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Wednesday, July 28, 2010

Energy bill would require disclosure of fracking chemicals, disappoints renewable-energy lobbies

Senate Democrats' energy bill would require oil and gas drillers to disclose to state regulators the chemical ingredients" used in the fluids that they inject into deep, tight rock formations to release natural gas, Katie Howell and Alex Kaplun of Environment & Energy News report. Any proprietary formulas would not have to be disclosed, except medical emergencies. States or companies would have to post the hydraulic fracturing ("fracking") information online.

"The language in the Democrats' bill is similar to language that has reportedly been under discussion as a compromise between Democrats and industry groups," E&E reports. "But industry is not pleased with the Democrats' late addition." Lee Fuller, executive director of the industry group Energy In Depth and vice president of government relations for the Independent Petroleum Association of America, said in a statement, "The problem with this provision is that it has the potential to create a series of legal responsibilities that operators, and even service companies, might not be able to fulfill, especially under a scenario where folks are asked to post information that doesn't even belong to them." (Read more, subscription required)

Meanwhile, renewable-energy lobbies are disappointed at being left out of the modest bill that Senate Democratic Leader Harry Reid introduced this week after failing to find 60 votes to break a promised Republican filibuster on a broader climate-and-energy measure.

"Wind and solar power advocates expressed disappointment with the lack of a Renewable Energy Standard," reports Sara Wyant in her weekly Agri-Pulse newsletter, published this morning. "Also missing is language to increase consumer demand for biofuels. Jeff Broin, CEO of Poet, the world’s largest ethanol producer, said Senate leadership missed an opportunity to significantly lessen America’s dependence on foreign oil."

Republicans still fear the Democrats might try to pass a bill to stanch climate change, with a cap-and-trade system for greenhouse gases, in a lame-duck session after the Nov. 2 elections. GOP Sen. Mike Johanns of Nebraska "introduced legislation this week that would require 67 senators to vote to allow-cap-trade to become law without having debated it in the Senate," Wyant reports. (Agri-Pulse is a subscription newslatter but offers a four-week trial.)

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