Energy & Water

Nottingham Trent University is proving the efficacy of infrared camera enabled drones to detect invisible pipeline leaks.

Repair can occur more promptly as the exact leak location can be pinpointed by GPS on the drone.

Waterworld | “Invisible” water leaks detected by drone technology

Mexico de-regulation is expected to open up bidding for supplying clean energy this month: 

• Bid solicitation starts later this month
• Up to 2,500 megawatts of additional power generation from clean sources like wind or solar.
• 20 year contracts

Reuters | Mexico to award up to 2,500 MW in renewable energy contracts in March
 

KPBS lists the following acts as part of land specualtion related to oil and gas expansion in Mexico:

• murder
• arson
• exodus of local residents. Mexican census say 10,000 live in the town of Guadalupe near the Rio Grande, while current estimates are 1,000

What‘s going on with the land?

• rapid infrastructure growth
• construction of a superhighway
• construction of a new US International bridge
• according to an unidentified person, “”The government sends people here to pressure landowners to get out of here, to say, ‘Go away, we don’t want you here,'”

Rice University Mexico Center concludes:

• “Obviously this land is being re-consolidated in the hands of a few”
• Many of these politicians will have interests in the shale development in the future and will likely get ahold of that land no matter what.”

KPBS | Violence Follows Path Of Mexican Oil Speculation

• Master of Science in Energy
• Certificate in Energy

Texas A&M Energy Institute | Master of Science in Energy and Certificate in Energy

Gilmer Mirror | Texas A&M University Announces Interdisciplinary Graduate Programs In Energy

Background:

• Oil producing counties are a state revenue source. Eagle Ford Shale counties alone contribute $323 million of severance tax receipts a year.
• Unfair revenue exchange with oil counties. In the same year that DeWitt county contributed $57.5 Million in severence taxes, it received $112,000 from the comptroller for money generated from gasoline tax remittances and overweight axle fees
  • Now the oil producing counties are left with dangerous roads. This was the catalyst for a county transportation infrastructure fund grant program 

Tax Proposal: Time for the state to stop getting a “free ride.” Oil counties want the legislature to:

• Establish requirements and timelines on how repairs should be made
• Establish requirements for how the money is distributed — including the loose wording that only requires a county have increased energy production
• Must be an ongoing program for transportation funding
• Must have greater trickle down to the oil producing counties

Victoria Advocate | Texas counties call for oil, gas tax distribution reform

Which state is winning the first new nuclear power plant race? Tennessee Valley Authority

What’s going on with the Texas nuclear project? It received sign off on safety from the US Nuclear Regulatory Commission 

Remind me, where is Texas adding nuclear power? The South Texas Project is a multi-party project. CPS Energy will on 7.5% with NRG Energy and Toshiba. The construction project is for two new units and add an additional 2,700 MW of carbon-free capacity to Texas markets.

Utility Dive | Plans to expand Texas nuke plant by 2 units pass NRC safety tests

Which state? New York

How much?  Up to $750 Million has been pledged by Governor Cuomo

What project is getting the $750 Million? A 1.2 million-square-foot SolarCity factory. Scheduled to open in early 2016, will create 5,000 jobs, with 3,000 of them in western New York.

Why the geographic limitation on added jobs? Because Western New York job market was hurt when steel declined.

Governing | New York Governor Takes a Big Bet on Solar Power

Sound crazy to use beavers to help control drought and erosion? The tactic has been employed in Nevada and Canada.

What did Canadians ahev to say about the effectiveness of beavers and water management? “Even during drought, where beaver were present, there was 60% more open water than those same areas during previous drought periods when beaver were absent.”

Beaver populations can bring 60% more open water? Yes.

L.A. Curbed | Can Beavers Help Save Los Angeles From Drought and Floods??

 37% of demand was met with wind power onThursday, October 22, 2015. 

This smae week, American Wind Energy Association reported Texas is:

• Nearly 50% of the nation’s wind power growth for the 3rd quarter of the year.
• Texas added 771 megawatts of wind generation for the 3rd quarter
• Texas now has about 16,400 megawatts of wind power
• Texas is expected to exceed 20,000 megawatts in 2016

FuelFix | Texas hits new wind power milestone on Thursday

No eminent domain for private gain has been echoing around the country. What happened this week:

The Legislature raising public use standard: South Carolina

The Problem that sparked the legislation: A controversial pipeline that upset property owners but the company behind it said eminent domain would be used for about 1% of the project.

The Legislation :“A private pipeline company would have to show the line is a public necessity — meaning it’s vital to the welfare of the people of this state and that’s only after considering any environmental harm that the pipeline might cause,” 

The Post & Courrier | S.C. lawmakers consider ways to regulate proposed oil pipeline that would run through the state

The U.S. Supreme Court will give its word in Federal Energy Regulatory Commission v. Electric Power Supply Association.

So, what? What’s the big deal about this electricity U.S. Supreme Court case? It will impact the Texas retail and wholesale electric market. 

What are these parties arguing about? Demand Response. That’s basically much electricity costs on the wholesale market on a hot summer day, in the middle of the night, or on a perfect 68 degree day.

Software allows compnies to shift electricity needs, but is the center of the problem. Demand v. supply. This keeps their electricty costs lower. It’s basic data analyzation. The question iswhether these comapnies that sell based on demand, are actually competing with the supply side electric generators. 

What happened to get us to the US Supreme Court?

• FERC, by rule, said demand response is like an electric generator.
• Electric Power Supply Association, which includes a number of generators and marketers of electricity, brought suit in the D.C. Circuit.
• Electric Power Supply Association won out at the D.C. Circuit.
• FERC appealed to the U.S. Supreme Court.

Washington Post | The electricity innovation so controversial that it’s now before the Supreme Court

SAWS Chair and the ousted author of a study that labelwed SAWs water pipeline “highly risky” faced off on a Texas Tribune panel at UT-SA. The highlights:

• Ousted Researcher: SAWS water conservation plan ends in 2020, and the pipeline starts in 2020, we should be wary.
• SAWS: Not True
• Ousted researcher: this could look like the city trumping rural interests
• SAWS: SAWS has the power to pull the plug if we pull too much water from the aquifer
• There’s a new study: the water pipeline could harm water flow in the Brazos and Colorado Rivers

Texas Tribune | San Antonio Water Utility Leader Defends Vista Ridge

October 1, 2015 Information Intelligence:

Texas A&M Institute of Renewable Natural Resources has gone through several drafts of a report calling San Antonio’s soon to be water pipeline highly risky. San Antonio has called for revisions.

The city is concerned with certain characterizations of the pipeline, such as:

• the pipeline process is not transparent enough
• contractual protections that protect the project’s financial security
• pipeline water being more suspectible to contamination
• San Antonio’s conservation goals would be impacted

The final report is to be officially released on October 7th.

Texas Public Radio | The Source: When A Water Study Leaks, A Deluge Of Controversy

San Antonio memo on Inaccuracies in the Texas A&M Report on the San Antonio Water Pipeline

Alaska is in a 3rd special session concerning a TransCanada natural gas pipeline.

Besides a rainy Juneau, lawmakers will be greeted by a 2 prong proposal from the Governor:

• Alaska should buy out TransCanada and build the pipeline itself. The Governor will ask for $150M and that Alaska assume a greater risk in the pipeline.
• A new tax on natural gas reserves still in the ground on the North Slope. The tax would only be triggered if an oil company delayed the project.

Governing | Alaska Legislature Will Have a Third Special Session to Discuss Gas Pipeline

California Public Utilities Commission is considering rules about incentives for roof top solar ability to sell electricty back to the grid under net metering rules.

Why the new regulatory framework for rooftop solar? The grid operators say the cost of operating the grid is high and want to pay less for the electricity generated from rooftop solar.

What’s the policy goal in California? Generate 50% of its electricity from renewable sources by 2030.

Why would it matter if grid operators paid less for rooftop solar? It would increase cost to the customer and disincentivize the addition of more rooftop solar.

• Cyber Resilient Energy Delivery Consortium heads the $28.1 effort
• Consists of 11 national laboratories and universities and is led by the University of Illinois
• Dartmouth received a $925,000 grant to “improve the protection of the electric grid and oil and natural gas infrastructure from cyber threats”

Concord Monitor | AP | Dartmouth College gets $925K cybersecurity grant

Oklahoma Insurance Commissioner is asking insurers to clarify this issue for energy producers:

• whether their policies cover earthquake damage caused by things like mining or oil and gas exploration.

2 Regulatory Requirements are attached for Insurers:

• Insurers must act within 45 days
• And they must provide notices to policyholders and insurance agents.

How does Oklahoma differ from Texas in this regard?

• “The Oklahoma Geological Survey has determined that the majority of the quakes in Oklahoma are more than likely the result of wastewater injection into disposal wells.”
• Texas Railroad Commission reached a different conclusion.

Insurance policies are taking 3 forms on coverage of quake damage:

• amended policy forms to cover damage from wastewater injection
• others have waived the man-made exclusion
• The 3rd group, specifically excludes quakes induced by wastewater injection

Fuel Fix | Insurers asked to send clarifying notice of quake coverage in Oklahoma

A new report by the Texas Coalition for Affordable Power reveals Texans are compalining less about electricity providers because:

• In 2015 Texans filed only 6,973 electricity-related complaints or questions with the PUC
• In 2003, a record high number of 17,250 complaints were logged by the PUC
• Texans are likely more comfortable with deregulation

Fuel Fix | Texas electricity complaints drop to lowest level in years

For Round 1 of SWIFT funding:

• $900 millio in financial assistance for projects
• $106 Million in savings for the 30 approved projects

Round 2 of SWIFT Funding deadlines:

•  Applications Open December 1
• Applications to close February 5, 2016.
• To be eligible, projects must be included in the adopted 2016 Regional Water Plans & the subsequent 2017 State Water Plan.

TWDB | SWIFT Savings Announced

The Texas Water Development Board is soliciting public comment on brackish groundwater production zones. 

• Goal: Reduce the use of fresh groundwater, identify brackish groundwater zones
• Public Input in person: 
  • ​10:00 AM, October 26, 2015
  • Room 170 of the Stephen F. Austin Building, 1700 North Congress Avenue, Austin, Texas
• Public Comment in Writing:
  • ​Deadline 10/30/2015
  • submitted to Dr. Sanjeev Kalaswad, Director of Conservation & Innovative Water Technologies, by letter (Texas Water Development Board, P.O. Box 13231, Austin, TX 78711-3231), by email (sanjeev.kalaswad@twdb.texas.gov), or by fax (512-936-0816).

Here’s the exact wording of the Senate Interim charge to Ag., Water & Rurual Affairs on this same issue: 

Texas Water Development Board 

Senate Interim Charges to Ag., Water & Rural Affairs

2015’s House Bill 30 on brackish groundwater zones

The woman who successfully passed Denton’s local fracking ban is starting… Texas Grassroots Network * name subject to change

Goals of theTexas Grassroots Network: 

• monitor energy industry activities
• Recruit candidates and influence public policy — locally and statewide — on oil and gas drilling

• She’s had success in the local elections. 
• When the ordinance passed the messaging was libertarian, pro-private property rights.
• The group is building across the state

What’s motivating them?  “citizens are unhappy because they feel that state lawmakers stripped away local control over oil and gas drilling in the last legislative session.”

Flint Michigan’s main water source became contaminated with lead and needed state aid. Here’s the aid package the Legislature put together:

• $6 million in state funding to help switch its drinking water source
• Pledge of $4 Million from the Charles Stewart Mott Foundation
• $300,000 to hire two workers for home and school drinking water inspections;
• $1 million for lab services to test water samples;
• $1 million to buy water filters for residents;
• $850,000 to screen for lead, coordinate follow-up care for children with elevated blood lead levels, and do related outreach; and
• $200,000 for legally required inspections of plumbing fixtures and systems inside schools and health facilities.

Michigan’s HB 4102

Crain’s Detroit Business News | Michigan governor OKs $9.3 million to end Flint water crisis

• Senate Natural Resources
  • ​Follow all the new EPA regulations:  Clean Power Plan, Reduction of Methane & Volatile Organic Compounds (VOCs) from oil and gas facilities, Ozone standards, Regional Haze, and Waters of the U.S.
  • TERP, specifically mobile source emissions
  • Expidited permitting
  • ERCOT & PUC: monitor the grid. Look at governance, grid safety
  • oil field theft
• Senate Ag. & Water​
  • surface water and groundwater: Ownership, production, and transfer
  • State Water Plan: Improve the process of developing and executing it
  • windblown and waterborne litter
  • brackish groundwater zones

California Congresswoman is studying whether water can be shipped from Alaska via the Los Angeles or Long Beach Port to address California’s drought.

Daily Breeze | Water Management | Could lake water from Alaska be shipped to L.A., Long Beach ports?

This July electricity generated from natural gas exceeded that gnerated by coal.

The first time this happened was in April 2015.

In Texas, ERCOT says:

• coal fell by 1.9 kwh in July
• while natural gas power jumped up 3.1 kwh in July

Fuel Fix | Gas power passes coal for the second time ever

• Electric market is bugeoning
• There is immediate opportunity is in its gas and power sectors
• Shorter Development times for gas and power infrastructure
• Gas Demand is expected to increase 74%
• US Imports to Mexico set to grow by 200+%
• Its Cheaper to Generate natural gas power in Mexico
• “The new wholesale power market will foster competition and has already encouraged CFE to accelerate plans to build gas pipelines to displace fuel oil in the power sector.”

Forbes | Is Mexico’s Energy Industry Ready To Boom?

Where is this piplein dispute? Pennsylvania

What’s the deal? Pennsylvania courts have been wrangling with whether a Sunoco pipeline qualifies for eminent domain. 

Why does Intrastate or Interstate matter? Eminent domain usually requires a public use or benefit. An interstate pipeline that doesn’t provide supplies to a state may not offer a public use or benefit, and thus has no eminent domain?

Why did Sunoco get eminent domain authority? 2 Reasons Why

1. Sunoco is a ‘public utility corporation’ as defined at 15 Pa. CSA Section 1103 which gives it eminent doamin authority

2. The project in its details, explains how Pennsylvanians will benefit from pipeline supplies. Folks, this part is crucial to seal the deal for eminent domain.

Legal Intelligencer | Judge Rules Sunoco Has Eminent Domain Power in Pipeline Project

• Stricter Ordinances on the Horizon. 1 inch of rainfall in Baltimore generates 1,060 Olympic swimming pools worth of storm water. How to move that water properly requires ordinances.
• Storm water will be a reusable water resource managed through a mix of affordable and sustainable green, gray and natural infrastructure
• To make processing stormwater more cost effective, there will be more moves legislatively to keep pollutants out of stormwater

Governing | The Opportunity in All That Rain

Water Environment Federation’s Stormwater Institute | 2015 Report | “Rainfall to Results: the Future of Stormwater,”

Not only will lawyers be blocked from hiring place holders. Something the US Supreme Court and Aaron Franklin have in common, but the Justices will also hear a big water case.

The Supremes will hear Florida v. Georgia / Mississippi v. Tennessee .  Tag team legal fighting has arrived at the Supreme Court. 

What’s the water issue for the Court? Interstate water disputes. 

Is this a big deal? Yes, it is. Just last year the court let special masters decide interstate water dispute between Kansas, Nebraska and Colorado.

What are FL, GA, MS, and TN fighting about? 

• Mississippi v. Tennessee case:  MS says TN uses too much water, causing water problems in MS.
• Florida v. Georgia: FL says GA uses too much water from the Apalachicola-Chattahoochee-Flint River Basin.

Why does this matter to TX? Texas has a brewing state water duspute with NM.

Governing | The Upcoming Supreme Court Cases That Matter Most for States and Localities

Businesses in Las Vegas, colelctively 5% of the retail electric market, want to buy their own electricity from solar farms or power plants directly.

The Companies involved…Wynn Resorts, MGM REsorts International, and Las Vegas Sands

The power provider involved…NV Energy owned by Berkshire Hathaway

Why is this important? 2 reasons

• Nevada is a state that does not allow direct buy of electricity
• Data shows that 2 MGM Properties in Las Vegas use more electricity than Key West, FL

Wall Street Journal | Vegas Casinos Fight to Buy Their Own Electricity

Stokes County Board of Commissioners (North Carolina) on a vote 4-0 passed a mopritorium that would:

• prohibit anyone to engage in hydraulic fracturing or oil and gas development
• for a three year time period
• a $500 per day fine
• covers all areas of the county except cities & their ETJ zones

Commissioners during the 3 year moritorium will:

• research and study the impact of fracking
• determine the adequacy of existing state and federal laws
• study the impact of potential fracking on county roads, infrastructure, natural resources and health and safety of residents;
• develop standards and conditions to be implemented in the county zoning ordinance to address impacts not adequately addressed by state and federal regulations.

Marcellus.com | Fracking moratorium passes on 4-0 vote

1. known internet-related vulnerabilities. 
   • ​Especially the use of commercial ‘off-the-shelf’ software, which is cheaper but with greater access for hackers.
   • Lack of proper protection from internet access.
2. lack of nuclear facility personnel training
   • Many plants were built before cyber threats were an issue
   • A gap emerges between plant personnel and cyber security personnel
3. No proactive solutions for potential threats 
   • ​​Reacting to potential threats is not enough cyber security

A London based think tank produced a report, Cyber Security at Civil Nuclear Facilities: Understanding the Risks, after studying cyber risks to nuclear plants for 18 months, giving rise to these 3 identifiable probelms at nuclear power plants.

SC Magazine for IT Professionals | Cyber danger to nuclear power plants growing

1. 2014 law sets of 40 year minimum time frames for thes P3s
2. They’re not just in energy and oil and gas infrastructure, P3s in Mexico are also used for:
   • construction of roads,
   • construction of hospitals
   • prisons
   • airports
   • railroads 
3. Most have been ” granted through direct negotiations in cases where there was only one interested party”

IPS | Mexican Government Depends More and More on Private Business Partners

Port of Corpus officials are meeting with energy leaders in Mexico to talk energy, aerospace, education and brining it all together. 

Corpus Christi Caller Times | Port delegation heads to forum in Mexico

Texas A&M Institute of Renewable Natural Resources has gone through several drafts of a report calling San Antonio’s soon to be water pipeline highly risky. San Antonio has called for revisions.

The city is concerned with certain characterizations of the pipeline, such as:

• the pipeline process is not transparent enough
• contractual protections that protect the project’s financial security
• pipeline water being more suspectible to contamination
• San Antonio’s conservation goals would be impacted

The final report is to be officially released on October 7th.

Texas Public Radio | The Source: When A Water Study Leaks, A Deluge Of Controversy

San Antonio memo on Inaccuracies in the Texas A&M Report on the San Antonio Water Pipeline

What’s the Subsea Systems Institute? collaboration between the University of Houston, Rice University and  NASA Johnson Space Center

Why did it form? established in the aftermath of the 2010 Deepwater Horizon spill

What are the Subsea Systems Institute’s goals?

• developing new tools, policies and training 
• to produce oil and gas from deep-water reservoirs
• in a safe and environmentally friendly manner

Who is its leader? Bill Maddock

What is Bill Maddock’s background?

• He’s an expert in offshore operations and engineering​
• A marine and offshore engineer with 30+ years of experience in offshore structures, marine operations and ice sciences.
• Formerly of BP America, where he coordinated engineering and technology for development in the Arctic, coordinated Arctic engineering and technology capability within the company and participation with the executive in the development of arctic policy.

FuelFix | Former Arctic engineering exec to direct Houston deep-water research center

Blacksburg Virginia outdid other cities in the number of new solar installations. Here’s 3 ways how the city succeeded in solarizing:

1. Blacksburg negotiated an additional 16% savings for customers (that’s a $3200 savings per customer)
2. It puts demand LAST, and instead created a program to drive demand

What happened aftger Blacksburg’s solarize?

• 22 cities in Virginia followed suit
• In a 3 year period ending in 2015, residential solar grew by 122%

Governing | How Blacksburg, Va., Got So Many People to Go Solar

What’s going on? a loose coalition wants natural gas comapnies to be able to explore on university lands. Specifically, fracking on UT & A&M lands.

Who wants this? North Texans for Natural Gas (Devon Energy, EnerVest, EOG Resources and XTO Energy)

What is North Texans for Natural Gas Doing to Gin up Support? A petition urging UT Chancellor William McRaven and Texas A&M Chancellor John Sharp to support hydraulic fracturing and the extraction of oil and gas on University Lands.

Where do they want to explore for natural gas? On 2.1 million acres in West Texas  constitutionally set aside  as an endowment for the state’s two leading university systems.

What’s in it for Universities? Revenue to the Permanent University Fund.

Who is opposed? Environmental groups like Environment Texas Research and Policy Center and the California-based Frontier Group

Fuel FIX | Pro-industry group throws support behind drilling on Texas university land

Background:  3 water officials from Red River County asked the TWDB to get them out of Northeast Texas water planning region D & into Dallas-based Region C.

Their reasons why:

• Red River County has been vocal about needing water and has been rebuffed by NE TX water planning region
• The NE TX planning region said NO to Dimple Reservoir, a 2,300 acre reservoir,to essentially  Langford Lake which will be filled with silt by 2040

It looks like the ploy may be working as the NE TX water planning Region D may be open to expanding Red River’s water options. No Dimple Reservoir.

Longview News Journal: Northeast Texas water group could lose member

RRC needs flexibility for regulation. It points to these issues to support its need to be nimble:

Tech Insider says that Texas energy use is equal to Brazil. 

Side Note: Brazil’s population is 7 times the Texas population.

Tech Insider: This map shows how much energy each US state uses by pairing it with a similar foreign country

• Lincoln Clean Energy
• $183 million solar power project
• first commercial-grade one in the Panhandle
• 100 megawatts or more
• Economic Incentives:
  • Tulia Independent School District is  capping the taxable value of the project at $20 million a year for 10 years
  • Comptroller estimates this to be a $9 million dollar savings in maintenance and operations taxes for the solar project.

Amarillo Globe News:  $183M solar project heats up 

No Endangered Speciaes Status, but the Feds aren’t Done.

The federal Bureau of Land Management (BLM) is creating management plans to handle land use for the sage grouse.

How will BLM land use plans impact industry?

 Independent Petroleum Association of America say there are 3 problems:

1. it will put more restrictions for energy because the BLM is setting sage grouse standards different from state plans in WY and MT. 
2. making it more costly to operate
3. it will be harder to provide the benefits of abundant, affordable energy to American families

Note from the other side: The environmental groups are also displeased.

Fuel Fix via AP With no protections for Sage Grouse, focus is on land-use

Colorado Supreme Court will detemrine the legality of cities banning fracking. 

What fracking bans passed in Colorado?

Longmont banned hydraulic fracturing in 2012 & Fort Collinsapproved a 5-year moratorium in 2013

What did the lower courts say?

Oil & Gas Association wins. The Lower Courts said its the state’s prerogative to regulate fracking.

What issues are being used by both sides?

• fracking endangers public health and underground water supplies.
• property rights: landowners want to control what occurs below the ground because drilling brings Noise, lights and health worries

Fuel Fix via AP: Colorado’s high court to decide if cities can ban hydraulic fracturing

No impact to aging electric grids from an influx of renewable power. It works out just fine. California gets 30-40% of its daily power from renewables with no rolling blackouts or brownouts on the grid.

Solar is Booming in 2015. “In the first quarter, residential solar installations across the U.S. grew by 76% over the same period a year earlier, adding 1.3 gigawatts of capacity.”

Renewables are changing the Energy Business Market. “Think Bitcoin, eHarmony, eBay—platforms that match buyer and seller on an individual basis,” says Mr. Craver [ chief executive of Edison International Inc., parent of Southern California Edison, one of the nation’s largest electricity retailers.]. “That is the vision some of us have for the longer term.”

Business is Booming in Software to Manage Loads. Boston-based EnerNOC Inc., Solar City Inc., Enphase Energy Inc., based in Petaluma, Calif. are spotlighted as providing software and storage solutions either at the residential level or grid level. We’re talking batteries and software that warns companies that utilities may have a possible power insufficiencies.

WSJ

Round one win for Tarrant Regional Water this week when the TX Supreme Court ruled that the district had not violated open meetings act. 

The water district is in a legal bruhaha with a Dallas businessman who opposes a water pipeline routed through his land. The legal fight will continue with eminent domain proceedings. 

Ft. Worth Star Telegram: Texas high court denies rehearing for Monty Bennett’s pipeline suit

December 1, 2014 Information Intelligence:

Water Project Eminent Domain Extrapolated: Campaign Contributions, Open Records Requests and a Grand Jury

Land ownership is to Texans like blue is to the sky. Tarrant Regional Water District  (TRWD) needs to move water around to meet supply demands. The project is expected to cost $2.3 Billion in tax revenues.

Two big flags in this fact pattern:

• Billions of tax revenue draws attention of lawmakers. 
• To accomplish its goal, TRWD needs privately owned land from Texans who love their land.    

The land TRWD needs is owned by private citizens who want to continue to own their land without government interference.

State Representative Gooden requested information from TRWD, dissatisfaction ensued, campaign contributions flew around (all above board), and a grand jury is looking into the how TRWD is conducting its business. [Ft. Worth Star Telegram]

Application Period Opens: December 1, 2015

Eligibility requires: that the project must be included in the adopted 2016 Regional Water Plans &  the subsequent 2017 State Water Plan

Abridged Applications Due Date: February 5, 2016

How will projects be ranked for eligibility?  By SWIFT Prioritzation Rules 

After Project Ranking What happens? TWDBoard will identify the amounts of funds available by category & establish the structure of financing and the subsidy terms.

When does the full application process begin? TWDB will extend invitations in mid-spring to eligible entities (ranking, fund availability, and financing structure) to submit full applications. Those entities will have 30 days to complete and submit the full application to the TWDB.

TWDB

Edinburg TX denied a new natural gas well permit this week. Here’s why:

• Opposition, though minimal 
  • 1300 notices sent to local residents
  • 39 responded in opposition
  • 3 responded in support
• The well was inside the city limits
• It would harm Winter Texans desire to become permanent residents
• The city was enforcing an existing ordinance that regulates oil and gas operations within city limits by denying the permit

The Monitor Edinburg votes to deny new natural gas well within city limits

Wind energy is providing added revenue to the Port of Corpus Christi. But there is a cost- the Port is running out of space to take in wind propelers and turbines.

The loading and unloading areas for turbines, blades and other wind-energy equipment take massive amounts of space.

The American Wind Energy Association says Texas ranks #1 in the country for both installed and under-construction wind capacity.

• 18,000 wind-related jobs
• Wind energy industry last year invested $3 billion in Texas
• Texas is home to at least 46 wind energy manufacturing facilities

Corpus Christi Caller Times: Wind energy is making storage space scarce

New Mexico Governor Susanna Martinez new energy plan, 2 years in the making, includes:

• Building new pipelines 
• Building new transmission lines
• Building rail lines

to the coal mines in northwestern New Mexico to assist in developing New Mexico’s oil and natural gas interests as well. 

Her energy plan also includes promoting New Mexico in energey’s future markets:

• Creating a hub for renewable energy storage testing
• More emphasis on natural-gas powered vehicles
• Using less water in energy production
• Including more nuclear energy
• Encouraging manufacturers of small modular nuclear reactors to locate in New Mexico.

Santa Fe New Mexican: Gov. Martinez unveils ‘comprehensive’ energy plan

Contracting for solar power on top of the new Sacramento King stadium is a benefit bonaza. Solar Power will:

• Power 15% of the stadium
• the solar company is putting in a significant capital investment “to help the Kings fund the arena”
• Offers the stadium LEED Gold certification

The solar project is estimated to cost $507 million investment by SPI Solar. SPI is committed to solar stadiums in California as it also has a solar installation at the Staples Center sports arena.

Sacramento Bee: Sacramento Kings show off solar array plans for arena rooftop

SWIRFT Fall Schedule for 2015:

• TWDB will take $1 Billion of SWIRFT funds to market
• SWIRFT loans will close by the end of 2015
• Round 2 of SWIRFT funding starts in December 2015

SWIRFT recipients can expect:

• estimated to save over $115 million over the life of the loans
• Ratepayers and citizens will reap the benefits by obtaining the best interest rates and structures possible for these water projects
• TWDB approved approximately $3.9 billion in funding over the next decade to 21 entities for 32 state water plan projects

TWDB   Business Wire   

American Wind Energy Association released a new report supporting the need for tax credits to keep the industry from a sharp decline.

3 Reasons Why Wind Tax Credits are Necessary

• Electric Market isn’t competitive. Its unnaturally tilted toward cheap natural gas.
• An estimated and dramatic 70% to 90% drop off in new wind power installation projects will occur if there is no tax credit
• Smart energy policy requires a diverse energy policy, including wind. 
  • Coming full circle, a diverse energy policy, that is competitive requires wind tax credits.

FuelFix 

Background: For the first time in more than 100 years, we have a new border bridge for trains. Safety first.

4 Points of the Transportation Agreement with Mexico:

• Goal: promote and increase bilateral collaboration on future border infrastructure projects
• This is tied to energy. Hello, Mexico energy deregulation, how you doin’?
• This is about 3 other things
  • ​encourage economic development
  • facilitate bilateral trade
  • cooperative border security.
• At the same time, the leaders announced a Texas-Mexico The Energy Task Force that will :
  • focus on natural gas and electric power infrastructure connecting the United States and Mexico

Governor Abbott: Governor Abbott Signs Transportation Agreement With Mexico; Announces Energy Task Force

• Tax revenue does not meet estimated. Collected only $973 M of the projected $1,650 million. 
• More money from the tax credit project is going to auditors and contractors than to green energy projects.
• No remarkable job generation. Only a “measly 1700 jobs, costing a daunting $175,000 per job.

Midland Reporter Telegram: Opinion: TPPF: California’s failed green energy project lesson for Texas

Heartland, the conservative think tank, is questioning the “corporate welfare” of green tax credits.

Wait, what? Conservative Group Question Tax Credits?Yes relying on the trnedy populism of Republicans, Heartland points to a study by the Haas School of Business at Berkeley. 

The Haas School of Business Study Found:

• tax credits to improve homes’ energy efficiency
• tax credits expand the sales of green vehicles
• tax credits increase the use of renewable power
• BUT, have proven to be a very expensive form of welfare for the well to do.

 Institute For Market Transformation information supports this economic development equation:

local govenrments + recognizing and practicing effective energy management = 7 x energy cost savings for businesses.

What local governemnt policy reforms support this?

• mandatory disclosure and benchmarking policies related to buildings’ energy use for ienergy benchmarking
• energy audit legislation 

Governing

A non-Democrat Governor in an oil rich state is proposing to cut the tax credits oil companies receive.

Why cut the tax credits? 

Practical Answer: State revenues are down because oil price per barrel is down. The $7 billion revenue included $628 million in tax credits. That’s about 9% for the mathematicians.

Political Answer: Credits are no longer needed. Industries, like natural gas, are no longer flagging.

Who would do this? Alaska Governor Bill Walker

Governing

• The judge way north of Texas, who halted the EPA water rule, limited his ruling to only those states involved in the lawsuit. Read: Not Texas. 
• ” reining in the EPA’s blatant overstep of federal authority”- Attorney General Paxton
• “puts all Texas property owners at risk, making everything from ditches to dry creek beds subject to costly federal regulation” – Attorney General Paxton
• EPA’s actions are inconsistent with U.S. Supreme Court precedent
• EPA rule is contrary to the congressional intent of the Clean Water Act
• EPA Rule infringes on the state’s ability to regulate their own natural resources

Attorney General Paxton Statement

OAG Memorandum filed with Court

A new EPA water rule requires the mapping of small water ways on private land. It’s controversial as people like privacy on their private land.

Last week, a judge way north of Texas halted the EPA rule’s application.

But, that judge clarified that his cessation of the EPA rule only applies to the states involved in the lawsuit before him. Texas was not one of those states.

To prevent federal mapping of private lands, among other things, the Attorney General’s Office asked the U.S. District Court for Southern Texas, Galveston Division to halt the EPA rules to ensure that the rules do not apply in Texas.

Southeast Times Record

Longview News Journal: Texas Falls Under EPA Clean Water Regulation

Texas Tribune: EPA Water Rule Applies to Texas After All

• Tax Dollars for Green Energy are “crony capitalism” that didn’t work in California, just look at  California’s 2012 Clean Energy Jobs Act which produced 1,700 jobs  at a cost of $175,000 each.
• Texas tried to stop this in 2015, but Senate Bill 931 did not pass the House. 

TPPF

Part revenue trend, for the City of Odessa, part business trend, part legislative/regulatory trend: contracts with local governments to access sewage water to use for fracking.

Odessa, TX signed a an 11-year, $117 million deal with Pioneer to re-use sewer water.

Oil Price.com

A new report from Environment Texas Research & Policy Center posits that Texas solar power capacity grew by 61% per capita last year. 

This growth makes Texas the 12th largest state in the country for solar power capacity.

Which states produce more solar than Texas? Hawaii, Arizona, Nevada, California, New Jersey, New Mexico, Vermont, Massachusetts, North Carolina

What is different about their regulatory/legislative structure?

•  renewable energy requirements
• some have laws that allow solar customers to connect back to the grid and sell back excess power

San Antonio Business Journal

U.S. District Judge Robert Junell vacated federal protections for the lesser prairie chicken.
 

Why did the court do this? The court concluded that the Fish and Wildlife Service did not properly consider active conservation efforts for the bird when listing it last March.

• A voluntary program exists among industry representatives and stakeholders to protect the bird. 

The Hill: Court vacates lesser prairie chicken’s threatened status     AP:In win for oil and gas, Texas court strips threatened lesser prairie chicken of protections     FoxNews     TPPF

Confused? Me too.  Scientists outside the Texas Railroad Commission said the quakes and fracking are linked. A Report by the Railroad Commission siesmologists disagree. Ask 2 scientists, get 2 answers.

“Commission investigators concluded that a well where Exxon Mobil subsidiary XTO Energy pumps millions of gallons of the wastewater likely didn’t cause the quakes, but also said there wasn’t enough evidence to demonstrate the earthquakes were naturally occurring.”

Where are we now? The Administrative Process allows 15 days for Parties  to respond.

US News & World Report     AP/ABC News

“A coalition of energy companies and oil industry leaders is asking the Texas Supreme Court to reconsider a 5-4 decision that it recently handed down against Chesapeake Energy Corp. in a royalties dispute.”

Why? What’s the big deal about this TX Supreme Court Case? OIl + Landowners = Texas & that’s what this case is all about. It required Chesapeake to pay the Hyder family of Fort Worth more than $575,00 in royalties for natural gas leases on their land. 

How did this happen? Chesapeake deducted post-production costs from royalty payments, which the Texas Supreme Court decided was improper.

What legislation would address this?  If legislation was filed to uphold the TExas Supreme Court ruling for landowners, a bill would clarify that post production costs cannot be deducted from royalty payments. 

What harm would come of this? “The court’s misinterpretation of this ‘cost free’ language will throw into dispute thousands of royalty provisions in oil and gas leases and overriding royalty instruments throughout Texas that simply describe a royalty as being a cost free share of production,” the association’s attorney Ernest Smith wrote in the motion.”

San Antonio Business Journal

An Elgin community meeting about the Vista Regional Water Plan was laser focused on eminent domain. The citizen comments abou the Vista water pipleine to move water to San Antonio :

• “The hyper growth pattern planned is similar to California’s”
• “This meeting is about eminent domain. When plans began for the Trans-Texas Corridor, the eminent domain issues began.”
• References to the Spanish company building the pipeline, like the Spanish company that was the focus of the Trans Texas Corridor
•  water grab  StopWaterGrab.org‘

Elgin Courier

The unintended consequences of reduced water usage:

• lower revenues for water
• lower water flows means greater corrosion and movement problems for sewers
  • The cost of fixing the corroded pipes will be “astronomical”

Los Angeles Times: Unintended consequences of conserving water: leaky pipes, less revenue, bad odors

Major General  James K. “Red” Brown, a former Lindale ISD Trustee, is considering entering the SD 1 race to fill the vacancy created by Senator Eltife’s retirement. 

The Major General on Water:

“He also said he would stand up for East Texas water rights. Brown’s Texas Pump & Water Systems, a water utility and pump provider based in Tyler, gives him on-the-ground knowledge of water policy, he said.

“One of the major issues in East Texas is water,” Brown said. “We need to protect it for East Texans. It is a key to economic vitality.”’

Longview News Journal

Mexico’s September Oil Auction will have new terms to draw more firms.  The National Hydrocarbons Commission approved changes in both auction procedures and contract terms that reduce the risk to oil companies. 

The result of government changes will be:

Greater Disclosures of Bids. “The Finance Ministry has agreed to publish the minimum bids that the government will allow for each of the five groups of oil fields. The bid represents how much oil profit the private companies will offer the state under a production-sharing agreement. It is part of the so-called government take.”

Wallstreet Journal

Laguna Beach will no longer have nurseries.  The demise of these small local businesses has been attributed to drought and high property costs.

Los Angeles Times

• $27,310,000 to the Greater Texoma Utility Authority on behalf of the City of Sherman (Grayson County) for water system improvements 
• $840,000 to the City of Alba (Wood County) for wastewater treatment plant improvements
• $400,000 to the City of Fayetteville (Fayette County) for a water well project 
• $2,815,000 to the Port O’Connor Improvement District (Calhoun County) for water system improvements .

TWDB August 26, 2015

In 2014, California enacgted sweeping groundwater reforms. And, now, like the Terminator, California is back. 

• Governor Brown is targeting agricultural use of water
• Governor Brown wants stronger oversight of drilling and pumping wells
• Its being used as a Democrat- Republican issue about climate change. (e.g. Need stronger groundwater laws because climate change is real)

Sacramento Bee

3 states in recent months have strengthened regulations for tranporting oil via train. The states:

• Pennsylvania
• Oregon
• Washington

What do the new regulations do?

• greater policing of oil shipments through inspection, regulation and even lawsuits
• Washington added a 4-cent-per-barrel tax on oil moved by trains
• require freight rail companies to notify local emergency personnel when oil trains would pass through their communities.

Governing

WHO:   Sen. Charles Perry  & Rep. Lyle Larson

TERM:  Expires 2/1/2019 for Sen. Perry & 2/1/2017 for Rep. Larson

EverythingLubbock.com  Governor Abbott Press Release  Amarillo Globe News

Austin is moving forward with a community solar farm in East Austin that will:

• generate power for 500 houses daily, year-round
• have a $6 million price tag
• it will join  the growing list of these projects occuring in 17 states, according to the Solar Energy Industries Association

Athens Daily Review

The Cynthia and George Mitchell Foundation endorsed the EPA methane proposal as a “prudent regulatory strategy.”

The Foundation also stressed that:

• “the oil and gas industry has already made “important progress” cutting emissions of methane”
• ““While some industry leaders are already implementing aspects of the proposed rules, the number of oil and gas companies that aggressively control their methane emissions must increase”

FuelFix

• emissions from hydraulically fractured natural gas wells fell by 73% between 2011 and 2013
• from 2008 to 2012 methane emissions from natural gas systems have fallen by 14.3%
• since 2008 natural gas production rates have nearly quadrupled
• science is not on the EPA’s side—the warming potential of methane has been overstated by a factor of as much as 100 according to some scientists

TPPF

• Texas receives $1.3 Billion in Royalties
• Oil & Gas dominates some school tax bases like:
  • Terrell ISD 56%
  • Andrews ISD 79.7%
  • Sands ISD 91%
• Energy also provides innovative education programs and production opportunities that promote STEM (science, technology, engeneering & mathematics) such as one program seeded by $5 million from Chevron

TribTalk by Todd Staples

RioGrande Guardian

Baja California looks to California’s energy market for its electric supply, and California is looking to Baja to increase its renewable energy with Baja’s wind and solar energy opportunities.

Moving this trend to other border states- Arizona, New Mexico and Texas is the topic du jour for oilprice.com.

Can we say globalization of the energy market?

• Mexico has 5,500 miles of oil and gas pipeline built in the country, while Texas alone has 55,000 miles of pipeline.
• Potential for new midstream infrastructure in Mexico presents a booming opportunity for midstream companies, and not only for the large ones.
• Number of Projects are Growing Exponentially to transport oil and gas to and from Texas and Mexico.

Houston Business Journal

Los Angles is using plastic balls to stop water evaporation in its reservoirs.

These “shade balls” are expected to save 90% of the evaporation.

For charts, graphics and video: Time Magazine. 

California’s Governor Jerry Brown has proposed water tunnels to move water around California.  California farmers have water and the cities need it.

To accomplish this great water migration, California is proposing to use eminent domain against 300 farms to build the 30-mile-long tunnels that will reshape the delta formed by the San Joaquin and Sacramento rivers.

Landowners are facing a 30 day window to either accept or reject 1, single, offer from the state according to documents. 

AP via GOPUSA  AP (full AP story)   CBS Sacramento  Fresno Business Journal   Catholic.Org 

Breitbart

Tech philanthropist Thomas M. Siebel, whose Siebel Systems pioneered customer relationship management software in the 1990s, has founded the Siebel Energy Institute with $10 million to start.

The Siebel Energy Institute is involved with 8 universities, none in Texas, which may benefit from the  first round of 24 grants. The target: revolutionizing energy production, delivery and transmission.  

Inside Philanthropy

This week the U.S. Geological Survey released new earthquake report indicating half of the U.S. population lives in areas that face significant earthquake risk.

In 2006, the USGS said 75 million Americans lived in areas that face significant earthquake risk.

The Top 10 states for population risk are: California, Washington, Utah, Tennessee, Oregon, South Carolina, Nevada, Arkansas, Missouri and Illinois.

In Texas, it is 1,173,162 that live in areas that are potential earthquake damage areas. Its mostly the northern and western border of Texas. For the map: CityLab

Pennsylvania Department of Environmental Protection proposed new rules that backed off proposed noise regulations and location regulations for wastewater storage. 

Why did the agency back off noise regulations on a statewide basis?

• Industry & environmental advocates said that noise limits  were too vague
• The Agency will issue seprate guidance on noise

  The rules writing process has taken 4 years.  

TribLive Business

Companies scheduled to open manufacturing facilities in Mexico include:

• Ford
• Audi
• BMW
• Nissan
• Daimler

The expanded manufacturing is linked to:

• cheaper, more reliable and more efficient electricity that relies more on natural gas
• a labor force that is 20% cheaper than China

CNBC

Proposals for encouraging water conservation while not financially harming water utilities:

• Connection Fees for new users and new developments
  • Scale fees based on the size of their lot and house, the type of landscaping, and the efficiency of the property’s  fixtures
• Add financial water-saving incentives to connection fees

Case Study: Aurora Colorado

• Aurora’s connection fees provide incentives to builders to construct more water-efficient developments

Governing

Supporters:

• Brownsville Economic Development Council
• United Brownsville
• the chambers of commerce for South Padre Island, Harlingen and Los Fresnos
• the RGV Partnership
• South Texas Economic Energy Roundtable 

Rio Grande Guardian

Supporters face protestors, who say the LNG facility:

• will fundamentally change the coastal community with pollution of air and water
• will require the bulldozing of essential habitat for endangered species
• the LNG decisions will be made behind closed doors
• they are joined by medical professionals concerned about the health impacts of increased pollution and experts on conservation and the wildlife corridor.

Rio Grande Guardian

This week, Denton City Council adopted smaller set backs. It lowered the 1,200 set back to 1,000. 

KHOU notes that local frustration over drilling is mounting. 

GLO held its first online auction for rights to drill on state lands. The auction netted $20 million for public education.

PJ Tatler     World Oil     Nueces County Record Star   Texas Tribune

Farmers and urban areas are experimenting with leasing water rights. In California, the farmers have water and the cities need it.

Here’s what’s going down in the Golden State:

• The Palo Verde Irrigation District in Blythe, CA & the Metropolitan Water District—which supplies municipal water to the Los Angeles area, Orange and San Diego counties, and much of the Inland Empire— have entered into a leasing agreement.
• The farmers  leased millions of gallons of their Colorado River water rights to California’s coastal cities.

Pacific Standard: Could Leasing Water Rights Provide a Way Out of the Drought for California?

On September 2nd, the Texas Supreme Court will hear oral arguments related to the City of Houston’s authority to promulgate EPA like regulations on air and water quality.

What did the lower courts say?

• Trial court sided with business, granting a summary judgment. Inshort, Houston ordinance went too far.
• The First Court of Appeals found that the City is permitted to adopt its ordinances under the Clean Air Act 

Abbott filed an Amicus Brief on Tuesday. Read it here. The highlights:

Supreme Court Case No. 13-0768   Southeast Texas Record

Texas Weslyan becomes the 2nd North Texas institution of higher education to rely on new cogeneration technology.

UT-Dallas also employs cogeneration to diminish reliance on the state electric grid.

CBS DFW

Oklahoma Corporation Commission Monday announced new regulations for wells in certain earthquake prone areas. 

The new regulations require:

• Reduction in the amount of saltwater injected underground by 38 percent from current levels in the next 60 days.

Kansas made a similar move in March.

PermianShale News

The total amount of Texas wind bought through corporate power purchase agreements in the last 3 years: 1 GW.

GreenBiz

First Facebook’s new data center will be 100% wind powered, now HO announces its Texas data centers will be 100% powered by renewable energy.

How will HP accomplish this? A 12-year contract to buy 112 megawatts of wind power from a SunEdison wind farm in Texas.

The total amount of Texas wind bought through corporate power purchase agreements in the last 3 years: 1 GW.

GreenBiz

WHO

• Dr. Richard McLaughlin, Endowed Chair for Marine Policy and Law at the Harte Research Institute for Gulf of Mexico Studies at Texas A&M University-Corpus Christi
• Guillermo J. Garcia Sánchez, a doctorate candidate at Harvard Law School,

WHAT

• “The 2012 Agreement on the Exploitation of Transboundary Hydrocarbon Resources in the Gulf of Mexico: Conformation of the Rule or Emergence of a New Practice?” 
• “first bi-national study examining the legal issues involved with exploring and exploiting transboundary offshore oil and gas deposits in the Gulf.”

PUBLICATION

• The Houston Journal of International Law

WHAT IT MEANS FOR TEXAS

• Texas is the epicenter of all the business activity and policy decisions.

7WDAM

Sound contradictory to everything you’ve read about the impending doom of slower oil production? Well, the numbers show production is up.

• May 2015 averaged 2.4 million barrels per day
• May 2014 averaged 2.1 million bpd 
• 2nd straight month for gains in Texas
• Texas is roughly 44% of all active rig deployments in the U.S.

UPI

The impact on small business:

“The moment this rule goes into effect small businesses will have to seek a federal permit from the EPA to improve or develop any land that includes water no matter how incidental,” explained Karen Harned, Executive Director of the NFIB Small Business Legal Center. 

NFIB

Last week FERC (Federal Energy Regulatory Commission) said it will ask Energy Transfer Partners (the pipeline builder) for more proof that Texas, rather than the federal government, should regulate most of the project.

The BIG question for the pipeline:  Is this international pipeline, which leads to Mexico to partake in deregulation, is interstate (FERC regulation) or intrastate (Texas RRC regulation)?

Why does this matter? Throughout the country there have been legal trends denying the power of eimeint domain to pipelines that do not provide a public purpose to the state, that the pipe traverses. No eminent domain means negotiations with landowners, which is translated to delay.

Texas Tribune  Statesman    NewsOK