Our increasing demand for natural gas – one of the cleanest forms of energy – far exceeds the current rate of production. One of the factors harming the environment today is the lack of a comprehensive, long-term national energy policy.
Looking Toward the Future
The National Energy Policy will build on our country's successful track record and will promote further improvements in the productive and efficient use of energy. Our increased dependence on foreign oil profoundly illustrates our nation's failure to establish an effective energy policy.
California’s Energy Challenge
Conservation and Energy Efficiency
S. Energy Efficiency Is Improving
Energy use in the chemical industry per unit of production has fallen by about 40 percent in the last 25 years. The country's decline in energy intensity accelerated between 1999 and 2000, a period when non-energy-intensive industries experienced rapid growth.
Challenges Confronting Electricity Supply
Under existing policy, natural gas generating capacity is expected to account for about 90 percent of the projected increase in electricity generation between 1999 and 2020. Oil can also be used as an additional fuel source for electricity generation in plants that can use either natural gas or oil.
Transportation Energy Needs
At the same time, rising demand for oil in Asia after nearly two years of economic weakness and rapid economic growth in the United States boosted oil consumption and further squeezed supplies. 1-12 Because the United States is a mature oil-producing region, production costs are often higher than in foreign countries.
Summary of Recommendations
Reforms to the federal alternative fuel program could encourage the use of alternative fuels, such as expanding the development of alternative fuel infrastructure. The development of alternative fuels such as ethanol and other biofuels (liquid fuels derived from organic matter such as crops), natural gas, and electricity can help diversify the transportation sector that is so dependent on oil.
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Impacts of High Energy Prices on the Daily Lives of Americans
About a quarter of the increase in total unit costs for non-financial, non-energy companies in the last quarter of last year reflected an increase in energy costs. Natural gas is also an important component in the production of fertilizers, pesticides and other agricultural chemicals.
Economic Impacts of California’s Energy Crunch
As a share of GDP, the energy trade deficit had fallen to 0.4 percent in early 1999, when prices for imported crude oil were less than $10 a barrel. Our improvements in energy efficiency have prevented our current energy problems from getting worse.
Reliance on Foreign Energy
Impacts of Energy Prices on Financial Markets
Higher short-term interest rates increase the nominal cost of borrowing for businesses and individuals and can slow economic growth. Rising long-term interest rates can reduce long-term investment and limit future economic growth and productivity gains.
Government’s Role
The short-term costs of increased pollutant emissions from these emergency measures were obvious. Establish mandatory emission reduction targets for the three main pollutants: sulfur dioxide, nitrogen oxides and mercury.
Air Quality
For example, scrubbers can remove 95 percent of SO2 emissions from a coal-fired power plant. Technologies for improved efficiency Two-thirds of the energy used in a conventional coal-fired power plant is wasted in generating electricity.
Water Quality
Through the EPA's Commuter Choice Leadership Initiative and the Department of Transportation, private-public employers offer employees a variety of commuting options that encourage commuting patterns that save fuel and energy while reducing emissions. A 10 percent reduction in the growth rate of vehicle miles traveled could result in annual savings of 38 million barrels of gasoline (82 million barrels of oil) by 2005 and remove 45,000 tons of NOx, 37,000 tons. tons of hydrocarbons and 4.8 million tons of carbon equivalent emissions.
Fish, Wildlife, and Their Habitat
In sensitive areas, these effects can often be avoided or minimized by timing exploration and operational activities in light of migration, nesting and other critical periods for wildlife. Furthermore, companies have adopted innovative techniques to reduce the potential impact of exploration and development.
Waste Management
Exploration and production of coal, oil and gas Some exploration and production activities can have an environmental impact on wildlife habitat unless they are carried out in a manner that protects the environment. A lengthy 1999 Department of Energy study examined the environmental benefits of new exploration and production technologies and concluded that "improvements over the past 40 years have dramatically reduced the industry's footprint on sensitive tundra, reduced waste generation, and protected the area for resident and migratory wildlife." The same study concluded that “it is important to tell this extraordinary story of environmental progress in E&P [exploration and production] technology.
Accidental Releases
While the federal government has a responsibility to address such high-level waste, states have a responsibility to address low-level waste from nuclear power plants, such as clothing and equipment.
Climate Change
Fish and Wildlife Service Research, Illinova Generating Company has volunteered to reforest 100,000 acres of bottomland hardwood forests on National Wildlife Refuges in the Lower Mississippi River Valley. However, in recent years, the country's very strong GDP growth has been accompanied by a slowdown in the growth of greenhouse gas emissions.
Regulatory Structure
Energy efficiency is the ability to use less energy to produce the same amount of lighting, heating, transportation and other energy services. In the last thirty years, the energy efficiency of refrigerators and freezers has increased by approximately 70 percent.
Improving Efficiency through Innovative Technologies
The federal government not only ensures that consumers have information on the energy efficiency of major household appliances. Energy efficiency would be further promoted if the Energy Star program were expanded to a wider range of products.
Energy Efficiency
The NEPD group recommends that the President direct the Secretary of the Treasury to work with Congress on legislation to increase energy efficiency with a tax credit for fuel-efficient vehicles. The NEPD group recommends that the President direct the Secretary of the Treasury to work with Congress on legislation to increase energy efficiency with a tax credit for fuel-efficient vehicles.
Oil and Natural Gas
In May 1998, the USGS issued revised oil and gas resource estimates in the 1002 Area. There is significant potential for oil and gas resources on federal land in the lower 48 states as well.
Electricity
S. Resource Potential for Renewable Energy
The NEPD Group supports the $39.2 million increase in the FY 2002 budget amendment to the Department of Energy's Energy Supply account that would provide greater support for research and development of renewable energy sources. The NEPD Group recommends that the President direct the Secretary of Energy to conduct a review of the current funding and historical performance of renewable energy and alternative energy research and development programs in light of the recommendations of this report.
Renewable Energy Technologies
In winter, a heat pump removes the heat from the heat exchanger and pumps that heat up to the indoor air supply system. Geothermal heat pumps can be used almost anywhere in the United States and can significantly increase system efficiency.
Alternative Energy
In addition to advanced transportation fuels, alternative fuels such as biodiesel, electricity, ethanol, hydrogen, methanol, natural gas, and propane are being developed. The Clean Air Act required the use of oxygenates such as MTBE (methyl tertiary butyl ether) and ethanol in fuel.
Distributed Energy
For example, the lack of standards regulating the interconnection of distributed energy to the grid hinders development. The lack of standards prevents a uniformly efficient way to get excess distributed energy to the grid.
Future Energy Sources
An energy infrastructure that relies on hydrogen could enable much greater use of distributed energy systems. These fuel cells are expected to be more efficient and cost less when used in similar distributed energy systems.
Current Markets for Renewable and Alternative Energy
The company operates 1,300 MW of geothermal, natural gas, hydropower and other energy facilities in the United States. In terms of transportation, there are approximately 450,000 alternative fuel vehicles in the United States.
Electricity Generated by Renewable Energy Sources: 1999
S. Investment in New Electric Power Transmission
It must be ensured that transmission rates create incentives for adequate investment in the transmission system, particularly as restructuring leads to the establishment of transmission companies whose sole activity is the operation of transmission facilities. Under current law, the placement of transmission facilities falls within the jurisdiction of state governments, not the federal government, even though the transmission system is not only interstate, but international, extending into both Canada and Mexico.
Rights-of-Way on Federal Lands
The National Park Service is authorized to grant leases and permits, but discourages right-of-way corridors unless there are no practical alternatives. The Bureau of Reclamation is authorized to grant rights of way over lands purchased or withdrawn for reclamation purposes, if they are consistent with the authorized purposes of the project.
Pipelines
S. Oil Pipelines
One of the largest known reserves of natural gas in the United States has been found in the Arctic, associated with the development of oil in Alaska's Prudhoe Bay. The government is trying to speed up the construction of a pipeline to bring this natural gas to the lower 48 states.
S. Natural Gas Transmission Pipelines
Recent pipeline ruptures involving a natural gas pipeline near Carlsbad, New Mexico, and an underground natural gas storage facility near Hutchinson, Kansas highlight the need to develop technologies and policies that protect people, the environment, and the safety of the nation's energy infrastructure. The NEPD Group recommends that the President support legislation to improve the safety of natural gas pipelines, protect the environment, strengthen emergency preparedness and inspections, and strengthen enforcement.
Oil Refineries
The NEPD Group recommends that the President direct the EPA Administrator to study opportunities to maintain or enhance the environmental benefits of state and local clean fuel "boutique" programs while exploring ways to increase fuel allocation flexibility. infrastructure, improve interchangeability and provide increased liquidity of the gasoline market. The NEPD Group recommends that the President direct the Administrator of the Environmental Protection Agency and the Secretary of Energy to take steps to ensure that America has adequate refining capacity to meet consumer needs.
Energy Transportation Infrastructure
The Coast Guard's fleet of icebreakers has become an important component of the energy infrastructure for the New England, Mid-Atlantic and Great Lakes regions. Coast Guard icebreakers have become an important component of the infrastructure needed to provide energy to the region.
Infrastructure Security
The NEPD Group recommends that the President direct the Secretary of Energy to work with the Federal Energy Regulatory Commission (FERC) to improve the reliability of the interstate transmission system and develop legislation providing for enforcement by a self-regulatory organization subject to is under FERC supervision. The NEPD group recommends that the president directs the Administrator of the Environmental Protection Agency and the Secretary of Energy to take steps to ensure that America has sufficient refining capacity to meet consumer needs.
Oil Imports and Global Reserves
Suppliers of U.S.Oil Imports in 2000
15 percent from Canada, 14 percent each from Saudi Arabia and Venezuela, and 12 percent from Mexico (Figure 8-4).
Saudi Arabia and the Middle East Oil Supplies
The NEPD Group recommends that the President make energy security a priority of our trade and foreign policy. The NEPD Group recommends that the President support initiatives by Saudi Arabia, Kuwait, Algeria, Qatar, the United Arab Emirates and other suppliers to open areas of their energy sectors to foreign investment.
Improving Market Transparency
Algeria, Kuwait, Oman, Qatar, Saudi Arabia, the United Arab Emirates (UAE), Yemen and other countries in the region with which we maintain diplomatic relations have all, to some extent, opened their energy sectors to international investments. ment. This development provides an important opportunity to further encourage foreign investment in these important energy-producing countries, thus expanding our common commercial and strategic interests.
Promoting International Trade and Investment
The NEPD Group recommends that the President direct the Secretary of State, Trade and Energy to continue to support U.S. energy companies competing in markets abroad and to take advantage of our membership in multilateral organizations, such as the Asia-Pacific Economic Cooperation (APEC) Forum , the Organization for Economic Co-operation and Development (OECD), the World Trade Organization (WTO) Energy Services Negotiations, the Free Trade Area of the Americas (FTAA) and our bilateral relations to establish a system of clear , open and transparent rules and procedures for foreign investment; to level the playing field for the US. The NEPD group recommends that the president directs the Secretary of Commerce and Energy, and the US
Reviewing and Reforming Sanctions
Both producers and consumers will benefit from ensuring that the global energy infrastructure is adequate and flexible to meet growing global demand. American energy companies remain world leaders, and their investments in energy-producing countries increase efficiency and market linkages and increase environmental protection.
Diversity of Supply
New England's geography made it the "last stop" for natural gas pipelines stretching thousands of miles across the continent from the south and west. Bilateral energy working groups, such as the U.S.-Kazakhstan Oil, Gas and Commercial Energy Working Group and the U.S.-Russian Oil and Gas Working Group, can improve the trading environment in high-priority countries.
Maritimes &
Leading non-OPEC oil exporters, such as Mexico and Norway, remain critical to the diversity of the global energy supply. The United States has called on WTO members to open markets eligible for private participation in the full range of energy services from exploration to the end customer.
Northeast Pipeline
The United States is a net exporter of petroleum products and natural gas to Mexico, primarily through pipeline connections to northern Mexico. The NEPD Group recommends that the President direct the Secretary of State and the Secretary of Energy to work with India's Department of Petroleum and Natural Gas to help India increase domestic oil and gas production.
Diversification of Fuel Mix
The United States invited other nations to reconsider global climate change issues, including technologies and market-based systems. Doing so could prove to be a cost-effective investment for both the US and emerging economies.
Oil Consumption
The NEPD group recommends that the president lead federal agencies to support further research on global climate change; continue efforts to find environmentally sound and cost-effective ways of using market mechanisms and incentives; continuous development of new technologies;
Emergency Preparedness for Oil Supply Disruption
The NEPD group recommends that the President direct the Secretary of Energy to work closely with Congress to ensure that our SPR protections are maintained. The NEPD group recommends that the president direct the Secretaries of Commerce, State and Energy to assist the US.
C HAPTER O NE Taking Stock
The NEPD group recommends that the president take steps to mitigate the effects of high energy costs on low-income consumers. The NEPD group recommends that the President increase funding for the Weatherization Assistance Program by $1.2 billion over ten years.
C HAPTER T WO Striking Home
The NEPD group recommends that the president direct FEMA to prepare for potential energy emergencies. The NEPD group recommends that the president direct the Environmental Protection Agency (EPA) administrator to propose legislation on multiple pollutants.
C HAPTER T HREE Protecting
The NEPD Group recommends that the President instruct the Secretary of Energy to promote greater energy efficiency. The NEPD Group recommends that the President instruct the Secretary of Energy to improve the energy efficiency of appliances.
C HAPTER F OUR Using Energy
The NEPD group recommends that the President direct the Treasury Secretary to work with Congress on legislation to increase energy efficiency with a tax credit for fuel-efficient vehicles. The NEPD group recommends that the President order the Treasury Secretary to work with Congress to continue the ethanol tax exemption.
C HAPTER S IX Nature’s
The NEPD group recommends that the President direct the Secretary of the Treasury to work with Congress on legislation to expand the Section 29 tax credit to make it available for new landfill methane projects. The NEPD group recommends that the President direct the Secretary of the Treasury to work with Congress on legislation to extend and extend tax credits for electricity produced using wind and biomass.
C HAPTER S EVEN America’s
The NEPD Group recommends that the President direct the Secretary of Energy to work with the Federal Energy Regulatory Commission (FERC) to improve the reliability of the interstate transmission system and to develop legislation providing for enforcement by a self-regulatory entity of FERC oversight. The NEPD Group recommends that the President direct the Secretary of Energy to expand the Department's research and development on transmission reliability and superconductivity.
A Comprehensive
The NEPD group recommends that the president make energy security a priority of our trade and foreign policy. The NEPD group is recommending that the president direct the foreign, finance and trade ministers to initiate a comprehensive review of the sanctions.
C HAPTER 8 Strengthening
The NEPD Group recommends that the President direct the Secretaries of Energy and State, in coordination with the Secretary of the Interior and the Federal Energy Regulatory Commission, to work closely with Canada, the State of Alaska, and all other stakeholders to accelerate the construction of a pipeline to deliver natural gas to the lower 48 states. The NEPD Group recommends that the President direct the Secretaries of State and Energy to work with India's Ministry of Petroleum and Natural Gas to help India maximize domestic oil and gas production.
