New Vermont law requires oil companies pay for climate change damage
The state of Vermont is breaking new ground by taking on the oil industry. The state passed a bill requiring fossil fuel companies to pay for damages that are caused by climate change. Vermont is the first state in the U.S. to make such a move.
This bill comes nearly one year after Vermont suffered catastrophic flooding, which washed out roads and bridges, caused mudslides, and resulted in consequential property loss of homes and businesses.
“For too long, giant fossil fuel companies have knowingly lit the match of climate disruption without being required to do a thing to put out the fire,” Paul Burns, executive director of the Vermont Public Interest Research Group (VPIRG), said. “Finally, maybe for the first time anywhere, Vermont is going to hold the companies most responsible for climate-driven floods, fires and heat waves financially accountable for a fair share of the damages they’ve caused.”
Vermont Gov. Phil Scott, R, allowed the bill to become law without his signature. He said that though he understands the desire to seek payments from oil companies, he’s concerned.
“Taking on ‘Big Oil’ should not be taken lightly,” Scott wrote in a letter to the General Assembly. “And with just $600,000 appropriated by the legislature to complete an analysis that will need to withstand intense legal scrutiny from a well-funded defense, we are not positioning ourselves for success.”
The law requires the Vermont state treasurer to provide a report by January 2026 on the cost of greenhouse gases on the state from Jan. 1, 1995, to Dec. 31, 2024.
The state will create a “Climate Superfund Cost Recovery Program” which would fine “responsible parties” and use the revenue for climate change projects. Those projects could include updating roads, bridges and railroads, upgrading stormwater systems and sewage treatment plants, and more.
The American Petroleum Institute responded in a statement. The Vermont law “retroactively imposes costs and liability on prior activities that were legal, violates equal protection and due process rights by holding companies responsible for the actions of society at large; and is preempted by federal law.”
Though Vermont is the first in the nation to pass this kind of law, New York, Massachusetts and Maryland are all considering similar legislation.
Raskin opens probe into Trump’s $1 billion request to oil executives
Rep. Jamie Raskin, D-Md., the ranking member of the House Oversight Committee, opened a probe into possible campaign finance violations by Donald Trump. The former president reportedly asked oil executives for $1 billion in campaign contributions in exchange for favorable tax and regulatory policies if he is reelected.
According to the Washington Post, Trump vowed to immediately reverse dozens of President Joe Biden’s environmental rules and policies during a second term. He described the request for $1 billion in fundraising as a “deal.”
Raskin described that as a quid pro quo proposition.
“[The reports] raise significant potential ethical, campaign finance, and legal issues that would flow from the effective sale of American energy and regulatory policy to commercial interests in return for large campaign contributions,” Raskin said.
Raskin sent letters to nine oil industry CEOs, including the heads of Chevron, Exxon and the American Petroleum Institute, requesting any information they have regarding the meeting and Trump’s reported proposal.
“Mr. Trump’s unvarnished quid pro quo offer is especially troubling evidence in light of recent accounts that the ‘U.S. oil industry is drawing up ready-to-sign executive orders for Donald Trump aimed at pushing natural gas exports, cutting drilling costs and increasing offshore oil leases in case he wins a second term,’” Raskin wrote.
According to the Post, Trump told the oil executives that his policies would open up new offshore drilling, speed permitting and relax regulations. He said those changes could lead to bigger profits.
That is a contrast to the Biden administration. According to the Post’s analysis, it overturned 27 Trump actions affecting the fossil fuel industry and completed 24 new actions.
Russia may disregard international law and environment to get Antarctica’s oil
Antartica, the most remote continent on Earth, is home to one of the planet’s most valuable resources, and Russia may be willing to decimate the environment and break international law to tap into the supply. Russian research vessels have reportedly identified 511 billion barrels of oil in Antarctica, a discovery valued at nearly $41 trillion.
That amount of oil is roughly 10 times greater than the entire 50-year output of the North Sea, which contains most of the world’s reserves.
European policymakers have raised concerns over Moscow’s intentions in surveying the area, with officials at the Commons Environment Audit Committee speculating the aim might eventually be to drill the region for fossil fuels.
Such an operation would be a breach of the 1959 Antarctic Treaty, a landmark accord that prohibits any mining activities on the continent in order to preserve its pristine environment for scientific research and peaceful purposes.
The prospect of Russia disregarding this treaty in pursuit of oil extraction could also have serious environmental consequences, as scientists warn that drilling in Antartica could result in irreversible ecological damage.
While Russia currently possesses significant oil reserves that could keep the nation supplied for an another estimated 60 years, economists say the supply may be dwindling. Factors such as fluctuating oil prices in recent years and geopolitical tensions, including Russia’s ongoing conflict in Ukraine and the resulting Western sanctions, have heightened Moscow’s interest in diversifying its energy sources.
Analysts contend that even a drop of just $5 in the price of oil per barrel could cost Russia almost $11 billion, and a decrease of $15 would be an expense for the nation that exceeds $20 billion. It is a situation that may cause Russian officials to eventually see mining Antarctica as a necessary solution.
Trump asks oil companies to raise $1B, vows rollback of Biden’s green policies
Former President Donald Trump is reportedly attempting to use financial backing from major players in the oil industry to aid his reelection bid. In exchange, Trump is promising to dismantle many of the environmental policies implemented by President Joe Biden.
According to sources cited by The Washington Post, Trump vowed to overturn current emissions regulations designed to promote electric vehicles if he is reelected.
This alleged commitment came during a meeting last month in Florida with top executives from leading U.S. oil companies, including Chevron, Exxon, Occidental Petroleum and more. To make it happen, Trump is asking for substantial financial support to support his presidential campaign. He requested that these oil companies donate $1 billion. As part of his fundraising efforts, Trump also signaled a willingness to consider several other concessions to the oil industry.
These overtures include reversing the freeze on permits for new liquefied natural gas exports, increasing lease auctions for oil drilling in the Gulf of Mexico and lifting drilling restrictions in the Alaskan Arctic.
Emphasizing the regulatory and tax relief that oil companies would gain under his administration, Trump referred to his billion-dollar proposal as a “deal.” For some in the industry, it may be just that considering what some Big Oil players spent to push back against Biden’s environmental regulations.
During the meeting, one oil industry executive allegedly complained about continued frustration with the current administration’s green agenda, despite spending $400 million to lobby the White House in the last year alone.
Gold isn’t the only commodity surging. It could bring bad news for inflation.
Analysts are scratching their heads trying to figure out why gold is on a tear right now. The commodity hit another record high Tuesday, April 9, ahead of Wednesday’s inflation report and the release of the Federal Reserve meeting minutes, where investors get a behind-the-scenes look at what the Fed is thinking in terms of cutting interest rates this year.
Gold is considered a safe-haven asset, a hedge against inflation and a place investors turn in times of geopolitical risk. Also, when interest rates go down, gold typically goes up.
The question remains, why the records now? There’s not one definitive answer. Geopolitical tensions have been going on for months while, and when the Federal Reserve will cut rates seems murkier than just a few months back. And that’s in part because while this shiny commodity is surging, so are others.
The commodity index, which contains a basket of commodities, is outpacing the S&P 500 index in 2024. That is driven by surges in copper, up more than 11%; gold, up around 14%; and oil, up about 18%.
Strong copper prices indicate a healthy economy, in part because the metal is widely used in construction and electronics. Higher demand for copper typically means more growth, but it also means as prices rise, that growth becomes more expensive.
The Federal Reserve is still forecasting three rate cuts in 2024, but as the economy and commodities continue to surge, inflation looks stickier and investors are starting to question if interest rates will stay higher for longer than originally expected.
Ukraine’s attacks on Russian oil may be too little, too late
Ukraine is using homemade drones to strike Russian oil facilities, leading Russian President Vladimir Putin to ban the export of refined fuels for the time being. Russia — the world’s second largest petroleum-producing nation — is now importing some refined products from Belarus.
Ukraine has been outmanned and outgunned for the majority of the war and is relying partially on unconventional weapons and tactics to fight against Russia.
About 50% of Moscow’s revenues come from oil and gas production. Ukraine has attacked over a dozen sites since the start of 2024, including storage depots, terminals and refineries. The cumulative impact of the strikes brought Russia’s refining capacity down an estimated 14%.
“The short answer is, it’s a smart move by the Ukrainians,” Matt Shoemaker, a former intelligence officer with expertise on Russia said. “And Ukrainians recognize that Russian oil and gas production in many ways is really their center of gravity. It’s the mechanism by which the Russians are able to continue warfare and to continue attacking Ukraine.”
Refining capacity does not impact crude oil sales, so Russia is still able to sell that to China and India. However, according to Shoemaker, the longer the targeted attacks on oil facilities continue, the harder it is going to get for Russia.
The money Moscow gets from oil and gas sales is used to hire and train more soldiers, build new weapons and armaments domestically or buy them from trade partners, including North Korea and Iran.
Cutting into this major source of revenue for Russia will impact the country’s ability to rearm and resupply its troops. The refineries Ukraine is targeting produce gasoline as well as diesel and high-octane fuel, which power most military vehicles and aircraft.
Some of the refineries and storage depots Ukraine is targeting are hundreds of miles away from the front lines, meaning the drones need to fly through Russian airspace. In theory, the airspace should be protected by air defense systems, but according to Shoemaker, Russia can’t defend both the facilities and the troops at the front line.
“With regards to their oil and gas industry, all of that is now state secret sort of stuff,” Shoemaker said. “So anything that comes out of the Kremlin, in terms of what they claim it is, you know, that you’re going to have to take a very heavy pinch of salt along with it. Now, the reason I bring that up is because, yes, on the one hand, what they could do is they could start moving air defense systems away from the front lines. That’s an assumption that we’re making that they would, they would move that. There might be some very old legacy air defense systems that are in storage, for example, that they could possibly draw from if those are still there.”
Russia may have older “legacy” air defense systems to deploy, but Shoemaker said he isn’t confident they would be able to stop Ukrainian drones, which are getting more powerful and have longer ranges than they did at the start of the war.
Shoemaker said that while the attacks on Russian refineries are proving fruitful, the technology to make the attacks possible might have come too late.
“This would have been certainly much more useful earlier on in the campaign,” Shoemaker said. “At this point, I don’t know if you saw the report that President Zelenskyy is lowering the age of draftees for the Ukrainian army. That’s certainly never a good situation. When you have to do that. That’s certainly sending a signal that they’re running out of men.”
Zelenskyy proposed lowering the draft age from 27 to 25. Russia is expected to conscript another 300,000 people into its military by June in anticipation of a large summer offensive.
Russia forming new armies, building railroads in Ukraine
Russia is still reeling from the attack at a concert that killed more than 130 people. ISIS-K, a wing of the Islamic State, claimed responsibility for the attack which also injured more than 180 people. However, Moscow is doing its best to tie Ukraine to the attacks and drum up more support for its war effort.
Russian forces launched a massive volley of missiles and drones against Ukraine following the terrorist attack, seemingly in reprisal. U.S. intelligence agencies said they have proof confirming the ISIS-K claim, but it’s expected Putin and propagandists in Russian state media will still push the Ukraine narrative as a means to keep up recruiting numbers.
Ukraine started warning weeks ago that Russia was preparing for a large summer offensive. Two days before the attack at the concert hall, Russia’s defense minister, Sergei Shoigu, announced the formation of two new armies this year.
The British Ministry of Defence said it’s not clear what type of units will make up the new armies, but they will likely include mechanized, armored, artillery and logistics brigades.
The U.K. said Russia’s recruiting efforts continue to be successful. So, the new armies shouldn’t have a staffing problem. But if recent history holds true, it’s likely the new armies will run into the same problems as the current armies. Specifically, the U.K.’s Defence Intelligence agency cites limited training, an over-reliance on what they’re politely calling legacy vehicles, and a wealth of infrastructure issues that are creating resource problems.
Russian equipment losses just passed the 15,000 mark, meaning Russian forces are driving around decades-old tanks, trucks and armored vehicles. All of these don’t perform nearly as well as more modern models but can still be effective in large enough numbers.
While Ukraine’s preparations for the pending Russian offensive continue all along the front lines, in the air, Ukrainian drone crews are finding new success against Russian oil refineries. Since the start of the year, there were attacks on at least seven facilities.
The forced shutdowns amount to a nearly 7% drop in daily output. Despite international sanctions, oil continues to be a primary source of income for Moscow, which is why so many military analysts call the refineries legitimate targets.
Russia said it would put Pantsir air defense systems around refineries to protect them, but that means fewer air defense systems elsewhere. Like shipyards, where Ukrainian long-range cruise missiles continue to add to the number of Russian ships at the bottom of the Black Sea.
A new rail line might make Russia’s Black Sea fleet unnecessary, at least in terms of resupply. Vladimir Putin recently said a new 60-kilometer stretch of railroad was just completed between Kolosky and Kamianka, in occupied Ukraine. That rail line is supposed to tie into existing rail lines that lead to Melitopol in southern Ukraine and another that leads to Rostov-on-Don in southern Russia.
Rostov is the capital of Russia’s Southern Military District. It’s also the main hub for resupply for troops in southern Ukraine and occupied Crimea. According to Putin, this rail line will eventually extend down into Crimea to Sevastopol, where the Russian Black Sea fleet is stationed.
The new railroad is meant as a backup to the Kerch Bridge supply, which goes from Russia into occupied Crimea from the east. Like the Kerch bridge, the rail line will be a primary target for Ukraine’s armed forces.
During the Ukrainian counteroffensive in 2023, Ukraine’s primary goal was to cut off Russian troops in southern Ukraine, by pushing down from their territory to the Sea of Azov. Ukraine also heavily attacked the Kerch Bridge in an effort to trap the Russian forces that are in southern Ukraine and occupied Crimea.
Why do they want to do that? Well, for many military analysts, that’s the best way for Ukraine to win. If Ukraine can create and hold areas that would cut off resupply to large numbers or Russian troops and civilians in Crimea, then Ukraine has the best bargaining chip possible to force possibly a Russian withdrawal from occupied territories, and potentially the end of the war.
Despite green energy transition, US produced world record amounts of oil
Former President Donald Trump’s prediction of President Joe Biden’s intentions to “destroy the oil industry” during the 2020 presidential campaign has not materialized as expected. In fact, the United States has witnessed unprecedented levels of oil production, outputting more of it than any other nation has in human history.
New data released by the Energy Information Administration (EIA) confirms this trend, revealing that the U.S. produced a record-breaking 12.9 million barrels of oil per day in 2023. This figure exceeds the previous worldwide high of 12.3 million barrels set in 2019 during the Trump administration.
These statistics defy the narratives pushed by some on the political right regarding the fate of the oil industry under Biden. However, they also challenge the notion that Biden’s policies aimed at transitioning away from oil have taken significant effect.
The Biden administration’s commitment to shift away from fossil fuels has included imposing moratoriums on new oil and gas leases on federal lands and waters, where nearly a quarter of the nation’s domestic oil supply still originated from prior to these measures. The White House has also introduced initiatives that impose new fees and emissions fines on the industry to incentivize a transition to alternative energy sources.
Nevertheless, American oil production accounted for almost one-fifth of the world’s total supply in the 2023, solidifying its position as the global leader. Not only that, but the U.S. is actually projected to surpass its 2023 oil production record multiple times in the coming years.
The surge in U.S. oil production can be attributed in part to geopolitical developments, particularly Russia’s invasion of Ukraine, which prompted European nations to seek alternative oil suppliers due to sanctions imposed on Moscow. Consequently, the U.S. emerged as the top crude oil supplier to Europe.
Advancements in drilling technology — notably horizontal drilling and hydraulic fracturing — have also played a pivotal role in increasing oil productivity. These innovations have enabled energy companies to extract more oil from existing sites, contributing to the surge in production.
Alabama enacts IVF protections following Supreme Court decision
Alabama’s Governor has signed a bill into law aimed at protecting IVF patients and hospitals from prosecution following a near-three week pause in treatments. And—why New York is deploying hundreds of National Guard members to city subways. These stories and more highlight The Morning Rundown for Thursday, March 7, 2024.
Alabama enacts IVF protections following Supreme Court embryo decision
Alabama Governor Kay Ivey enacted legislation safeguarding in vitro fertilization (IVF) practices, following a controversial state Supreme Court decision that classified frozen embryos as children. This landmark ruling had previously led hospitals to suspend IVF treatments, fearing potential criminal prosecution.
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The legislation, which was expedited through the state legislature and signed by the governor late Wednesday, comes in response to urgent calls for the state to address the implications of the Supreme Court’s decision. This decision had permitted couples to pursue wrongful death lawsuits if their frozen embryos were mishandled and destroyed at fertility clinics.
I have signed SB159, the IVF protections legislation, after it received overwhelming support from the Alabama Legislature. #alpolitics
— Governor Kay Ivey (@GovernorKayIvey) March 7, 2024
Under the new law, fertility patients, doctors, and hospitals are provided with legal protections, ensuring they “cannot be held criminally responsible if an embryo is destroyed.” Furthermore, the legislation stipulates that any civil damages awarded in such cases will be limited to the cost of one IVF cycle.
Following this significant development, some clinics in Alabama have announced that IVF treatments, which had been halted for two weeks, might resume as soon as today or Friday.
President Biden to deliver State of the Union address
President Joe Biden is slated to deliver his annual State of the Union address to the nation tonight, before a joint session of Congress this evening. The address is anticipated to cover key issues such as the economy, immigration, and the ongoing foreign conflicts in Ukraine and Gaza.
In tonight’s speech, Biden is expected to present his argument for re-election, leveraging one of his largest audiences ahead of the general election in November. The address follows closely on the heels of Super Tuesday, which has seemingly paved the way for a potential rematch between Biden and Trump in the upcoming presidential race.
Viewers can tune in to watch the State of the Union, which begins at 9 p.m. Eastern Time.
Armorer on ‘Rust’ movie set found guilty of involuntary manslaughter
Following the verdict, Gutierrez-Reed’s attorney announced plans to appeal the decision. Baldwin, who has consistently denied pulling the trigger in the fatal accident, is slated to stand trial in July and has entered a plea of not guilty.
Three people killed in first fatal Houthi attack on ships in the Red Sea
U.S. officials have reported a deadly attack by Iranian-backed Houthi rebels on a commercial ship in the Gulf of Aden, marking a significant escalation in regional tensions. The missile strike on a cargo ship resulted in the deaths of three crew members, the first fatalities in a series of Houthi assaults on shipping in the Red Sea.
The strike targeted the Barbados-flagged, Liberian-owned True Confidence, escalating tensions along a vital maritime route crucial for global shipping. Despite ongoing U.S. airstrikes against the Houthis, their aggressive actions persist, including the recent commandeering of a $50 million Kuwaiti crude oil cargo for Chevron Corp.
The U.S. Central Command reported the ship was hit by an anti-ship ballistic missile from Yemen, causing significant damage and injuring another four crew members.
Houthi military spokesman Brig. Gen. Yahya Saree stated the attacks aim to lift the “siege on the Palestinian people in Gaza.”
National Guard deployed to New York City subways to combat crime
In an effort to enhance passenger safety, a combined force of one thousand National Guardsmen and state police will be stationed throughout the subway network. These security personnel will focus on monitoring the city’s busiest stations and will conduct bag checks to search for weapons.
Addressing the recent violence, Governor Hochul stated, “These brazen, heinous attacks on our subway system will not be tolerated. So today, in the wake of these latest attacks, I’m unveiling a five-point plan to rid our subways of people who commit crimes and protect all New Yorkers.”
Oakland Athletics unveil new Las Vegas stadium designs
The Oakland Athletics are set to dramatically alter the Las Vegas skyline with their new $1.5 billion stadium, drawing inspiration from the iconic Sydney Opera House. The team and their design partners revealed plans for the ambitious project this week, signaling a new era for the city and the franchise.
Together with @BIG_Architects and @HNTBCorp, we have unveiled the design for our new ballpark project in Las Vegas on the Tropicana site. BIG will serve as the design lead and HNTB as the sports/hospitality designer and architect of record.
Scheduled to replace the 67-year-old Tropicana Las Vegas by 2028, the 33,000-seat domed stadium will boast an outfield glass window offering panoramic views of the Strip, alongside the installation of the largest video board in Major League Baseball, measuring 18,000 square feet.
A’s owner John Fisher highlighted the decision to incorporate a non-retractable roof, emphasizing the stadium’s versatility for hosting a wide range of events throughout the year. The project’s hefty $1.5 billion price tag includes $380 million in public financing, with construction slated to begin next year.
The Houthis have a new weapon to use in their attacks on ships in the Red Sea; Iranian-made uncrewed underwater vessels (UUVs). Basically, drone torpedoes.
U.S. Central Command, which oversees U.S. military operations in the region, said U.S. naval forces took out the submersible threat, along with three cruise missiles and a suicide drone on Feb. 17.
Downing cruise missiles and one-way drones is standard fare for U.S. and U.K. sailors in the Red Sea nowadays. However, according to CENTCOM, this is the first time the Houthis have used an underwater drone. Iran, on the other hand, has been honing its skills in the arena for years.
In addition to a couple of mini submarines, Iran’s navy has some larger subs capable of launching cruise missiles. However, the Iranian navy is much smaller than the U.S. fleet, and it relies more on unconventional tactics to try and affect the battlespace, like unmanned or uncrewed vehicles.
Whether those vehicles fly, float, drive, or dive, Iran makes them. In a video previously released by Iran’s Revolutionary Guard Corps, sailors demonstrated the use of a torpedo-shaped uncrewed submersible. The UUV moved slower than other torpedoes but is said to have a longer range. Some models appear to be guided by a wire, similar to the TOW missiles used by Bradley infantry fighting vehicles.
CENTCOM didn’t elaborate on what type of UUV the Houthis used, but there’s little doubt it was supplied by Iran. Maritime expert H I Sutton said based on his analysis of images which show a seized weapons shipment from Iran to Yemen, many of the components needed to make the Iranian UUV were included in the shipment.
And it’s not like the Houthis have any ability to design or deploy these weapons on their own. Without Iranian backing, the Houthis would have no power to speak of. So, the use of UUVs in the Red Sea is just the latest example that Iran is stepping up attacks against U.S. personnel.
There are now multiple reports that both IRGC commanders and leaders from Hezbollah are on the ground in Yemen, fighting shoulder to shoulder with the Houthi militants.
While the presence of Iranian troops isn’t having Tehran’s desired effect against naval vessels, commercial shipping vessels are much less prepared for the onslaught. The continued attacks on ships in the Red Sea and surrounding waters are driving up costs for all sorts of things. Global oil prices are hovering around three-month highs and will likely go up even more.
In potentially the biggest victory so far for the Houthis, a Belize-flagged cargo ship called the Rubymar was hit by a Houthi missile off the coast of Yemen. The ship, which is registered in the U.K., was packed with fertilizer. So, the crew abandoned it quickly.
A Houthi spokesman said the Rubymar sank, and while there was no immediate confirmation of its fate, the British government confirmed it was taking on water.
