E2 Morning Roundup: Rockefeller disses Bond’s EPA vote attempt, Interior chiefs meet with oil-state senators about drilling, Obama touts 2011 energy push and much more

Obama lists energy as a priority for 2011

In a wide-ranging interview with Rolling Stone magazine published online Tuesday, President Obama calls energy a top priority for him next year and promises to throw his weight behind the issue like he did for health care this Congress.

The problem of course is divided government, or at least a far slimmer Democratic majority in Congress, may thwart what some consider a belated concerted effort by Obama behind climate and energy legislation.

Obama says Salazar too slow

Obama in his Rolling Stone interview also says Interior Secretary Ken Salazar – and Obama himself – are responsible for Salazar not acting fast enough to overhaul the former Minerals Management Service.

Obama did praise Salazar for quickly moving to clean up a culture of corruption at MMS that included drug use and cozy relationships with industry officials.

Salazar sits with Louisiana senators

Salazar, meanwhile, along with Bureau of Ocean Energy Management, Regulation and Enforcement Director Michael Bromwich met Tuesday afternoon with Louisiana Sens. Mary Landrieu (D) and David Vitter (R) on the department’s moratorium on deepwater oil and gas drilling.

A readout of the meeting from an Interior official via email:

“Secretary Salazar made clear that he understands the Senators’ concerns, but that he will make decisions on the temporary deepwater drilling suspensions based on the progress of the reforms we are implementing and the recommendations of Director Bromwich. He will make those decisions independently, at his own pace, with the goal of creating a gold standard for worker safety, drilling safety, and environmental protection. Director Bromwich also provided an update on the progress of shallow water permitting. He has made it clear that BOEM will not be cutting corners or rubber stamping anything.  Oil and gas companies need to meet the new standards for safety and environmental compliance if they are going to be allowed to develop in U.S. waters.”

Landrieu hold still pending

Landrieu has placed a procedural hold blocking Obama’s nomination of Jacob Lew to be head of the White House Office of Management and Budget in order to get the administration to lift or relax the deepwater oil and gas moratorium and to quicken permits for shallow water drilling that have slowed since the Gulf of Mexico spill.

“Today’s meetings were focused on the issuance of permits and getting people in the Gulf Coast back to work,” a Landrieu spokesman said in an email. “However, Sen. Landrieu’s hold on Mr. Lew remains in place.”

Landrieu met separately with Bromwich in the morning before the two of them convened with Vitter and Salazar in the afternoon, her spokesman said.

She cites White House pressure

Landrieu Tuesday said she is getting pressure from the White House for blocking Lew’s Senate confirmation.

Senate Majority Whip Richard Durbin (D-Ill.) Tuesday reminded reporters that Obama has the option to get around Landrieu’s move by appointing Lew by a recess appointment.

And is not alone

Sen. Mark Begich (D-Alaska) has also promised to aggressively pursue options to speed up oil and gas drilling off his state’s coastline.

Begich was briefed by Bromwich Tuesday on a report Bromwich is giving Salazar this week with recommendations about the deepwater drilling ban. The Alaska Democrat “used much of his time with Mr. Bromwich to press the case for a clear timeline [Outer Continental Shelf] development in Alaska to move forward,” an aide said.

The Bromwich report, completed ahead of schedule, is widely expected to set the stage for lifting or easing the ban before its late November expiration. But it’s not clear how quickly Salazar will act. 

Bromwich — appearing Monday before a presidential commission probing the BP oil spill — said that even when the ban is lifted, it will take time for drilling to resume because companies must show compliance with beefed-up safety standards.
He warned not to expect drilling to resume “in the next day or even the next week,” once the limits are removed. 

Asked how many rigs he expected to be drilling in the first month, Bromwich replied, “In the first month, probably very few.” A BP executive told the panel to expect a “phased restart” because some rigs will be closer to compliance with new rules than others.

More funding for oil rig inspections upcoming

Our colleague Vicki Needham reports that the upcoming continuing spending resolution provides $25 million to the Interior Department’s BOEM for increased oil rig inspections in the Gulf of Mexico. The increase in funding is fully paid for by using unobligated funds.

Oil spill commission leaders call lack of subpoena power harmful

The
Senate’s failure to give subpoena power to the White House-created
panel investigating the BP oil spill is hindering its work.

“The
presidential panel probing the BP PLC oil spill isn’t getting full
cooperation from witnesses at some of the companies involved and needs
subpoena power from Congress to compel testimony, the commission’s
co-chairmen said Tuesday,” the Wall Street Journal reported.

The House has approved subpoena power for the
National Commission on the BP Deepwater Horizon Oil Spill and Offshore
Drilling. But the Senate has not acted and the path forward for oil
spill response legislation remains unclear.

House to
vote on ‘rare earth’ bill

Concern about rare earth minerals
is becoming increasingly common.

The House is likely to approve a
bill Wednesday to spur domestic supply of rare earth minerals that are
vital to clean energy technologies, such as wind turbines and hybrid
vehicles.

Rep. Kathy Dahlkemper’s (D-Pa.) bill is aimed at
beefing up Energy Department R&D, demonstration and application
programs to “assure the long-term, secure, and sustainable supply of
rare earth materials sufficient to satisfy the national security,
economic well-being, and industrial production needs of the United
States.” It would also authorize loan guarantees for projects to mine
and develop the materials.

Eye on China

Some
U.S. lawakers and officials fear the absence of domestic production, and heavy reliance on China for
the materials, could limit the growth of clean energy.

“Rare
earth materials are essential for our country’s technological
competitiveness and our national security, yet China is cornering the
market and we are falling behind. For the past decade, the United States
has been almost entirely dependent on China for our supply of rare
earth materials,” Dahlkemper said when the bill cleared the House Science and
Technology Committee last week.

Across the Capitol, a Senate
Energy and Natural Resources Committee panel will hold a hearing
Thursday on the role of rare earths in clean energy technologies. The
Energy Department announced in March that it is crafting a strategy for
addressing the issue.

A major labor union is alleging that
China’s policies hurt the U.S. as well. The United Steelworkers’
high-profile petition this month for a federal probe of Chinese clean
energy trade practices includes allegations that China is using export
quotas and other tactics to restrict access to the minerals. The steelworkers want the White House to bring a World Trade Organization case against
China.

Senate Republicans block Democratic mine safety bill

Our colleague Mike Lillis notes that Senate Republicans Tuesday shot down a Democratic effort to pass legislation strengthening safety protections for the nation’s miners. Sen. Mike Enzi (R-Wyo.) – who rejected Rockefeller’s request to approve the measure unanimously – accused Democrats of abandoning the bipartisan negotiations that might have led to such an agreement.

Rockefeller, Lautenberg unveil pipeline safety bill

Rockefeller, who chairs the Senate Commerce, Science and Transportation Committee, and Sen. Frank Lautenberg (D-N.J.) Tuesday introduced a sweeping plan to overhaul federal pipeline safety oversight, including increasing civil penalties for violating pipeline regulations and adding civil penalties for obstructing investigations.

Other changes to current law would include requiring the installation of automatic or remote-controlled shut-off valves on new transmission pipelines, requiring the Transportation secretary to limit the time for when pipeline operators have to notify local and state officials about accidents and leaks, and authorizing more pipeline inspectors and safety personnel.

The bill follows multiple recent pipeline accidents, including a fatal natural gas pipeline blast in San Bruno, California earlier this month.

On tap Wednesday: Begich, Brownback chat about energy

Begich and Sen. Sam Brownback (R-Kan.) will talk energy at an event at the Newseum hosted by National Journal at 8 a.m. Brownback is co-leading a bipartisan effort with Senate Energy and Natural Resources Chairman Jeff Bingaman (D-N.M.) to get consideration this year of a renewable power mandate. Durbin Tuesday though said consideration of that in a lame-duck session is a “long shot.”

Others – including Bob Simon, Bingaman’s committee staff director, and representatives from Resources for the Future and the Center for American Progress —  will appear on a second panel at the National Journal event.

On tap Wednesday Part 2: React to Mabus recovery plan

Conservation groups react to a Gulf Coast recovery plan Navy Secretary Ray Mabus announced Tuesday. Mabus – a former Mississippi governor who heads the administration’s effort to restore the Gulf after this summer’s oil spill – released a plan that includes steering a large amount of the Clean Water Act penalties against BP and other parties responsible for the Gulf spill into restoration.

Representatives from Oxfam America, Gulf Restoration Network, Ocean Conservancy the Louisiana Environmental Action Network will be on the 11:30 a.m. conference call.

The administration’s recovery plan also taps EPA Administrator Lisa Jackson – a native of New Orleans — to chair a Gulf Coast Ecosystem Restoration Task Force that President Obama will soon create by executive order.

In case you missed E2 Wire yesterday

Our Tuesday posts included:

LCV adds three to ‘Dirty Dozen’ list

Mississippi Gov. Barbour: States must call the shots on Gulf Coast recovery

Comedian Colbert backs land, water conservation campaign 

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