Friday, December 29, 2023

Biden administration grants Louisiana power to approve carbon capture wells

MICHAEL PHILLIS
Updated Thu, 28 December 2023 


 EPA Administrator Michael Regan stands near the Marathon Petroleum Refinery as he conducts a television interview, while touring neighborhoods that abut the refinery, in Reserve, La., Nov. 16, 2021. The Biden administration is granting Louisiana's request to administer its own permit program for wells that store carbon dioxide. It will be just the third state to take over that job from the EPA. The EPA said the Louisiana agreement includes safeguards to protect poorer, often majority-Black communities that live near those facilities. Regan said Thursday, Dec. 28, 2023, "It can be done in a way that builds in environmental justice principles that allow for the community to participate in the process and ensures that these communities are safe." 
(AP Photo/Gerald Herbert)

The Biden administration is handing Louisiana regulators new power to attract and approve carbon capture projects at a time when the state’s influential energy sector wants to make the Gulf Coast a hub for the rapidly expanding industry.

Louisiana will be able to issue permits for wells that store carbon dioxide, a critical component of carbon capture and removal technology. In all but two other states, the Environmental Protection Agency is responsible for permitting. Proponents of the change say it will speed up approvals of new projects that are critical for reducing climate-warming greenhouse gas emissions.

Environmental groups had opposed the move, doubting that a state home to a concentrated stretch of oil, gas and petrochemical plants commonly called “cancer alley” is capable of proper industry oversight and protecting residents. The EPA said the Louisiana agreement includes safeguards to protect poorer, often majority-Black communities that live near those facilities — and that those standards will serve as a model for other states.

“It can be done in a way that builds in environmental justice principles that allow for the community to participate in the process and ensures that these communities are safe,” EPA Administrator Michael Regan said Thursday.

The Biden administration has said enhancing environmental justice is a priority and that it would focus its enforcement power on communities already burdened by too much pollution. The EPA said it secured commitments from Louisiana to have a robust public participation process and to consider how new wells might harm communities near polluting sites and possibly reduce harm.

Carbon capture technology is aimed at reducing emissions from industrial sources like ethanol plants and coal-fired power plants. The captured carbon can be transported for injection in wells deep underground. It is these wells that Louisiana will now have the power to approve.

The Biden administration has increased tax breaks for developers of carbon capture projects and provided large grants, including for an ambitious plan in Louisiana to remove carbon directly from the air. Developers have responded, flooding the EPA with permit applications for new wells, but only a handful of carbon capture projects are currently operating and few wells have been approved so far.

In Louisiana, developers have proposed roughly 30 carbon capture projects, among the most of any state, according to a tracker maintained by the climate-focused group Clean Air Task Force.

Louisiana officials welcomed the EPA’s decision, saying it will help make the state a major carbon capture player and reduce industrial emissions.

“We have seen unprecedented interest in carbon sequestration projects over the past couple of years, with companies reaching out to our office to express interest in what the regulatory framework will be,” Louisiana Department of Natural Resources Commissioner of Conservation Monique Edwards said in a statement Thursday.

Louisiana Gov. John Bel Edwards and other political leaders have argued that the state's robust petrochemical industry along the Mississippi River, geology that’s well suited for carbon storage and plenty of existing infrastructure make it the perfect place for carbon capture development.

Environmental groups are doubtful the state will properly regulate carbon capture wells. Along with climate activists and some scientists, they also question the potential of carbon capture, with some arguing that it’s an excuse to delay or prevent the rapid phase-out of oil, gas and coal that is needed to halt climate change.

They point to statements like those made by Republican Louisiana Sen. Bill Cassidy, who advocated for EPA to grant permitting authority to Louisiana. Cassidy argued that producing oil and gas is vital for the state’s economy and that “many of these energy producers want to invest in carbon capture and sequestration so they can keep operating in Louisiana long into the future.”

Opponents argue that prolonging the life of a polluting industry will harm people who live nearby, which are too often poorer, minority residents.

The EPA invited public comment on the state’s request in April, when it proposed approval. Among those objecting was the environmental group Earthjustice, which said the state is “notorious for weak monitoring and enforcement” and that it hasn’t shown it will adequately protect drinking water.

Clara Potter, an attorney with the Tulane Environmental Law Clinic who represented the Sierra Club and another preservation group in opposing the EPA's move, said she was disappointed with the EPA's decision. She said carbon capture projects in Louisiana have served “as an excuse for permitting new and expanded polluting operations.”

That increased air pollution “will be born most heavily by Black and Brown communities who already face disproportionate environmental risks,” she said in a statement.

The Biden administration has focused attention on Louisiana and its pollution. Regan has visited the state, promising to do better by communities there. Last year, the EPA accepted complaints from activist groups in Louisiana that asked the agency to investigate the state's regulation of air emissions. The agency initially said there was evidence of racial discrimination, but dropped the investigation before releasing a final report.

Regan says the agency followed its legal obligation to approve the state's application to administer its own permitting program because it meets the Safe Drinking Water Act's requirements. The state standards must be at least as strict as federal rules.

“We're building in monitoring and oversight measures to ensure that the state — regardless of who is in the governor's office — complies" with the law, Regan said.

North Dakota and Wyoming are the other two states with permitting authority. North Dakota, the first state to be granted authority, issued its fourth well permit in May and an ethanol producer is currently capturing and storing carbon there.

Texas, Arizona and West Virginia also want to run their own permitting program.

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The Associated Press receives support from the Walton Family Foundation for coverage of water and environmental policy. The AP is solely responsible for all content. For all of AP’s environmental coverage, visit https://apnews.com/hub/climate-and-environment


New Mexico proposes regulations to reuse fracking wastewater



MORGAN LEE
Thu, 28 December 2023 

FILE - Oil rigs stand in the Loco Hills field  in Eddy County near Artesia, N.M.. The state's environmental regulators have proposed a new regulatory framework for reusing wastewater with a major focus on treating and repurposing the used, salty byproducts of oil and natural gas drilling in a major U.S. petroleum production zone. The EPA announced Thursday, Dec. 28, 2023, its petition to the state Water Quality Control Commission to begin formal deliberations on the proposed rules.
 (AP Photo/Jeri Clausing, File)

SANTA FE, N.M. (AP) — New Mexico environmental officials have proposed a new regulatory framework for reusing wastewater with a focus on the used, salty byproducts of oil and natural gas drilling in a major U.S. production zone.

The Environment Department announced Thursday its petition to the Water Quality Control Commission to begin formal deliberations on the proposed rules. Public hearings could begin as soon as April.

New Mexico, the No. 2 state for oil production behind Texas, is looking to its energy sector and water-intensive fracking as a potential source of treated water for industrial applications — and to offset water demands that are depleting freshwater aquifers amid drought.


“We need to protect our fresh groundwater supplies not only from degradation or contamination but from overuse,” said John Rhoderick, director of the water protection division at the Environment Department. “We need to do everything we can to maintain those supplies because they’re not being replenished.”

He said initially rules would only allow for “closed loop” projects involving treated oil-field water, with no discharge.

“Although this identifies and encourages pilot projects and demonstration projects, they have to be non-discharging," Rhoderick said. "We feel that’s the safest way to do it.”

In a related legislative proposal from Gov. Michelle Lujan Grisham, New Mexico would underwrite development of a strategic new water source by buying treated water that originates from oil and natural gas drilling. The governor is seeking a $500 million appropriation by the Legislature for the project.

That initiative doesn't aim to provide potable water but rather a supply of treated water for emerging businesses ranging from microchip manufacturers to hydrogen fuel producers that separate the element from water in an energy-intensive process. Critics fear the plan might only spur more drilling for petroleum.

Rhoderick said New Mexico communities already reuse about 40% of residential wastewater after treatment and purification to irrigate city parks, playing fields, landscaped roadway medians and more. But broader reuse options are needed to ensure economic and population growth in the future, he said.

“We felt the need to give some clear direction and certainty to industry because we need them to invest in the technologies and the science,” said Rhoderick.

The proposed rules are an outgrowth of 2019 state legislation that encourages the oil and natural gas industry to favor water treatment, reuse and recycling over reliance on natural aquifers. Concerns about water overuse include depletion of the vast underground Ogallala Aquifer that sustains communities in eastern New Mexico and extends to the Dakotas and Wyoming.

Collaboration on the proposed rules included a public-private research consortium anchored by New Mexico State University. Private consortium sponsors include energy conglomerates Chevron and ExxonMobile, oil services provider NGL Energy Partners and infrastructure firm Tallgrass Energy, a developer of hydrogen ventures in New Mexico.

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