CHARLESTON, W.Va. — The demand the huge Atlantic Coast Pipeline was intended to meet is disappearing, according to documents from the corporations behind the project.

Dominion and Duke Energy own almost all of the pipeline, as well as the electric utilities it would supply with natural gas. When applying for a federal permit, they argued it was needed to meet rising electricity demand in North Carolina and coastal Virginia.

But Cathy Kunkel, an energy analyst with the Institute for Energy Economics and Financial Analysis, said utility filings in those states now show the outlook has changed dramatically - in part because of competition from cheap, renewable energy.

"Dominion is not projecting any increase in natural-gas demand until 2032,” Kunkel said. “Duke is still planning to build some natural-gas plants, but most of that has shifted to the late 2020s."

The energy companies say they need more pipeline capacity to move fracked gas out of the Marcellus and Utica fields of northern West Virginia, where the price for it is artificially depressed by a transportation bottleneck.

The 600-mile pipeline across the three states has faced a number of setbacks, including lawsuits by landowners and conservationists. It was recently announced that the total cost of the project would rise to $7.5 billion, and its opening would be delayed until 2021.

If the builders can get state utility regulators' approval, they can shift the full expense of the line onto ratepayers, along with a guaranteed profit. But Kunkel said investors in the utilities may be starting to worry about the financial risks.

"The project has been delayed by these court challenges, it's also over-budget,” she said. “And if the state regulators say, 'You clearly don't need all of the gas capacity that you signed up for here; we're not going to let you charge it to your ratepayers,' then that would be a very significant blow."

Kunkel said the incentives tend to make utilities and pipeline companies overestimate demand and overbuild capacity. She said that's becoming a more serious issue as climate change poses increasing risks.

Kunkel helped write the analysis for a report from IEEFA and Oil Change International.



get more stories like this via email

New polling suggests most Americans support nationwide efforts to boost renewable energy capacity under the threat of climate change, and a local government leader from Wisconsin said municipalities are doing what they can, even with some challenges in their way.

The survey from the Pew Research Center found two-thirds of U.S. adults said America should prioritize developing sources such as wind and solar over fossil fuels.

Madison Mayor Satya Rhodes-Conway said at the local level, elected officials are becoming increasingly aware climate threats are no longer just a "future scenario" to deal with.

"We have to prepare for the impacts that we know are here and are coming and we have to reduce our emissions so that they don't get worse in the future," Rhodes-Conway urged. "And we have to do both of those things at the same time."

The mayor offered those comments in a panel discussion led by the Center for American Progress. She acknowledged federal policies, such as the bipartisan infrastructure law and the Inflation Reduction Act, are helping cities fund climate-friendly projects. But she added most local governments, especially in smaller towns, still lack key staffing to help carry out the work.

Still, Rhodes-Conway pointed out federal policies are sending a lot of direct funding support to cities, which helps if there are potential legislative constraints in various states. She noted the infrastructure law is giving Madison more flexibility to gain steam on certain projects.

"[It's helping] both our John Nolen Drive bridges to be safer, more pedestrian- and bike-friendly with better stormwater management," Rhodes-Conway explained. "We also just built a new pedestrian and bike bridge over a critical intersection."

As for other hurdles to clear, the mayor argued there is still room for improvement in getting the word out to local residents and businesses about tax incentives to make their own clean energy investments. Lingering supply-chain issues are another factor municipalities face in trying to get more of these projects off the ground.


get more stories like this via email

New Mexico wants more residents to drive electric vehicles, and is hosting a series of meetings to explain its advanced clean cars and trucks rules.

State rules require automakers to deliver an increasing percentage of new zero-emission cars and light-duty trucks for sale each year. The new rules are meant to improve air quality by reducing ground-level ozone and greenhouse-gas emissions.

Mona Blaber, communications director for the Rio Grande Chapter of the Sierra Club, said adoption of the new rules through 2035 would provide $44 billion in economic benefits, including cost savings to drivers, and prevention of unnecessary deaths and health incidents.

"They're more affordable than people think," Blaber explained. "But we need these kinds of policies to keep bringing the price down, bring them to cost parity and make sure that all the infrastructure gets installed that we need."

The new rules would ensure by 2032, more than 80% of cars delivered to the state are electric, and a smaller percentage of medium- and heavy-duty trucks are electric by 2035. The first of three meetings to take public comment is today at Santa Fe's Southside Library.

Geographically, New Mexico is the fifth-largest state in the nation, with many rural roads. Blaber noted a $38 million network of charging stations will support electric vehicle owners.

"New Mexico is using federal money to install charging stations every 50 miles along both interstates," Blaber pointed out. "The next phase of that grant would be rural roads, and roads on the Navajo Nation."

She added the rules and substantial tax credits also encourage the purchase of plug-in hybrids capable of running 30 to 50 miles on a charge, before they switch to gas when the battery runs low.

"If you're going on a long road trip, you don't have to worry about making sure there's a charging station somewhere along the way," Blaber emphasize. "But most people hardly ever need to buy gas with a plug-in hybrid because most of your daily driving is less than 30 miles."

An online meeting about the rules is set for Oct. 4. A second in-person meeting will be held at Albuquerque's International District Library on Oct 16.

The wait to curb emissions from Seattle buildings has gone on long enough, climate groups say.

The Seattle City Council is considering Building Emissions Performance Standards, which would require the city's biggest buildings to cut their climate pollution completely by 2045. Apartments would have a 2050 deadline.

Jess Wallach, campaigns co-director for 350 Seattle, said buildings are the second largest source of carbon emissions in the city, but this policy has been delayed and watered down over the past two years.

"This is an opportunity to ensure that the biggest buildings in Seattle, which are by and large owned by wealthy corporations and real estate giants, are on track for a just transition to move their buildings off of fossil fuels and onto Seattle's clean-energy grid," he said.

A report recently released by 350 Seattle found almost none of the largest buildings in Seattle is owned by individuals or families and that about half are owned by private entities based outside the city. Building owners have said the plan is too costly.

Wallach said the city council was going to vote on the standards in September but has delayed it, likely until the beginning of next year.

Deepa Sivarajan, Washington local policy manager for Climate Solutions, said Seattle is facing increased threats from climate change, including hotter summers, and noted that transitioning away from fossil-fuel use will help the city build climate resiliency and lower utility costs.

"So many of our buildings are not air conditioned in Seattle," she said, "and electric heat pumps, which are the most cost-effective and energy-efficient solution when you're switching over from a fossil fuel to electricity - they provide heating and cooling together."

The state of Washington has passed its own energy-efficiency standard for buildings. However, Wallach said rather than duplicating those rules, Seattle's standards would increase their effectiveness.

"Seattle's policy is going to help ensure that the state-level policy is not only implemented here but actually goes further and faster and more successfully," he said, "and in that way we can be a model for other cities around Washington."

The Building Emissions Performance Standards would reduce Seattle building emissions 27% by 2050, according to the city.


get more stories like this via email