QUICK NEWS, 5-5: DOI PASSED ON BP’S GULF DRILL; $1 BIL A YEAR ON WIRES; CALIF UTILS FLOP ON EE; GREEN AND GORGEOUS

DOI PASSED ON BP’S GULF DRILL
U.S. exempted BP's Gulf of Mexico drilling from environmental impact study
Juliet Eilperin, May 5, 2010 (Washington Post)

"The Interior Department exempted BP's calamitous Gulf of Mexico drilling operation from a detailed environmental impact analysis last year, according to government documents, after three reviews of the area concluded that a massive oil spill was unlikely.

"The decision by the department's Minerals Management Service (MMS) to give BP's lease at Deepwater Horizon a ‘categorical exclusion’ from the National Environmental Policy Act (NEPA) on April 6, 2009 -- and BP's lobbying efforts just 11 days before the explosion to expand those exemptions -- show that neither federal regulators nor the company anticipated an accident of the scale of the one unfolding in the gulf…"

Looks safe, doesn't it? (click to enlarge)

"Now, environmentalists and some key senators are calling for a reassessment of safety requirements for offshore drilling…Jack Gerard, president of the American Petroleum Institute, said it is important to learn the cause of the accident before pursuing a major policy change…

"While the MMS assessed the environmental impact of drilling in the central and western Gulf of Mexico on three occasions in 2007 -- including a specific evaluation of BP's Lease 206 at Deepwater Horizon -- in each case it played down the prospect of a major blowout…In one assessment, the agency estimated that ‘a large oil spill’ from a platform would not exceed a total of 1,500 barrels and…would not reach the coast. In another assessment, it defined the most likely large spill as totaling 4,600 barrels and forecast that it would largely dissipate within 10 days and would be unlikely to make landfall…"

Unlikely to make landfall? (from the Washington Post - click to enlarge)

"Lawmakers on Capitol Hill…[are talking about] curtailing offshore oil exploration rather than making it easier. In addition to traditional foes of offshore drilling such as Democratic Sens. Robert Menendez (N.J.) and Bill Nelson (Fla.), Senate Majority Leader Harry M. Reid (D-Nev.) and centrists such as Max Baucus (D-Mont.) and Richard G. Lugar (R-Ind.) said they are taking a second look at such methods."

[Senator Max Baucus (D-Mont.):] "It's time to push the pause button…"


$1 BIL A YEAR ON WIRES
Edison Intl Unit Plans To Spend $1 Billion A Year On Transmission
Cassandra Sweet, May 4, 2010 (Dow Jones Newswires via Wall Street Journal)

"Edison International's (EIX) chief executive said…the company's utility plans to spend more than $1 billion a year over the next five years on transmission, including a half-completed $1.8 billion project in southern California."

"Southern California Edison recently completed the first leg of a 250-mile series of transmission lines and substations between the wind-swept Tehachapi Valley northeast of Los Angeles and Los Angeles and San Bernardino County. When completed, the Tehachapi Renewable Transmission project will be able to ship 4,500 megawatts of wind, solar and geothermal power from remote areas of southern California to population centers in and around Los Angeles…"

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"…[R]egulators approved Edison's plan to develop the project and recover the costs up-front from customers in a departure from conventional transmission financing…[The] novel financing approach allowed the project to move forward and could be instrumental in pushing future transmission projects forward…[A] ribbon-cutting ceremony in Mojave, Calif., [celebrated] e the opening of the first part of the Tehachapi line…SoCal Edison plans to start construction on the second half of the Tehachapi project later this year, pending approval of permits…The company expects to complete the project by 2015.

"The utility has other transmission projects in the pipeline, including a $537 million, 150-mile line between Desert Hot Springs and Romoland that state regulators have approved, and a 35-mile line between Blythe, Calif. and Boulder City, Nev. estimated to cost $450 million, which is awaiting approval. SoCal Edison plans to spend about $5.5 billion on those and other transmission projects over the next years."

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"…[T]he California Public Utilities Commission estimated that 11 new transmission lines will need to be built over the next several years for the state to meet its renewable-energy mandates…Edison plans to develop a good chunk of them. The company is focused on developing transmission, rather than renewable energy facilities, to meet growing California demand for renewables…Edison's wholesale power generation business, Edison Mission Group, is also considering developing transmission projects as part of plans to develop renewable energy facilities…

"California law requires the state's investor-owned utilities to use renewable sources for a fifth of the power they sell by the end of this year, with the mandate set to expand to one-third renewables for all the state's utilities by 2020…"


CALIF UTILS FLOP ON EE
DRA Says CPUC Staff Report Confirms $2 Billion Utility Energy Efficiency Programs Failed Significantly to Meet Goals
May 4, 2010 (California Division of Ratepayer Advocates)

"The Division of Ratepayer Advocates (DRA), an independent consumer advocacy division of the California Public Utilities Commission (CPUC), …said that the state’s investor owned utilities should not be entitled to any shareholder bonus payments and may owe penalties due to their failure to reach 2006-2008 energy efficiency goals based on an independent CPUC staff report…

"The Energy Division’s staff report finds that on average the utilities - Pacific Gas and Electric Company, Southern California Edison Company, San Diego Gas & Electric Company, and Southern California Gas Company – reached only 70 percent of their 2006-2008 CPUC-prescribed energy savings targets. In contrast, the utilities’ self-reported achievements claim they achieved 160 percent of their goals."

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"In 2005, the CPUC approved the utilities’ request to spend $2 billion of customers’ money on energy efficiency programs with the expectation that the investment would reap $2.7 billion in net benefits for customers. Yet, the CPUC staff report shows customers only received $426 million in net benefits, or about 16 cents for every ratepayer dollar spent – without accounting for an additional $144 million in bonuses paid to utility shareholders…

"The CPUC implemented a reward program in 2006 allowing the utilities to earn bonuses for achieving as little as 80-85 percent of CPUC-established energy savings goals. The utilities could earn as much as $450 million in shareholder bonuses if the utilities exceeded goals. The CPUC deemed the shareholder bonus program a win-win for customers and shareholders, which would lead utilities to maximize energy savings and protect ratepayers."

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"In 2008, the CPUC acknowledged that the incentive mechanism was broken, yet simultaneously awarded the utilities $82 million in bonuses despite a previous Energy Division staff report that showed the reward was undeserved. Instead of protecting ratepayers, DRA believes the CPUC has prioritized expedient, regular incentive payments to shareholders based on utility self-reporting, and has justified undeserved bonus payments to utilities by consistently changing its own rules…

"Based on a recent ruling by the assigned Commissioner, DRA believes the CPUC may once again pay out shareholder bonuses despite poor utility performance. The ruling, released last month, opens the door to alter the shareholder bonus mechanism…DRA believes this ruling has set the foundation for the CPUC to continue to decrease the utilities’ energy savings goals after-the-fact…Ironically, this comes at a time when the state’s climate change plan calls for significantly increased energy savings from energy efficiency…DRA believes that energy efficiency programs are essential to achieving California’s climate change goals, but programs must be well-managed and cost-effective."


GREEN AND GORGEOUS
Organic, Recycled + Reclaimed…The New World of Eco-Fashion; Recycled Rubber Flip Flops, Reclaimed Metal Jewelry and Non-Toxic Beauty Products…

"…Green Envy, an online retailer of eco-friendly fashion, jewelry, beauty and accessories has officially launched its website, LoveGreenEnvy.com…[where it] offers eco-trendy consumers everyday fashion, beauty, jewelry and accessory products with an environmental twist…

"Products include flip flops made from recycled rubber, jewelry designed using reclaimed metals and threads, organic and natural fabric clothing and bags, a complete line of bath and beauty products that are non-toxic and even organic snacks."

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"…GreenEnvy is dedicated to supporting organizations that are committed to creating an equitable and sustainable world, and has set up a charitable giving program whereby a portion of each sale goes to a different green charity every month…"

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"GreenEnvy…is the brainchild of a trendy, international fashion designer and a philanthropic, business savvy vegetarian! With experience, trend awareness and a dedication to environmentally responsible fashion and beauty products, GreenEnvy’s team of designers have developed a line of products that utilize recycled materials, organic fabrics, and natural ingredients – reducing the impact on…[the] environment and [health]…"

[Cindy Keizman, GreenEnvy:] “We created a collection of trendy everyday products that gave consumers eco-friendly and ethical options across all fashion and beauty categories…”