Please ensure Javascript is enabled for purposes of website accessibility

Tag: energy

What Do Stakeholders Really Want From Colorado Businesses? True Corporate Sustainability.

Coloradans care about the natural world and will support efforts to preserve the environment. This is exemplified by the recently passed state bill 23-016, which aims to cut economy-wide emissions by 65% by 2030 and 90% by 2045.

However, Coloradan firms that want to embrace corporate sustainability will need to go beyond greenwashing tactics to appease state-wide stakeholders. This means that many companies will need to embrace socially conscious business models while taking steps to reduce waste, minimize carbon emissions, and increase recycling rates. 

Companies that take these steps will appease demanding stakeholders and prove that they are authentically committed to combating climate change. 

READ: How to Embrace Socially Conscious Business Models (and Increase Your Profit Margin)

Carbon emissions

Capping carbon emissions should be a chief priority for firms that want to brand themselves as sustainable.

However, recent data published by the Environmental Defence Fund (EDF) shows that Colorado is behind on its carbon targets. Today, EDF projections show that the state is set to exceed its emissions target by 153 million tons of carbon pollution.

Corporations can take their responsibility for climate change seriously by looking for alternatives to popular carbon credits. Carbon credits have gained a poor reputation recently due to fears about their ineffectiveness and rumors that some credits are overestimated, poorly tracked and double-counted. Rather than putting all their resources into carbon credits, firms can use tactics like: 

  • Improving supply chain sustainability by sourcing locally produced goods and sustainably sourced water or energy.
  • Purchasing more renewable energy systems, like solar panels, to power offices and mitigate energy waste.
  • Reducing the footprint of corporate buildings by using smart tools like automated temperature controls.
  • Embracing circular economy models to cut down on the carbon costs associated with production.

These steps authentically cut down on carbon emissions and help firms become more energy-efficient. Businesses that embrace these policy changes may benefit from cost reductions, too, as solar panels and recycled goods tend to cut down on operating overheads. 

READ: 4 Strategies for Corporate Social Responsibility in the Workplace

Improved reporting

Accurate reporting is essential for Colorado businesses that want to impress stakeholders with their sustainable policies.

Without accurate, reliable reporting measures folks will not be able to accurately assess whether or not a business is truly sustainable or simply greenwashing. Companies can improve their reporting by embracing corporate sustainability technology like: 

  • AI-driven ESG reporting that is capable of crunching huge data sets related to carbon emissions, water waste, recycling and environmental impact.
  • Impact Measurement and Management (IMM) software to track the progress of sustainability initiatives and measure the impact of ongoing initiatives.
  • Integrated data analysis programs that can collect data from external sources to improve impact monitoring and identify trends.
  • IoT sensors are capable of gathering data related to water mismanagement, temperature controls and machinery to better track key data points like energy consumption and waste production. 

These tech-driven tools are capable of analyzing huge data sets and can make sense of information that would otherwise be lost. This is key for firms that truly care about the wider impact of their business and want to stay accountable for their wider impact.

Utilizing these programs and devices can help companies make ESG a priority and may lead to enhanced operational efficiency. 

The bottom line

Stakeholders across the state are demanding that businesses take their commitments to climate change seriously. However, many firms do not know how to authentically reduce their impact or report the progress.

ESG technology can help by tracking key data points like carbon emissions and water waste. This can help companies make progressive decisions, like installing solar panels and recycling more waste materials, that improve operational efficiency and cut down emissions. This can be transformational for companies that have previously relied on carbon credits to offset their impact. 

 

Indiana Lee headshotIndiana Lee is a writer, reader, and jigsaw puzzle enthusiast from the Pacific Northwest. An expert on business operations, leadership, marketing, and lifestyle, you can connect with her on LinkedIn.

Why Colorado Needs Sustainable Power Solutions for Modern Aviation

In recent times, there’s been a growing call for sustainable power solutions in modern aviation. As the aviation industry aims to cut down on its carbon footprint and address climate change concerns, finding alternative energy sources has become a top priority. 

READ: United Airlines & MSU Denver Join Forces to Tackle Pilot Shortage

Challenges in traditional aviation energy

Traditional aviation relies heavily on fossil fuels, contributing not just to greenhouse gas emissions but also to depleting finite resources. The unpredictability of oil prices and the geopolitical complexities linked to oil dependency further complicate matters. Additionally, the weight and volume of aviation fuel increase operational costs and constrain aircraft payload capacity. These challenges have spurred the industry to seek alternatives that are environmentally friendly, economically viable and uphold safety and efficiency.

One major hurdle faced by the aviation sector is the environmental impact of traditional aviation energy. The combustion of fossil fuels releases carbon dioxide (CO2) and other greenhouse gases, exacerbating climate change. This has heightened pressure on the industry to explore sustainable alternatives.

Beyond environmental concerns, the reliance on fossil fuels poses economic challenges. Oil prices’ volatility and susceptibility to geopolitical tensions make it hard for airlines to forecast and manage fuel costs, affecting their profitability and ability to offer competitive prices.

Moreover, the weight and volume of aviation fuel directly impact operational costs and aircraft payload capacity. Increased fuel weight results in higher consumption and a reduced payload, affecting both efficiency and the ability to transport cargo and passengers profitably.

READ: Becoming a Zero-Emissions State — How Alternative Fuels Are Transforming Transportation in Colorado

Emerging technologies in sustainable aviation

The aviation industry continually seeks innovative solutions to minimize its environmental impact and transition to a more sustainable future. Several emerging technologies have garnered attention for their potential to transform the industry. Let’s delve into some of these technologies.

1. Solar and electric technologies

Solar and electric technologies are promising sustainable power solutions for aviation. Solar-powered aircraft, equipped with photovoltaic cells, have completed successful long-duration flights, harnessing the sun’s power for clean and renewable energy. While limitations in energy storage currently restrict their use for larger planes, they hold potential for short-haul flights and unmanned aerial vehicles.

Electric propulsion systems are being explored as potential replacements for conventional jet engines. These systems use electric motors, eliminating the need for fossil fuels and offering lower emissions and reduced noise pollution. Ongoing research aims to develop efficient electric propulsion systems for commercial aviation.

READ: How E-Bikes Will Transform the Transportation Economy in Colorado in 2024

2. Ground power units: A game-changer

In the dynamic landscape of aviation and aerospace operations, ground power units (GPUs) emerge as a game-changer, revolutionizing the way aircraft are serviced on the ground. These indispensable units play a pivotal role in supplying power to aircraft systems, ensuring a seamless and efficient turnaround between flights.

The environmental impact of aviation has become a critical consideration in the industry. Ground power units contribute significantly to sustainability efforts by allowing aircraft to switch off their onboard auxiliary power units (APUs) during ground operations. By utilizing external power sources like GPUs, aircraft can minimize fuel consumption and emissions, aligning with the global push for greener aviation practices.

3. Biofuels and sustainable aviation fuel (SAF)

Biofuels have emerged as another sustainable power solution. Derived from renewable sources like plant oils, algae and waste products, biofuels offer a cleaner alternative to traditional jet fuels. Sustainable Aviation Fuel (SAF), produced through advanced biofuel technologies, has been successfully tested in commercial flights, significantly reducing carbon emissions.

4. Hybrid propulsion systems

Hybrid propulsion systems, combining traditional and electric propulsion, provide another avenue for sustainable aviation. These systems use electric motors with combustion engines, enhancing efficiency and reducing emissions. Hybrid-electric aircraft in development aim to reduce fuel consumption and emissions, contributing to a greener and more sustainable aviation industry.

Challenges and considerations

Despite the promise of sustainable power solutions in aviation, several challenges must be addressed. High research and development costs, along with the scale-up of sustainable technologies, present financial barriers. The lack of infrastructure for alternative refueling and recharging poses a challenge, as do safety regulations and certification processes that need updating to accommodate new technologies. Achieving widespread adoption requires collaboration among stakeholders, including airlines, aircraft manufacturers, governments and research institutions.

Charting the course to a greener sky

In conclusion, sustainable power solutions offer a promising avenue for reducing the environmental impact of modern aviation. Technologies such as solar and electric systems, biofuels and hybrid propulsion provide viable alternatives to traditional aviation energy. Overcoming challenges and ensuring widespread adoption necessitate continued innovation, investment and collaboration. Embracing sustainability in aviation can pave the way for a greener and more environmentally friendly future of air travel.

 

Eric Barton is an accomplished writer with a passion for delving into the intricate world of aviation and mechanics. Armed with a strong educational background and hands-on experience in the aerospace industry, Eric has emerged as a sought-after expert in specific areas, including avionics, propulsion systems, and structural engineering.

Hunters Aren’t the Only Ones to Thank for Colorado’s Wildlife Management

Colorado is home to an astonishing 960 wildlife species, the vast majority of which are neither hunted nor fished. Yet the successful conservation of Colorado’s impressive biodiversity —  both the wildlife and the landscapes they inhabit — is contingent upon funding generated by hunting and fishing licenses.

These licenses generated $179 million or 55 percent of CPW’s FY2022-2023 revenue — more than all other revenue sources combined.

The Colorado Wildlife Council — a division of Colorado Parks & Wildlife (CPW)— recently deployed a public relations strategy to educate citizens about the inextricable link between its mission, and hunting and fishing. CPW is responsible for wildlife management in the state, and they want everyone to know that hunters and anglers are a crucial component of their mission.

You may remember the popular “Hug a Hunter” commercials in which outdoor recreators embrace a hunter. The lighthearted campaign was a savvy and effective way to inform Coloradans about the symbiotic relationship between hunting, outdoor recreation and conservation.

What’s less talked about is the critical role the Colorado energy industry plays in wildlife and habitat conservation.

Through various fees and taxes, the oil and gas industry in particular is associated with seven distinct streams of public revenue for the state of Colorado. A large portion of this revenue, nearly $1 billion annually, ends up in Colorado’s general fund, which is another significant source of CPW’s revenue. The next time Coloradans think about hugging a hunter to thank them for their contribution to wildlife management, they might consider embracing someone from the oil and gas industry too.

READ: Biden is Right About One Thing — Oil and Natural Gas Aren’t Going Anywhere

The conservation work performed by CPW employees occurs in an interdependent loop — like the components of the water cycle. It begins with annual surveys, by land and air, of wildlife, and modeling to forecast wildlife populations. Wildlife biologists consider male-to-female and female/young ratios and compare the population to the carrying capacity (the number of animals a habitat can sustain throughout the year).

After the data is analyzed, CPW determines if hunting licenses in a given area should increase, decrease, or remain the same. Hunters then attain the licenses and harvest the wild game, providing the funding necessary to repeat the cycle next year. The success of this process cannot be overstated. Mule deer, for example, were almost extinct in Colorado in the early 1900s, and their population today is estimated at over 400,000.

The pronghorn population dwindled to a threateningly low 15,000 but has rebounded to over 65,000 today. And there are more elk in Colorado than any other state. Noticeably, the strength of these species only grew stronger as oil and gas production in the state grew as well. Wildlife habitat, hunting and fishing, outdoor recreation, and oil and gas production exist, and thrive, in balanced harmony.

READ: Capitalizing on Colorado’s Homegrown Energy

“Wildlife-conservation-support season” doesn’t roll off one’s tongue quite like “hunting season,” but both tags aptly describe this time of year in Colorado. When Coloradans think about showing their appreciation for hunters and their role in wildlife management, they may also want to tip their caps to those in the energy sector who provide significant contributions toward conserving the biodiversity of our beautiful state.

Funding Sources Co Wildlife

Unlocking America’s Energy Security Begins in the West — Here’s Why

History has shown time and again that rising conflicts in distant lands can negatively impact energy security here at home. Such conflicts can be easy to ignore until they hit consumers directly in the form of higher energy costs. With the U.S. currently engaged now in wars in Europe and the Middle East and with China increasingly saber-rattling about its desire to absorb Taiwan, the potential for spiking energy prices grows with each passing day.

Imports of liquefied natural gas (LNG) have become a critical factor in ensuring energy security for major economic powers in Asia and Europe as global energy markets have evolved across the 21st century. Both Japan and South Korea must import almost all their natural gas needs, and China, Taiwan and India also bring in large volumes of LNG each day to help displace coal in their power grids and energize their economies.

READ: Capitalizing on Colorado’s Homegrown Energy

In recent weeks the international flows of this global commodity have been complicated by the strife in the Middle East. Concerns are rising that escalation of the conflict could inhibit LNG flows from Qatar, which ranks as one of the three biggest exporters of LNG, along with Australia and the United States. Located along the western shore of the Persian Gulf, Qatari exports must make their way through the Strait of Hormuz, the strategic choke point that serves as the gateway to the global marketplace.

Any obstruction in the free flow of shipping through the Strait would immediately create a crisis in the world’s supply of both oil and LNG, causing prices to spike. A significant disruption would impact not only the countries in Asia and Europe that rely on Qatar’s LNG supplies, but every other natural gas-consuming nation as remaining available volumes become reallocated.

Major economic powers in Europe are also at risk. European giants like Germany and the United Kingdom saw their needs for imported LNG skyrocket in 2022, after Vladimir Putin’s invasion of Ukraine. Sanctions invoked on Russia by the United States, the EU and NATO, combined with the blowing up of the Nordstream I and Nordstream II pipelines, shut off Russian exports of natural gas into Europe via pipeline, creating an unprecedented supply crisis. Germany, Britain and others have turned to other major suppliers, like Qatar, to fill their needs.

What it all emphasizes is a rising need to increase the capacity for exporting LNG from other, more stable parts of the world.

READ: Who Will Lead Colorado’s Energy Future?

Fortunately, the United States has ample capacity to dramatically increase its LNG export capabilities in the coming years. America is home to many of the biggest underground reservoirs of natural gas on Earth, with hundreds of years of known resources available. In anticipation of ongoing rising demand for natural gas from international customers, plans are already in place to double U.S. export terminal capacity by 2027, and multiple additional new facilities are under development in both Mexico and Canada. Indeed, America’s potential for expansion in the LNG export realm is unrivalled by any other nation.

But projects to reverse import terminals to export are complex, capital-intensive enterprises that take years to plan and execute. Accomplishing this first requires an entirely new set of permits from relevant regulatory agencies. Financing to the tune of hundreds of millions if not billions of U.S. dollars must then be secured. Contractors must be retained to perform the infrastructure projects involved and supply chains established. Supply agreements must be negotiated with prospective customers, as well as suppliers of the natural gas feedstock for the facilities.

The LNG export business in the U.S. has been focused along the Texas and Louisiana Gulf Coast until recently for a variety of reasons. One of the major reasons is that both of those states and states adjacent to them are home to an abundance of energy supply and pre-existing infrastructure available to bring the gas to the export facilities. But big players in the industry have made major investments in recent years to build new export infrastructure along the Pacific coast.

READ: Biden is Right About One Thing — Oil and Natural Gas Aren’t Going Anywhere

Sempra Energy is partnering with TotalEnergies to add liquefaction and export capabilities to the Energia Costa Azul (ECA) LNG receipt, storage and regasification terminal, located north of Ensenada in Baja California, Mexico. The new facility is under construction and has a projected startup date of year-end 2024.

A second facility, Mexico Pacific Ltd, is planned for Puerto Liberdad in Sonora, Mexico, just 120 miles south of the U.S./Mexico border. Trains 1 and 2 of the facility are already fully commercialized with a third train planned for the near future.

While gas supplies for these Mexican facilities are initially targeted to come from the Permian Basin in West Texas and New Mexico, they and other planned export facilities in the Pacific Northwest also present opportunities to open new markets for natural gas produced in U.S. Western states like Colorado, Wyoming, New Mexico and Utah. The Prospective Gas Committee estimates these states are home to as much as 500 trillion cubic feet of proven natural gas in place today. As fortune would have it, a great deal of this Western U.S. resource lies beneath tribal nation lands.

To this and other ends, the Western States and Tribal Nations Natural Gas Initiative (WSTN), a unique state and tribal government-led 501(c)4 advocacy organization, was formed in 2019 to advance rural economic development in the Western United States and land-based tribal nations through the sustainable production, transport and export of low carbon fuels, including liquefied natural gas (LNG), and hydrogen.

Led by President Andrew Browning, WSTN operates under a formal Memorandum of Understanding signed by the Southern Ute Indian Tribe, the Ute Indian Tribe, the Jicarilla Apache Nation, the Utah Office of Energy Development, the Wyoming Energy Authority, the New Mexico Energy, Minerals, and Natural Resources Department, the Colorado counties of Mesa, Rio Blanco, Garfield and Moffat, and the state of Baja California, Mexico.

One of WSTN’s key objectives is support for federal legislation called the Domestic LNG Potential Act of 2023 (H.R. 1130), legislation that will help boost American LNG exports by making critical changes to the export approval process and simplify siting and permitting for LNG export facilities, the permitting process, reduce costs and expedite U.S. LNG exports to our global allies.

“H.R. 1130 will create flexibility to produce in line with market expectations and bolster our ability to meet global demand efficiently by eliminating duplication in the permitting process, thereby promoting the investments needed to build an increasingly cleaner, more secure global LNG market,” Browning says.

The case for H.R. 1130 is bolstered by a WSTN-commissioned Rockies Basins natural gas life cycles study, which finds that “LNG exported from the North America’s Pacific Coast to China, India, Japan, South Korea and Taiwan would create net life cycle emissions reductions of between 42%-55% if used to replace coal-fired power generation.”

There is no denying the energy security, economic and environmental benefits that can be provided by increased U.S. exports of LNG to Asia. There is also no denying the scale of the opportunity that exists. All that remains is the will of stakeholders and policymakers to work together to make it all happen. It is the mission of WSTN to lead that charge.

One of the great ironies of U.S. history is that many of these Native nations were forced by the federal government to occupy what was at the time considered to be almost worthless lands. Now that those lands have been proven to be home to vast underground minerals, the federal government has a duty to ensure those nations are able to obtain maximum value from those resources. The enactment of H.R. 1130 would represent a good start to achieving that end.

Capitalizing on Colorado’s Homegrown Energy

In a global economy where products are not only delivered the next day, but sometimes the next hour, it can be easy to lose track of where things come from. A former industry trade executive used to quip, “Kids today think milk comes from the grocery story, gasoline from the Conoco station, and 2x4s from Home Depot.”

He may not have been far off in our modern-day comprehension of where things come from. Indeed, one consequence of America’s economic success these past hundred years may be our loss of a direct connection to the land and basic understanding of our natural resources.

Or has it?

There’s something deep within the power behind the Colorado brand. Countless companies have found a way to subtly profit from Colorado’s homegrown reputation.

For more than a century, Golden-based Coors has pedaled beer made from the pristine waters of the Rocky Mountains; Pueblo is burning up the market with their chilies; Olathe sweet corn rivals that from Iowa; Rocky Mountain Chocolate Factory has built a global dynasty; Palisade peaches and melons from Rocky Ford are unmatched; and of course, Colorado’s brand of cannabis-derived products, including edibles and hemp-made products, are known from coast to coast.

Perhaps the same could be true for Colorado’s homegrown energy.

READ: Who Will Lead Colorado’s Energy Future?

According to the U.S. Energy Information Administration, last year, the Centennial State’s fertile energy ground made it the fifth-largest crude oil-producing state, with 82% of production coming from Weld County. Colorado was also the eighth-largest natural gas-producing state in 2022 and has the eighth-largest natural gas reserves.

Some have criticized oil and natural gas as the primary contributor to a climate change, claiming the elimination of fossil fuels is paramount to protecting the environment and saving Mother Earth. Timing is running out, they say. The end of the world is near. However, rarely do they offer realistic, practical energy alternatives that will keep us comfortable at home and work and at a price we can afford without completely upending our economy and forcing us to relocate back to caves.

Others argue the opposite — oil and natural gas is the solution, not the culprit.

READ: Biden is Right About One Thing — Oil and Natural Gas Aren’t Going Anywhere

They point to the fact that energy poverty and a lack of access to affordable energy is literally leaving billions freezing in the dark. These third-world countries and emerging nations are only looking to replicate America’s success: an economic engine built entirely on the foundation of cheap, abundant, reliable fossil fuels. Still, there’s no doubt the talking points that extreme environmental groups — as unrealistic as they are — have made an impact.

What began as a campaign to end “dirty coal” has pivoted to a ban on oil and natural gas and fossil fuels altogether. Perhaps public opinion polling showed them that eliminating fossil fuels was impossible, maybe even ill-advised, and their slogan of “keep it in the ground” seems to have morphed into “keep it from moving around.” In other words, they have conceded that it’s OK to produce hydrocarbons, but you can’t transport or sell them, which of course is just a more clever, de facto ban.

This year, the Institute for Energy Research released its inaugural Environmental Quality Index comparing the environmental quality of all major oil-producing countries. The results were overwhelming if not shocking. The United States, the world’s largest producer of both oil and natural gas, is only outranked on environmental quality by three of the top 20 global oil producers and three of the top natural gas producers, but none of those countries produce even one quarter of the volumes of oil or natural gas that the U.S. does. That means the U.S. produces the cleanest energy in the world at the highest volume bar none.

Energy must be produced somewhere. Our modern way of life is irrevocably I dependent upon abundant, affordable, reliable energy. America, and Colorado specifically, has some of the toughest environmental rules and oil and natural gas regulations in the world. We’ve seen what happens when we outsource manufacturing to other countries. Our principles around child labor protections are violated, the environment is outright ignored if not abused, and jobs traditionally performed here seem to never return.

READ: Andy Filson and the Future of Manufacturing in Colorado (Q&A)

A case could even be made that it’s now more important than ever to ensure the United States is able to meet the energy needs of its citizens while limiting its reliance on foreign entities. According to a report from the World Bank, the recent war between Israel and Hamas may cause oil prices to balloon by 35%. Couple that with increased tensions with Russia given their ongoing invasion of Ukraine, recent geopolitical conflicts expose the incredible gaps in depending on oil and gas imports for our energy needs. As uncertainty arises at the international level, it’s all the more important for the United States to be self-sufficient, and Colorado can play a huge role in achieving energy independence for the nation.

Perhaps it’s time to rally around these facts and the opportunities to capitalize on Colorado’s brand when it comes to our homegrown energy.

 

Jon Haubert Hb Legacy Media Co 2Jon Haubert is the publisher of ColoradoBiz magazine. Email him at [email protected].

Made in Colorado (Winter 2023): AtmosZero’s Industrial Boilers

There’s a common misconception that the United States doesn’t manufacture much anymore. In reality, the country continues to out-manufacture China on a per capita basis, and domestic growth outpaced the global average for the first time in years in late 2022.

Colorado is a case in point. Data from the Federal Reserve Bank of St. Louis shows that employment in Colorado’s manufacturing sector peaked in 1998 at 192,200 workers. That plummeted to 122,200 employees in 2010, but the state’s manufacturing workforce has steadily grown to surpass 150,000 as of late 2023.

With these dynamics front and center, this year’s “Made in Colorado” profiles illuminate 10 of the state’s pioneering manufacturers, makers of whiskey, satellites and just about everything in between. Today, we’re highlighting Autonomous Tent Co, the world’s first movable five-star hotel.

READ: Inside the Colorado Semiconductor Industry Renaissance — CHIPS Act Sparks Manufacturing Revival

AtmosZero

Energy & Environment

Fort Collins, Colorado

Website: www.atmoszero.energy 

Based at the Powerhouse Energy Campus at Colorado State University, AtmosZero’s Boiler 2.0 is an industrial boiler that’s at least twice as efficient as the market norm today.

Things have moved quickly since COO Ashwin Salvi co-founded AtmosZero with CEO Addison Stark and CTO Todd Bandhauer in 2021. The company emerged from stealth mode with a prototype system in 2023 and is now manufacturing the first industrial-scale system in Fort Collins for New Belgium Brewing, with installation slated for 2024. The plan calls for more custom installations in the U.S. and Europe through 2025 and a low-volume product in 2026.

“The company is really motivated by the frustration that we have with the notion that the industrial sector, the manufacturing sector, it’s hard to decarbonize,” Salvi says. “But when you dig into it — and this is Addison’s insight — 75 percent of the energy that’s consumed by the industrial sector just goes to making heat, and that’s like hot air, hot water or steam.”

The generation of heat is responsible for about 10 percent of greenhouse gas emissions worldwide, he adds, and AtmosZero sees a path to drastically reducing that number via its heat pump technology. “We’re sourcing heat from ambient air as well as sourcing energy from electricity, then combining that together to be able to provide the same amount of heat output as these competitive, comparable boilers, but in a much more cost-effective way because we’re consuming half the electricity that today’s electric resistance boilers consume.”

Brewing is a big target market for Boiler 2.0, but Salvi notes that steam is used in a wide range of manufacturing sectors, from food and beverage to petrochemicals, not to mention municipal systems in major cities. “Almost every industry uses it,” he says. “We’re building a system that can now scale across all these different industries.”

At about 20 employees and growing, AtmosZero leverages a network of contract manufacturers along the Front Range to supplement its in-house capabilities, with an assist from students at CSU.

“We’re looking at manufacturing based in Colorado because we have access to these great minds, these great workforces, and the skill sets that these workforces add in terms of welding pressure vessels and building big, industrial-scale things,” Salvi says. “That’s what these industries do, and that’s what we want to benefit from.”

 

Denver-based writer Eric Peterson is the author of Frommer’s Colorado, Frommer’s Montana & Wyoming, Frommer’s Yellowstone & Grand Teton National Parks and the Ramble series of guidebooks, featuring first-person travelogues covering everything from atomic landmarks in New Mexico to celebrity gone wrong in Hollywood. Peterson has also recently written about backpacking in Yosemite, cross-country skiing in Yellowstone and downhill skiing in Colorado for such publications as Denver’s Westword and The New York Daily News. He can be reached at [email protected].

Keeping up With a Dizzying Array of Regulatory Air Changes

Colorado’s oil and gas industry has spent years — and millions of dollars — staying in compliance with an ever-changing regulatory landscape where the goalposts are constantly moving. However, continuous rulemakings and changes in state oil and gas regulations make it increasingly difficult for companies to keep up.

READ: 2024 — The Next battle in Colorado’s Never-Ending Fracking Wars

Going back more than a decade, Colorado elected officials and industry alike have hailed the state as being home to the nation’s toughest environmental rules and the strictest oil and gas regulations in the country. Despite overwhelming support, that appears not good enough for some.

Lately, a significant regulatory moving target has been air quality. While a complex topic, it has been the easiest regulatory lever for opponents of the oil and gas industry to pull, largely because several factors — including geography and population growth — have historically contributed to less-than-ideal air quality on Colorado’s front range.

Going back to the 1970s, the region dominated by the Denver metro area has struggled to comply with the Environmental Protection Agency’s (EPA) National Ambient Air Quality Standards for ozone. In 1979, the standard was set at 120 parts per billion of ozone in ambient air, based on a one-hour averaging time for the measurement. In 1997, that standard was lowered to 80 ppb over an eight-hour timeframe. In 2008, it was again lowered to 75 ppb. Most recently in 2015, it was lowered once again to 70 ppb. The Denver metro area and Northern Front Range region have been out of compliance with the standards since 2008, despite aggressive plans to reduce ozone emissions.

Still, in 2019, Gov. Jared Polis decided against applying to the EPA for a waiver that credits Colorado against ozone coming in from out of state — from pollution being blown in from California and overseas, for instance, and from wildfires on the West Coast. This triggered a determination of “severe non-compliance,” even though there was little the state could do to lower its own emissions — and nothing at all that it could do to stem the considerable amount of ozone pollution being imported from the west. The practical impact of failing to apply for an EPA waiver for out-of-state pollution will likely be higher gasoline prices and fewer jobs.

It’s a debacle many thought to be solved. Since the state was out of compliance with the federal standards, it was required under the federal Clean Air Act to come up with a State Implementation Plan (SIP) for reducing ozone emissions, which needed to be approved by the EPA. Colorado’s Air Quality Control Commission (AQCC) did just that last year, including stricter permitting requirements for oil and gas production. However, the agency decided that temporary emissions, such as those generated during hydraulic fracturing of a well, which typically only takes place for a period of a few days or weeks, did not require special air quality permits. The AQCC approved the plan in December 2022, as did the EPA the following spring.

READ: Biden is Right About One Thing — Oil and Natural Gas Aren’t Going Anywhere

It would seem the problem was finally solved. However, that’s precisely when environmental groups pulled the litigation lever again, filing a lawsuit in the 10th Circuit Court of Appeals. Last month, the court found for the plaintiffs, saying that the state needed to account for emissions from “fracking,” which is the layman’s term for hydraulic fracturing. This means it’s back to the drawing board for the state, which will undoubtedly impose a whole new set of rules and permitting requirements for every stage of oil and gas production.

Fortunately, or unfortunately, Colorado’s oil and gas industry is accustomed to this sort of thing. Back in 2019, the state legislature passed into law SB-181, a sweeping new regulatory framework for the industry that completely overhauled the rules for Colorado oil and gas development. Among many other things, SB-181 notably changed the mandate of the state regulatory agency—formerly known as the Colorado Oil and Gas Conservation Commission and now referred to as the Colorado Energy and Carbon Management Commission (ECMC) — from one of fostering and managing oil and gas production in the state, to one of essentially “protecting” the state from its production.

Those new rules had hardly been finished when the General Assembly passed HB-1294 “Pollution Protection Measures” during this past 2023 legislative session. The new legislation increased penalties, lowered the threshold for making complaints to the ECMC, and required yet another round of rulemaking – this time directing the ECMC to “promulgate rules that evaluate and address the cumulative impacts of oil and gas operations.” This piece of legislation came about as a result of some lawmakers and environmental groups feeling as though the cumulative impact of rules resulting from SB-181 were not enough.

And that’s on top of the state now having to redo its SIP.

Feeling a little dizzy? You’re not alone. It has been difficult for professionals who monitor oil and gas regulatory changes in the state to keep track of it all. All of this, incidentally, came after more than 19 rulemakings that the industry was subject to between 2007 and 2017, which had earned the state the title of “strictest oil and gas regulations in the country.”

The oil and gas industry are not the only sector to be subjected to reflexive, ongoing legislation and rulemakings in the state. For instance, Colorado’s building industry has been subject to the same dizzying influx of regulation, as new laws are passed every year to require rulemakings before the rulemakings required by previous years’ bills have even been finalized.

Energy and construction are merely two examples. The list goes on. And let’s not forget, Colorado is in constant competition with nearby states like Utah, Arizona, and yes, even Texas.

The bottom line to all of this is not so much the regulations that are being passed — everyone, after all, desires clean air — but the revolving-door style of introducing them.

Business requires, more than anything, stability, certainty and predictability. It may be fair to say that most sectors of the economy can handle a certain level of regulation so long as the regulatory environment is stable year to year. If a business knows the landscape in which it is operating, good business owners can adjust and operate accordingly. But when the goalposts are constantly moved — when laws and agency rules are coming at industry faster than they can be absorbed — the result is an operational environment that is no longer stable, certain, predictable or competitive; and therefore, very often untenable.

In addition, some experts worry that all of this cumulative regulatory confusion will have unintended consequences. “The fact is that, now and well into the future, oil and gas is going to be an important part of Colorado’s energy mix,” said Doug Benevento a former state and federal environmental regulator. “That oil and gas is going to come from somewhere and shutting down Colorado’s industry, which extracts energy in an environmentally sound manner so that we can import it from somewhere else with less stringent safeguards, actually hurts the environment and working Coloradans.”

Colorado’s air quality saga continues, with no indications of abatement in the near future, and with the oil and gas industry – which is responsible for perhaps 3-7 percent of the ozone in the non-attainment area – remains in the crosshairs. Other industries clearly aren’t far behind.

Balancing Net Zero and Keeping the Heat On

Access to affordable energy is a prerequisite for economic security, physical health and social wellbeing. Energy poverty occurs when a household is unable to access essential energy services and products.

Coloradans are fortunate to live in a state where energy is reliably available, and instances of brownouts and blackouts are rare and promptly remedied. In the developed world, energy poverty is preceded by financial insecurity, rather than insufficient supply and delivery.

READ: Who Will Lead Colorado’s Energy Future?

Unfortunately, there has been an uptick of environmental activism in the Centennial State, the effects of which contribute to a diminished energy supply, increased costs and more instances of energy poverty.

Regulatory policies and their sponsors may be well-intended, but they are demonstrably harming those who can least afford it.

When he ran for governor, Jared Polis campaigned on a platform calling for the state to be exclusively reliant on renewable energy by 2040. Along with democrat legislators and regulators, Gov. Polis is pursuing that lofty goal through a series of new laws and regulatory requirements that directly impact fuel supplies and prices.

House Bill 1261 is a climate-action plan empowering regulators to pursue Polis’ aggressive renewable goals. According to a report released by the Common Sense Institute (CSI), the new regulations will not dent national, let alone global, greenhouse gases in the atmosphere, but the renewable mandates are costly and will unnecessarily impact all energy consumers.

Those in the lower socio-economic strata spend a significantly larger percentage of their incomes on energy and will feel the brunt of higher costs much more than their affluent neighbors. CSI’s report recommends a net-zero energy strategy, rather than a 100 percent renewable strategy. They argue that this compromise will allow energy to remain affordable and reliable by allowing for the “continued use of fossil fuels with appropriate offsets and/or capture of greenhouse gases.”

READ: Understanding ESG & Colorado’s Energy Transformation

Colorado’s environmentalists are unlikely to consider such a compromise. Instead, they persistently bring forth a never-ending tab of new proposals effectuating the deconstruction of the oil and gas industry upon which we rely to heat our homes and drive our cars.

Energy assistance programs in the state are receiving record-breaking numbers of calls. Energy Outreach Colorado has received 335,555 calls so far in 2023, a 20 percent increase from last year. “Last year, natural gas prices were absolutely unprecedented,” says Ms. Denise Stepto, chief communications officer at Energy Outreach Colorado. “This year already, people are calling our office and saying, ‘I’m scared I can’t afford to heat my home this winter.’” Stepto said she’s worried about people having to choose between heat and food or medicine, or having to bundle their children in winter coats at bedtime.

Rising natural gas prices and increasing utility rates are financially clobbering Coloradans, and policymakers are insufficiently moved to consider a course correction. Instead, it’s full speed ahead on climate action, and banning the natural gas that could rescue the people who are struggling the most.

How E-Bikes Will Transform the Transportation Economy in Colorado in 2024

All of a sudden, just this year — just the last few months really — everywhere I go I see and hear about electric bikes. E-bikes are the new fad, rolling into popularity as fast as their pedal-assisted electric motors will drive them. Among my circle of friends and acquaintances, they are the hottest new commodity on the planet.  

Now, admittedly, at my age, 71, my circle is composed of a lot of people in the Social Security and Medicare set, so if you think about it, it makes sense that they would be embracing e-bikes. After all, e-biking is a form of assisted living. 

But there is much more going on here than merely motorizing an age-old recreational transportation mode. What we are in the midst of is a massive transformation of transportation, one coming at e-lectricfying speed. 

READ: Skyhook Solar — Solar-powered Charging Stations for E-bikes and Electric Cars

In a way, it reminds me of the introduction 20 years ago or so of light rail as a commuter option. The great thing about the light rail system built by the Regional Transportation District — one that continues to grow in spite of RTD’s many dysfunctional aspects — is that light rail appealed to and garnered (garners) riders who never in a million years would take a bus. I am among that crowd, in that a bus to me seemed so old-school, seedy and down-scale, but light rail feels sophisticated and modern. 

It’s the same with e-bikes. I firmly believe that e-bikes will garner riders from a large group of people who would never in a million years ride a bike to work, but will probably start commuting on their e-bikes regularly.  

The city of Denver in particular, and many other locales across the state and the country as well, have been building bike lanes and pushing biking as a form of commuting and mobility for some time now, often at the expense of traffic street lanes once reserved for automobiles and parking. Indeed, there is a national Bike to Work Week and Bike to Work Day (May 15-21 and May 19, respectively, in 2023), a national movement for “safer streets, connected communities, a healthier planet and happier people,” according to the League of American Bicyclists. That, I believe, will soon become an anachronism, as biking and e-biking especially become the norm.  

Consider that, according to Fortune magazine, the global e-bike market in 2022 was something like $37.5 billion, with growth projections for that number to rise to $43.3 billion this year and to a whopping $120 billion by 2030. This has obviously gone way beyond recreational purchases and into the realm of primary transportation.  

For Colorado this has come at a fortunate time, in that just this past August, due to the passage of SB22-193, Colorado launched a statewide e-bike rebate available to low- and moderate-income Coloradans where e-bike purchasers can get rebates of up to $1,750 for e-bikes and accessories (helmets) through the Colorado Energy Office. It’s a relatively complicated process, but it’s clear that the state — and many other locales around the country — are very interested in getting people on e-bikes. 

We are, of course, in the midst of an “e” revolution in all vehicles; every automobile company on the planet is going electric very rapidly. But with cars, the purpose is essentially environmental — to supplant the use of fossil fuels — because an electric car doesn’t necessarily represent a new transportation mode, just a greener alternative. E-bike popularity, on the other hand, is not driven by environmental concerns, and is part of a seismic shift in mobility, one that will take many cars off the streets and get people pedaling for commuting and basic transportation.   

READ: Becoming a Zero-Emissions State — How Alternative Fuels Are Transforming Transportation in Colorado

One of the most interesting things about e-bikes, to me at least, is that they are not very new at all. The first patent for an electric bicycle was granted to Ogden Bolten Jr. in 1895, with another patent awarded for a novel variation two years later. But then there were electric cars back then too; we humans need new reasons to recycle old ideas, I guess. Or perhaps it just takes time for us to come to our senses.  

Either way, I feel it in my bones: Electric bicycles are about to take over the world.  

 

Jeff RundlesJeff Rundles is a former editor of ColoradoBiz and a regular columnist. Read this and Rundles’ blog, Executive Wheels, at cobizmag.com or email him at [email protected]. 

Top Company 2023: Energy

Now in its 36th year, ColoradoBiz magazine’s Top Company Awards program recognizes businesses and organizations based in Colorado or with a significant presence in the state that are leading the way in their fields, as demonstrated by financial performance, notable company achievements and community engagement.

To be considered, Top Company entrants submitted applications throughout the year online at ColoradoBiz.com. From those entries, which numbered in the hundreds, the magazine’s editorial board narrowed the field to three finalists (in most cases) in each industry category. A judging panel made up of area business leaders and ColoradoBiz staff then met to compare notes on the finalists and decide winners in 14 industries plus the Startup category, for companies in business four years or less.

Congratulations are in order not only to the 41 winners and finalists profiled on the following pages, but to all the companies that took the time to tell us about their achievements and obstacles surmounted over the past year that make them worthy of Top Company consideration.

READ: Fall 2023 Issue — Top Company Awards, Inside the CHIPS and SCIENCE Act, and More

WINNER

Urban Solutions Group

Denver, CO

Website: www.urbansolutiongroup.com

CEO Heidi Gill started Urban Solution Group in 2017 and raised $10 million to design, build and manufacture the next generation of sound walls that mitigate noise and nuisance impacts to communities from oil and gas operations. 

“Urban is a pro-American business and believes business and communities can coexist,” Gill says, citing expertise in industrial development, acoustic modeling, monitoring, mitigation and community relations. 

After the company’s now-patented mitigation walls launched at two locations in spring 2018, booming demand supported the manufacturing and deployment of enough product to service more than 25 simultaneous locations in the company’s second year. Urban Solution Group is now able to support more than 30 locations at any given time, more than six miles of walls in all. 

While Urban started as an oilfield services company, it has expanded into the renewable industry, data centers and racetracks. Gill said she believes “success snowballs,” adding, “If there is the opportunity, Urban will be there for the challenge.” 

The company saw revenue drop by 59 percent due to COVID-19 and the oil war in 2020. “Instead of pulling back on innovation and investment, Urban made the bold decision to double down,” Gill says. 

The resulting NavPlanIQ is a cloud-based energy platform that assists energy operators and developers with planning and navigating the human component of operations while providing regulatory and compliance tools. 

The strategy is paying off: Annual revenue grew by more than 120 percent in 2022, as the number of employees has increased from five in 2020 to 13 today.