Last week at the Steamboat Institute, Independence Institute Energy Policy Center Director Amy Oliver Cooke moderated a panel entitled “The Coming Storm of Federal Energy Regulations and Their Impact on Colorado Business”–with attorney Ray Gifford discussing the Environmental Protection Agency’s “Clean Power Plan,” Dan Byers of the U.S. Chamber of Commerce offering an explanation of the newly proposed EPA ground-level ozone rule, and Lee Boughey of Tri-State Generation and Transmission revealing the impact of the WildEarth Guardians lawsuit and the Colowyo Mine:
Blowback over the controversial support of WildEarth Guardians and the lawsuit threatening the Colowyo Mine stirred up trouble not only for New Belgium Brewing Company but over 450 other businesses and organizations listed as WEG supporters who quickly pulled their names from a list of “supporters” on the activist group’s website:
Some businesses listed said they never gave anything to the group responsible for a lawsuit that put Colowyo Coal Mine at risk of closing.
The Craig Daily Press published its first story about local liquor stores and restaurants pulling New Belgium and Breckenridge Brewery beer on June 8, and shortly thereafter, WildEarth Guardians staff deleted its webpage called “Businesses for Guardians.”
The newspaper then published the cached webpage of supporters, and less than 24 hours later, the environmentalists republished the webpage.
On that page, a total of 605 businesses across Colorado and New Mexico were listed as supporters. As of June 18, that number shrunk to 151 businesses listed as supporters.
A complete list of all companies previously named as “Businesses for Guardians” has been archived here as well.
“You don’t mess with my community,” one resident told the Craig Daily Press.
There’s no doubt the Colowyo Mine issue is already impacting the economy of the northwest corner of Colorado:
After less than six months of being in business, the owner of Stacks Smokehouse closed the doors to his restaurant due to Craig’s economic uncertainty in light of what’s happening at Colowyo Coal Mine.
Steve Fulton said his business — which opened in the former Double Barrel Steakhouse building on Feb. 20 — dropped 40 percent days after the community met on June 3 for a public meeting with Colowyo representatives.
Two Colorado counties have seen tremendous growth in jobs, despite the recent oil and gas downturn:
Two Colorado counties were among the three large U.S. counties with the fastest job growth rate in 2014, the U.S. Bureau of Labor Statistics reports.
And Colorado overall ranked No. 3 for the rate of job growth among states.
In the counties ranking, Weld County topped the list for a second straight year. Weldco tied with Midland County, Texas, with a best-in-the-nation 8.0 percent increase in employment between December 2013 and December 2014, BLS said.
In 2013, Weld County posted 6 percent job growth.
And Adams County came in at No. 3 in the nation with a 6.4 percent growth rate.
In fact, Weld County saw a 19.6 percent gain in natural resources and mining employment over the 12-month period, adding a net 2,074 jobs, BLS estimates.
And Adams County is home to companies that service the energy industry.
Only North Dakota (4.5 percent) and Nevada (4.2 percent) outpaced Colorado’s job growth rate of 3.9 percent, according to the BLS.
Meanwhile in Indiana (from a press release):
Indianapolis – Governor Pence sent a letter today to President Obama informing him that unless the federal Environmental Protection Agency’s (EPA) Clean Power Plan is demonstrably and significantly improved before being finalized Indiana will not comply. The Governor’s letter in full can be found attached.
“As I wrote to Administrator McCarthy on December 1, 2014, the proposed rules are ‘ill-conceived and poorly constructed’ and they exceed the EPA’s legal authority under the Clean Air Act,” wrote Pence. “If your administration proceeds to finalize the Clean Power Plan, and the final rule has not demonstrably and significantly improved from the proposed rule, Indiana will not comply. Our state will also reserve the right to use any legal means available to block the rule from being implemented.”
“Our nation needs an ‘all of the above’ energy strategy that relies on a variety of different energy sources,” said Pence. “Energy policy should promote the safe, environmentally responsible stewardship of our natural resources with the goal of reliable, affordable energy. Your approach to energy policy places environmental concerns above all others.”
In addition Pence noted, “Higher electricity prices brought by the EPA’s plan will inhibit our ability to advance our manufacturing base and the jobs it creates.”
The EPA’s Clean Power Plan calls for a 20 percent reduction in carbon dioxide emissions from 2005 levels in Indiana by the year 2030. The proposed rules do not dictate how states achieve reduction. Instead, the rule suggests four building blocks as guidelines for compliance. The rules will increase the cost of electricity and force the premature closure of coal-fired power plants, leading to concerns of electricity shortages. On December 1, 2014, Governor Pence and Indiana State agencies submitted letters to EPA Administrator Gina McCarthy detailing the proposed rules’ impact on Indiana and urging their immediate withdrawal.
More than 26,000 Hoosiers are employed in the coal industry in Indiana. Governor Pence has pledged to fight the EPA’s regulations with all legal means at Indiana’s disposal. Governor Pence’s comments today come on the heels of the U.S. Court of Appeals for the District of Columbia dismissing State of West Virginia et al v. Environmental Protection Agency, Case No. 14-1112. Indiana was one of fourteen petitioners in the case, which asked the Court to review the legality of the EPA’s proposed regulations limiting carbon dioxide emissions from existing power plants. The Court of Appeals’ decision was based on procedural, not substantive, issues and does not preclude future litigation challenging the regulation. Indiana intends to renew its challenge in the courts following the release of the final rule.
The EPA is expected to release the final rule in August.
A quick reminder of why government choosing energy winners and losers is a bad idea–an expensive burden on taxpayers and ratepayers alike.