U.S. Environmental Protection Agency (EPA) Administrator Scott Pruitt announced on Tuesday a proposal to rescind the Clean Power Plan, a program established by former President Barack Obama to cut greenhouse gas emissions from power plants. Arguing that the Plan exceeded legal limitations, Pruitt started the process to formally repeal the regulation. That process will take many months to complete and questions remain as to whether the EPA will implement any replacement guidelines for the electricity sector. Environmental activists and state leaders have vowed to challenge the repeal.
The U.S. Energy Information Administration (EIA) released its Winter Fuels Outlook this week, noting expectations for higher heating expenditures compared to the previous two years. Citing recent temperature forecasts from the National Oceanic and Atmospheric Administration (NOAA) for 13% colder weather in 2017-2018 than in the previous winter, EIA cost projections were driven by expectations for increased heating demand.
According to a report released by Deloitte on Wednesday, U.S. rig deployment for oil and natural gas is likely to be reduced in 2018. A survey of more than 250 industry executives highlighted uncertainty among producers, processors, pipeline companies, and exporters in the future of drilling. The report highlighted expectations for reduced capital expenditures in both upstream and midstream markets, while pipelines are seen as having the best opportunity for growth.