|
|
Colorado proposes historic oil & gas methane
emission regulations.
On 18 November 2013 Colorado health officials proposed groundbreaking rules for the state's oil and gas industry. The proposal is the nation's first state-wide standard for methane emissions from drilling according to a report in the Denver Post.
 | |
Photo: Denver Post
|
The rules would force companies to capture 95 percent of all toxic pollutants and volatile organic compounds they emit by detecting and repairing methane leaks throughout a company's infrastructure once a well is producing. This includes equipment at the well site, at above-ground pipelines, and at compressor stations.
Under the proposed rules companies would have to:
- Detect leaks from tanks, pipelines, wells and other facilities using devices such as infrared cameras.
- Inspect for leaks at least once a month at large facilities and plug leaks.
- Adhere to more stringent limits on emissions from equipment near where people live and play.
- Use flare devices to burn off emissions from facilities not connected to pipelines.
The rules target emissions of volatile organic compounds, or VOCs, because high output of VOCs tracks with high methane pollution according to a Los Angeles Times report. The new rules base their monitoring requirements on the tons of VOCs companies generate annually.
Under the rules, the bigger the polluter, the more often it would have to monitor its infrastructure for leaks, which would have to be repaired within 15 days. Companies would have to report their repairs and allow state inspectors to check facilities for leaks.
The proposed rules were drawn up in discussions between the state; the Environmental Defense Fund; and three major oil and gas producers: Noble Energy, Encana and Anadarko. The state will take public comment on the proposal for 90 days, and a public hearing will be held in February.
"These are going to amount to the very best air quality regulations in the country," Colorado Governor John Hickenlooper said. Noble Vice President Ted Brown said the prescribed practices are "the right thing to do" but added that "it's a tough rule."
What this means to you
Stationary engines operating at Colorado oil and gas well sites, above-ground pipelines and compressor stations will likely be subject to the new proposed methane and VOC emissions regulations.
MIRATECH can help
Contact MIRATECH to discuss emission control options that meet Colorado's 95% capture of all toxic pollutants requirement on oil and gas drilling operations.
|
Study finds U.S. methane emissions exceed EPA estimates. Oil & Gas emissions in Texas and Oklahoma were 2.7 times higher than estimated.
Emissions of the greenhouse gas methane due to human activity were roughly 1.5 times greater in the United States in the middle of the last decade than prevailing estimates, according to a new analysis by 15 climate scientists published 25 November 2013 in The Proceedings of the National Academy of Sciences according to a New York Times report . 
The analysis - Anthropogenic emissions of methane in the United States - also said that methane discharges in Texas and Oklahoma, where oil and gas production was concentrated at the time, were 2.7 times greater than conventional estimates. Emissions from oil and gas activity alone could be five times greater than the prevailing estimate, the report said.
The study relies on nearly 12,700 measurements of atmospheric methane in 2007 and 2008. Its conclusions are sharply at odds with the two most comprehensive estimates of methane emissions, by the Environmental Protection Agency and an alliance of the Netherlands and the European Commission.
The U.S. Environmental Protection Agency (EPA) has stated that all emissions of methane, from both man-made and natural sources, have been slowly but steadily declining since the mid-1990s. In April, EPA reduced its estimate of methane discharges from 1990 through 2010 by 8 to 12 percent, largely citing sharp decreases in discharges from gas production and transmission, landfills and coal mines.
The new analysis calls that reduction into question, saying that two sources of methane emissions in particular - from oil and gas production and from cattle and other livestock - appear to have been markedly larger than the EPA estimated during 2007 and 2008.
"It's really a very clear signal" of how much methane U.S. industry and other sources emit, says co-author Anna Michalak of the Carnegie Institution of Science's Department of Global Ecology. She says the study of the continental USA combines an unprecedented amount of data, taken by federal agencies from the tops of telecommunication towers, with newer statistical tools and meteorological models to calculate how much methane is actually in the atmosphere and where it probably came from.
This top-down approach is notably different from the EPA's bottom-up estimates, which calculate emissions based on the amount of methane typically released per cow or per unit of coal or natural gas sold.
What this means to you
If methane emissions from oil & gas extraction and refining are five times higher than EPA estimates, expect increasing pressure to control all sources of methane leakage from oil and gas operations.
MIRATECH can help
Contact MIRATECH to discuss your emission control options for stationary engines in oil & gas operations.
|
| U.S. Energy Information Agency launches new monthly Drilling Productivity Report.
On 22 October 2013 the U.S. Energy Information Agency (EIA) announced the release of a new monthly Drilling Productivity Report (DPR) to provide region-specific insights into oil and natural gas drilling rig efficiency, new well productivity, existing well decline rates, and overall oil and natural gas production trends.
The report focuses its attention on drilling productivity of six regions: Bakken, Eagle Ford, Haynesville, Marcellus, Niobrara, and Permian.
The DPR will also inform EIA's own short-term production outlook. In 2011-12, these six regions accounted for 90% of domestic oil production growth and virtually all domestic natural gas production growth.
EIA's monthly report makes use of recent rig activity data, but it also explicitly considers recent information on wells drilled per active rig (rig productivity), average oil and natural gas production rates from new wells during their first full month of operation, and estimated changes in production from existing wells to develop estimates of changes in production for each region.
The DPR does not distinguish between oil-directed and gas-directed rigs - it counts all active rigs - because once a well is completed, it may produce both oil and gas, as more than half of all new wells do.
"The metrics presented in the DPR are intended to be more informative than traditional indicators of future oil and gas production," said EIA Administrator Adam Sieminski. "The report provides a new approach that takes into account changes in the application of technologies that have led to rapid increases in U.S. oil and gas production."
The DPR provides a page summarizing results for all six regions, a more detailed page for each region, and a detailed description of the indicators developed and presented for each of the regions.
Click here to access the November 2013 complete report for all six regions.
What this means to you
Increasing oil and gas drilling and production could lead to more pressure for methane emission regulations like those proposed in Colorado (see story above).
MIRATECH can help
Contact MIRATECH to discuss emission control options that meet local regulations on your oil and gas drilling operations.
|
Call MIRATECH at 800-640-3141 for
Answers to RICE NESHAP Questions
What's the best way to get quick, smart answers to questions about the EPA's new RICE NESHAP regulations?
Compliance with these regulations is required by May 3, 2013 for compression ignition (CI) and by October 13, 2013 for spark ignition (SI) reciprocating internal combustion engines (RICE). The regulations strengthen National Emission Standards for Hazardous Air Pollutants (NESHAP) as defined in 40 CFR, part 63, supart ZZZZ.
Call MIRATECH at 800-640-3141Email NESHAP@miratechcorp.com or Click Here for MIRATECH sales contacts.How can you get a project started?- Obtain product information
- Catalyst/Silencer Combination Units
Call MIRATECH at 800-640-3141 or Email NESHAP@miratechcorp.com for answers to NESHAP questions.
|
CSX and GE to pilot test LNG locomotives.
On 13 November 2013 CSX Corp. and GE Transportation announced an agreement to explore emissions-cutting and efficiency breakthroughs in Liquefied Natural Gas (LNG) technology for locomotives beginning with a pilot program in 2014.
Natural gas-fueled locomotives can travel longer distances without refueling stops, and offer environmental and economic benefits, CSX and GE officials said. Over the next few months, the Class I plans to develop a LNG test plan and secure regulatory approvals.
"LNG technology has the potential to offer one of the most significant developments in railroading since the transition from steam to diesel in the 1950s," said CSX Executive Vice President and Chief Operating Officer Oscar Munoz. "
"Locomotives are at an inflection point in balancing engine performance with efficiency and adherence to emissions standards," said Russell Stokes, chief executive officer, GE Transportation.
GE has been testing low-pressure natural gas technology since spring 2013, and is working closely with CSX and other Class Is. Field tests are expected to begin next year.
What this means to you
Regulatory agencies like those in California are targeting locomotive emissions. Their focus is likely to increase. Natural gas may help reduce solutions for some operators.
MIRATECH can help
Contact MIRATECH to discuss controlling locomotive emissions to meet current EPA standards.
|
10th U.S. Circuit Court of Appeals denies
Oklahoma's largest electric utility's request
for regional haze re-hearing.
On 1 November 2013 a three-judge panel from the U.S. 10th Circuit Court of Appeals in Denver denied a request by Oklahoma Gas & Electric Company (Oklahoma's largest electric utility), asking for the full court to review a previous decision upholding the U.S. Environmental Protection Agency's (EPA) regional haze plan for  Oklahoma , according to a report in Power Engineering.
The EPA's plan to address emissions calls for installing scrubbers in OG&E power plants, while Oklahoma officials have supported a state plan that would use low-sulfur coal and give utilities in the state the flexibility to burn less coal and more natural gas to achieve the goals of the rule. According to OG&E, the EPA's plan will result in higher rates for its customers, while the state plan would achieve the goals of the rule while limiting costs.
OG&E stated that while it has been challenging the federal implementation plan, it has also been studying plans to install the scrubbers on its coal-fired plants because of the time allowed for compliance in the EPA's plan. OG&E spokesman Paul Renfrow stated in a release the utility is considering its legal options and has not ruled out an appeal to the U.S. Supreme Court. Oklahoma Attorney General, Scott Pruitt, also stated his office is considering its "next steps in the fight to protect Oklahoma's right to pursue its own solutions to address regional haze."
The 10th Circuit had stayed implementation of the federal plan in June 2012, but a three-judge panel ruled 2-1 in favor of the EPA last summer.
What this means to you
According to a U.S. Energy Information Agency report electricity generation accounts for 39% of U.S. CO2 emissions and coal-fired power plants are responsible for 74% of all electricity generation emissions. Clearly, the EPA is targeting emissions from electricity generation.
MIRATECH can help
Contact MIRATECH to discuss your emission control needs for engines operating in power generation applications.
|
California's November 2013 Carbon Auction marks successful first year. Cap-and-Trade in California survives legal challenge.
On 19 November 2013 the California Air Resources Board (ARB) released the results of auction number five, the November 19th cap-and-trade auction of California carbon allowances. All auction allowances for vintage 2013 and vintage 2016 were sold. Vintage 2013 allowances of 16,614,526 sold at a settlement price of $11.48, generating $190,734,758 in state revenue. Vintage 2016 allowances of 9,560 were sold at a settlement price of $11.10, generating $106,116,000. All 2013 and 2016 allowances sold at slightly above ARB's reserve asking price.  This marks the second auction in a row in which all current and future allowances have been sold. Total state auction proceeds to date are $530 million. That money must be invested in projects that reduce climate pollution, and at least 25%, or over $130 million to date, will provide clean energy opportunities to disadvantaged communities according to a post on an Environmental Defense Fund blog. The results of California's fifth carbon auction mark an important environmental milestone for the state - one year since the debut of its cap-and-trade system in November 2012. On 14 November 2013 California's Cap-and-Trade program also survived a legal challenge according to a report on the Web site Legal Planet. A California superior court rejected a prominent set of industry challenges to the state's cap-and-trade program. The Court upheld a significant element of California's suite of programs to comply with AB 32 and to reduce the state's greenhouse gas emissions back to 1990 levels by 2020. (Click here for opinion). The cases were filed by the California Chamber of Commerce and the Pacific Legal Foundation, which charged that the cap-and-trade program was illegal both as an unconstitutional tax and because the program's auction was not authorized by AB 32. What this means to you California's cap-and-trade auction has marked a successful first year, has survived a legal challenge and has also generated $530 million in state revenue. It will likely grow in significance and provide a template for states seeking to reduce carbon emissions - and increase revenues. MIRATECH can help Contact MIRATECH to discuss your emission control needs for stationary engines operating in California. |
|
|
|
|
|
