Despite the fact that oil has long been nicknamed “black gold,” oil has been anything but gold as of late. Supply gluts in the United States and fighting among the OPEC countries caused a dramatic decline in crude oil prices over the last 6 months or so. As the chart below shows, crude oil prices have dropped from about $82 per barrel at the beginning of November to approximately $50 a barrel today. While US consumers enjoy lower prices at the pump, the significant drop in oil prices is causing major challenges in the industry. Continue reading
Author Archives: Jeff Simonetti
New Local Groundwater Rules try to get out in Front of California’s Groundwater Legislation
We have all heard of the Gold Rush in the State of California. In recent years, however, a new kind of “gold rush” has taken over the state – the rush for new water supplies. As the drought continues into its 4th year unabated, farmers are scrambling to drill new and deeper wells into the ground. However, these farmers face serious new challenges in their quest to secure new water supplies. Continue reading
Water Supply in Colorado Part II: The Debate over Trans-Mountain Diversions
If only life could be so easy. In many parts of the world, population centers and water supplies are not located in the same place. Areas from California to China go to great lengths and costs to move water from where it is (relatively) abundant to the population centers and farmland. One of the largest diversion projects in the world, China’s South-North Water Transfer Project just opened its second branch to the Beijing area in December. The project theoretically will bring almost 12 trillion gallons of water from the Yangtze River Valley north to the mega-cities surrounding Beijing. But the project will also bring with it controversy – mainly over the sustainability of this water supply and the pollution issues that already plague China’s dwindling water supplies. Continue reading
A Look at Colorado’s 2015 Water Plan
Colorado’s water situation looks much less dire in 2015 than it did two short years ago. In February, 2013, exceptional drought covered almost 25% of the Centennial State. Severe drought covered 100% of the state. When we fast forward to today, the situation fortunately is much less dire. (please see the map below for details.) Some portions of Southeastern Colorado face extreme drought conditions. The severe drought that covered the entire state two years ago now only covers 12.26%. However, Colorado is not resting on its laurels to plan for future water crises. Continue reading