Quantcast
Energy

Energy Transfer Pipeline Explodes in Pennsylvania

A pipeline exploded in Beaver County, Pennsylvania at approximately 5 a.m. Monday morning, causing a large fire and prompting the evacuation of dozens of homes in the area.

The 24-inch natural gas line, owned by Texas-based Energy Transfer Partners and its subsidiary Sunoco, was buried three feet deep and activated only a week ago on Sept. 3.

Keep reading... Show less
Sponsored
Energy
"This is what the raw crude oil looked like when firefighters arrived earlier in the 16900 block of N Pennsylvania." Oklahoma City Fire Department / Twitter

Pipeline Spews Raw Crude Oil in Oklahoma City

Raw crude oil spewed from a ruptured Sunoco pipeline in Oklahoma on Thursday.

The Oklahoma City Fire Department and hazmat crews responded to the situation after receiving reports of a "yellow liquid" shooting into the air near an oil and gas well site in Edmond, a suburb outside of Oklahoma City.

Keep reading... Show less
Energy
www.youtube.com

Sunoco Pipeline Spills Drilling Fluid Three Times in Same Area

Sunoco's controversial Mariner East 2 pipeline project has racked up even more spills.

Pennsylvania's Daily Local News reported that horizontal directional drilling triggered three releases of drilling fluid around the same site in East Goshen over the span of three days.

Keep reading... Show less
Videos
www.youtube.com

Sunoco Ordered to Temporarily Suspend Drilling on Pipeline Project

By Sharon Kelly

The Pennsylvania's Environmental Hearing Board ordered Sunoco Pipeline LP Tuesday to temporarily halt some types of work on a $2.5 billion pipeline project designed to carry 275,000 barrels a day of butane, propane and other liquid fossil fuels from Ohio and West Virginia, across Pennsylvania, to the Atlantic coast.

On July 19, three environmental groups presented Judge Bernard Labuskes, Jr. with documentation showing that the project had caused dozens of drilling fluid spills and other accidents between April and mid-June.

Keep reading... Show less
Energy

New Report Reveals Additional Fossil Fuel Subsidies Equaling $4 Billion Each Year

Oil Change International

By David Turnbull

A new report released today by Oil Change International and Earth Track exposes a largely unaccounted for subsidy to the fossil fuel industry, valued at roughly $4 billion per year and growing.

New analysis quantifies the value of tax avoidance by the fossil fuel industry through a corporate structure called “master limited partnerships (MLPs).” Though eliminated for most U.S. industries more than a quarter century ago, special rules protected eligibility for fossil fuels, and have allowed a growing range of oil and gas activities to escape corporate income taxes entirely.

The reportToo Big to Ignore: Subsidies to Fossil Fuel Master Limited Partnerships, finds that the oil, gas and coal sectors have increasingly dominated the MLP universe, now comprising well over three-quarters of the total. Existing estimates of the taxpayer costs associated with fossil fuel MLPs are deceptively low, reducing the pressure to end this tax break once and for all.

MLPs, such as those created by Enbridge, Sunoco and TransCanada, not only enable firms to escape corporate income taxes on profits, but also to delay most tax payments on distributions to partners by many years. As Forbes has said, MLPs are an “income and a tax shelter rolled into one investment.”

The MLP structure, according to the new report, cost the U.S. treasury as much as $13 billion in lost tax revenue between 2009 and 2012, a figure six times larger than previous estimates. Fossil fuel interests continue to convert to MLPs at an alarming rate through asset spin-offs, mergers and by seeking expanded eligibility granted not only by Congress, but also through rather secretive Internal Revenue Service (IRS) rulings.

“Not only does the U.S. oil boom imperil our communities and climate, but the increasing use of master limited partnerships allows the industry to pay even less of its share of the taxes needed to support those same communities,” said David Turnbull, campaigns director of Oil Change International. “The fossil fuel industry is busy destroying our air, water, land and climate, all the while finding new ways to avoid taxes.”

Oil and gas master limited partnerships (MLPs) dominate sector by market-cap as well

“Tax subsidies to fossil fuels through master limited partnerships go against both the fiscal and environmental interests of our country, yet are repeatedly overlooked in most federal oversight reports on subsidies,” said Doug Koplow of Earth Track, the report’s author. 

“Though recent efforts have looked to expand master limited partnership subsidies to some renewable energy resources, the evidence suggests that the fossil fuel sector will continue to capture the vast majority of the MLP subsidies even with an expansion," Koplow continues. "In the context of the climate crisis we face, the continuation of this subsidy to fossil fuels is inappropriate regardless of any potential benefits to new industries.”

Visit EcoWatch’s ENERGY page for more related news on this topic.

——–

SHARE YOUR THOUGHTS BELOW: Should these subsidies be applied to the renewable energy industry as well, or eliminated all together?

——–

Sponsored
Sponsored
Sponsored

mail-copy

The best of EcoWatch, right in your inbox. Sign up for our email newsletter!