More on BP’s guilty plea: it’s not just about the money
Cross-posted on CPRBlog. As already noted by Rick and Megan, last week BP pleaded guilty to 14 criminal counts arising from the 2010 Deepwater Horizon blowout in the Gulf of Mexico. Megan provided a good basic overview of the terms of the agreement. Here is the plea agreement itself. The amount of money BP has agreed to pay, in criminal fines and additional payments, has been the focus of most of the news coverage so far. The terms of BP's probation have gotten less att...
CONTINUE READINGSuperfund and climate change
Over the last several years, it's become fashionable in some circles to suggest that environmental law today reduces to climate change law. I've resisted that framing because I think it's important to remember that "conventional" environmental problems still exist, still matter, and must be addressed by strategies beyond climate mitigation or adaptation. But the fact that climate change isn't the entire universe doesn't mean it isn't relevant to an awful lot of environme...
CONTINUE READINGCalifornia raises almost $300 million in its first cap-and-trade auction
The California Air Resources Board (CARB) released the results from its first auction of greenhouse gas (GHG) allowances today. It sold all of the approximately 23 million current allowances (2013 vintage) at $10.09. It sold 14% of the approximately 39.5 million advance allowances (2015 vintage) at $10.00. As I discussed last week, the unsold advance allowances will be held by CARB and offered for sale in either late 2014 or 2015 when that vintage becomes "current."...
CONTINUE READINGTake a Hike!
Walking is a sufficiently novel idea to be the subject of newspaper stories -- as if our ancestors hadn't been doing it since long before Homo sapiens evolved. Anyway, walking is the hot new thing in D.C., according to the Washington Post: “Walkable” is a feature sparking sales and energizing future development and redevelopment, according to a recent report by a George Washington University professor that calls the Washington area a national model for compact urba...
CONTINUE READINGCan “Social Risk Assessment” protect China’s environment?
I've just returned from a month in Qingdao, China, so this story in the New York Times caught my eye. China's new leadership has announced that it will require a social risk assessment before any major industrial project can be begun. The idea is to forestall the increasingly violent environmental protests that have caused the cancellation of several recent projects. The story encapsulates for me some key differences between environmental policy in the US and in China --...
CONTINUE READINGGoodbye, Dan Lungren, Goodbye
It looks like Dan Lungren has lost his reelection bid for the Sacramento-area House seat, at least according to AP. His lifetime rating from the League of Conservation Voters was 4% -- the only surprise being that he must have voted for something pro-environmental a couple of times in his career. (Oddly enough, he came out in favor of removing the dam and restoring the Hetch Hetchy valley. Some observers viewed this as a way of taking a swipe at San Francisco by ...
CONTINUE READINGClimate is a Security Issue
The National Research Council (NRC) has recently released a study called Climate and Social Stress: Implications for Security Analysis. The security implications of climate change have been discussed in other, similar studies in the past, and this one is largely consistent with what has come before. The central message is that the changing climate will affect the United States, not only through weather and climate-related events in this country, but also through even...
CONTINUE READINGCap-and-Trade: Why Auctions are Better than Give-Aways
Earlier this week California began auctioning off greenhouse gas emissions allowances, and the sky has not fallen. But is an auction really the best way to distribute the allowances? The California Chamber of Commerce says no. Its lawsuit—discussed in recent posts by Ann, Rhead, and Sean—doesn’t challenge the State’s authority to limit greenhouse gas emissions, or the selling and buying of emissions allowances. It doesn’t challenge the “cap” or the ...
CONTINUE READINGBreakdown of the $4.5 Billion BP Criminal & Securities Settlements
As Richard noted in an earlier post, today, British oil company and deep water drilling giant, BP, announced that it had reached settlements of all federal criminal and securities claims related to the 2010 Deepwater Horizon oil spill in the Gulf of Mexico with the Securities and Exchange Commission (SEC) and the U.S. Department of Justice (DOJ). The criminal plea agreement and securities violation resolution remain subject to federal court approval before they are fin...
CONTINUE READINGWhat happens if not all allowances are sold at the first cap-and-trade auction?
California held its first cap-and-trade auction for greenhouse gas (GHG) allowances yesterday. The California Air Resources Board (CARB) will announce the results from that auction on Monday, Nov. 19. What happens if not all the allowances are purchased at the auction? The short answer is that unsold allowances will be withheld from the market and eventually offered for sale in a subsequent auction. And the "market clearing price" for the auction would likely be $...
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