Brian Fitzpatrick Carbon Tax Bill

Brian Fitzpatrick Carbon Tax Bill — Brian Fitzpatrick, Pennsylvania’s 1st District Republican congressman, will be introducing a “carbon tax bill” today says the Washington Examiner. It will be similar to Market Choice Act introduced in 2018 by Rep. Carlos Curbelo (R-FLA26) which died in committee.

Brian Fitzpatrick Carbon Tax
Rep. Brian Fitzpatrick (R-Pa1)

The Curbelo bill imposed a tax of $24 per metric ton on industrial carbon-dioxide emissions, beginning in 2020 and rising annually at a rate of 2 percent above inflation.

In return, federal taxes on gasoline, diesel and aviation fuel would be repealed. The payers would mostly be operators of coal and natural gas power plants.

This means paying more for lighting, air-conditioning and heat, and maybe less for food and transportation.

And of course, coal plants (and mines and their jobs) would soon disappear as natural gas produces much less CO2.

Which would naturally mean less revenue which means someone is going to pound his fist and say we need to bring back the gasoline tax.

The claim that most of carbon tax money will be used to rebuild infrastructure also deserves a big LOL as that is what the gasoline and diesel tax is supposed to do now and obviously doesn’t.

We can’t jump on Fitzpatrick too much. Our wish is to replace all coal and NG plants with nuclear and hydro-electric ones so we give him credit for trying.

Hey Brian, if you really want to fix infrastructure repeal the Davis-Bacon Act of 1931. Studies show it adds 20 percent to the cost of federal projects. Repealing it means 20 percent more work with same amount of money. Infrastructure problem are solved. It’s almost like magic.

And on the other hand there is Pat Toomey.

Pennsylvania RINOs Roam Unchecked
Sen. Pat Toomey (RINO-Pa)

Pennsylvania’s “Republican” senator joined the Democrats in again futilely voting to repeal President Trump’s court-approved use of emergency funds to build the much-needed wall on the Mexican border.

This wall is not anti-immigration. The wall is anti-drug smuggling and anti-child trafficking. If border crossers are forced to use supervised ports of entry it becomes a whole lot harder to bring children here to be molested.

Cartel coyotes no longer abandon customers to die in the desert.

Senator, a whole lot more Pennsylvanians support this wall than KYW and the Philadelphia Inquirer will lead you to believe. This one is going to burn you.

Brian Fitzpatrick Carbon Tax Bill

Nuclear Power Green Deal

Nuclear Power Green Deal — The Wall Street Journal on Feb. 26 had a great column by John Rie and Alan Emery titled “The Nuclear Option Is The Real Green Deal”.

It’s behind a paywall so to sum it up:

  • Solar and wind are not serious solutions to the problems of global energy demand.
  • Nuclear power is a stable, profit-generating 24/7 carbon-free energy source that uses the existing power grid and fully proven technology.
  • Almost all the deaths involving nuclear power come from the 1986 Chernobyl accident. The Three Mile Island incident caused neither deaths nor an increase in cancer, and the 2011 Fukushima incident caused neither death or disease from exposure to radiation. (Side note: Chernobyl was designed by socialists.)
  • Most significantly, a nuclear plant produces as much toxic waste in a year that a coal plant produces in an hour.

Rie and Emery also describe how South Korean nuclear plants are extremely profitable as they have all been built from an identical design.

We despise global warming fanatics but minimizing carbon emissions is obviously a desirable thing.

And really, are global warming fanatics worse than no-nuke ones?

Here’s an irony: If the AGW-gonna-kill-us-all-in-12-years crowd is right, Jane Fonda will literally be responsible for destroying the world.

Nuclear Power Green Deal
Nuclear Power Green Deal

Alternative Power And Nuclear Plants

Alternative Power And Nuclear Plants

By Leo Knepper

In 2017 the nuclear power industry began lobbying Pennsylvania lawmakers to institute a bailout scheme. Due to federal regulations and an abundant supply of natural gas, the electricity produced by nuclear power plants costs more than electricity generated by other sources. Lobbyists for the nuclear power industry found little appetite in the General Assembly for the kinds of bailouts enacted by other states. The nuclear power industry has been undeterred and is now attempting to convince lawmakers to support a stealth bailout of the industry via Pennsylvania’s Alternative Energy Portfolio Standards (AEPS).

You may not have ever heard of the AEPS, but you are paying for it every month in your electric bill. Simply put, AEPS requires an electric company to purchase a certain percentage of their electricity from solar, wind, and other “alternative energy” sources regardless of cost. Because it costs more to generate electricity from alternative energy sources, consumers pay more for their power than they would under free-market conditions.

Being included in the AEPS list has certainly given alternative energy sources an unfair advantage over traditional energy sources. The best thing for consumers would be to eliminate the AEPS list. However, the nuclear power industry has decided that they want in on the game. They and their allies argue that being included on the AEPS shouldn’t be called a bailout; they have a point, but it is something far worse.

With a bailout, taxpayers would know up front just how much we will be responsible for adding to the nuclear industry’s bottom line. By lobbying for inclusion in the AEPS, the financial commitment from consumers is open-ended and undefined. According to the Commonwealth Foundation, the cost to Pennsylvania for the current AEPS regime is estimated to be a $700 million increase in energy costs and the loss of 11,400 jobs by 2025.

Members of the General Assembly should be appalled by the suggestion to expand the AEPS. If they wanted to help the nuclear power industry compete, they should take the government’s finger off the scale entirely and eliminate the preferential treatment given to some producers over others. Let the free-market work; not only would this help the nuclear power industry, but it would also reduce the costs for consumers.

Mr. Knepper is executive director of Citizens Alliance of Pennsylvania.
Alternative Power And Nuclear Plants
Alternative Power And Nuclear Plants

KYW Bias Jarred Upon Return

KYW Bias Jarred Upon Return — The Great Nor’easter of 2018 knocked out power here for 24 hours starting 2 p.m., Friday (March 2), and we resorted to the transistor radio and KYW for news.

Our return to traditional media was jarring, to say the least.

The journalism put us in despair. While there was plenty of coverage of some murder where a man shot his wife and mother-in-law, and there was sports and news about Hollywood, little was heard about the story of the day, namely one million-plus Philadelphia-area residents being without power and heat during a winter storm.

What was arguably worse was  the bias. It was always there but shone like a spotlight after a long hiatus.

Pennsylvania Commonwealth Court had given another victory to the Mariner East Two Pipeline appropriately ruling that local zoning laws do not apply to it.

KWY reported it.

The pipeline, which is owned by Sunoco and Energy Transfer Partners, would move natural gas from the frack fields of Ohio and Western Pennsylvania to Sunoco’s Marcus Hook Refinery.

KYW picked an opponent of the pipeline to be interviewed. This person bemoaned the decision. This person said the pipeline endangers  the community — it doesn’t — implying the judges were motivated by cronyism and corruption rather than law.

The comments were treated sympathetically and left without rebuttal.

Nobody pointed out that the pipeline would create jobs, lower consumer costs, provide taxes and increase energy independence. Nobody pointed out that there are risks to everything — especially involving energy — and the risks concerning this project are miniscule.

Nobody pointed out that the state has supremacy over municipalities when it comes to oil and gas matters.

That some still get their information from sources like this is why the Democrat Party still wins elections.

KYW Bias Jarred Upon Return After Storm

KYW Bias Jarred Upon Return

 

 

Pennsylvania Energy Keeps America From Dependency

Pennsylvania Energy Keeps America From Dependency

By Don Schreiber

Our Commonwealth produces our own energy, helping to free the United States from the bonds of overseas oil.

We are producing more natural gas then we ever had before and that is great news for Pennsylvania and its residents.  Jobs are being created, industries are growing and revenue is increasing because of the natural gas industry.  Even all our counties receive money directly from an industry severance tax for environmental use to create park space and other quality of life activities that makes us proud to live in our communities.

And, natural gas even helps reduce pollution. Former EPA Administrator Gina McCarthy said, “Natural gas has been a game-changer with our ability to really move forward with pollution reductions that have been very hard to get our arms around for decades.”
So, let us let this industry grow and continue to lower energy consumers costs and not be used as a PA budget solution – something our current Governor is attempting – creating a new energy tax, on top of an already existing severance tax. While this tax will be paid for by the producers of natural gas, the Commonwealth’s Independent Fiscal Office found that a severance tax will ultimately be paid by royalty owners and consumers of natural gas.
For the sake of Pennsylvania’s ratepayers and taxpayers, encourage your State legislators to refuse Governor Wolf’s calls for new energy taxes.
Mr. Schreiber is a resident of Coatesville.
Pennsylvania Energy Keeps America From Dependency

 

Pennsylvania Energy Keeps America From Dependency

Pipelines Safe And Natural Gas Is Necessary

Pipelines Safe And Natural Gas Is Necessary

By Neo Anderson

1.6 million Americans believe in a strong and prosperous energy future for our state. American made energy plays a critical role for our families and businesses, producing energy that heats our homes, powers our cars and helps drive our economy. Natural gas development supports tens of thousands of Pennsylvania jobs and helps families to save more than $1,300 annually on electricity bills.

Pipelines Safe And Natural Gas Is Necessary

Yet, in spite of these contributions to America’s economy and quality of life, energy is under attack. Wellfunded, well-organized lobbing and special interest groups are stalling our progress by targeting critical pipeline projects in Pennsylvania and across the country. They are voicing scare tactics and misleading information on multiple platforms at the federal, state and local levels as well as here at home.

The Truth

Pipelines are one of the safest, most efficient methods to transport energy products to their intended destinations. Pipelines have a long, proven track record of safety, minimal impact on the environment, and a 99.99% rate of delivering product without incident. Experts from the industry, government, and academia have partnered to create a series of stringent standards and recommended practices to help ensure the pipelines built and operating in your communities are safe.

Pipelines are constructed with highly durable materials like steel and advanced composites with special coatings to resist corrosion. Before the pipeline carries any product, the welds are rigorously tested to ensure there are no leaks. Federal and state officials also inspect the pipelines during and after installation to certify proper construction has occurred. Advanced engineering and construction practices safeguard water and riverbanks.

Pipelines are monitored 24/7 every day of the year. Highly trained personnel are there to stop the flow or take action should an emergency arise. Computer- aided monitoring enables leaks to be rapidly detected and shut off if needed during a disaster. Trained personnel in airplanes and helicopters regularly travel the length of the pipelines looking for signs of leaks. Ongoing monitoring and inspections help detect issues so they can be addressed before leaks occur.

Pipeline operators inspect their pipelines on regular schedules to identify and guard against any potential issues and ensure the pipe remains safe. To prevent leaks, state-of-the-art technology, similar to a doctor’s ultrasound machine or MRI, is used on the inside of the pipe to scan the walls for any potential problems.

A combination of electronic, aerial, and land-based surveillance is routinely employed to detect any unusual changes in temperature, pressure, flow, and density. Sensors and gauges are installed along the pipelines’ route to send their data automatically into central control rooms where highly trained operator personnel constantly monitor operations on computer displays 24/7.

Operators monitor pipelines from central control rooms 24/7 and can quickly stop all operations if leak detection technology identifies any potential issues. Pipeline control personnel are trained to diagnose whether an alarm is showing a leak, shut down the systems immediately, and not restart until the pipeline is confirmed to operate safely.

Pipeline operators go through regular trainings to develop extensive emergency response plans. Once the federal government approves the plans, pipeline operators share these with local authorities and first responders to ensure a coordinated response to an incident. A rapid emergency response helps keep the size of a pipeline incident as small as possible. Pipeline operators work with local authorities, first responders, contractors, and other local stakeholders to practice emergency response. They will even practice deploying containment and cleanup equipment to make sure all is ready to go if needed. Many pipeline companies hold free, online training sessions for first responders to increase awareness in the community and encourage involvement at all levels.

Myths vs. Facts:

Myth: America’s energy revolution and fracking are making climate change worse.

FACT: When it comes to climate change, “Natural gas has been a game-changer with our ability to really move forward with pollution reductions.” — Former EPA Administrator Gina McCarthy According to the U.S. Department of Energy, the increased availability and use of natural gas, made possible by fracking, is largely to thank for the reduction in climate-change inducing gases. For instance, last April, carbon emissions from U.S. electric power generation hit 25-year lows, primarily because of the increased use of clean-burning natural gas. In fact, the United States leads other top world economies in reducing carbon emissions from energy—largely due to our use of natural gas and market-led investment in new technologies. Carbon emissions, which are a primary driver of climate change, are the lowest they’ve been in large part because of advancements in oil and natural gas.

Myth: New pipelines are dangerous to our water supply.

Fact: Pipelines are one of the safest ways to transport energy, with products reaching their destination safely more than 99.99% of the time. Advanced materials, expert engineering, and continuous monitoring keep water safe. Control rooms for each pipeline are staffed with highly trained personnel, who monitor the pipeline 24/7 to stop the flow if there is an issue or take action to respond in case of emergency. Pipelines are constructed with highly durable materials, including steel and advanced composites. In addition, special coatings that resist corrosion and tested welds help ensure that pipelines operate without an incident. Before pipelines carry any product, they are rigorously tested at high pressure to ensure that there are no leaks. Advanced engineering and construction practices, including trenchless construction beneath waterways, leaves water and riverbanks untouched. Ongoing monitoring and inspections help detect issues before leaks occur.

Myth: Pipeline construction and operations make land unsafe for farming.

Fact: Farming can safely continue on land with buried pipelines. Farmers are compensated for the use of their land when pipelines are installed, and pipelines help keep energy affordable, which benefits American agriculture. Energy companies strive to minimize disruptions to farming during pipeline construction. Following pipeline construction, crop production and raising livestock can resume on land with underground pipelines. When a pipeline is installed, farmers are compensated for use of their land and paid for any losses resulting from any disruption to crop production or grazing. Pipelines transport natural gas and oil, which is essential to modern agriculture. Natural gas is used for fuel and grain-drying, oil fuels tractors and equipments—both are essential building blocks for manufacturing fertilizer.

Myth: Natural disasters could cause pipelines to leak and hurt the environment.

Fact: Pipelines have a strong track record of safety and have not experienced widespread leaks as a result of natural disasters. Pipelines are designed and constructed to be earthquake-resistant, and have a strong track record of safety following earthquakes. For instance, the Trans-Alaska Pipeline did not spill a single drop of oil as a result of a major 7.9-magnitude earthquake in 2002. Computer-aided pipeline monitoring enables leaks to be rapidly detected so that pipelines can be shut off if needed during a disaster. Shut-off valves are located throughout the pipe and can be closed remotely during a natural disaster to prevent an incident.

Myth: Pipeline construction will harm our natural environment.

Fact: More than 2.6 million miles of pipelines already run throughout the U.S., mostly unseen, bringing energy to homes, businesses, and utilities. Pipelines travel through neighborhoods, farmland, forests, and deserts without harming the environment. Land temporarily disturbed during pipeline construction is restored following pipeline completion. Experts from industry, government and academia have partnered to create a series of standards and recommended practices to provide guidance to companies as they construct pipelines. For construction outside of the industry, a “Call Before You Dig” program exists to enable homeowners and utility providers to easily call for markings of underground pipelines to reduce the risk of hitting a pipeline. Pipelines are inspected throughout construction by federal and state officials to ensure they are built appropriately. Pipelines have operated for decades with minimal impact on the environment. Energy products traveling through pipelines reach their destination without incident 99.99% of the time.

Natural Gas, Clear, Reliable, Affordable:

Natural gas supports nearly 3 million U.S. jobs and contributing over $300 billion to the national economy each year. Thanks to natural gas, our country has seen an energy renaissance that is creating a cleaner energy solution while bringing us reliable, affordable electricity and securing energy independence for our future.

To learn more for yourself check out – Pennsylvania Energy Citizens at EnergyCitizens.Org/States/PA

Pipelines Safe And Natural Gas Is Necessary

 

Naive Nuns Try To Stop Clean Energy

Naive Nuns Try To Stop Clean Energy — A group of nuns have set up an open air chapel on a piece of land they own in Lancaster County in an attempt to stop the Atlantic Sunrise pipeline. The pipeline is designed to bring natural gas from wells in Northeast Pennsylvania to consumers throughout the Eastern Seaboard.

The nuns belong to the Adorers of the Blood of Christ.

So what do they want to use to power the plants that run the refigerators that keep children’s food from spoiling? That keep the lights on in hospitals? Coal? Have they ever heard of Centralia? Nuclear power? Three Mile Island isn’t that far from them.

We are sure the sisters are nice, well-meaning people but we are just as sure they haven’t thought this through.

Hat tip Bob Small

Naive Nuns Try To Stop Clean Energy

Naive Nuns Try To Stop Clean Energy

Oil Man Secretary of State

Oil Man Secretary of State — Rex Tillerson, who is chairman and CED of ExxonMobil is Donald Trump’s nominee for secretary of state.

Oil Man Secretary of State
Rex Tillerson gets that cheap energy is good.

ExxonMobil is the world’s largest energy company and has consistently ranked in the world’s top three of all businesses as per market capitalization.

Desperate critics are trying to paint Tillerson as being a pawn of Russia due to his company’s interest in that nation.

The twisted logic boggles the mind.

Russia’s economy is strongly tied to its oil and gas production. One of Trump’s many consistent and outspoken campaign promises has been American energy independence. This means development of domestic resources, which is something his opponent actually opposed.

Russia would obviously have wanted Hillary if petro-power was the motive. If stability, consistency and common sense in foreign dealings, maybe not, but with regard to revenue from energy President Hillary would have reaped Putin more rubles.

That Tillerson is going to be part of the cabinet is a good thing for America, not such a good thing for Russia, and a really, really bad thing for the Arabs.

Oil Man Secretary of State

Chesapeake Energy Bankruptcy Seen With Tax

Chesapeake Energy Bankruptcy Seen With TaxBy Sen. Scott Wagner: Chesapeake Energy Bankruptcy Predicted With Wolf Tax

Last Friday, Dec. 4, PennLive.com published a story titled “Severance Tax ‘100 percent guaranteed’ to be in next PA budget, Wolf policy secretary says”.

I have a prediction that Governor Wolf and his policy secretary, John Hanger, might find interesting.

I consider myself to be a fairly qualified and experienced investor – I regularly go on Yahoo Finance and check out financials and news of public companies.

Here is my prediction: I predict that Chesapeake Energy (NYSE Symbol – CHK) will file for bankruptcy protection within the next 12 months.

Here is my reasoning:

#1 Natural gas prices are at historic lows – natural gas companies are not able to cover their fixed costs and cover debt payments at the current price – to simplify this – if gas is selling for $2  per gallon and your fixed costs are $3  per gallon the company is losing $1 per gallon, and as a result the company will burn through massive amounts of cash quickly – in business when you run out of cash – you have a HUGE problem.

I researched Chesapeake’s most recent financials – just in the quarter ending September 30, 2015 – their third quarter revenue was $2.893 billion   – after paying ALL expenses they lost $4.695 billion  – that means just in the third quarter alone Chesapeake would have burned through $1,802 billion  of cash. They cannot continue at this rate. Chesapeake will run out of cash.

#2 Natural gas pricing is not going up for quite some time because the natural gas supply is far GREATER than demand – in addition, there are almost 1100 gas wells in PA that have been drilled, and are capped, and are not producing gas. Almost all of the 1100 wells do not have pipe lines in place to carry the gas to the main transmission line so there is still a lot of infrastructure that needs to be installed. This infrastructure costs money. Gas companies do not have the cash to install these pipe lines at the current low natural gas prices.

#3 Another large issue is that oil and natural gas companies routinely hedge their prices to protect for a price collapse – this is a type of insurance – typically these hedges only go out for two years. In simple terms, many of the natural gas companies had hedges in place when prices were a lot higher that paid them double or triple the current market rate for their gas supply. When prices are as low as they currently are, hedging is not an option.

#4 Chesapeake Energy had a class action lawsuit filed against them last week by Pennsylvania landowners because they are deducting from royalty payments the cost to transport the gas from the wellhead to the main transmission line.

Many landowners  receive zero royalty payments after Chesapeake deducts the transport costs, and some land owners have received invoices to back bill for prior years transportation costs.

The class action lawsuit will be settled for cash that Chesapeake is running out of.

#5 If you are familiar with stock market investing there is term called margin. This term means that you can buy a stock for cash and the brokerage house will lend you money to buy more stock – this is called buying stock on margin. SEC rules do not allow a stock to be purchased on margin if it is under $5  per share. Last Thursday at the close of the New York Stock Exchange, Chesapeake stock closed under $5  per share. This means that any investor who used margin or borrowed money to purchase Chesapeake stock had a margin call which is a demand to sell the stock immediately so the loan is repaid. When a stock drops under $5  per share large investors flee. Investors will shy away from Chesapeake because their future does not look good.

This morning as I am writing this  ( 10:10 a.m. Dec. 7) Chesapeake stock is trading at $4.17 per share, down almost $.40 since the open of the stock market.

Chesapeake is one of several companies in Pennsylvania that are choking financially because natural gas prices are so low – there may very well be more companies than just Chesapeake Energy that will be forced to file for bankruptcy protection.

So what is my point? It’s this:  Governor Wolf ran his campaign for Governor telling everyone that he was going to get $1 billion dollars in severance taxes from the natural gas companies. With  current natural gas prices a severance tax would yield $100 million dollars at best.

There is currently an impact fee – tax in place – so the severance tax would cost the gas companies more money, which they do not have.

The reality is that the gas companies will pass any taxes on to consumers – which means YOUR gas bill will go up if there is a severance tax imposed.

Don’t believe me?

Read York Daily Record’s latest article, “Columbia Gas Gets Smaller Rate Hike Than Sought” which talks about the gas company passing on the costs.

And by the way, this morning the price for a barrel of oil dropped under $40 – it is currently at $38.71 at 10:20 a.m..

Oil companies are facing the same challenges as the natural gas industry because the price of oil is at historic lows.

Sen. Wagner represents the 28th District in the Pennsylvania Senate.

Chesapeake Energy Bankruptcy Predicted With Wolf Tax

Centralia Shows Why Fracking Beats Coal

There are risks to everything but if one wants lights at night and food to stay cold  a source of energy is needed.  Centralia Shows Why Fracking Beats Coal. Centralia shows why we should embrace fracking.

And wind and solar are just not going to do it. The  largest wind farm in the world produces just 25 percent to 36 percent of its rated 300 MW capacity. The typical fossil-fuel,  base-load plant is rated at 1,000 MW and runs when the energy is needed rather than when the  source is available.

A decade or so ago, America was getting half it’s energy from coal. While it is still the largest source it has now fallen to 37 percent, as of 2012, with natural gas rising to 30 percent and climbing.

And a surprising thing is happening: the air is getting cleaner. Carbon dioxide measured in the first quarter of 2012 was the lowest recorded of any year since 1992 A natural gas plant pumps out about half the CO2 as a coal plant.

Fracking opponents say it releases methane which is worse for the atmosphere than CO2. The recent wells, however, are seriously mitigating the problem.

For those that still want to complain maybe they want to join the push for nuclear power.

For those that want to stop fracking to return to coal, watch this  video. Did you know that coal seam fires alone are thought to account for 3 percent of the world’s greenhouse gases?

 

Centralia Shows Why Fracking Beats Coal