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Politico Morning Energy - Democrats eye Zinke investigations

Kelsey Tamborrino 

GAVEL GAZING: If midterm voters hand the House majority back to Democrats, Interior Secretary Ryan Zinke could find himself with a bull’s-eye directly on his back. Several high-ranking Democrats stand ready to launch oversight investigations into the secretary, who already faces open ethics investigations into his interactions with lobbyists and the oil industry, as well as his policy decisions to open up offshore waters to drilling and slash national monuments, Pro’s Anthony Adragna and Ben Lefebvre report this morning. 

"Zinke is one of the most ethically challenged members of the Cabinet and maybe one of the most ethically challenged secretaries of the Interior we’ve had in living memory,” said Rep. Gerry Connolly, who’s in line to chair the Oversight Subcommittee on Government Operations and who would have broad jurisdiction to probe Zinke’s conduct in office. “[There’s] rich material here to look into his behavior and his fitness for continued service in the office.”

But it’s Natural Resources ranking member Raúl Grijalva who could serve up the most scrutiny. If Grijalva takes the gavel, he’ll be armed with an already long list of questions he wants answered. Besides the 27 letters Grijalva says he’s previously sent to Interior — two of which he received responses to — Democrats on the committee have hinted at their plans in an ongoing series of Medium posts alleging Republicans have “managed to ignore almost every important environmental issue we face.”

Chairman Rob Bishop scoffed at the rhetoric pointing to Zinke as the most scandal-plagued of Cabinet members. “That’s probably at best an overstatement,” he said, adding he has “no clue” how Democrats would approach Zinke if they led the panel. Interior, for its part, says Zinke is ready to take on whatever Democrats throw at him. “In his 23 years of military service, and continued public service after that, Ryan Zinke has dealt with far more formidable opponents and never quit,” said Interior spokeswoman Heather Swift. Read more.

IT’S THURSDAY! I'm your host, Kelsey Tamborrino. FTI Consulting’s John Sutter was the first to name the three nations that begin with United: the United States, United Kingdom and United Arab Emirates. For today, another geography question: Which is the world’s second-youngest country? Send your tips, energy gossip and comments to ktamborrino@politico.com, or follow us on Twitter @kelseytam, @Morning_Energy and @POLITICOPro.

THE TRUMP POLICIES LIKELY TO WORSEN FLOODING: President Donald Trump traveled to communities hit by Hurricane Florence in North and South Carolina on Wednesday to survey flooding, distribute meals, tout the federal government’s response — and ask officials about the Lake Norman area of North Carolina where one of his Trump National Golf Clubs is located. “I love that area,” he said. “I can’t tell you why, but I love that area.”

But looming over the visit is the reality that Trump-era environmental policies are likely to worsen devastation from future disasters like Florence, Pro’s Annie Snider reports. From relaxing federal building standards, rolling back wetland protections and delaying action on coal ash ponds, Annie highlights five examples of regulatory rollbacks that will matter in the coming years — and decades.

For example, attention this week has heavily focused on coal ash ponds dotted across the banks of North Carolina rivers and lakes. Florence brought rains that caused more than 150 dump trucks’ worth of coal ash to break free from a Duke Energy landfill north of Wilmington. But similarly leaky ponds are in use in most other states — and the Trump administration has taken steps to extend their lifespans, Annie writes. A previous rule from the Obama administration would have required coal ash ponds built in or near water to be closed by April 2019, but the Trump administration this summer extended that deadline by a year and a half, and could roll it back even further.

Duke Energy said Wednesday it collected water samples from various locations showing coal ash released from a landfill under construction hasn’t affected the water quality in Sutton Lake in Wilmington. The company said it continues to monitor water levels in the Cape Fear River. The company also reported Wednesday that 114,000 customers remained without power, with most of them in North Carolina.

FERC IS BACK! After surviving the August heat, our reward seems to be a straightforward September FERC meeting today. There’s a discussion item to spell out the agency’s memorandum of understanding with the Pipeline and Hazardous Materials Safety Administration meant to help process the stack of more than a dozen applications for liquefied natural gas export terminals. But after that, the agenda is a bit of a snore. In an official agency podcast last week, FERC Chairman Kevin McIntyre, who noted his improving health, said the agency’s work on improving grid resilience and re-examination of its 1999 natural gas policy statement were still high priorities, despite having a commission that is split on these issues. The meeting starts at 10 a.m. at FERC headquarters.

METHANE THOUGHTS: EPA’s recent proposal loosening a key Obama-era rule curbing methane pollution from oil and gas wells has raised concern among environmentalists who fear what comes next. But for registered voters, the EPA proposal is slightly more divisive. A new POLITICO/Morning Consult poll found that 34 percent of registered voters strongly oppose the EPA proposal, while 9 percent are only somewhat opposed. On the reverse side, 16 percent of voters strongly supported the move, while 18 percent only somewhat did.

Breaking those numbers down further, the poll asked voters what they thought of EPA’s estimates that the proposed changes could save up to $484 million in regulatory costs. Forty-seven percent of voters said that made them either “more likely” or “somewhat more likely” to support the proposal, while 22 percent said the opposite. Yet, when asked a similar question about EPA estimates that the changes could increase emissions of methane and other air pollutants, 10 percent of voters said that would make them “much more” likely to support the proposal, while 33 percent said it would make them much less likely. In the middle: 13 percent said the increase in emissions would make them “somewhat more likely to support,” and 16 percent said it would make them “somewhat less likely to support.”

The story of the hurricane: Forty-nine percent of registered voters said they’d trust the Trump administration either “not much” or “not at all” to handle disaster relief efforts in their community, while 43 percent of voters said they’d trust the Trump administration either “a lot” or “some.” Fifty-one percent of voters said Trump’s response to the hurricanes in Puerto Rico have been inappropriate, with 28 percent saying they were appropriate. The poll surveyed 1,564 registered voters and has a margin of error of plus or minus 2 percentage points. See the toplines and crosstabs.

HANFORD SETTLEMENT REACHED: A settlement agreement was reached with the Energy Department over a three-year battle concerning chemical vapors vented from mixed waste stored in underground tanks at the Hanford nuclear site. DOE and its contractor, Washington River Protection Solutions, LCC, signed the agreement Wednesday which stems from a 2015 lawsuit brought by Washington state, Hanford Challenge and Local 598 of the United Association of Plumbers and Steamfitters. Under the agreement, the agency must reimburse Washington state and Hanford Challenge $925,000 for costs and fees, test new technology to capture and destroy tank vapors, and install new vapor-monitoring and alarm systems, among other requirements. "This is an historic outcome, but let’s be honest 3/4 it should not have required a lawsuit to get the federal government to do the right thing," Washington Attorney General Bob Ferguson said in a statement.

BROUILLETTE TO DELIVER ENERGY FIRST MESSAGE: While the G-7 environment, energy and oceans ministerial continues in Halifax, Nova Scotia today, Deputy Energy Secretary Dan Brouillette is slated to meet with his global energy counterparts to “emphasize energy security as a top priority for both the G-7 and the Trump administration, and underscore the administration’s desire for a balanced approach to energy that protects the environment while promoting infrastructure investment and economic growth.”

On Wednesday, acting EPA Administrator Andrew Wheeler spoke to The Canadian Press from the meeting, where he called the United States' approach "different" than the other G-7 nations and defended Trump's support of the coal industry. "China is increasing, India is increasing. Worldwide coal usage is going to go up, and what we want to make sure is we're producing the cleaner technologies for export to other countries," Wheeler said. The administrator also reiterated Trump's thoughts on the Paris agreement and his own on climate change.

EPA PROPOSES SHRINKING HFC RULE: EPA is weighing limiting an Obama-era rule on hydrofluorocarbons, which it says would lead to a significant increase in greenhouse gas emissions. A Wednesday proposal from the agency would rescind the rule that sought to extend leak repair requirements for large refrigerant systems to include those that relied on HFCs, Pro’s Alex Guillén reports. “EPA says it now believes it does not have the authority to set leak requirements for non-ozone depleting substances, such as HFCs. The proposal would result in increased greenhouse gas emissions equivalent to 3 million metric tons of carbon dioxide, equal to the annual emissions of 630,000 passenger vehicles, according to EPA’s GHG calculator.”

DEMS TO TRUMP: TAKE IT BACK: More than 100 lawmakers are calling on the president to renounce his previous statements negating the official death toll of Hurricanes Irma and Maria in Puerto Rico. The bicameral letter, led by Sen. Elizabeth Warren and Rep. Nydia Velázquez, condemns the president’s tweet that “3,000 people did not die in the two hurricanes that hit Puerto Rico,” despite a government-backed study that says the opposite. The letter calls on Trump to apologize for the comment, which they say is “grossly inaccurate, callous, embarrassing and beneath the dignity of the Office of the President of the United States.”

TAKE A GLANCE! The Democrats on the Joint Economic Committee are out with a report today arguing that federal support for rebuilding the Puerto Rican electric grid is crucial to getting the island’s economy humming again. Failing to ensure reliable electricity will further harm the ability to attract businesses to Puerto Rico and could fuel ongoing population emigration. Given the high cost of fossil fuels on the island, accelerating the transition to renewable energies could also help promote economic growth, the report adds. “We must focus on supporting local efforts to rebuild the power grid and other important infrastructure so it is resilient against future disasters and helps jump-start economic recovery on the island,” Sen. Martin Heinrich, ranking member on the committee, said in a statement.

ONE YEAR LATER: Democratic Rep. Bennie Thompson, Velázquez and Grijalva will lead a congressional conference this morning to mark the one-year anniversary of Hurricane Maria’s landfall in Puerto Rico and the U.S. Virgin Islands. The “Reflecting on Catastrophe and Preparing for the Future” event will feature three panel presentations from non-governmental groups, the private sector and academia on response efforts, vulnerable communities and what’s next. If you go: The conference kicks off at 9:30 a.m. at HVC-215.

OUTDOORS, IN: A coalition of outdoor recreation trade groups will hold a Hill briefing today to discuss a new government report on the impact of the outdoor recreation industry. That report, which will be released this morning by the Bureau of Economic Analysis’ Outdoor Recreation Satellite Account, includes the “first-ever prototype statistics detailing the industry’s contribution to U.S. GDP.” The report is expected to detail how the outdoor rec industry is growing into one of the top job creators. Sens. Steve Daines and Joe Donnelly, as well as Commerce Secretary Wilbur Ross, are expected to attend the briefing.

MAIL CALL! House Science Chairman Lamar Smith and Research and Technology Subcommittee Chairwoman Barbara Comstock sent a letter to Comptroller General Gene Dodaro on the committee’s oversight of allegations of sexual misconduct within the scientific community, as well as recommendations for GAO in addressing the issue. As part of findings from the committee released Wednesday, lawmakers, for one, recommended that sexual harassers in academia be stripped of federal grants.

— The Gwich'in Steering Committee sent a letter to SAExploration, the only company that applied to conduct seismic testing in the Arctic National Wildlife Refuge, asking the group to withdraw its application.

QUICK HITS

— “Trump hit Iran with oil sanctions. So far, they’re working,” The New York Times.

— “Pa. shale gas production picks up as Chesapeake resumes volume growth,” S&P Global Market Intelligence.

— “New review shows oil and gas debt at lowest levels since late 2014,” Houston Chronicle.

— “Dems see tax panel as a venue for energy, climate policy,” E&E News.

— “Georgia lawmakers ask Plant Vogtle owners to cap costs,” The Florida-Times Union.

— “Zero-emissions backers propose PJM capacity principles,” RTO Insider.

The Sept. 19, 2018 edition of Morning Energy incorrectly identified who is leading the U.S. delegation at the G-7 ministerial. It is acting EPA Administrator Andrew Wheeler.

THAT'S ALL FOR ME!

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