E15 – gasoline containing 15 percent ethanol that has EPA approval  – is one of those ideas that looks good on paper but seems headed for problems in the real world. API’s Bob Greco, director for downstream and industry operations, outlined some of them for reporters during a conference call:

• Testing so far shows the higher concentration of ethanol would not be fully compatible with much of the dispensing and storage equipment the nation’s gas stations. A recent API review estimated half of the existing retail outlet equipment isn’t E15 compatible.
• As a result, there could be damage to equipment, safety problems and potential environmental concerns at gas stations.
• Difficulties with E15 getting into the market could erode public support for the nation’s renewable fuels progr... more »

Statements by EPA Administrator Lisa Jackson worth remembering the next time there’s a blog post, op-ed column or article that claims as fact that hydraulic fracturing has fouled or poisoned drinking water:

“In no case have we made a definitive determination that the fracking process has caused chemical contamination of groundwater.” (Fox News, April 27, 2012)

And:

"I'm not aware of any proven case where the fracking process itself has affected water.” (Congressional testimony, May 24, 2011)

Could such a thing occur? Sure. Oil and natural gas development is an industrial enterprise in which precision and care are needed to prevent mistakes and minimize the possibility of accidents.

API and its members have worked hard to develop industry standards to help ensure environ... more »

POLITICO Pro Energy reports that while talking to reporters about crucifixion comments by EPA’s Region 6 administrator, White House spokesman Jay Carney assured that the administration has “a commitment to ensure natural gas is an essential part of our future.”

Hold on. Something missing here … oil!

Sure, natural gas is an essential part of our future. But Carney must’ve had the Roman legions on his mind when he neglected to mention oil as equally important.  We’ll remind him:

• Actually, by usage, oil is the most essential piece of America’s energy portfolio, supplying about 37 percent of our energy right now, according to the Energy Information Administration (EIA). Natural gas is second at about 25 percent.
• Oil will be America’s energy of the future, too. EIA says it will s... more »

Fox News reports that EPA’s Region 6 administrator has apologized for comparing his agency’s enforcement strategy to Roman crucifixion. Of course, the 2010 remarks by EPA’s Al Armendariz, were captured on video, which you can see here.

Despite Armendariz’s apology, U.S. Sen. Jim Inhofe of Oklahoma, which is in the EPA region that Armendariz administers, is investigating. Inhofe said the crucifixion comments suggest a campaign of “threats” and “intimidation.”

Certainly, one poorly chosen analogy from a single regional administrator doesn’t indict an entire agency – though it’s concerning that this fellow, with his apparent zest for enforcement, has had oversight for the energy-rich Eagle Ford and Barnett shale areas of Texas. Talk about a chilling effect.

We hope that Armendariz’s a... more »

It will take some time to fully digest the EPA’s new rule governing emissions from oil and natural gas production, including hydraulic fracturing, but it’s clear the agency heard industry’s concerns and worked to improve the regulation from its preliminary version.

Significantly, companies will have until 2015 to comply with some of the requirements of the new rule. Industry had maintained more time was needed to develop the equipment needed for compliance and to train workers to use it. Howard Feldman, API’s director of regulatory and scientific affairs on the final rule:

“The industry has led efforts to reduce emissions by developing new technologies that were adopted in the rule.  EPA has made some improvements in the rules that allow our companies to continue reducing emission... more »