GAIN Announces New Video Series Highlighting Energy Issues

We are excited to announce the release of our first video in a new series focusing on the relevant issues in the U.S. energy sector. September’s video features Neal Crabtree, a pipeline worker affiliated with Pipeliners Local Union 798. With more than twenty-five years of experience, Neal is an expert in pipeline construction.

Neal offers his unique perspective on the energy industry’s contributions to the American economy. In the video, Neal describes the “rewarding” experience of working in the industry because he gets to “see a lot of places other people never get to see”. Additionally, he highlights the importance of our national pipeline network which keeps energy affordable and reliable

The following statement can be attributed to me, Craig Stevens, Spokesman for the GAIN Coalition:

“GAIN’s new video series offers a new and exciting way of presenting the people, places, and information integral to America’s energy development and buildout. Neal’s background is an American story of what the pipeline industry means to him, and also the thousands of other men and women who work to make the United States more energy secure and prosperous. It’s a privilege to be able to share Neal’s perspective and we look forward to bringing you more personal stories as part of this series.”

Link to video: https://youtu.be/ZZv5lWaBor0.

Link to Neal’s most recent Op-Ed in Fox Business.

New Poll Reveals General Public In Favor of Pipelines

Pipelines play a critical role in safely and efficiently transporting oil and gas for consumer use, and most Americans agree. A recent poll conducted by the Wakefield Research on behalf of the Association of Oil Pipe Lines found the general public consensus around oil pipelines were largely favorable, revealing the popularity of pipelines has increased over the past two years despite negative media coverage of projects.

Nearly 70% of respondents said their “current impression” of oil pipelines was positive. The poll also found that 68% of people were only willing to spend $50 or less per month on “higher energy fees” to reduce climate change – with only 3% of individuals willing to pay $250 or more to support climate change efforts. Notably, interviewees were in favor of measures that avoid increased energy costs.

Pipelines are a safe, reliable form of oil and gas transit. Not only are pipelines safer for transporting oil and gas than rail or truck, but they are far cleaner as pipelines are able to transport a large capacity of product in a short time span, emitting minimal emissions. In addition, pipelines take up a small surface footprint and are typically placed away from highly-populated areas. It is not difficult to see why most energy consumers have a favorable perception of pipelines.

Pipeline infrastructure projects are a cornerstone to the U.S. energy sector and economy, as noted by Pipelines for America:

“Experts predict that oil and natural gas infrastructure will lead to an investment of nearly $46 billion dollars for energy consumers in the United States over the next 25 years as the industry builds out nearly 1,300 miles of new pipeline.”

Not to mention, new pipeline projects provide thousands of new construction and engineering jobs to support the U.S. workforce. While the Biden Administration has pushed out policies in opposition to pipeline projects, it is clear the American people continue to see the value in them.

New Study from GAIA Reveals Recycling Facilities can create jobs and boost economies

E&E News reported recycling and reuse facilities can create new job opportunities and boost economies around the world, according to a study from the Global Alliance for Incinerator Alternatives (GAIA). The study found that recycling creates more than 50 times as many job opportunities as landfills or incinerator plants. Recycling plants utilize labor and technology to sort waste from soil, dust, or organics from materials that can be repurposed into new items. The study details how recycling plants can help create more jobs in model cities around the world:

“The results show that recycling, remanufacturing, and composting alone can create thousands of new jobs across the model cities. Job growth in the high recovery rate scenario is particularly dramatic in cities with low current recycling rates and where the semi-mechanized recycling figure is used. The results further vary based on the total amount of waste collected by each city. Cities with lower collection rates could see even greater job gains as municipal waste services are expanded. And while a transition to the high recovery rate scenario would lead to fewer jobs in landfill and incineration, the analysis shows that anywhere from 10-60 jobs in composting, recycling, and remanufacturing are created for every job lost in disposal.”

The study reveals that a transition from traditional waste centers to an increase in recycling facilities would create more job opportunities in the recycling, composting, and remanufacturing sectors. To note, repair jobs could create 200 times as many jobs as would be provided by landfills or incinerators while remanufacturing jobs could create almost 30 times as many jobs as landfills and incinerators. “Zero waste systems” as the study calls it, have massive potential to improve economies around the world. The processes of remanufacturing and composting promote minimal waste and help repurpose materials for other important uses. Speaking of the benefits of these types of jobs, science and policy director at GAIA Dr. Neil Tangri said:

“With the world still reeling from the pandemic, job creation is a top priority. Zero waste offers a strategy to create good jobs and reduce pollution, without breaking the bank. It’s a triple win for the economy, the environment, and the city.”

New Mexico to take an economic blow from Biden’s executive order on oil and gas drilling

FOX Business reported an op-ed discussing how Biden’s executive order barring oil and gas drilling on federal lands could threaten job opportunities and economic growth in New Mexico. According to the EIA, New Mexico has more than 5% of the nation’s natural gas reserves and is the nation’s third-largest oil producer as of 2018. The piece pulls insight from a number of energy executives who explain how Biden’s plan could be detrimental for New Mexico:

“Last week, Kathleen Sgamma, president of the Western Energy Alliance, argued that President Biden’sorder to halt new drilling on federal lands will kill 58,700 jobs in eight states in the West, “where over 97% of the federal production is found.”

“We are going to start properly manage lands and waterways in ways that allow us to protect, preserve the full value that they provide for us for future generations,” President Biden said last week when he announced his executive order.”

In addition to killing jobs, tax revenues from state natural gas and oil production are at risk of plummeting. These tax revenues are critical to funding public education and infrastructure projects for the state. Speaking of the robbed opportunity for the state in a statement for the American Petroleum Institute (API), NMOGA Executive Director Ryan Flynn said:

“Restricting oil and gas development on federal lands will rob New Mexico of opportunities for economic growth and hollow our schools of critical resources that put teachers in classrooms and help our young children learn. New Mexico has enjoyed economic success in recent years because of investments and responsible development on federally managed lands but changing course now will only ensure that jobs and capital stops at our state border. With vast stretches of public land, it is simply impossible to divorce our economic success from land management policy in western states like New Mexico and funding for education, access to healthcare, and new infrastructure are all on the line as a result.”

The piece points out that while Biden has alleged his Build Back Better Recovery Plan “is building a modern, resilient climate infrastructure and clean energy future that will create millions of good-paying union jobs” in recent remarks, it seems as though this is no longer the case with this newly-signed order. API estimates that by 2022, New Mexico could lose over 62,000 jobs as a result.

New House Bill critical to preserving U.S. energy security

E&E News has reported House Republicans have proposed a new piece of legislation to support infrastructure development and energy security amid President-elect Biden’s proposed oil and gas drilling ban on public lands. Rep. August Pfluger of Texas has proposed a bill entitled “Saving America’s Energy Future Act” (H.R.218) that would restrict the secretaries of the Interior and Agriculture from implementing a moratorium on oil and gas leases on federal lands. Rep. Pfluger expressed concern regarding the negative implications a drilling ban would create for the U.S. energy sector:  

“President-Elect Joe Biden campaigned on the promise to shut down drilling on all federal lands and phase out fossil fuels. This, in conjunction with ludicrous policies like the Green New Deal, could mean the end to our oil and gas industry and the American economy as we know it. The Permian Basin produces over 40% of our nation’s energy. This is clean, affordable, reliable energy that powers our nation, heats our homes, and allows us to defend ourselves. Energy security is national security, and nothing could be more important.”

Other House Republicans are backing Rep. Pfluger, including Reps. Tony Gonzales, Ronny Jackson, Pat Fallon, Brian Babin, and Jodey Arrington of Texas, Rep. Yvette Herrell (R-N.M.) and Rep. Stephanie Bice (R-O.K.). The state representatives hope the bill will yield a positive impact on U.S. energy security and economy as a drilling ban could pose a number of threats.

The American Petroleum Institute (API) has also released a study warning of the harmful implications such a ban could cause. U.S. oil imports from foreign sources could increase by 2 million barrels a day, putting our energy security in the hands of potentially unpredictable foreign regimes. U.S. households could spend a cumulative $19 billion more on energy by 2030 and nearly 1 million jobs could be lost by 2022. After sky-high unemployment rates and an oil crash induced by the COVID-19 pandemic, our nation cannot afford to endure another dire economic risk.

H.R.218 is crucial to protecting U.S. domestic energy production. Speaking of the bill, Rep. Ronny Jackson (TX-13) said:

“As someone who grew up working as a roustabout in the West Texas oil fields, I know firsthand how important oil and gas production is to our economy in Texas’ 13th Congressional District…I am proud to co-sponsor legislation like the Saving America’s Energy Future Act. This legislation will go a long way to help maintain America’s energy independence and Texas’ position as the nation’s leading oil and gas producer.”

Enbridge Inc. Line 3 pipeline wins final permit approval

In a win for our nation’s energy security and domestic energy capabilities, E&E News reported Minnesota regulators have given Enbridge Inc.’s Line 3 upgrade project final approval to move forward into construction. The Minnesota Pollution Control Agency issued a construction stormwater permit allowing Enbridge to replace and expand its aging Line 3 system across the state. Recognizing this milestone, Enbridge Executive Vice President Vern Yu said:

“This is a historic day for the Line 3 project which will strengthen the safety of the system for years to come…With all of the permits in hand, we can now start construction.”

E&E News reported the $2.6 billion Minnesota-based portion of the project would generate 4,200 construction jobs. This is huge success for Minnesota – as the state’s unemployment rate sunk even further in October 2020 – down 1.3% to a low of 4.6%. In addition to providing economic benefits, the project will be more environmentally friendly than other means of transportation. The Line 3 Replacement pipeline will transport 760,000 bpd which is the equivalent of 10,000 rail cars per day or 24,000 tanker trucks per day. This project should not be an option for Minnesota – it is a necessity for safe crude oil transit across a number of states.

Although the project has received pushback from environmentalists and local Native American tribes, the update to the pipeline is necessary for continued safety of the project and to minimize any environmental risk as the original pipeline was built in the 1960s.

Proponents of the project have ensured the public that the project is strong. Vice President for midstream at the American Petroleum Institute Robin Rorick stated:

“Enbridge’s approach to the replacement of Line 3 will ensure minimal impacts to the environment and safe operations while providing the reliable and affordable energy that powers the lives of American families and small businesses.”

The GAIN Coalition applauds Minnesota regulators for issuing a final approval for the Line 3 system upgrade. Enbridge plans to begin construction by the end of this year.

Wyoming to support oil and gas projects in the state with COVID-19 relief funding

The Associated Press reported Wyoming will employ federal coronavirus relief funding to help push forward oil and gas projects that have been idle amid pandemic-induced shutdowns. The pandemic has taken a toll on a number of industries – and the nation’s oil and gas industry is no exception. Federal support for an industry that is critical to national security and energy independence should continue to remain a top priority as more COVID-19 related shutdowns that may harm key industries can be expected under a Biden administration. AP News reporter Mead Gruver writes:

“These funds will have a direct impact on Wyoming’s employment rate and put people back to work in our oil and gas sector,” Wyoming Gov. Mark Gordon, a Republican, said in a statement Tuesday announcing up to $15 million in assistance through a new Energy Rebound Program.”

The $15 million in funding through the Energy Rebound Program would directly impact Wyoming’s employment rate and bring back jobs in the oil and gas sector. The federal funding comes directly from the CARES Act and will help to complete oil and gas wells in addition to cleanup efforts. Operators in Wyoming will be able to benefit from up to $500,000 in aid from this plan. An official statement from Gov. Gordon’s office reads as follows:

“When global demand for oil plummeted due to COVID, work stopped almost immediately, with oil and gas companies conducting a few activities to safely stop ongoing drilling and reclamation activities. This left many projects in limbo, awaiting capital to continue.

The use of the funds will provide a stimulus to the economic recovery. Funds would be used to commence operations that would include the hiring of crews, many of whom would stay at hotels near the project, water acquisition, ordering of supplies and equipment for drilling and re-completions, and plugging and abandonment activities.”

Wyoming plays a significant role in national energy production – and the Energy Rebound Program will play a key role in bolster this critical industry. In 2019, Wyoming ranked eighth nationally in both crude oil and natural gas production, producing 102.1 million barrels of crude oil that same year. Wyoming’s energy industry plays a valuable role in powering our nation and this funding will be critical in salvaging one of America’s cornerstone sectors.

To learn more about Wyoming’s Energy Rebound Program, please visit https://www.wyomingbusiness.org/.

Trump Administration Issues Executive Order on “Modernizing America’s Water Resource Management and Water Infrastructure”

This week the Trump Administration continued its efforts to streamline and modernize regulations surrounding our nation’s infrastructure, now including America’s water resources and accompanying infrastructure.

On October 13, 2020, President Trump issued an executive order outlining reforms to the organization of agencies and agency efforts towards water management and infrastructure.

It reads: “Abundant, safe, and reliable supplies of water are critical to quality of life for all Americans, fueling our economy, providing food for our citizens and the world, generating energy, protecting public health, supporting rich and diverse wildlife and plant species, and affording recreational opportunities. While America is blessed with abundant natural resources, those resources must be effectively managed, and our water infrastructure must be modernized to meet the needs of current and future generations.

Executive departments and agencies (agencies) that engage in water-related matters, including water storage and supply, water quality and restoration activities, water infrastructure, transportation on our rivers and inland waterways, and water forecasting, must work together where they have joint or overlapping responsibilities. This order will ensure that agencies do that more efficiently and effectively to improve our country’s water resource management, modernize our water infrastructure, and prioritize the availability of clean, safe, and reliable water supplies.”

The executive order keeps in the vein of other regulatory changes by the Administration, particularly those to the National Environmental Protection Act and the EPA’s Cost-Benefit Analysis protocols, by consolidating management and clarifying objectives while removing duplicative regulation to improve outcomes.

A major portion of the executive order is the establishment of the Water Subcabinet. Secretaries of the Interior, Commerce, Agriculture, Energy, and Army will join the Administrator of the Environmental Protection Agency as co-chairs on the Subcabinet.

The objective of the Subcabinet will be to streamline the Federal government’s approach to water resources while upgrading water infrastructure, public health safeguards, and creating jobs. Another priority will be the development of a national strategy to improve water storage and supply, drought resiliency, and source water protections. Additionally, advancement in water data management, research, modeling, and forecasting will fall to the Subcabinet.

Water is more essential a resource than any other to the wellbeing of Americans and the Trump Administration deserves recognition for addressing it head on. Moreover, the Administration has repeatedly shown a sharp eye to removing duplicative regulations enacted by prior Administration that bodes well for the effectiveness of this executive order.

Simultaneously, the Administration has put an emphasis on bolstering the water workforce during the toughest of times for many. As infrastructure buildout in so many industries, especially energy, has shown – it is a jobs creator.

GAIN is looking forward to the enactment and success of President Trump’s executive order.

Democrats Must Preserve an ‘All-of-the-Above’ Energy Strategy

Real Clear Energy published an opinion editorial from Col. Tom Magness, a former commander in the U.S. Army Corps of Engineers, regarding the energy strategy of Democratic presidential nominee Joe Biden. Magness remarks how Biden is proposing a $2 trillion public spending project that lacks detail and will leave taxpayers to pay the price. Biden’s proposed plan strays further left from President Obama’s moderate “All-of-the-Above” energy strategy – which proved to be largely successfully.

Magness explains the significant gains in the energy sector the U.S. has made over the past decade, writing:

“The growth of the U.S. natural gas industry under the Obama administration lowered household energy costs, created jobs, contributed to a major reduction in emissions, and played a significant role in accelerating the country’s recovery from the 2008 Financial Crisis. This was, and has remained under President Trump’s leadership, the right path for Americans.

Under President Trump American energy continued to make gains in energy sufficiency and production, as well as emissions reductions to the benefit of the American economy. This includes the largest absolute reduction in emissions by any country since 2000; adding tens of thousands of jobs thanks to large scale energy infrastructure projects like Keystone XL and Dakota Access; and an expectation to be a net energy exporter by the close of 2020.”

Considering the vast environmental and economic achievements made over the past decade, we cannot afford to reverse such important success.. Pipeline projects, which help transport oil and natural gas, are a key part of keeping up this success. With brutal economic hardships brought on by the COVID-19 pandemic in 2020, Americans cannot afford higher energy costs, increased tax rates, and potential employment cuts over the next four years. Magness emphasizes the benefits of continued reliance on pipeline projects:

“A recent report from the Consumer Energy Alliance found that delays, obstruction, and cancellation of pipeline projects are threatening nearly $14 billion in economic activity, over 66,000 jobs, and more than $280 million a year in state and local tax revenue – crucial investment and employment that could go a long way in our nation’s long road to a COVID-19 recovery.”

In closing, Magness highlights how Joe Biden’s campaign should reconsider President Obama’s realistic approach of an “all-of-the-above” strategy. Magness concludes:

“A strong embrace of an all-of-the-above approach could reshape the debate on energy and curtail the unrealistic policies now championed by the left. Perhaps some draft language for the campaign reads: the continued development of safe and responsible natural gas production and accompanying infrastructure is not just compatible with, but a precondition of, a resilient economy and a cleaner future.  Surely on that we can all agree.”

Audio News Release: API Report highlights the negative impacts of a Dakota Access shutdown

This week, an audio news release is circulating radio in North Dakota and Washington D.C. regarding the impacts of a Dakota Access shutdown based on a study from the American Petroleum Institute. See below for the full Audio News Release:

Introduction: This month, the American Petroleum Institute (API) released a study warning of the negative economic impacts of a Dakota Access Pipeline shutdown. The report finds a shutdown of the pipeline could cause tax revenues to go down, unemployment to go up, and threaten national security.

Craig Stevens, spokesman of “Grow America’s Infrastructure Now” said:

“Shutting down the Dakota Access pipeline would hurt North Dakota communities and our nation’s economy by bringing about higher energy costs. Specifically, according to API, about 3,000 jobs would be cut over the next year and a half and make our country more reliant on foreign sources of energy and give an upper hand to nations like Iran, Venezuela, and Russia.

We simply cannot afford to put our nation’s energy and national security at great risk. The Dakota Access pipeline must remain operational.”

Outro: To read the full report, visit API.org. For additional information, visit gainnow.org.