What’s next for Manchin’s favorite pipeline

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Mar 27, 2023 View in browser   By Arianna Skibell Presented by Chevron The Mountain Valley Pipeline's route on Brush Mountain in Virginia. | Heather Rousseau/The Roanoke Times/AP Images Remember the Mountain Valley Pipeline? The 303-mile project — which would transport natural gas from northern West Virginia to the Virginia Piedmont — was initially proposed nearly 10 years ago. Last summer, it made headlines, when Sen. Joe Manchin of West Virginia said he’d support President Joe Biden’s landmark $369 billion climate law in exchange for the project’s advancement. The side deal also included a larger package to overhaul energy project permitting. But it failed to materialize, thanks to opposition from both progressive Democrats and Republicans. So what’s next for the embattled natural gas project? POLITICO’s E&E News reporter Mike Soraghan paid a visit to the pipeline to find out. The MVP of pipelines: The pipeline is a joint venture among several energy companies, including NextEra Energy and Consolidated Edison. Equitrans Midstream is the lead developer. Today, about 272 miles of the pipe has been buried. But work largely ground to a halt years ago amid legal challenges and regulatory delays, and pipes now sit aboveground, exposed to the elements as developers wait for the green light to restart construction. Projected costs have also nearly doubled, from $3.5 billion to $6.6 billion. If history is any guide, the pipeline’s developers have a few options, Mike writes. They could fold and walk away, a possibility they dismiss (though some investors seem to be writing off the project as a loss). They could finally persuade Congress to step in — a prospect that hit another roadblock this week when Biden said he would veto Republican’s recent proposal to expedite permitting. Or the stalemate could continue playing out in court. Christine Tezak, a managing director at energy analysis firm ClearView Energy Partners, told Mike that there’s one narrow path for the legal fight to end quickly. The 4th U.S. Circuit Court of Appeals, which has issued several rulings blocking the pipeline, is currently considering a challenge to the state water permit for the project. If the court rules soon and doesn’t cancel the permit, construction could resume and be finished by year’s end. A hill to die on: But the pipeline’s many opponents have vowed to fight tooth and nail for the project’s demise. And so far, they’ve been fairly successful in impeding progress. Environmental groups have successfully challenged many of the projects’ federal permits in court. Aside from natural gas emissions contributing to a warming planet, opponents say construction is disrupting wildlife habitat, and runoff from the construction site is turning clear-water creeks orange and brown. And as much as Manchin wants to see the pipeline completed, Virginia’s two Democratic senators oppose the idea. Crossing them could undermine the senators’ prerogatives in their own state — a political no-no.   It's Monday — thank you for tuning in to POLITICO's Power Switch. I'm your host, Arianna Skibell. Power Switch is brought to you by the journalists behind E&E News and POLITICO Energy. Send your tips, comments, questions to askibell@eenews.net.   A message from Chevron: We’re working to help lower the lifecycle carbon emissions of transportation fuels. Find out how Chevron’s renewable diesel can help fuel the way to a lower carbon future.   Listen to today’s POLITICO Energy podcast Today in POLITICO Energy’s podcast: Zack Colman explains why the Biden administration may allow European companies to qualify for U.S. tax incentives under the Inflation Reduction Act.   A message from Chevron:   Power Centers Models of vehicles from defense contractor Lockheed Martin Corp. are displayed at an expo in London. | Peter Macdiarmid/Getty Images Legal fears The fear of being sued for contributing to climate change was once confined to the boardrooms of oil and gas companies, writes Corbin Hiar. Now those concerns are spreading to other corporations as the Biden administration prepares to release regulations that could expose the polluting liabilities of every large firm in the United States. GOP energy package House Republicans are hoping to pass a massive energy bill this week that that defies the Biden administration’s climate policies, including provisions to ease permitting bottlenecks, increase mining and open public lands to energy production. A team of E&E reporters breaks down what's in the bill and the state of play this week. Germany and its cars The European Commission and Germany’s transport ministry announced a deal Saturday that commits the EU to figuring out a legal way to allow the sale of new combustion-engine cars running exclusively on synthetic e-fuels, writes Joshua Posaner. The deal offers a sought-after loophole to new legislation banning the sale of combustion-engine vehicles in Europe starting in 2035. In Other News Report: Texas fracking is exacerbating the PFAS, or "forever chemicals," crisis. Profit$: Some of Europe’s largest polluters are earning windfalls from the sale of carbon credits.   GO INSIDE THE 2023 MILKEN INSTITUTE GLOBAL CONFERENCE: POLITICO is proud to partner with the Milken Institute to produce a special edition "Global Insider" newsletter featuring exclusive coverage, insider nuggets and unparalleled insights from the 2023 Global Conference, which will convene leaders in health, finance, politics, philanthropy and entertainment from April 30-May 3. This year’s theme, Advancing a Thriving World, will challenge and inspire attendees to lean into building an optimistic coalition capable of tackling the issues and inequities we collectively face. Don’t miss a thing — subscribe today for a front row seat.     Subscriber Zone A showcase of some of our best subscriber content. Young villagers play in the Pacific Ocean near the village of Waisisi, part of the island nation of Vanuatu. | Mario Tama/Getty Images The United Nations General Assembly will likely adopt a resolution this week to define countries' legal obligations for controlling their climate pollution. The White House vowed on Monday to veto the House GOP’s signature energy package hitting the floor this week if it reaches President Joe Biden's desk. The boom in U.S. liquefied natural gas exports could hit a new roadblock in the years ahead: workforce shortages. That's it for today, folks! Thanks for reading.   A message from Chevron: Renewable fuels can help lower lifecycle carbon emissions in industries around the world. At Chevron, we’re working to bring more renewable fuels to vehicles, today. Our renewable diesel can fuel trucks, trains, heavy-duty vehicles, and more, without requiring new equipment or infrastructure. The fuel—which is made with bio feedstock—has lower carbon intensity than regular diesel. It’s just one of the ways Chevron is committed to increasing our renewable fuel production, and fueling a lower carbon world. Find out more about our renewable diesel.     LISTEN TO POLITICO'S ENERGY PODCAST: Check out our daily five-minute brief on the latest energy and environmental politics and policy news. Don't miss out on the must-know stories, candid insights, and analysis from POLITICO's energy team. Listen today.       Follow us on Twitter Arianna Skibell @ariannaskibell   Follow us

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