Energy News for August 10, 2015

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  • on August 10, 2015
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POLITICO Morning Energy for 8/10/2015

By ANDREW RESTUCCIA, with help from Alex Guillén

KASICH’S CLIMATE WAFFLING? Just how climate-friendly is John Kasich? That’s the question many in the energy world are asking this week after Kasich’s comments [http://nbcnews.to/1f2ljfI] on Meet the Press Sunday. Asked by Chuck Todd about climate change, the Republican governor of Ohio said, “Well, I think that man absolutely affects the environment. But as to whether, you know, what the impact is, the overall impact, I think that’s a legitimate debate.” Kasich went on to tout his work to cut Ohio’s emissions, protect Lake Erie and invest in alternative energy. But his next comment likely raised some eyebrows: “So of course we have to be sensitive to it. But we don’t want to destroy people’s jobs based on some theory that’s not proven.”
Kasich has cultivated a moderate reputation on environmental issues, especially in a Republican presidential field chock full of candidates who openly reject climate science. In 2012, he said [http://bit.ly/1J4PRvi], “This isn’t popular to always say, but I believe there is a problem with climates, climate change in the atmosphere. I believe it. I don’t know how much there is, but I also know the good Lord wants us to be good stewards of his creation.”

While his comments Sunday looked like a shift, Kasich’s campaign said his position hadn’t changed. After his Meet the Press interview, the official campaign Twitter account highlighted [http://bit.ly/1EifiCh] the governor’s 2012 remarks. And spokesman Chris Schrimpf added in an email, “He believes it is real and that humans play a significant factor and we need to do something about it.” The campaign also pointed to two recent clips where Kasich discussed climate change without questioning the underlying science. Clip one: [http://bit.ly/1MeKIzQ]. Clip two: [http://bit.ly/1KY3UQV]

Right-leaning environmentalists quickly came to Kasich’s defense. In an unsolicited email to ME, ConservAmerica Executive Director Robert Sisson said Kasich “very clearly says he believes human activities have played a role in climate change,” adding, “That is very positive in my eyes and, I hope, will lead other Republicans to discuss the issue.” Sisson said he isn’t involved with the Kasich campaign “in any fashion or manner.”

Why, oh why, oh why oh? Ohio, like a number of other states, seems to be hedging for the moment when it comes to opposing the EPA’s climate regulations. Ohio EPA Director Craig Butler criticized the plans as federal overreach that will drive up utility bills, and attorney general Mike DeWine plans to join litigation against the final rule. But Ohio is not among the smaller subset of states whose leaders have outright vowed not to submit a plan. The Buckeye State and others are waiting to see if the courts issue a stay on the rule while litigation moves forward. If the courts stop the clock, then the states don’t have to do anything for the time being. But should the courts allow the rule to continue while it is fought over in court, many challenger states could still write their own plans just in case the rule is eventually upheld. In that case, states that refuse to submit their own plan — including Oklahoma and Indiana — would effectively cede control to the federal government.

HAPPY MONDAY AND WELCOME TO MORNING ENERGY! I’m your temporary host, Andrew Restuccia. Alex Guillén will be taking over the ME reins for a few days. Send your news, tips and commentary to aguillen@politico.com. And follow us on Twitter @AndrewRestuccia @alexcguillen @Morning_Energy and @POLITICOPro.

REPORT: TRANSCANADA PLOTTING RESPONSE TO KEYSTONE REJECTION: The Canadian Press published a story late Sunday night that asserts TransCanada, the company behind the Keystone XL pipeline, is “all but convinced” that President Barack Obama will soon reject the long-stalled project. And now TransCanada is quietly mulling its options. “One possible response is a challenge under the North American Free Trade Agreement to recoup damages from the U.S. government. Another is immediately re-filing a permit application with the U.S. State Department before the 2016 presidential election,” the news agency reported. “A source involved in the project said the company is consulting lawyers on the mechanics of a NAFTA challenge, and weighing the legal and political implications.” Read the Canadian Press story here: http://bit.ly/1DGxsme

TransCanada responds: In a late-night email to ME, TransCanada spokesman Mark Cooper said, “We’re not going to speculate on what may or may not happen once we get a decision on Keystone XL,” explaining that the company remains focused on securing a crucial cross-border permit from the Obama administration. “The case has never been stronger for approving Keystone,” he added. “If it is judged on its merits, it will be approved. If it is judged based on science, not symbolism, it will be approved.”

** A message from Chevron: Congratulations to the winners of the first-ever US2020 STEM Mentoring Awards. Chevron is proud to be a Co-sponsor of the award, and to recognize the mentors who are helping cultivate the next generation of STEM professionals. See how Chevron supports America’s future innovators: http://tinyurl.com/ndnfy7v **

SENATE REPUBLICANS WANT MORE TIME TO COMMENT ON STREAM RULE: Thirty-three Senate Republicans on Friday asked the Interior Department for an extra 120 days to comment on the Office of Surface Mining’s proposed stream rule. The 60 days Interior gave to comment, they write, is “insufficient” time to review 2,500 pages of material. Interior, they note, took six years to write the rule. House Republicans asked for a similar extension in July. For now at least, comments are due by Sept. 25. Letter: http://politico.pro/1PbHpJB

STEVENS BLASTS SCOTUS MERCURY RULING: Justice John Paul Stevens had a few choice words for the Supreme Court’s June ruling that sent EPA’s mercury rule back to the agency. Speaking at a law conference, Stevens — who famously authored the 1984 Chevron v. NRDC decision that formalized the doctrine that judges should defer to agencies’ reasonable interpretations of ambiguous statutes — said the decision was “a truly remarkable departure” from using the plain language of a statute. EPA’s initial analysis properly considered whether it was “necessary and appropriate” to regulate without considering costs, said Stevens, who retired from the court in 2010. But the five-justice majority “misinterpreted” what those words mean, he added. “As a former English major in college, and as the author of the majority opinion in Chevron, I found that conclusion truly mind-boggling.” H/t Washington Post: http://wapo.st/1KVi6tH

In case you were wondering: If the 95-year-old Stevens were still on the bench, it probably wouldn’t have made a difference. His replacement, Elena Kagan, was in the minority here.

BOEHNER AIMS TO LIFT CRUDE EXPORT BAN: House Speaker John Boehner used a Friday statement on the Department of Labor’s July unemployment report to plug Republicans’ efforts to lift the decades-old ban on crude oil exports. “That’s why Republicans remain focused on advancing common-sense solutions that address Americans’ top priorities. We’ve passed jobs bills to increase energy and lower gas prices, expand markets for American-made goods and services, and cut red tape to help small businesses and manufacturers grow. We’ll continue that progress by working to lift the oil export ban and create an estimated one million new American jobs,” he said. Boehner came out in support of lifting the ban late last month. Rep. Joe Barton told POLITICO at the time that while a legislative vehicle hadn’t been identified, he has been promised a vote this fall on his language to lift the ban. Read Boehner’s statement: http://1.usa.gov/1Iwtsn7

HASTINGS URGES BLACK CHAMBER OF COMMERCE TO ‘CUT TIES’ WITH POLLUTERS: Rep. Alcee Hastings is calling on the National Black Chamber of Commerce to “cut ties” with industry polluters. In a statement released Friday during the group’s annual convention in Florida, Hastings said, “Pollution is a problem that disproportionately affects minorities in our country … The National Black Chamber of Commerce should take a firm stand against the misinformation being spread by these industries. I believe that we should all be on the side of families, not industry polluters. I urge the NBCC to cut ties with these groups immediately.” Read the statement: http://1.usa.gov/1K811Km

QUICK HITS:

— “Clinton strays from her roots as coal miner’s great granddaughter,” Reuters reports: http://reut.rs/1DG1Ywq

— The Wall Street Journal examines the push to lift the crude export ban: http://on.wsj.com/1KXYR2K

— At least 55 people have been confirmed dead as a result of a massive heat wave in Tokyo. The Weather Channel: http://wxch.nl/1ICGzky

— “Climate change crusade goes local,” the Christian Science Monitor reports: http://bit.ly/1WberhE

— The New York Times runs a comic strip on the Clean Power Plan: http://nyti.ms/1TbJFGA

THIS WEEK IN CONGRESS:

Both the House and the Senate are on recess.

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