MDN’s Energy Stories of Interest: Thu, Apr 3, 2025 [FREE ACCESS]
MARCELLUS/UTICA REGION: Avangrid delivers first energy from Powell Creek solar project to Ohio grid; OTHER U.S. REGIONS: Maryland energy reform bills focused on new power generation pass the Senate; New York could save New Englanders $1B if it stopped blocking a natural gas pipeline; NATIONAL: May natural gas futures bounce back above $4; US senators urge energy secretary to follow law on clean energy grants, loans; Judge hammers EPA over lack of proof of wrongdoing in terminating $20B in climate grants; USA crude oil inventories rise more than 6MM barrels week on week; Oil rises, but doubts dominate; May natgas contract looking to establish new post-winter trading range; Climate change lawsuits on tenuous legal grounds; Trump’s climate policy shift could save American farmers from disaster; Trump’s tariffs already have a major carve-out…oil and gas; Years of climate action demolished in days.
MARCELLUS/UTICA REGION
Avangrid delivers first energy from Powell Creek solar project to Ohio grid
Avangrid, Inc.
Avangrid, Inc., a leading energy company under the Iberdrola Group, has begun delivering energy from its Powell Creek Solar Project in Putnam County, Ohio, to the local electric grid as of April 2, 2025. This 150 MWac (202 MWdc) facility, Avangrid’s second solar project in Ohio, is set to power approximately 27,000 homes annually with clean energy, supporting the state’s transition to sustainable power. The project has already created over 500 construction jobs, with 85% filled by Ohio residents, and is expected to contribute $1.5 million yearly in tax revenue to the county. Featuring over 350,000 solar panels and advanced technology, Powell Creek enhances grid reliability while delivering economic benefits like job growth and landowner payments. Avangrid’s CEO, Pedro Azagra, emphasized the project’s role in meeting rising energy demands and fostering community prosperity through renewable energy investment. [MDN: This solar project is big, ugly, and produces a fraction of the power a gas-fired plant produces. The Powell Creek Solar Project sits on 950 acres and produces 150 megawatts of electricity—when the sun is shining. At night it producers ZERO power. Meanwhile, a modestly-sized gas-fired power plant that sits on 10 acres could produce 10X as much electricity around the clock. Solar is a loser, not to mention the panels contain highly toxic PFAS “forever chemicals” that, if they leak into the ground, create an environmental disaster.]
OTHER U.S. REGIONS
Maryland energy reform bills focused on new power generation pass the Senate
Maryland Matters
On April 2, 2025, the Maryland Senate passed a series of energy reform bills aimed at boosting in-state electricity generation through diverse sources like solar, nuclear, and natural gas, while addressing soaring electric costs. The legislation, which includes long-term energy planning and a modest ratepayer rebate averaging $80 per household in fiscal 2026, seeks to reduce reliance on imported power and stabilize prices. A key bill establishes uniform standards for solar projects to counter inconsistent local regulations, spurred by the retirement of coal and oil plants and rising demand from data centers. Senate President Bill Ferguson emphasized returning funds to ratepayers efficiently while tackling the complex issue of cleaner energy generation. Despite debates over amendments, such as one proposing more direct consumer relief, the package passed, reflecting a balanced approach to immediate relief and sustainable energy solutions amid concerns over projects like the Maryland Piedmont Reliability Project. [MDN: While Maryland will force huge, ugly, part-time solar energy projects on the population, the good news here (if there is any) is that it at least pays lip service to more natural gas-fired power plants. According to Republican Sen. Justin D. Ready (R-Carroll and Frederick), the bill didn’t go anywhere near far enough with incentives for natural gas power plants (he voted against because of that). But still, at least the wackadoodles in Maryland are not outright rejecting new gas-fired power in the state.]
New York could save New Englanders $1B if it stopped blocking a natural gas pipeline
The Federalist
New York’s obstruction of the Constitution Pipeline, a proposed 124-mile natural gas conduit from Pennsylvania’s Marcellus Shale to New England, has led to significant economic and environmental consequences. The pipeline could have saved New Englanders approximately $1 billion in energy costs by providing a more affordable and reliable energy source than current alternatives. In March 2025, President Donald Trump urged New York to approve the project, highlighting potential household savings of up to $5,000 annually. Despite discussions between Trump and New York Governor Kathy Hochul, no agreement was reached. Environmental activists’ influence has also resulted in New York banning natural gas in most new buildings, pushing the region toward costly renewable energy transitions. A November 2024 report estimated that achieving net-zero emissions by 2050 would require an $815 billion investment, potentially leading to energy instability and prolonged blackouts, posing risks to vulnerable populations. [MDN: We’re still hopeful that Hochul will back down on the Constitution Pipeline. The Trump admin is exerting maximum pressure on her to do so.]
NATIONAL
May natural gas futures bounce back above $4
NGI’s Daily Gas Price Index
May Nymex natural gas futures rallied on Wednesday, climbing 10.4 cents to $4.055/MMBtu, driven by chilly April weather and a slight slowdown in gas production, potentially tightening near-term market balances. Cash markets also rose, with NGI’s Spot Gas National Avg. up 14.0 cents to $3.265. Traders focused on President Trump’s tariff announcement, imposing a 10% blanket tariff on all imports, with higher rates for China (34%), Japan (24%), and the EU (20%), creating uncertainty about natural gas demand amid fears of a trade war or reduced industrial use. Canadian imports remained strong at 5.8 Bcf/d, above the 30-day average, while Lower 48 output hit 102.2 Bcf/d. Chilly weather and the start of injection season could boost demand, with the forward curve showing January prices at $5.40, incentivizing storage purchases at current levels, according to StoneX Financial’s Thomas Saal. [MDN: We like the price above $4.]
US senators urge energy secretary to follow law on clean energy grants, loans
Reuters
On April 2, 2025, U.S. Democratic senators urged Energy Secretary Chris Wright to adhere to laws mandating funding for clean energy projects, such as four hydrogen hubs, established under previous legislation before President Donald Trump’s tenure. These hubs, part of a $7 billion initiative from former President Joe Biden’s decarbonization efforts, aim to produce “clean hydrogen” for industrial use, but Wright’s Department of Energy is considering cuts to four of the seven hubs. The senators, including Martin Heinrich and Patty Murray, emphasized in a letter that Congress holds the power to appropriate funds, and the President must execute these laws faithfully, not override them with personal policy preferences. They expressed concern over potential defunding of projects like hydrogen hubs, carbon capture, and battery storage, already supported by the Inflation Reduction Act and other Biden-era laws. The DOE, conducting a review, did not immediately comment. [MDN: Oh yeah, “follow the law.” These are the SAME Democrats whose family members and friends will put millions of those billions into their own pockets. They are sleazy, disgusting, and grotesquely CORRUPT. Everyone now sees the corrupt Biden administration for what it was—a government shakedown of taxpayers. We urge Chris Wright to ax the entire hydrogen hub program—all of the projects.]
Judge hammers EPA over lack of proof of wrongdoing in terminating $20B in climate grants
POLITICO
On April 2, 2025, U.S. District Judge Tanya Chutkan sharply criticized the Environmental Protection Agency (EPA) for attempting to terminate $20 billion in climate grants without evidence of wrongdoing, as reported by Politico. The grants, part of the Biden-era Greenhouse Gas Reduction Fund under the Inflation Reduction Act, were frozen by EPA Administrator Lee Zeldin shortly after President Donald Trump’s inauguration, citing alleged fraud and mismanagement. Chutkan, during a hearing, expressed frustration over the EPA’s failure to provide any investigation or proof to justify the cancellation, questioning the agency’s legal authority to act unilaterally. The judge’s remarks came amid lawsuits from grant recipients, like Climate United Fund, seeking to restore access to the funds intended for clean energy projects in disadvantaged communities. The EPA’s move has sparked a broader legal and political battle over the Trump administration’s efforts to dismantle Biden’s climate legacy. [MDN: Who is Judge Chutkan? She is an Obamadroid, appointed by our Lord and Savior Barack Hussein Obama in June 2014. Who was pulling the strings of the Biden administration over the last four years? Obama. That about says it all with respect to Chutkan. We absolutely MUST reform our judicial system to stop this overreach by leftist judges.]
USA crude oil inventories rise more than 6MM barrels week on week
Rigzone
On April 2, 2025, the U.S. Energy Information Administration (EIA) reported that U.S. crude oil inventories surged by 6.2 million barrels for the week ending March 28, reaching 439.8 million barrels, up from 433.6 million the previous week. This increase contrasted with a 3.3 million barrel drop the week prior and exceeded Macquarie strategists’ forecast of a 4.2 million barrel rise. The EIA noted that inventories remain 4% below the five-year average, while Strategic Petroleum Reserve stocks edged up by 0.3 million barrels to 396.4 million. Gasoline prices rose to $3.162 per gallon, a $0.047 increase week-on-week, though still $0.355 below last year’s price, while diesel climbed $0.025 to $3.592 per gallon, down $0.404 from a year ago. Refinery inputs dropped by 192,000 barrels daily, averaging 15.6 million barrels per day, amid a 1% decrease in utilization rates to 86%. [MDN: The notable thing about this news is that even with a “big” increase of 6.2 million barrels added to storage, our crude storage levels are still 4% below the 5-year average.]
Oil rises, but doubts dominate
Bloomberg/Rigzone
On April 2, 2025, oil prices edged up, with West Texas Intermediate climbing 0.7% to $71.71 per barrel and Brent rising 0.6% to $74.95 per barrel, as traders anticipated U.S. tariff announcements from President Donald Trump, expected later in the day, which could impose immediate sweeping duties. The tariff proposals under consideration included a tiered system with flat rates for different countries and a tailored “reciprocal” plan, adding complexity to an already volatile market. Equity markets rose, buoyed by hopes of a less severe tariff outcome, lifting oil prices alongside them. However, conflicting factors clouded the outlook: Sanctions on Russia and Iran threatened supply, while OPEC+’s production increase of 180,000 barrels per day starting this month raised fears of an oversupply. A bipartisan U.S. Senate proposal also emerged, targeting Russia’s oil exports unless ceasefire talks with Ukraine progressed, keeping supply risks in focus amid cautious optimism. [MDN: The price of oil has remained in a pretty tight range, from the mid-$60s to the mid-$70s. Perfect. Right where we like to see it.]
May natgas contract looking to establish new post-winter trading range
Rigzone
The May natural gas contract is poised to establish a new post-winter trading range as it enters the shoulder season, according to Eli Rubin, an energy analyst at EBW Analytics Group. Rubin noted that Henry Hub spot gas prices held steady at $3.89 per MMBtu over a mild weekend, with heating degree days milder than any forecast for April. Standard Chartered Bank predicts the NYMEX Henry Hub price will average $3.50 per MMBtu in Q2 and Q3 of 2025, dropping to $3.20 in Q4. The U.S. Energy Information Administration (EIA) revised its 2025 Henry Hub spot price forecast upward to $4.19 per MMBtu from $3.79, and to $4.47 for 2026 from $4.16, reflecting stronger demand expectations. These projections suggest a stabilization of prices post-winter, influenced by mild weather and anticipated demand shifts, setting a new trading baseline for the coming months. [MDN: We like it above $4, but we suppose anything about $3.50 is OK, too. Anything but the dog days of $3 and below!]
Climate change lawsuits on tenuous legal grounds
The Center Square
A wave of climate change lawsuits against oil and gas companies has emerged across the U.S., aiming to hold them accountable for climate-related costs, but critics argue these cases rest on shaky legal ground. Filed in states like California, New Jersey, and Minnesota, the suits claim fossil fuel firms deceived the public about climate impacts, seeking billions in damages. Legal experts, including Donald Kochan from George Mason University, contend that proving causation and jurisdiction is challenging, as emissions are global and historical, not easily tied to specific companies. Critics like Jonathan Adler from Case Western Reserve University suggest these lawsuits stretch tort law beyond its limits, risking judicial overreach. Supporters argue they address a real crisis, but opponents, including energy advocates, warn of economic fallout, higher energy costs, and weakened U.S. energy independence if the suits succeed, highlighting a contentious legal and policy debate. [MDN: The Bucks County, PA, case is prominently mentioned in this article. The point of the article is that all of these lawsuits are on VERY shaky ground and likely to be bounced by the courts—but it will take years, and the only people who will profit are Big Green lawyers.]
Trump’s climate policy shift could save American farmers from disaster
Blaze Media
Vijay Jayaraj argues in Blaze Media that President Trump’s climate policy shift, including withdrawing from the Paris Climate Accords and freezing USAID climate funding, is a significant victory for American farmers. He contends that these actions eliminate wasteful spending and burdensome regulations, such as the $3.1 billion USDA program aimed at reducing farm greenhouse gas emissions, which he deems unscientific and detrimental to agriculture. Jayaraj criticizes USAID’s $150 billion climate strategy for prioritizing “green” ideology over productivity, citing examples like a $55 million credit guarantee tied to clean energy and a $1.5 million program for Kenyan climate activists. He asserts that such policies stifle innovation and competitiveness, contrasting them with China and India’s focus on food security. Trump’s moves, including removing climate references from USDA websites, are portrayed as freeing farmers from external climate frameworks, potentially saving them from economic disaster while enhancing agricultural prosperity. [MDN: It’s not unfair to say that Trump has saved American farming. Destroying USAID was a masterstroke. So, too, was pulling all language in regulations about mythical “climate change” that was forcing farmers to jump through unnecessary hoops. We think/hope Americans will see how Trump has benefitted the country and won’t be willing to vote for a Democrat again anytime soon.]
Trump’s tariffs already have a major carve-out…oil and gas
Reuters
U.S. President Donald Trump’s newly announced import tariffs, featuring a baseline 10% rate on all goods and higher rates for major trading partners, notably exclude energy commodities like crude oil, natural gas, and refined products, as confirmed by the White House on April 2, 2025. This exemption aims to mitigate price increases for American consumers, aligning with Trump’s goal of maintaining low energy costs, though it complicates global trade responses. Countries like Japan and India, significant U.S. energy buyers, may leverage energy purchases to negotiate tariff exemptions, though success remains uncertain given the broad tariff scope, including 20% on the EU, 34% on China, 24% on Japan, and 26% on India. Analyst Clyde Russell suggests this could shift global trade dynamics, potentially isolating the U.S. as a last-resort trading partner, while nations seek alternative alliances to reduce reliance on American markets amidst Trump’s aggressive trade strategy. [MDN: So, unless we allow other countries to royally screw us in unfair trade practices, those other countries, namely our “friends,” will take their marbles and go play elsewhere? WE THINK NOT. That’s just bluster and bullcrapus. The cool thing is that Trump is exempting oil and gas from the tariffs, so our Canadian “friends” don’t have to worry about exporting O&G to the U.S. And the Saudis don’t have to worry about shipping their disgusting heavy sour crude to the U.S. to be refined in Saudi-owned refineries along the Gulf Coast. We predict six months from now the world and the U.S. economy will look far different, better, than it is today because of these tariffs.]
Years of climate action demolished in days
Bloomberg
President Donald Trump has aggressively dismantled climate policies since returning to office, fulfilling promises to fossil fuel executives while disregarding climate science. His administration has obstructed international cooperation on climate research, restricted funding, and meddled in state-level environmental efforts. Agencies like the EPA and the Defense Department have been forced to align with his deregulatory agenda. While Trump argues that his policies will lower energy costs and boost the economy, the reality is starkly different—renewable energy is becoming cheaper, climate change-related disasters are driving up insurance costs, and the U.S. risks ceding energy dominance to China. Fossil fuel companies may see short-term gains, but long-term demand for their products remains uncertain. Despite legal challenges to Trump’s policies, the damage and uncertainty persist. The article warns that combating this environmental rollback requires awareness and action to protect a livable future. [MDN: There are lots of graphs and charts with this story (click to view them). Bloomberg’s lefty reporter means this to be a horrific situation. We cheered when we read it! The Trump climate change wrecking ball is hard at work. Amen!]