EPA Takes Cross-Country Road Trips for New Climate Rules Targeting Coal-fired Power Plants

Ms. Gina McCarthy, Environmental Protection Agency (EPA) administrator and chief architect and emissary to President Obama’s plan to fight climate change, has recently taken to the road to pitch new climate change regulations.

While these EPA regulations set limits on carbon emissions from coal-fired power plants and are meant to decrease greenhouse gas emissions in the U.S., the rules could also be so strict that they result in a large number of plants being shut down and mining jobs lost.

The EPA is set to roll out the two new rules by the end of Mr. Obama’s presidency. This past September the EPA announced the draft of the first rule, which would limit carbon pollution from future power plants, and this upcoming June 2014 the EPA will release the draft of the second rule, which is said to require emission cuts at existing coal-fired power plants. Final versions of both rules are expected by June 2015, and states will have until mid-2016 to submit compliance plans.

While the EPA will establish a federal standard for reducing carbon emissions, individual states will be in charge of carrying out these new rules. This is meant to give each state the flexibility to configure its own plan. However, this creates the possibility that states who oppose these new rules may attempt to refuse or delay them from taking effect.

These trips to various U.S. states are a new ploy for the EPA and Ms. McCarthy, who is well aware of how cutting-edge these set of rules are and the intense scrutiny that they face. The rules will impose additional cost to the coal industry in order to stay in compliance and will require better information management and reporting tools.

Exxon Mobil to Report on Asset Risks Due to Evolving Climate Policy

Exxon Mobil just became the first oil and gas company to agree to publish information about the risks that stricter limits on carbon emissions would place on their business. According to the New York Times, this decision stems from increasing pressure from shareholder activists to warn investors of the possible consequences. The energy giant has agreed to publish this information by the end of the month.

The agreement comes from an effort by Ceres, a coalition of investors and environmentalists interested in making companies more environmentally responsive. The Ceres campaign started with a letter that was sent to ask 45 of the top fossil fuel companies if they were addressing the risks posed by the changing climate policy. What gave this letter such influence is the fact that it was sent by shareholders representing $3 trillion in assets to these companies.

These risks come from a growing realization that the changing policies on global warming and the value of fossil fuel assets may not by synced with one another. For instance, if carbon emissions are reduced by 80 percent, a goal stated by President Obama, then extracting oil reserves in certain areas where it is more expensive will become uneconomical. The concept that the two goals of extracting reserves and reducing carbon emissions are in direct conflict is undoubtedly coming to light.

Exxon Mobil has also agreed to project how further carbon emission restrictions would affect its future projects, and explain why new fossil fuel reserves that it invests in are not at risk of decreasing in value. Overall Exxon Mobil’s reporting agreement should provide for a better stewardship of sustainability and will help other companies come forward with their reporting.

Accounting for carbon emissions will put more focus on environmental software companies that can scale and provide solid platforms for an integrated approach to not only carbon management but all of their other environmental and sustainability risk management activities such as water quality and air emissions.

Dirty Data: The Behind the Scenes Threat to Environmental Projects

Data quality for EHS compliance or sustainability management isn’t a glamorous topic — especially when it comes to analytical data management.

Read more here.

A Planet of Environmental Data

Today, every discussion about changes in environment must begin with data. In its exponentially increasing volume, velocity and variety, environmental data is becoming a new corporate and natural resource. It promises to be for the 21st century what steam power was for the 18th, electricity for the 19th and hydrocarbons for the 20th. This is what we mean when we say environmental data management.

Thanks to a proliferation of measurement devices, lower detection limits,  and the infusion of technology into all things and processes, the environmental industry is now generating huge amounts of data and 80 percent of it is “unstructured”—everything from images, video and audio to social media and rivers of data from embedded sensors and distributed devices. Managing these data in databases built only 10 years ago is either not possible or is very expensive.

Managing this data at enterprise level is our core business. To capture this growth potential, we have built the world’s broadest and deepest capabilities in environmental and sustainability Big Data and analytics—both technology and domain expertise. Two-thirds of Locus Research’s work is now devoted to environmental data, analytics and automated reporting. Locus provides the full array of capabilities our clients need to extract the value of Big Data. They can mine multiple structured and unstructured data sets across their business. They can apply a range of analytics—from descriptive to predictive to prescriptive. And importantly, they can capture the time value of data. This matters, because the battle for competitive advantage in this new world can be lost or won in fractions of a second.

Our data and analytics portfolio today is the deepest in the industry. It includes decision management, content analytics, planning and forecasting, discovery and exploration, business intelligence, predictive analytics, data and content management, stream computing, data warehousing, information integration and governance.  “Traditional computing systems, which only do what they are programmed to do, simply cannot keep up with Big Data in constant motion.” For that reason late last year we launched the all new Locus EERP platform. In the process, we believe Locus will change the nature of environmental management and reporting.

At the same time that industries and professions are being remade by data, the information technology infrastructure of the world is being transformed by the emergence of cloud computing—that is, the delivery of IT and business processes as digital services. It is estimated that by 2016, more than one-fourth of the world’s applications will be available in the cloud, and 85 percent of new software is now being built for cloud. Locus pioneered cloud computing in environmental industry since its inception in 1997. No other company has a track record of 15 years of managing enterprise environmental and sustainability data in the cloud with no down time.

New sustainability & environmental reporting standards for banks

Under recently published accounting standards, banks will now be called upon to report on their social and environmental impact. These new Sustainability Accounting Standards are backed by large investors, including the California state teachers’ pension fund, Calstrs, and were drawn up after negotiations with shareholders, accountants, and banks including Deutsche Bank, TD Bank, and Goldman Sachs.

According to the Financial Times, the new standards require “reporting of measures such as the greenhouse gas emissions of companies in which banks have investments, as well as the number of complaints handled by their compliance departments.”

Author of these new standards, the Sustainability Accounting Standards Board (SASB), is backed by non-profit donors and was launched in 2012 to create standards for reporting on non-financial data. The SASB writes standards industry by industry- last year it was for pharmaceuticals companies, and next month standards are due for the technology and communications industry.

The Financial Times states that further details on the financial services standards include “measures of the companies’ possible losses on insurance or mortgage lending from weather-related events, the number of data breaches involving customers’ information, and details of the results of stress tests under adverse economic scenarios.”

Chief executive of Calstrs, Jack Ehnes, recognized that there may be some initial hesitation about the new standards, but believed they would eventually come to be accepted. “There is a market need for these data, and as soon as investors start talking about them and looking at them… then I think we will move to that,” he said.

2014 State of the Union Address: Obama on Energy

On the night of Tuesday, January 28 the President of the United States took to the podium to deliver the 2014 State of the Union Address. Among the many topics that President Obama covered, one of them was energy.

The president gave praise to his all-of-the-above energy strategy he introduced a few years ago, and stated that America is closer to energy independence than we’ve been in decades. “One of the reasons why is natural gas- if extracted safely, it’s the bridge fuel that can power our economy with less of the carbon pollution that causes climate change,” he said.

President Obama stressed the importance of this resource being extracted safely, and stated the clear benefits it brings when this occurs. This translates to the old saying “trust but verify”. With today’s real-time monitoring and information management technologies this can easily be accomplished without increasing the extraction cost. He vowed to keep working with the industry to continue job growth while also ensuring the protection of our air, water, and communities. Obama also added in a touch of sustainable promise- “And while we’re at it, I’ll use my authority to protect more of our pristine federal lands for future generations.”

The president then made a clear statement about his intentions. “But the debate is settled. Climate change is a fact. And when our children’s children look us in the eye and ask if we did all we could to leave them a safer, more stable world, with new sources of energy, I want us to be able to say yes, we did,” he said.

Locus Technologies Receives 2013 EBJ Business Achievement Award

Environmental Business Journal Recognizes Locus for Growth and Innovation

SAN FRANCISCO, Calif., 22 January 2014 — Locus Technologies (Locus) announced today that the Environmental Business Journal® (EBJ) granted the company the 2013 award for Information Technology in the environmental and energy industry for the eighth time in the last 10 years.

Locus was recognized for significantly enhancing its suite of software products, and adding new customers and renewing current ones for both software and verification services.

In 2013 Locus generated record software revenue and added customers in the food and beverage, manufacturing, mining, and railroad industries, as well as had its contract with Los Alamos National Laboratory significantly expanded and extended for an additional four years. The company introduced the Locus platform for sustainability, energy, health and safety, and environmental compliance management and reporting, which offers fully integrated cloud-based software that brings all mission-critical environmental applications together in an ERP-like system. Locus also added new functionality to its flagship EIM software system, including the generation of Annual Radiological Environmental Operating Report (AREOR) Data Summary Tables, the automation of Discharge Monitoring Reports (DMRs), and the ability to support imports and exports from ERPIMS: the system the U.S. Air Force uses for validation and management of data from all environmental projects at its bases.

Additional achievements for Locus in 2013 include earning a Microsoft Gold Application Development competency for demonstrating a “best-in-class” ability and commitment to meet customers’ evolving needs, being recognized as one of the top 10 sustainability management software providers by the market analyst firm Verdantix, being listed as the only software provider to make the list of top 200 environmental companies by Engineering News-Record (ENR) magazine, and being named the second largest environmental firm in Silicon Valley by the Silicon Valley Journal.

“We are very proud to receive the prestigious EBJ Information Technology award in environmental business for the eighth time. No other company has accomplished anything close to this level of recognition in the emerging space of cloud-based environmental information management, the on-demand computing space for data management in the environmental industry that Locus pioneered in 1997,” said Neno Duplan, President and CEO of Locus. “I believe this highlights Locus’ relentless dedication to developing top-notch environmental and sustainability management software systems, and would like to thank both the Locus team, and our customers who have trusted us with the management of their data for making this award possible.”

“In what is widely regarded as a stable market, a number of companies exceeded the norms of low single-digit growth with double-digit growth or ambitious ventures into new practice areas or technology development,” said Grant Ferrier, president of Environmental Business International Inc. (EBI, San Diego), publisher of Environmental Business Journal. “Locus continues to influence the industry with its forward-thinking product set and eye for customer needs.”

The 2013 EBJ awards will be presented at a special ceremony at the Environmental Industry Summit XII in San Diego, Calif. on March 12-14, 2014. The Environmental Industry Summit is an annual three-day executive retreat hosted by EBI Inc.

ABOUT EBI
Founded in 1988, Environmental Business International Inc. (EBI, San Diego, Calif.) is a research, publishing and consulting company that specializes in defining emerging markets and generating strategic market intelligence for companies, investors and policymakers. EBI publishes Environmental Business Journal®, the leading provider of strategic information for the environmental industry, and Climate Change Business Journal®, which covers nine segments of the Climate Change Industry. EBI also performs contract research for the government and private sector and founded the Environmental Industry Summit, an annual three-day event for executives in the environmental industry.

The Battle Against Ozone-depleting Substances

Substances that contribute to the depletion of our ozone are a serious threat. Because ozone is our first line of defense against harmful UVB ultraviolet light from the sun, its decrease can lead to many serious consequences. These include a possible increase in skin cancer and other health risks, cataracts, and a decrease in plant growth.

Ozone-depleting substances (or certain chemicals such as chlorofluorocarbons, hydrochlorofluorocarbons, and halons) come in various forms. These substances are commonly used in refrigerants, which are present in air conditioners and refrigerators. Luckily, authorities took notice of the negative impacts of these substances, and The Montreal Protocol, an international environmental agreement that began the worldwide phaseout of ozone-depleting substances (currently carried out in the U.S. through Title VI of the Clean Air Act) was enacted in 1987. However, the fight against these harmful substances is far from over.

Just last September U.S. grocery store giant, Safeway, allegedly violated the federal Clean Air Act. The company agreed to pay a $600,000 civil penalty, and spent approximately $4 million to reduce its emissions of ozone-depleting substances from refrigeration equipment at 659 of its stores.

Hydrochlorofluorocarbon HCFC-22, the specific substance that was said to be leaking from Safeway’s equipment, is up to 1,800 times more potent than carbon dioxide in terms of global warming emissions. The allegations Safeway faced include failing to promptly repair leaks of this substance, and failing to keep adequate records of the servicing of its refrigeration equipment. In response to these allegations, the changes Safeway had committed to were expected to prevent over 100,000 pounds of future releases of ozone-depleting refrigerants.

Further plans for the U.S. to continue reducing ozone-depleting refrigerants include a production and import ban on HCFC-22 by 2020.

Versar, Inc. Selects Locus’ EIM as its Standard Environmental Data Management System

Locus EIM to assist Versar by supporting ERPIMS exports for U.S. Air Force remediation projects

SAN FRANCISCO, Calif., 7 January 2014 —Versar, Inc. (NYSE MKT:VSR) has selected Locus Technologies’ (Locus’) Environmental Information Management (EIM) software to be its preferred environmental data management system for the firm’s Performance Based Remediation (PBR) program for the U.S. Air Force (USAF).

Versar will take advantage of EIM’s ability to support analytical data compatible with Environmental Resources Program Information Management System (ERPIMS), the electronic system that the Air Force uses for validation and management of data collected from environmental projects at its bases. In addition, Versar will utilize the ERPIMS regulatory export feature and the EIM data validation module.

Versar is currently providing PBR services to the USAF under the 2009 Worldwide Environmental Restoration and Construction (WERC 09) contract through September 2020. The Versar Program, as both Prime contractor and Team subcontractor, presently includes nearly 200 contaminated sites at 15 Air Force bases in 10 different states across the U.S. The total value of the work (if all options are awarded) is approximately $110M; Versar is the Prime contractor with direct responsibility for 128 sites valued at $93M under three separate Task Orders (TOs) and is a Team subcontractor on a fourth TO.

“We are very proud Versar has determined that EIM has the robust and versatile functionality to meet the company’s data management requirements for its USAF PBR Program,” said Neno Duplan, President & CEO of Locus. “We are constantly striving to incorporate specific features into our software, such as the ERPIMS compatibility, that will make a big difference for our customers.”

ABOUT VERSAR, INC.
Versar, headquartered in Springfield, VA, is a publicly traded global project management company providing sustainable, value-oriented solutions to government and commercial clients in engineering, construction management, environmental services, and munitions response market areas. For more information, visit www.versar.com.

Climate Change Poses Threat to the World’s Water Supply

According to the Potsdam Institute for Climate Impact Research (PIK) in Germany, climate change is threatening the world’s water supply, increasing the number of people at risk of absolute water scarcity by 40 percent in this century alone.

PIK heeds the warning that if the Earth should warm by 5.4 degrees Fahrenheit above pre-industrial levels and if populations grow, ten in 100 people would have access to less than 132,000 gallons of water in a year- which is up from one to two in 100 today. This prediction is particularly alarming considering PIK’s announcement in October that 1.3 billion of Earth’s 7 billion people already live in water-scarce regions.

The UN gives a similar forecast that the world is on track to experience a temperature increase within the next century, which at the very least would be the catalyst for higher sea levels and more intense storms.

The study that PIK references was based on an analysis of 11 global hydrological models, and conducted by research institutes from around the world. PIK also states that different regions of the world would have varying experiences as the world’s temperature increases: the southern U.S., Mediterranean, Middle East and southern China most likely seeing lower water availability, while southern India, western China and parts of East Africa possibly experiencing noticeable increases.

This research serves as yet another reminder that water scarcity is a real thing, and the loss of this precious resource is a world-wide concern.