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Trump Has A Plan To Fix The Electricity Grid — Increase Supply

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From the Daily Caller News Foundation

By Bonner Cohen

 

Trump vowed in a second term to issue a “national emergency declaration to achieve a massive increase in domestic energy supply.”

Citing the need for more electricity to continue growing the artificial intelligence (AI) sector and keep the U.S. tech industry ahead of China, former President Donald Trump on Sept. 5 vowed in a second term to issue a “national emergency declaration to achieve a massive increase in domestic energy supply.”

But standing in the way of ramped up domestic energy production is a federal permitting process notorious for its foot-dragging. Some in Congress acknowledge the problem, but their latest effort to rectify the situation risks being overtaken by surging energy demand and troubling geopolitical realities.

Hoping to unravel the reams of red tape that have tied up transportation, energy, and mining projects for years, and in some cases killed them altogether, Sen. Joe Manchin (I-W.Va.) and Sen. John Barasso (R-Wyo.) want their colleagues to approve their “Energy Permitting Reform Act of 2024.”  Centralizing decision-making on power transmission nationwide is the centerpiece of their legislation. Accordingly, it would bolster the Federal Energy Regulatory Commission’s (FERC) authority to approve interstate transmission lines and require interregional transmission planning.

In a bid to satisfy as many conflicting interests as possible, the bill establishes deadlines for filing lawsuits over energy and mining projects, and sets requirements for onshore and offshore oil, gas, coal and renewable energy leasing and permitting. It also includes provisions on hard-rock mining and sets a 90-day deadline for the secretary of Energy to grant or deny liquified natural gas (LNG) export applications, according to a summary of the legislation.

The bill is generally supported by such groups as the American Clean Power Association, the Solar Energy Industries Association, the American Council on Renewable EnergyAdvanced Energy United, and Americans for a Clean Energy Grid, UtilityDive reported.

Many of the wind, solar and transmission-line projects favored by these groups have encountered the same permitting and litigation delays that have bedeviled fossil-fuel producers. On the other hand, the Sierra Club opposes the measure, finding it insufficiently hostile to fossil fuels and saying it “would open up federal lands and waters to more leasing and drilling and unnecessarily rush reviews of natural gas export projects…”

Aside from all the problems inherent in vesting so much authority in one federal bureaucracy, FERC, to handle the nation’s power transmission challenges, such conventional approaches are no match for the transformative developments already roiling America’s electricity supply. While politicians, along with some less-than-savvy investors, have been content to pour wads of public and private cash into the green energy transition, artificial intelligence (AI) is rapidly upending the world elites thought they knew.

Energy-hungry data centers — there are currently over 2,700 in the United States with hundreds more planned — need electricity 24/7/365 if they are to meet the extraordinary demands of AI.  The amount of electricity AI-driven data centers require cannot be produced by intermittent solar and wind power transmitted hundreds if not thousands of miles from the sunny Southwest or the gusty plains of the Upper Midwest. Big Tech’s demands on an already shaky grid far outstrip anything politically fashionable solar panels and wind turbines can ever deliver. To their chagrin, the Big Four data center developers — Amazon Web Services, Google, Microsoft and Beta — now find themselves increasingly dependent on the very fossil fuels and — where available — nuclear power they have been so quick to dismiss over the years.

But given the choice of meeting their lofty Net-Zero carbon emissions goals or cashing in on AI’s financial promise, Big Tech will choose the second option. And the stakes go well beyond the companies’ respective bottom lines. Data centers are essential to AI, and AI is essential to national security. If the U.S. is not the global leader in AI, China (along with its junior partner, Russia) will be.

“AI can be the foundation of a new industrial base it would be wise for our country to embrace,” Sam Altman, co-founder and CEO of OpenAI, recently wrote in the Washington Post.

Ceding the United States’ current lead in AI to China would be a blow from which America’s industrial base, and thus its military preparedness, would be hard pressed to recover. Data centers, powered by a steady flow of reliable energy, are now key assets in the perilous world of 21st century geopolitics.

As neighbors in the communities in which they are located, data centers are a mixed blessing. They generate enormous revenues to local governments but can be seen by nearby residents as disruptive to their community. The non-descript but noisy buildings comprising data centers house thousands of computer servers processing the data that make the internet, cloud computing and AI possible.  They not only require gobs of power but also plenty of water used to lower temperatures.

Together with government-driven efforts to put more EVs on the road, data centers further complicate the challenges facing the already stressed electric grid. These developments are beyond the reach of the horse-trading that goes into Capitol Hill legislation. What is clear, however, is that the vaunted green-energy transformation will never be equal to the task before us.

Bonner Russell Cohen, Ph. D., is a senior policy analyst with the Committee for a Constructive Tomorrow (CFACT).

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Daily Caller

Cover up of a Department of Energy Study Might Be The Biggest Stain On Biden Admin’s Legacy

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From the Daily Caller News Foundation

By David Blackmon

News broke last week that the Biden Department of Energy (DOE), led by former Secretary Jennifer Granholm, was so dedicated to the Biden White House’s efforts to damage the dynamic U.S. LNG export industry that it resorted to covering up a 2023 DOE study which found that growth in exports provide net benefits to the environment and economy.

“The Energy Department has learned that former Secretary Granholm and the Biden White House intentionally buried a lot of data and released a skewed study to discredit the benefits of American LNG,” one DOE source told Nick Pope of the Daily Caller News Foundation.. “[T]he administration intentionally deceived the American public to advance an agenda that harmed American energy security, the environment and American lives.”

And “deceived” is the best word to describe what happened here. When the White House issued an order signed by the administration’s very busy autopen to invoke what was supposed to be a temporary “pause” in permitting of LNG infrastructure, it was done at the behest of far-left climate czar John Podesta, with Granholm’s full buy-in. As I’ve cataloged here in past stories, this cynical “pause” was based on the flimsiest possible rationale, and the “science” supposedly underlying it was easily debunked and fell completely apart over time.

But the ploy moved ahead anyway, with Granholm and her DOE staff ordered to conduct their own study related to the advisability of allowing further growth of the domestic LNG industry. We know now that study already existed but hadn’t reached the hoped-for conclusions.

The two unfounded fears at hand were concerns that rising exports of U.S. LNG would a) cause domestic prices to rise for consumers, and b) would result in higher emissions than alternative energy sources. As the Wall Street Journal notes, a draft of that 2023 study “shows that increased U.S. LNG exports would have negligible effects on domestic prices while modestly reducing global greenhouse gas emissions. The latter is largely because U.S. LNG exports would displace coal in power production and gas exports from other countries such as Russia.”

An energy secretary and climate advisor interested in seeking truth based on science would have made that 2023 study public, and the “pause” would have been a short-lived, temporary thing. Instead, the Biden officials decided to try to bury this inconvenient truth, causing the “pause” to endure right through the final day of the Biden regime with a clear intention of turning it into permanent policy had Kamala Harris and her “summer of joy” campaign managed to prevail on Nov. 5.

Fortunately for the country, voters chose more wisely, and President Trump included ending this deceitful “pause” exercise as part of his Day One agenda. No autopen was involved.

So, the thing is resolved in favor of truth and common sense now, but it is important to understand exactly what was at stake here, exactly how important an industry these Biden officials were trying to freeze in place.

In an interview on Fox News Monday, current Energy Secretary Chris Wright did just that, pointing out that, fifteen years ago, America was “the largest importer of natural gas in the world. Today, we’re the largest exporter.”

He went onto add that, “the Biden administration put a pause on LNG exports 14 months ago, January of 2024, sending a message to the world that maybe the US isn’t going to continue to grow our exports. Think of the extra leverage that gives Russia, the extra fear that gives the Europeans or the Asians that are dying for more American energy.”

Then, Wright supplied the kicker: “They did this in spite of their own study that showed increasing LNG exports would reduce greenhouse gas emissions and have a negligible impact on price.” It was an effort, Wright concludes, to kill what he says is “America’s greatest energy advantage.”

This incident is a stain on the Biden administration and its senior leaders. The stain becomes more indelible when we remember that, when asked by Speaker Mike Johnson why he had signed that order, Joe Biden himself had no memory of doing so, telling Johnson, “I didn’t do that.”

Sadly, we know now there’s a good chance Mr. Biden was telling the speaker the truth. But someone did it, and it’s a travesty.

David Blackmon is an energy writer and consultant based in Texas. He spent 40 years in the oil and gas business, where he specialized in public policy and communications.

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2025 Federal Election

The High Cost Of Continued Western Canadian Alienation

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From EnergyNow.Ca

By Jim Warren

Energy Issues Carney Must Commit to if He Truly Cares About National Cohesion and be Different From Trudeau

If the stars fail to align in the majority of Western Canada’s favour and voters from Central Canada and the Maritimes re-elect a Liberal government on April 28, it will stand as a tragic rejection of the aspirations of the oil producing provinces and a threat to national cohesion.

As of today Mark Carney has not clearly and unequivocally promised to tear down the Liberal policy wall blocking growth in oil and gas exports. Yes, he recently claimed to favour energy corridors, but just two weeks earlier he backtracked on a similar commitment.

There are some promises Carney hopefully won’t honour. He has pledged to impose punitive emissions taxes on Canadian industry. But that’s supposedly alright because Carney has liberally sprinkled that promise with pixie dust. This will magically ensure any associated increases in the cost of living will disappear. Liberal wizardry will similarly vaporize any harm Carbon Tax 2.0 might do to the competitive capacity of Canadian exporters.

Carney has as also promised to impose border taxes on imports from countries that lack the Liberals’ zeal for saving the planet. These are not supposed to raise Canadians’ cost of living by much, but if they do we can take pride in doing our part to save the planet. We can feel good about ourselves while shopping for groceries we can’t afford to buy.

There is ample bad news in what Carney has promised to do. No less disturbing is what he has not agreed to do. Oil and gas sector leaders have been telling Carney what needs to be done, but that doesn’t mean he’s been listening.

The Build Canada Now action plan announced last week by western energy industry leaders lays out a concise five-point plan for growing the oil and gas sector. If Mark Carney wants to convince his more skeptical detractors that he is truly concerned about Canadian prosperity, he should consider getting a tattoo that celebrates the five points.

Yet, if he got onside with the five points and could be trusted, would it not be a step in the right direction? Sure, but it would also be great if unicorns were real.

The purpose of the Build Canada Now action plan couldn’t be much more clearly and concisely stated. “For the oil and natural gas sector to expand and energy infrastructure to be built, Canada’s federal political leaders can create an environment that will:

1. Simplify regulation. The federal government’s Impact Assessment Act and West Coast tanker ban are impeding development and need to be overhauled and simplified. Regulatory processes need to be streamlined, and decisions need to withstand judicial challenges.

2. Commit to firm deadlines for project approvals. The federal government needs to reduce regulatory timelines so that major projects are approved within 6 months of application.

3. Grow production. The federal government’s unlegislated cap on emissions must be eliminated to allow the sector to reach its full potential.

4. Attract investment. The federal carbon levy on large emitters is not globally cost competitive and should be repealed to allow provincial governments to set more suitable carbon regulations.

5. Incent Indigenous co-investment opportunities. The federal government needs to provide Indigenous loan guarantees at scale so industry may create infrastructure ownership opportunities to increase prosperity for communities and to ensure that Indigenous communities benefit from development.”

As they say the devil is often in the details. But it would be an error to complicate the message with too much detail in the context of an election campaign. We want to avoid sacrificing the good on behalf of the perfect. The plan needs to be readily understandable to voters and the media. We live in the age of the ten second sound bite so the plan has to be something that can be communicated succinctly.

Nevertheless, there is much more to be done. If Carney hopes to feel welcome in large sections of the west he needs to back away from many of promises he’s already made. And there are many Liberal policies besides Bill C-69 and C-48 that need to be rescinded or significantly modified.

Liberal imposed limitations on free speech have to go. In a free society publicizing the improvements oil and gas companies are making on behalf of environmental protection should not be a crime.

There is a morass of emissions reduction regulations, mandates, targets and deadlines that need to be rethought and/or rescinded. These include measures like the emissions cap, the clean electricity standard, EV mandates and carbon taxes. Similarly, plans for imposing restrictions on industries besides oil and gas, such as agriculture, need to be dropped. These include mandatory reductions in the use of nitrogen fertilizer and attacks (thus far only rhetorical) on cattle ranching.

A good starting point for addressing these issues would be meaningful federal-provincial negotiations. But that won’t work if the Liberals allow Quebec to veto energy projects that are in the national interest. If Quebec insists on being obstructive, the producing provinces in the west will insist that its equalization welfare be reduced or cancelled.

Virtually all of the Liberal policy measures noted above are inflationary and reduce the profitability and competitive capacity of our exporters. Adding to Canada’s already high cost of living on behalf of overly zealous, unachievable emissions reduction goals is unnecessary as well as socially unacceptable.

We probably all have our own policy change preferences. One of my personal favourites would require the federal government to cease funding environmental organizations that disrupt energy projects with unlawful protests and file frivolous slap suits to block pipelines.

Admittedly, it is a rare thing to have all of one’s policy preferences satisfied in a democracy. And it is wise to stick to a short wish list during a federal election campaign. Putting some of the foregoing issues on the back burner is okay provided we don’t forget them there.

But what if few or any of the oil and gas producing provinces’ demands are accepted by Carney and he still manages to become prime minister?

We are currently confronted by a dangerous level of geopolitical uncertainty. The prospects of a global trade war and its effects on an export-reliant country like Canada are daunting to say the least.

Dividing the country further by once again stifling the legitimate aspirations of the majority of people in Alberta and Saskatchewan will not be helpful. (I could add voters from the northeast and interior of B.C., and southwestern Manitoba to the club of the seriously disgruntled.)

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