Power in numbers: Fifteen states led by coal-rich West Virginia, and including Louisiana, have asked a federal court to stall Obama administration rules intended to cut the fossil fuel’s use and slow climate change. Bloomberg reports the request made on Thursday is the first move by states to block President Barack Obama’s landmark initiative. It would freeze current regulations as they work to undo the new rules. The Obama initiative, dubbed the “Clean Power Plan,” aims to reduce carbon dioxide emissions from U.S. power plants by 32% by 2030, based on 2005 emission levels, by requiring states and utilities to use less coal and more solar power, wind power and natural gas. Other states joining the request are Alabama, Arkansas, Florida, Indiana, Kansas, Michigan, Nebraska, Ohio, Oklahoma, South Dakota and Wisconsin. Read the full story.
One thing leads to another: The government is getting ready to sell drilling rights spanning as much as 22 million acres of the Gulf of Mexico, but environmentalists are campaigning for the White House to call off next week’s auction until Congress reauthorizes a long-standing conservation program funded by offshore oil development. FuelFix.com reports Interior Secretary Sally Jewell already has been touring the country to lobby for a renewal of the 50-year-old Land and Water Conservation Fund, which is set to expire Sept. 30 unless Congress intervenes. But conservationists say the Obama administration needs to up the stakes by putting offshore drilling rights on the line. A liberal think tank first advanced the idea last month, and it has quickly taken hold among conservationists, despite the long odds for success. Read the full story.
The bottom line: The price of crude oil hit its lowest level in 6 1/2 years this morning amid concerns over a slowing economy in China, a huge energy consumer, and strong global production. The Associated Press reports the U.S. crude contract fell as low as $41.35 a barrel, the weakest level since early 2009, when the global economy was in the throes of a massive financial crisis and recession. By late morning in Europe, the price was around $42 a barrel. The oil contract has been declining since touching a high of $61.43 on June 10. The main reasons are big increases in production in the U.S. and Canada, as well as expectations that Iran’s oil could soon return to the market. Meanwhile, China’s devaluation of its currency this week highlights its concern about an economic slowdown.
