sightings if you go out to participate this weekend!

WE WILL SEE RFS IN COURT: EPA will take on all comers in a legal brawl Monday as the D.C. Circuit holds oral arguments on challenges to the 2014-2016 Renewable Fuel Standard volumes. The case represents the rare nonpartisan issue for EPA, as the program has supporters and detractors among both parties. And while Administrator Scott Pruitt has asked judges to put other challenges to agency rules on hold, EPA's positions in this case maximize administrative flexibility, a feature he likely wants to preserve.

State of play: As for specifics, EPA will defend itself against charges it set volumes for conventional biofuels, advanced cellulosic biofuels and biomass biodiesel either too high or too low, depending on who you ask. It will defend its waiver to set the conventional biofuel requirements below congressional levels; and it will argue it was under no obligation to change who must comply with the program. (Lest anyone think that issue started with Trump’s election, it's been going on for years.)

And your refs for the day: Judges Janice Rogers Brown, Brett Kavanaugh (George W. Bush appointees) and Patricia Millett (Obama appointee) will hear the case. Arguments start at 9:30 a.m. at the E. Barrett Prettyman Courthouse.

ALL MY CABINET SPEAKS IN TEXAS: Both Pruitt and Perry are slated to deliver remarks in the Lone Star State today. Perry is up first for a keynote address at the “Responsible Shale Energy Extraction” conference in Dallas at 9:10 a.m. Pruitt then speaks at Earth Day Texas’ Environmental Law and Policy Symposium in the late afternoon for a 30-minute presentation entitled “The Environment, Business and the EPA.”

That comes after Pruitt stopped off at a large coal-fired power plant in Missouri on Thursday to further discuss his agenda. “Rather than regulating an entire industry out of business, I’m committed to working in coordination with states to create a healthy environment where jobs and businesses can grow,” he said at Thomas Hill Energy Center. “Coal is, and will continue to be, a critical part of America’s energy mix.” Others spotted at the event include Sen. Roy Blunt, Rep. Vicky Hartzler and NRECA CEO Jim Matheson. Pics from Pruitt, EPA and Hartzler.

TAKING STOCK OF TAX REFORM FACTIONS: POLITICO’s Nancy Cook and Aaron Lorenzo examine 13 different factions that could sink the Trump administration’s tax reform desires. They include a group known as the CRANE Coalition, Cost Recovery Advances the Nation’s Economy. Its members include the American Petroleum Institute and the group hopes to let businesses write off new investments the same year they’re made.

DEMS URGE TRUMP TO STAFF UP OSTP: A group of Senate Democrats led by Maggie Hassan of New Hampshire today will send a letter urging President Donald Trump to fill science jobs at the White House’s Office of Science and Technology Policy. OSTP offers the president advice on a number of cutting edge issues, including climate change, cybersecurity and nanotechnology, but as POLITICO reported on Thursday, the office is down to just 44 staff, significantly lower than OSTP's size under Obama. “Without adequate OSTP staffing, the country will lack key insights from those with deep experience in these fields,” the Democrats write. “We urge you to nominate well-qualified experts to these and other key science and technology positions within your administration.” The lawmakers added that they will “carefully review nominees” for any posts requiring Senate confirmation. Also on the letter are Sens. Bill Nelson, Ed Markey, Gary Peters, Tom Udall, Cory Booker, Catherine Cortez Masto and Brian Schatz.

TAKE A GLANCE! ALARM OVER WESTINGHOUSE: The Congressional Research Service is out with a report warning the bankruptcy of Westinghouse Electric Co. "is one of the largest issues facing the Summer and Vogtle [nuclear] projects" in the U.S. There's also concern the bankruptcy could leave taxpayers on the hook for DOE loan guarantees issued for the Vogtle project.

TED NUGENT, POLICY WONK?: Ted Nugent did more than pose for photos in front of Hillary Clinton's official portrait when he visited the White House this week. Writing for Deer and Deer Hunter, the controversial rocker said he discussed a broad range of federal regulatory policies with Trump over dinner. “We discussed specifically the counterproductive follies of the Endangered Species Act and the Environmental Protection Agency, as well as the US Fish & Wildlife Service, BLM and other out of control bureaucracies,” he wrote.

HITTING PAUSE: Trump’s administration asked a federal court to put a 90-day hold on a lawsuit over EPA's rule from last year setting “Phase 2” emissions and fuel economy standards for heavy-duty trucks manufactured starting in 2019 so it can consider a petition for reconsideration from the Truck Trailer Manufacturers Association, Pro’s Alex Guillén reports. Granting that request would allow EPA to mull whether to "conduct further rulemaking or undertake other actions" that would address the group’s complaints, it argued.

NO BEARS EARS DECISION YET: All options remain on the table for the Trump administration about how to approach the Obama administration’s controversial designation of Bears Ears National Monument, Utah Gov. Gary Herbert told reporters Thursday. “What they do with the monuments remains to be seen, but I think once we’ve had the opportunity to see them they’ll probably make some decisions as far as what they think is the appropriate approach to take,” he said. “Repeal certainly is on the table.” Herbert said he’d invited both Zinke and Perry to Utah.

FORMER ZINKE CAMPAIGN MANAGER LANDS AGENCY GIG: Alan Mikkelsen, who served as Zinke’s campaign manager previously, will become the Bureau of Reclamation's deputy commissioner. “Alan Mikkelsen is a westerner who has decades of experience in all things water issues to include irrigation projects, Tribal water compacts, conservation, and even a long-term fishing guide,” Zinke said in a statement.

GETTING LITIGATION CRA-ZY: The Center for Biological Diversity filed the first lawsuit challenging the constitutionality of the Congressional Review Act on Thursday as it seeks to overturn a resolution that revoked a rule governing the hunting of bears and wolves in Alaskan wildlife refuges, Pro’s Esther Whieldon reports. The green group argues the CRA violates the Constitution's separation of powers doctrine by preventing agencies — the Interior Department's Fish and Wildlife Service in this case — from making future rules that are substantially the same.

MAIL CALL! PALLONE REQUESTS EPA BUDGET DEBRIEF: House Energy and Commerce ranking member Frank Pallone requested a briefing from Pruitt on EPA’s proposed budget in a Thursday letter. “It is unacceptable that we have only heard of the proposed staff and funding cuts — and the elimination of more than 50 critical programs — through unofficial sources,” he wrote.

COUGH UP THOSE DOCS, ZINKE!: Six senior House Natural Resources Democrats asked Interior Secretary Ryan Zinke in a Thursday letter to provide a series of reports requested under his March 29 secretarial order. Those include documents identifying regulations that “potentially burden the development or utilization of domestically produced energy resources,” actions on climate change and mitigation policy and analysis on several Obama-era regulations.

DEMS SEEK TRUMP ETHICS WAIVER DISCLOSURES: Seven Senate Democrats, led by Sheldon Whitehouse, are asking Trump to disclose any waivers granted to lobbyists from his administration’s ethics pledge as soon as they’re given. They cite reports of a number of oil and gas industry and various other lobbyists now working on policy matters affecting prior clients.

CARPER TOURS CLIMATE IMPACTS: Top Senate EPW Democrat Tom Carper is traveling around Delaware today to see climate change risks firsthand. Home state stops include a visit to a roadway that may be closed indefinitely due to constant threats of flooding and an opportunity to hear about sea-level rise impacts on Dewey Beach. And, ICYMI, Carper tweeted some pretty gross vintage pics of 1970s-era pollution throughout the day Thursday. If your host were a betting man, he’d posit some anecdotes from Carper’s trip find their way into an EPW hearing near you.

RACE FOR ZINKE’S SEAT HEATS UP: Montana’s special House election heated up Thursday with the DCCC making a six-figure transfer to the state Democratic Party to help Rob Quist as he battles Republican Greg Gianforte. Quist also released an ad reminiscent of now-Sen. Joe Manchin’s infamous spot shooting the cap and trade legislation. Republican Greg Gianforte also released his own gun-centric ad Thursday.

REPORT: CLIMATE CHANGE ALREADY IMPACTING HEALTH: A consortium of 12 major medical societies released a report Thursday concluding climate change is presently causing significant damage to human health, particularly among children, student athletes, pregnant women, the elderly, people with chronic illnesses and the poor.

MOVER, SHAKER: Former Energy Secretary Ernest Moniz has joined Emerson Collective as its first distinguished fellow; he’ll focus his work at the organization, founded by Laurene Powell Jobs, on equitable access to technology, workforce development, and clean energy innovations.

Andy Varcoe is now a partner at Boyden Gray & Associates, PLLC; he was previously deputy general counsel for Agriculture and Environment at the Biotechnology Innovation Organization.

Quick Hits

— Across Los Angeles, toxic lead harms children in neighborhoods rich and poor. 

— Pipeline mogul wins state parks board approval from Senate panel. Austin-American 

— EPA Unions to Hold Talks on Stress, Free Speech Amid Possible Job Cuts.  

— BP mulls sale of stakes in Canadian oil sands assets: sources. 

— World Bank will focus on climate change regardless of Trump administration stance, Kim says. 

 

— Pipeline construction spill sends 2 million gallons of drilling mud into two Ohio wetlands. 

 

Rick Perry