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U.S. NEWSTuesday 18 August 2015

Feds allow Shell to drill for oil in Arctic Ocean off Alaska 

DAN JOLING                         standards,” agency Di-         site. It completed what’s       actly when drill bits might               Pacific walrus, ice seals
Associated Press                   rector Brian Salerno said      called a mud-line cellar,       enter the petroleum-bear-                 and threatened whales al-
ANCHORAGE, Alaska (AP)             in a statement Monday.         a 20-by-40-foot hole at         ing zone.                                 ready vulnerable from cli-
— The federal government           “We will continue to moni-     the top of the well that will   “It’s information that we                 mate warming and shrink-
on Monday gave Royal                                                                                                                        ing summer sea ice. They
Dutch Shell the final permit       With the Olympic Mountains in the background, a small boat crosses in front of the Transocean            say oil companies have
it needs to drill for oil in the                                                                                                            not demonstrated that
Arctic Ocean off Alaska’s          Polar Pioneer, a semi-submersible drilling unit that Royal Dutch Shell leases from Transocean            they can clean up a spill in
northwest coast for the first                                                                                                               water choked by ice.
time in more than two de-          Ltd., as it arrives in Port Angeles, Wash., aboard a transport ship after traveling across the Pacific   Sierra Club executive di-
cades.                                                                                                                                      rector Michael Brune said
The Bureau of Safety and           before its eventual Arctic destination. The U.S. government on Monday gave Shell the final               in a statement that Presi-
Environmental Enforce-                                                                                                                      dent Obama’s decision to
ment announced that it             permit it needs to drill for oil in the Arctic Ocean off Alaska’s northwest coast for the first time in  grant Shell the final drilling
approved the permit to                                                                                                                      permits goes against sci-
drill below the ocean floor        more than two decades. 			     (Daniella Beccaria/seattlepi.com via AP)                                  ence, the will of the peo-
after the oil giant brought                                                                                                                 ple and common sense.
in a required piece of             tor their work around the      hold a blowout preventer,       consider proprietary and                  “Granting Shell the permit
equipment to stop a pos-           clock to ensure the utmost     and continued drilling into     therefore not something                   to drill in the Arctic was the
sible well blowout.                safety and environmental       rock above the petroleum-       we would release,” Smith                  wrong decision, and this
The agency previously al-          stewardship.”                  bearing zone.                   said. He added safe oper-                 fight is far from over,” he
lowed Shell to begin drill-        The Polar Pioneer, a semi-     Smith said it’s possible Shell  ations will determine prog-               said. “The people will con-
ing only the top sections          submersible drilling unit      will complete a well this       ress. Environmental groups                tinue to call on President
of two wells in the Chuk-          that Shell leases from Trans-  summer. But he declined         oppose Arctic offshore                    Obama to protect the Arc-
chi Sea because the key            ocean Ltd., began work         to say how deep the Polar       drilling, saying industrial ac-           tic and our environment.”
equipment, called a cap-           July 30 at Shell’s Burger J    Pioneer has drilled or ex-      tivity will harm polar bears,             The U.S. Geological Survey
ping stack, was stuck on a                                                                                                                  estimates that U.S. Arctic
vessel that needed repair                                                                                                                   waters hold 26 billion bar-
in Portland, Oregon.                                                                                                                        rels of recoverable oil, and
Because the vessel arrived                                                                                                                  Shell is eager to explore in
last week, Shell is free to drill                                                                                                           a basin that company offi-
into oil-bearing rock, esti-                                                                                                                cials say could be a game-
mated at 8,000 feet below                                                                                                                   changer for domestic pro-
the ocean floor, for the first                                                                                                              duction.
time since its last explorato-                                                                                                              Shell bid $2.1 billion on
ry well was drilled in 1991.                                                                                                                Chukchi Sea leases in 2008
“Activities conducted off-                                                                                                                  and has spent upward of
shore Alaska are being                                                                                                                      $7 billion on exploration
held to the highest safety,                                                                                                                 there and in the Beau-
environmental protection,                                                                                                                   fort Sea off Alaska’s north
and emergency response                                                                                                                      coast.q

Kansas regulators urged to allow increased electricity rates 

JOHN HANNA                         ing on the proposed deal       sive and complicated and        sioner Jay Emler, a former                upgrades at the Wolf Creek
Associated Press                   struck by Westar Energy        urged the three-member          state Senate majority lead-               nuclear power plant about
TOPEKA, Kan. (AP) — An             Inc. with the commission’s     commission not to change        er and attorney. “It’s very               55 miles south of Topeka.
agreement that would al-           staff, a state consumer        any of its terms. State law     encouraging.”                             The company also pro-
low Kansas’ largest elec-          advocacy agency and            gives the KCC until Oct. 28     Westar, based in Topeka,                  posed a five-year, $220
tric company to increase           some of the utility’s largest  to issue an order revising      has nearly 700,000 custom-                million plan for upgrad-
its rates about 4 percent is       customers. The company’s       Westar’s rates, and sev-        ers, and it initially proposed            ing its electrical grid and
reasonable for customers           annual rates would rise by     eral attorneys noted that       increasing its annual rates               a 10 percent annual profit
while covering the cost of         $78 million — about half       the law encourages settle-      by $152 million. The utility              for its stockholders. The
power plant upgrades, at-          of what it wanted — and        ments, particularly agree-      sought to recover costs al-               agreement allows grid im-
torneys for the utility and        most households would see      ments like Westar’s where       ready incurred for improve-               provements of $50 million
other parties told state reg-      their bills increase between   no party formally objects.      ments mandated by fed-                    between now and early
ulators Monday.                    $5 and $7 a month.             “This was frankly amazing,      eral air pollution standards,             2017; it doesn’t specifically
The rate-setting Kansas            Attorneys representing the     that all these parties were     primarily at its coal-fired               set a maximum profit, but
Corporation Commission             parties to the agreement       able to come to the table       power plant near LaCygne                  it’s expected to be 9.35
had a 90-minute hear-              said it was comprehen-         as they did,” said Commis-      in eastern Kansas, and for                percent.q
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