Energy Security

There’s energy security and there’s energy.

The US could suffer a coast-to-coast blackout if saboteurs knocked out just nine of the country’s 55,000 electric-transmission substations on a scorching summer day[.]

This FERC study also pointed out that it’s not a fixed nine substations; there are various combinations of the nine that can achieve this.  Furthermore, if a transformer manufacturing plant is added to the mix of targets, a memo written by FERC staff for then-FERC Director Jon Wellinghoff warned

Destroy nine interconnection substations and a transformer manufacturer and the entire United States grid would be down for at least 18 months, probably longer[.]

This vulnerability has been known to FERC and others in the Federal government for quite some time, but FERC’s response has been limited to two actions: one has been to order the various utilities to “Handle it, handle it.”

The other has been to cover its own behind by calling out the press that exposed FERC’s failure:

Today’s publication by The Wall Street Journal of sensitive information about the grid undermines the careful work done by professionals who dedicate their careers to providing the American people with a reliable and secure grid.    Nonetheless, the publication of other sensitive information is highly irresponsible.  While there may be value in a general discussion of the steps we take to keep the grid safe, the publication of sensitive material about the grid crosses the line from transparency to irresponsibility, and gives those who would do us harm a roadmap to achieve malicious designs.  The American people deserve better.

You read that right.  FERC is busily denigrating those who’ve publicized this vulnerability failure.  What they should be doing is correcting this…weakness.  And explaining how they allowed this weakness to exist 13 years after terrorists attacked so devastatingly.  Or resigning their positions in the disgrace they’ve earned.

The American people do, indeed, deserve better.

A Twist on Sanctions

It turns out that all Crimean fresh water, 75% of its electricity, and—wait for it—a third of its natural gas run through the Ukrainian province of Kherson, which sits just on the mainland side of the peninsula that connects Crimea with the mainland.

Last week, Kherson’s regional legislature overwhelmingly passed a motion supporting the preservation of Ukraine’s territorial integrity.

Kherson’s leadership also said they’ll shut everything off if the referendum on joining Russia goes forward this weekend.

Hmm….

Administration…Foot-Dragging

Russian energy exports.  Ukraine, for instance, gets some 40%-50% of its natural gas from Russia, and Europe gets roughly 30% its natural gas from Russia.  Recall, just a few short years ago, too, the Russian extortion of cutting off those gas flows—in the middle of winter—over an alleged bill-paying (or not) scandal: it wasn’t those who supposedly weren’t paying the country’s gas bill who were harmed, though, it was the citizenry threatened with freezing temperatures in their own homes.  And as part of the Russian extortion, they cut off gas flows to Europe, too.

Now comes the Obama administration, with its control over our own ability to export natural gas to various places—for instance, to Europe and to Ukraine—or to the world generally.  The one export targets would directly break Russia’s hold over Ukraine and Europe, while the other would, at the least, drive down the price of natural gas, making it easier for those two to find and import other sources.  Yet this is the claim of Bill Gibbons, spokesman for President Barack Obama’s Energy Department:

Regarding specific Energy Department actions on LNG exports, the Department remains committed to an expeditious and responsible process.  We continue to make public interest determinations on a case-by-case basis, carefully considering economic, energy security, environmental and geopolitical impacts, among other factors.

Surely, breaking Ukraine’s and Europe’s dependence on Russian energy sources is a matter of geopolitical impact, especially with Russia having invaded Ukraine.  Yet the Energy Secretary, who under DoE’s permitting process can deny applications to countries that don’t have a free trade agreement with us, has approved all of six applications in the last three plus years to such countries, and he has some 24 more applications sitting on his desk with no action in the offing.  Certainly, all of those predate the present Russian assault, but acting on those export applications, rather than dissembling about them, would have an immediate favorable impact on Ukraine and Europe, if only through natural gas pricing on the world market—which would help these while harming Russia.

This administration automatically foot drags, even in an on-going crisis, on any matter pertaining to international affairs.  It has no understanding of foreign affairs, and so it’s wholly incapable of anticipating and planning for global events; this lack underlies its foot-dragging.

It’s no wonder our enemies have such contempt for us—and Ukraine is in the strait it’s in.

Keystone XL’s Fate

Here are two Congressmen who oppose building this pipeline.

  • Senator Tim Kaine (D, VA):
    • $15k-$50k stake in Kinder Morgan Energy Partners, intent on building a Keystone competitor pipeline
  • Congressman Alan Lowenthal (D, CA):
    • $15k-$50k stake in Enbridge Energy Management
    • $1-$15k in Kinder Morgan Energy Partners
    • $15k-$50k stake in Kinder Morgan Management; these three also are intent on building Keystone competitor pipelines

Crony capitalism, indeed.