March 2007
Louisville Residents Come Together for A Conversation on Energy
ConocoPhillips and University of Louisville unite to discuss America’ energy future
Nearly 150 residents from Louisville and surrounding areas joined ConocoPhillips at the Galt House Hotel on March 29 for a “Conversation on Energy,” co-hosted by the University of Louisville. The dialogue included local panelists’ perspectives on a variety of energy topics and a question and answer session with the audience.
Moderator Cam Metcalf, executive director of the Kentucky Pollution Prevention Center at the University of Louisville, facilitated the conversation throughout the evening. The panel consisted of distinguished Louisville representatives, including Dr. Talina Mathews, executive director of the governor’s office of energy policy; Laura Knoth, director, public affairs division—Kentucky Farm Bureau; and Melissa Howell, executive director of the Kentucky Clean Fuels Coalition. Phil Frederickson and Lou Burke represented ConocoPhillips.
Phil Frederickson began the panelist presentations by acknowledging the energy industry has largely lost touch with the public, but noting that ConocoPhillips and its 38,000 employees are working hard to be a part of the energy solution. Frederickson presented the company’s view of future U.S. energy supply by stating that energy independence is not possible. Instead, he said the focus should be on energy security, which can be achieved through four steps:
• Energy source diversification. • Greater energy efficiency. • More innovation and research & development (R&D). • Environmental protection.
Dr. Talina Mathews continued the conversation by discussing Kentucky’s first comprehensive energy strategy, which is composed of 54 recommendations and three guiding principles for Kentucky’s energy future. These principles include maintaining Kentucky’s low-cost energy, responsibly developing Kentucky’s energy resources and preserving Kentucky’s commitment to environmental quality.
Dr. Mathews focused on transportation fuels and said there is no single resource to meet the state’s need for fuel. The Governor’s Office of Energy policy is sponsoring research projects and working to expand the state’s capability to produce these fuels. According to Dr. Mathews, energy has always been a part of Kentucky, but the state must find the technology to utilize its resources in an environmentally-friendly way.
Representing all sides of the agriculture industry, Laura Knoth spoke of the Kentucky Farm Bureau’s dual interest in energy as producers and consumers. The Kentucky Farm Bureau supports all types of biofuels, which Knoth said the state has the resources to create. She noted that private entrepreneurial spirit, rather than government action, is leading the way in developing alternative fuels. “We’ll find energy where we never thought to look,” Knoth said, adding that agriculture is a key part of the energy equation.
Lou Burke discussed the role of technology at ConocoPhillips during the company’s 130-year history and explained that in today’s discussion on energy, the emphasis on technology hasn’t changed. Burke presented an overview of ConocoPhillips R&D activities, pointing out that technology is the key to providing the energy that will be needed tomorrow. In the area of unconventional forms of oil and gas, ConocoPhillips is producing more heavy oil, working on turning coal and natural gas into liquid fuels and researching the use of gas hydrates. ConocoPhillips is increasing R&D spending by 50 percent this year and turning to alternative energy sources, such as making liquid fuels from non-food sources such as cornstalks, switch grass, wood and algae. R&D activities are devoted to environmental stewardship, such as studying carbon sequestration, recovering wastewater for reuse in production and refining operations, and reducing carbon dioxide emissions.
Melissa Howell of the Kentucky Clean Fuels Coalition highlighted that even though there is room for improvement regarding energy, there are a lot of success stories to talk about in Kentucky. An example she shared was the school district’s switch from gasoline to biodiesel in school buses. Biodiesel is an important product and isn’t just for transportation purposes—Howell noted its use for home heating. She acknowledged, though, the role that infrastructure plays in getting biofuels to the consumer. Above all, Howell emphasized the power of partnerships within Kentucky and how these partnerships can help secure America’s energy future.
After the panelist presentations, Louisville residents had a chance to speak their minds. A question and answer session brought up a variety of topics, including both the potential and issues related to ethanol, the future of coal, climate change, energy education, nuclear storage, nuclear energy, hydro power and energy legislation.
When asked about ethanol’s potential in helping secure America’s energy security, Lou Burke acknowledged the pros and cons of this biofuel. Creating a positive energy balance, ethanol has reduced CO2 by 20 percent. However, transportation is an issue as ethanol can’t be shipped via pipeline. This means trucks and trains, which use energy to run, have to transport this source of energy to the coasts. Burke emphasized that while ethanol will help secure America’s energy future, multiple sources of energy will still be necessary.
Laura Knoth addressed the ethanol and food versus fuel debate by saying corn prices are set on the world market. Technology will find ways to be more efficient, including future opportunities for cellulosic ethanol, which uses corn stocks rather than grains.
Phil Frederickson, Dr. Talina Mathews and Melissa Howell all responded to a question on climate change. Frederickson stated that ConocoPhillips recognizes climate change as a significant issue. Howell said the private and public sector are stepping forward in addressing climate change. Unfortunately, she said, there is weak leadership and public policy in this area. Dr. Mathews said the easiest way to reduce the carbon footprint is to use less energy, educate people, fund research and focus on what you can do now.
Another topic that received attention was energy efficiency and the need to provide energy education to young children to promote an energy-efficient lifestyle. Dr. Mathews agreed with audience members on the need to include this information in school curricula. She also spoke of the cultural change necessary to live an energy-efficient life, stating that people must focus on and change their current actions, such as carpooling, consolidating trips in the car or living downtown to make mass-transit feasible and economic. Burke also noted that approximately five to seven percent of electricity demand is parasitic load, including home computers left on during the day, devices or chargers left plugged in when not in use and lights left on when no one is in the room.
Burke and Howell suggested the audience make it known to their elected officials that energy efficiency is an important issue that demands attention.
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