Over 100 Oregonians died during the 2021 heat dome, during which temperatures reached 116 degrees. Multnomah County is currently suing big oil companies for their role in causing climate change, but neighboring cities share lobbyists with the worst offenders. Credit: Photo by Jeremiah Hayden
The city of Portland approved a controversial land use statement for Zenith Energy on Feb. 3, despite significant opposition from local environmental advocates.
"Earth to Oregon" is a recurring column by Jeremiah Hayden covering developments in environmental policy and litigation in Oregon.
The Land Use Compatibility Statement, or LUCS, is required by the Department of Environmental Quality, or DEQ, for Zenith to obtain a necessary state air permit. DEQ issued a $372,600 civil penalty to Zenith Dec. 6, and requested Zenith provide DEQ with a new LUCS by Feb. 4. Zenith will need the LUCS to demonstrate the local land use permit aligns with DEQ’s air contaminant requirements.
The approval comes on the heels of a City Council resolution submitted by Councilors Mitch Green and Angelita Morillo on Jan. 31, directing Mayor Keith Wilson to investigate Zenith’s potential violations of its franchise agreement. Any person, public or private entity in Portland must execute a franchise agreement for long-term use of the city’s rights of way.
The resolution also seeks to direct the Portland Permitting Development, Bureau of Planning and Sustainability, Deputy City Administrators, and the City Attorney to place communications into the public record regarding Zenith, citing Street Roots’ reporting, which revealed the city’s interactions.
Michael Jordan, interim City Administrator, assists Mayor Wilson in city management. His confirmation hearing in front of the City Council is this Wednesday.
“The City of Portland has a duty to uphold its land use processes, with good faith and due process for all parties involved,” Jordan said. “We have heard from Portlanders and take their concerns about our environment and safety seriously. We are committed to working closely with the new Portland City Council on the future of our regional energy infrastructure as we make the decisions that will govern the future of energy and sustainability.”
While Jordan maintains the process was executed in good faith, reporting from Street Roots since early December shed light on the city’s attempts to obfuscate the process. Public records obtained by Street Roots revealed Zenith was quietly coordinating with the city, DEQ and the Port of Portland to start blending Sustainable Aviation Fuel at its site along the Willamette River and adjacent to Forest Park — a new practice introduced in its latest LUCS application. Street Roots reported Jan. 9 that Zenith intends to become the region’s preeminent renewable fuels hub — a massive, previously unreported expansion of its operations. Street Roots reported Jan. 10 the city attorney claimed attorney-client privilege to shield Zenith communications from the public. A complaint filed Jan. 13 alleged Zenith violated its franchise agreement with the city during the timeframe DEQ fined Zenith for.
The approval also comes just seven days after the Portland Metro Chamber sent a letter Jan. 27 — signed by its president and CEO Andrew Hoan — to the City Council in support of Zenith’s LUCS approval.
“As our region transitions to electrification, one of the best ways to reduce carbon emissions is the use of low-carbon, renewable fuels,” the letter said. The city has recognized this with its RFS, which intends to eliminate the use of traditional diesel by 2030. The standard and the related ordinance recognize that the primary barrier to achieving this objective is the availability of the necessary supply of the low carbon replacement fuel — renewable diesel. Renewable diesel can be used in existing vehicles and reduce emissions by up to 80% over traditional fossil-based fuel.
Advocates say renewable fuels may be a greenwashing campaign, and the public should be skeptical of Zenith’s promises.
Kate Murphy, Columbia Riverkeeper community organizer, said Zenith is seeking additional approvals to expand its infrastructure, which can still be used to transport fossil fuels.
“After getting caught illegally expanding its fossil fuel operations, Zenith is trying to convince the City of Portland to issue additional approvals for more dangerous operations that threaten our communities, the environment, and Tribal treaty resources,” Murphy said. “We are counting on the City Council to do the right thing and prioritize public health and safety over profits for a fossil fuel company with a consistent history of violations and dishonesty.”
Organizers with Sunrise Movement sent a letter to Wilson Feb. 3 asking him to slow the process, as promised when Sunrise endorsed his campaign. Wilson responded, saying he supported the City Council resolution.
“I fully support our city councilors in their call for a review of the Zenith franchise agreement,” Wilson said. “I will work with the city council to ensure that any investigation into this matter begins swiftly and is carried out with full public transparency.”
Less than an hour later, the city approved the LUCS.
In a statement to Street Roots, Sunrise Movement said it is disappointed in the decision.
“As youth organizers fighting for climate justice in Portland and beyond, we are committed to holding Zenith and other polluters accountable, and are deeply disappointed with the City of Portland for ignoring calls for investigation from community members and members of City Council,” the statement said. “We are looking forward to joining the rally at City Hall on February 5 to make our voices heard.”
Michael Loch, DEQ public affairs specialist, confirmed to Street Roots that the agency received the approved LUCS from Zenith on Feb. 3.
“DEQ is reviewing the LUCS to ensure it is complete and will provide confirmation of that decision in the coming weeks,” Loch said.
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