Environment

One of my Least-Favorite Politicians

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…out of a wide range of potential choices, is Rep Jan Schakowsky (D-IL). I first became aware of this reprehensible individual after seeing the incredibly arrogant letter that she wrote to Kathleen Fasanella (of the blog Fashion Incubator) in response to Kathleen’s attempts to call attention to the harm being done to many small manufacturers by the ill-thought-out CPSIA legislation.

There are lots of reasons to dislike Schakowsky (see this, for example)—another such reason made its appearance Wednesday with her assertion, in an attempt to defend Obama’s suppression of the Keystone Pipeline project, that “Twenty thousand jobs is really not that many jobs, and investing in green technologies will produce that and more.”

Twenty thousand jobs is really not that many jobs?

There is of course a huge difference between a project funded with private money that will act to reduce America’s energy costs and increase its industrial competitiveness, and one funded with taxpayer money (much of it undoubtedly going to politically-well-connected corporations) which would quite likely act to increase America’s energy costs and thereby reduce its industrial competitivness. Perusal of Schakowsky’s bio reveals no experience at all working in the private sector, of course.

Whatever one thinks of the Pipeline and of various “alternative energy” options, surely it should be obvious to all that this CongressCreature’s cavalier dismissal of twenty thousand jobs should be considered unacceptable arrogance on the part of any American officeholder. It is a level of arrogance that, unfortunately, has become far too common among the government classes.

Assorted Links, or, I wish I could think up a better title for this post….

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The US could be almost self-sufficent for energy by 2030, while the EU will be the most vulnerable region for energy security, BP said on Wednesday.
 
Growth in shale oil and gas production would mean the US needed few imports, while North America as a whole could be self-sufficient, BP forecast at its Global Energy Outlook 2030.
 
BP forecast that Eurasia could also become self-sufficient, based on the prediction that Europe would being a net importer of energy, and the former Soviet Union countries net exporters by a similar amount.
 
In practice, this would leave the EU the most vulnerable region for energy security.

– The Telegraph

Friends, I have no particular knowledge of this subject. If you have anything to add in comments, I’d love to hear it.

Ah, age. One of the most daring aspects of this novel is that Lively is concerned with the hearts and problems of older characters. Her major players are well past their youth, and a boyish up-and-coming historian (the snake in Lord Henry’s mansion) doesn’t become important until much of the novel has passed. “How much remains when youth is gone?” Lively seems to be asking. And the answer is, “An abundance.” Here middle and old age are times of blossoming identity and possibility, miraculous bursts of sunshine.

– The New York Times reviews Penelope Lively’s novel, How it All Began.

Even as a twenty-something, I was fascinated with literary representations of middle age. An odd one, that’s me.

The EPA and You

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The Montreal Protocol is a document signed by many nations that gives us in the HVAC industry (and other industries as well) the road map as to how certain chemicals will be phased out over time, due to their ODP (Ozone Depletion Potential). Whether this is scientific or not is a discussion for another day. The fact is that the nations that signed on are obliged to follow the phase out.

Of particular interest to my industry over the last couple of weeks has been what is going to happen to R-22. Any of you reading this in your homes or office buildings that have air conditioning probably have a machine that uses R-22 within rock throwing distance. With the quicker phaseout of refrigerants R-12 and R-502, many commercial refrigeration applications moved to R-22 as well.

In addition to this, I have one more sidetrack to make before I get to the main point of this post. A few years ago there were to be no more new units made that used R-22 refrigerant. The Chinese exploited a loophole in the poorly written law and kept making units that used R-22, but shipped them “dry” – in other words, the technician in the field would put the refrigerant in the unit upon installation.

The OEM’s in the US put up a huge stink and demanded the EPA either close the loophole, or let everyone do it. They let everyone do it. These units were enormously popular last summer. In a central air conditioner for home use, contractors were once again able to “cut ’em out, cut ’em in” like they used to do. Before the availability of the dry R-22 units, contractors were forced to swap out the evaporator coils on the inside of the house since the new condensers, charged with the new refrigerant R-410a, are not compatible with old R-22 evaporators. To be honest, the new dry R-22 condensers aren’t either, but that is a different post for a different day. They worked, for now, and everybody was happy.

This brings us to January 2012. The previous rule for R-22 phase-out written by the EPA allocated 100 million pounds for 2011 and 90 million pounds for 2012. The EPA decided to accelerate this and was proposing anywhere from 55 to 80 million pounds for 2012. But the EPA sat on its hands and didn’t issue a ruling at all! Worst case scenario. This from one of the manufacturers of R-22 on January 5:

As of today, no producer or importer has the legal right to manufacture or import R-22 for refrigeration or air conditioning use. Under such circumstances the EPA is expected to issue ‘non enforcement’ letters to allow business continuity.

Consequently, given the current absence of non-enforcement letters and the possibility of significantly higher than previously expected reductions in allocation rights, (company x) must now evaluate the impact such a reduction may have on our ability to meet customer demands.

Meanwhile, since then, the EPA has proposed cutting the R-22 allocations by FORTY FIVE percent. This does not help business continuity, to say the least! In addition, no final ruling has been made, and we still don’t know the true allocations.

So what are the results to the market?

It is destroyed. Manufacturers are not accepting orders for any price right now. Consequently, guys like me (distributors) are halting all large quantity sales until we can figure out what is going on. Oh, the price? Since the first of the year, it has tripled to the street.

The market for R-22 is completely locked down and in a total state of chaos. Rumors are flying, and contractors don’t know who to believe or what to do.

In addition, it is time for us to begin ordering our air conditioning equipment to sell this summer. Nobody has any idea at all what to do about the dry R22 units. Will they be allowed to be sold? Will the cost be prohibitive with the new allocations/pricing on R22?

All this and more, courtesy of the Environmental Protection Administration.

So if your air conditioner conks out this summer in your house or business, or if you own a convenience store and a refrigeration unit goes down, or if you work in a restaurant and a walk in cooler goes down, expect that bill to be WAY higher than you thought it would be.

Not judging, just sayin’.

A Revived Delight

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I know that in Louisiana, they are trying to create a culinary demand for nutria, since the wretched beasts have outworn their welcome in the wetlands there. They were once imported from South America for their fur but I have no idea why American grey squirrels were inflicted upon Great Britain. You’d think they had enough problems of their own without adding imported, fluffy-tailed tree rats to them … maybe it was payback for that fool who wished America to have every critter mentioned in Shakespeare.

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Wind, Water, Electricity, and Bureaucracy

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The Federal Energy Regulatory Commission has ruled against the Bonneville Power Administration, which is itself a creature of the Federal Government. The case provides an interesting microcosm of the difficulties encountered in doing any kind of large-scale productive work in the increasingly rule-driven environment of contemporary America.

BPA’s mission is to provide electrical generation and transmission services in the Pacific Northwest. In May-July of this year, the agency suffered from an embarrassment of riches: owing to weather conditions, vast amounts of both water power and wind power were available. Storing large amounts of electricity, though, is not a very practical proposition: in most cases, supply and demand needs to be balanced on an instant-by-instant basis. Hence BPA needed to cut either its hydroelectric generation or its wind generation, the latter of which comes in substantial part from independent businesses which sell their output to the BPA. The only alternative was to engage in “negative pricing”–ie, paying various entities–either customers or other power providers–to take its excess electricity.

The agency did not believe it could legally cut the hydropower generation below a certain level: routing excess water over spillways causes it to pick up nitrogen, which is believed to be harmful to salmon, and hence in BPA’s interpretation would be in violation of the Clean Water Act and the Endangered Species Act. What BPA did instead was to tell the the wind operators that during this time period it didn’t need or want all of their output–100,000 megawatt-hours of potential generation was turned away. The wind operators, unsurprisingly, filed a complaint, and FERC sided with the operators. So next time there is an oversupply situation in the Pacific Northwest, BPA will be paying to give its power away–ultimately resulting, of course, in higher electricity bills for its customers.

Various technical fixes for problems of this kind are being discussed, such as the remote control of water-heater thermostats in homes and businesses (which would allow excess electricity to be stored in the form of heat) and the interconnection of power grids across wider geographies. But basically, operating a power grid reliably and economically is already a difficult problem. Adding substantial amounts of relatively-unpredictable capacity such as wind makes it harder still, and each additional regulatory constraint makes it even more so.

The continuing proliferation of rules, many of them adopted without any deep consideration of their implications, makes increasingly difficult the running of productive activities of any kind.

Related: Frankly, my dear, I do need a dam