Free Markets, Free People

Energy

Waxman-Markey. Boxer-Kerry. Let’s Call The Whole Thing Off (update)

That is if we’re committed to using science as the basis for our determination of whether or not the House or Senate versions of cap-and-trade are needed. And, as we’ve been pointing out for the last couple of weeks, the science of AGW is shaky at best and continuing to come apart at the seams.

But that hasn’t stopped ye olde sausage factory in the Senate from grinding out another version of CO2 emissions control. The Boxer-Kerry (BK) cap-and-trade bill has emerged with even more stringent caps on CO2 than the Waxman-Markey (WM) bill. BK calls for a 20% overall reduction of 2005 levels by 2020 (17% in WM) and 83% by 2050.

You can get an idea of how BK plans on administering the carbon offset market here. But, like WM, it targets those industries which fuel and power the nation (although unlike WM, it does give a nod to nuclear power and “clean” coal).  However there is evidence that the administration is trying to hide the real impact of such legislation from the American people:

Meanwhile, the Competitive Enterprise Institute (CEI) today accused the Treasury Department of continuing to hide information on the cost of climate legislation. In a news release, CEI said it had notified the Treasury Department of its intent to sue over the administration’s “inadequate disclosure of documents” recently requested under the Freedom of Information Act.

Documents released by the Treasury Department two weeks ago show the administration believed climate legislation could cost as much as $300 billion per year, which was much higher than the government’s public estimates, and could result in companies moving overseas. Studies have shown that the Waxman-Markey bill could eliminate 2 million American jobs a year.

2 million jobs a year? See the post below. Add the cost of 300 billion a year and then try to imagine a manufacturer that is a heavy user of energy trying to justify staying here instead of going somewhere else where not only energy, but labor, are cheaper than here.

Thus far BK has about 45 Senators who’ve signed on. Kerry is giddy (this would most likely be his first substantial accomplishment during his Senatorial tenure and naturally it would do more harm than good) saying he thinks the bill has a good shot of passing. But a senior Republican says he knows of no Republicans who would support the bill as written.

Senator Lamar Alexander seems to represent the prevailing thinking of the Senate’s Republicans:

“The Kerry-Boxer bill has fancy, complicated words that add up to high energy costs that will drive U.S. jobs overseas looking for cheap energy,” said Lamar Alexander of Tennessee.

But John Kerry see’s it differently:

Kerry said the event was the “beginning of one of the most important battles we will ever face as legislators and citizens.”

For once, Kerry is right about something, but not for the reason he believes. It is the beginning of one of the most important battle we well ever face and the importance lies in the fact that if passed, this legislation will kill jobs, push companies out of the US and drive our economy off the cliff. That makes it very important in my book. And with Copenhagen’s climate talks coming up in December, Democrats are going to try to push this turkey through so President Obama doesn’t show up empty handed.

The short term goal should be to ensure he does show up empty handed and the long term goal should be to defeat this outright. It’s based on shaky science, it is an economy killer and it will cost us far more than it will ever accomplish in terms of the environment. A much more sensible course would be a comprehensive energy policy which begins to use nuclear power and natural gas as the basis of a transition to clean energy with viable renewable brought on line as they become available while continuing to use and exploit the resources we have available.

Instead we’re being threatened with legislation that’s real purpose is to create a multi-billion dollar revenue stream out of thin air which will cost us jobs, income and our standard of living.

UPDATE: Speaking of Copenhagen and the desire to show up at the climate conference with something positive, it appears that the Obama administration has decided it will act unilaterally instead of wait on Congress.

Unwilling to wait for Congress to act, the Obama administration announced on Wednesday that it was moving forward on new rules to regulate greenhouse gas emissions from hundreds of power plants and large industrial facilities.

[…]

But he has authorized the Environmental Protection Agency to begin moving toward regulation, which could goad lawmakers into reaching an agreement. It could also provide evidence of the United States’ seriousness as negotiators prepare for United Nations talks in Copenhagen in December intended to produce an international agreement to combat global warming.

“We are not going to continue with business as usual,” Lisa P. Jackson, the E.P.A. administrator, said Wednesday in a conference call with reporters. “We have the tools and the technology to move forward today, and we are using them.”

The proposed rules, which could take effect as early as 2011, would place the greatest burden on 400 power plants, new ones and those undergoing substantial renovation, by requiring them to prove that they have applied the best available technology to reduce emissions or face penalties.

Phaaa, Congress … who need’s them?

~McQ

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Global Warming “Science” v. The Scientific Method (update)

Even the youngest student of science knows the foundation of scientific inquiry rests in the scientific method. It is by scrupulously following that method that the data and science behind it can be verified. In short:

Scientific method refers to a body of techniques for investigating phenomena, acquiring new knowledge, or correcting and integrating previous knowledge. To be termed scientific, a method of inquiry must be based on gathering observable, empirical and measurable evidence subject to specific principles of reasoning. A scientific method consists of the collection of data through observation and experimentation, and the formulation and testing of hypotheses.

It also requires that the data collected be made available to peers so the theories in question can be tested for their validity.

Among other facets shared by the various fields of inquiry is the conviction that the process be objective to reduce biased interpretations of the results. Another basic expectation is to document, archive and share all data and methodology so they are available for careful scrutiny by other scientists, thereby allowing other researchers the opportunity to verify results by attempting to reproduce them. This practice, called full disclosure, also allows statistical measures of the reliability of these data to be established.

The bold is my emphasis because I want to highlight a remarkable article at NRO by Patrick J. Michaels entitled “The Dog Ate Global Warming”. Obviously a little twist on “the dog ate my homework”, Michaels says that the “data needed to verify the gloom-and-doom warming forecasts have disappeared.”

Or, said another way, the findings are now unfalsifiable because those who did the original research say they no longer have the original data.

First some background about what’s being discussed:

In the early 1980s, with funding from the U.S. Department of Energy, scientists at the United Kingdom’s University of East Anglia established the Climate Research Unit (CRU) to produce the world’s first comprehensive history of surface temperature. It’s known in the trade as the “Jones and Wigley” record for its authors, Phil Jones and Tom Wigley, and it served as the primary reference standard for the U.N. Intergovernmental Panel on Climate Change (IPCC) until 2007. It was this record that prompted the IPCC to claim a “discernible human influence on global climate.”

Putting together such a record isn’t at all easy. Weather stations weren’t really designed to monitor global climate. Long-standing ones were usually established at points of commerce, which tend to grow into cities that induce spurious warming trends in their records. Trees grow up around thermometers and lower the afternoon temperature. Further, as documented by the University of Colorado’s Roger Pielke Sr., many of the stations themselves are placed in locations, such as in parking lots or near heat vents, where artificially high temperatures are bound to be recorded.

So the weather data that go into the historical climate records that are required to verify models of global warming aren’t the original records at all. Jones and Wigley, however, weren’t specific about what was done to which station in order to produce their record, which, according to the IPCC, showed a warming of 0.6° +/– 0.2°C in the 20th century.

So we’re talking about the findings which were used to make the IPCC’s dire warnings in its report. They are the basis for the entire global warming movement’s desire to do what is necessary globally to lower the amount of CO2 emissions.

But, others scientists ask, given their doubts about the accuracy of the data, should it be? Scientists interested in peer reviewing the theory, as the scientific method demands, found it impossible to do so. And therein lies the story:

Now begins the fun. Warwick Hughes, an Australian scientist, wondered where that “+/–” came from, so he politely wrote Phil Jones in early 2005, asking for the original data. Jones’s response to a fellow scientist attempting to replicate his work was, “We have 25 years or so invested in the work. Why should I make the data available to you, when your aim is to try and find something wrong with it?”

Reread that statement, for it is breathtaking in its anti-scientific thrust. In fact, the entire purpose of replication is to “try and find something wrong.” The ultimate objective of science is to do things so well that, indeed, nothing is wrong.

Michaels is stunned by he reaction. Anyone who reads that response should be stunned by it. As Michaels says, it is “breathtaking in its anti-scientific thrust”. Not unscientific. Anti-scientific. Jones is refusing a peer the data used to reach his conclusions in direct contravention of the scientific method. When you see a refusal like that, especially phrased the way it was phrased, all sorts of alarm bells should go off in the head of anyone who claims to be a scientist. And, of course, they have.

Over the years, requests have been made for the data and almost uniformly turned down for various reasons. Finally a request for the data made by Roger Pielke Jr., a professor of environmental studies at the University of Colorado solicited this response from Jones:

Since the 1980s, we have merged the data we have received into existing series or begun new ones, so it is impossible to say if all stations within a particular country or if all of an individual record should be freely available. Data storage availability in the 1980s meant that we were not able to keep the multiple sources for some sites, only the station series after adjustment for homogeneity issues. We, therefore, do not hold the original raw data but only the value-added (i.e., quality controlled and homogenized) data.

Michaels calls BS on this one:

The statement about “data storage” is balderdash. They got the records from somewhere. The files went onto a computer. All of the original data could easily fit on the 9-inch tape drives common in the mid-1980s. I had all of the world’s surface barometric pressure data on one such tape in 1979.

Anyone familiar with data storage throughout the short history of the computer age knows this is nonsense. Transfer of data from various systems to newer systems has been accomplished without real difficulty all thorough its development. What Jones is trying very hard to do is one of two things a) hide data that he’s pretty sure won’t support his conclusion or b) admitting to a damningly unscientific procedure which should, without his ability to produce and share the original data, call into serious question any findings he’s presented.

Why is this important – because based on this finding, the world is moving toward economy crippling treaties and legislation, like the pending cap-and-trade bill here in the US, based on totally unverified “science”. As Michaels says this story isn’t just “an academic spat” – it questions the very foundation of the premise which these economic crippling moves are based in.

Scientific consensus? Not even proven science, for heave sake – yet we’re moving on it like it was. Dangerous, foolish and costly. This is what rushing into things without making all of the inquiries necessary (and taking the time to do them) usually ends up with bad legislation.

And cap-and-trade promises to be no exception to that rule.

UPDATE: The Thinker provides a reminder of what I expect to see concerning Michael’s charges from the “Chicken Little” crowd:

As I described in my my model of belief, a faith-based belief is a belief in something for which there is no good evidence either for or against (e.g., the existence of God), whereas a delusional belief is a belief that is maintained in spite of evidence to the contrary (e.g., the efficacy of astrology). It is usually a delusional belief that requires an “appeal to other ways of knowing,” since a faith-based belief (strictly as I’ve defined it) can’t be challenged on scientific grounds.

The “appeal to other ways of knowing” is one of the strategies that a delusional person will use to cope with the cognitive dissonance that occurs when their beliefs bump up against reality. When questioned on this “other way of knowing” the person will then be forced to resort to other coping strategies (i.e., fallacies and biases).

Just a little helpful guide for those trying to evaluate the comments of those trying to defend the indefensible. Always handy to know if you’re dealing with someone grounded in a faith-based belief or a delusional belief, wouldn’t you say? If you’d like a local example of delusional belief, I’d steer you to the comment thread on Honduras where it is available in full flower.

~McQ

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Cap-And-Trade = $1,726 Per Family Per Year

That number doesn’t come from some opposition think tank or the CBO. According to CBS, that number is one calculated by the administration as the cost of Waxman-Markey:

The Obama administration has privately concluded that a cap and trade law would cost American taxpayers up to $200 billion a year, the equivalent of hiking personal income taxes by about 15 percent.

A previously unreleased analysis prepared by the U.S. Department of Treasury says the total in new taxes would be between $100 billion to $200 billion a year. At the upper end of the administration’s estimate, the cost per American household would be an extra $1,761 a year.

Interestingly, the Heritage Foundation, a right-wing think tank, put the cost at $1,500 a few months ago and were slammed for using scare tactics to try to defeat the bill. Other estimates range as high as $3,100. Democrats have used $800 a year as their estimate based on a study by MIT’s John Reilly.

The FOIA’d document written by Judson Jaffe, who joined the Treasury Department’s Office of Environment and Energy in January 2009, says: “Given the administration’s proposal to auction all emission allowances, a cap-and-trade program could generate federal receipts on the order of $100 to $200 billion annually.” (Obviously, any final cap-and-trade system may be different from what Obama had proposed, and could yield higher or lower taxes.)

Because personal income tax revenues bring in around $1.37 trillion a year, a $200 billion additional tax would be the equivalent of a 15 percent increase a year. A $100 billion additional tax would represent a 7 or 8 percent increase a year.

Of course, whatever the cost, it will hit those who can least afford it the hardest. What will that mean? Well, if history is any indication, it means a certain percentage of the population will be subsidized by another percentage of the population. Whether in the form of tax credits (unlikely, since the segment of the population likely to need help probably doesn’t pay taxes anyway) or direct subsidization, it will end up as a giant, bureaucratic redistribution scheme riddled with fraud, waste and abuse. For some families the cost will be close to zero. For others it will be well above $1,726 per family when they pay for those subsidies in other taxes.

And Jimmy Carter doesn’t yet understand why people are angry? Buy a clue, Mr. Carter.

~McQ

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Obama’s Earth Day Windpower Claim

Back on Earth Day of this year, while visiting a wind farm in Iowa, President Obama said:

“Now, in comparison,” Obama said, “Denmark produces almost 20 percent of their electricity through wind power. We pioneered solar technology, but we’ve fallen behind countries like Germany and Japan in generating it, even though we’ve got more sun than either country.”

“I don’t accept this is the way it has to be. When it comes to renewable energy, I don’t think we should be followers, I think it’s time for us to lead.”

Well as with most of the things he’s been talking about lately, it is factually wrong and the only place it may lead is bankruptcy. You see, apparently, despite all but blanketing Denmark with wind turbines wind isn’t producing anything close to 20%.

The Institute for Energy Research cites a study which finds the statement made by the president to not be accurate (that doesn’t mean he told a lie – Obama was only repeating what was supposed to be true at the time):

The report finds that in 2006 scarcely five percent of the nation’s electricity demand was met by wind. And over the past five years, the average is less than 10 percent — despite Denmark having ‘carpeted’ its land with the machines.

In fact, Denmark, as small as it is, has 6,000 wind turbines and it still hasn’t enough to shut down a single coal fired power plant.  In fact:

It requires 50% more coal-generated electricity to cover wind power’s unpredictability, and pollution and carbon dioxide emissions have risen (by 36% in 2006 alone).

And, of course, the other part of the promise is lower rates and more jobs.

But those too have proven to be false claims:

Danish ratepayers are forced to pay the highest utility rates in Europe. And the American people are led to believe that, though wind may only provide a little more than one percent of our electricity now, reaching a 20 percent platform – as the Danes have allegedly done – will come at no cost, with no jobs lost and no externalities to consider.

Speaking of jobs, the report also pulls back the curtain on the wind power industry’s near-complete dependence on taxpayer subsidies to support the fairly modest workforce it presently maintains. Just as in Spain, where per-job taxpayer subsidies for so-called “green jobs” exceeds $1,000,000 per worker in some cases, wind-related jobs in Denmark on average are subsidized at a rate of 175 to 250 percent above the average pay per worker. All told, each new wind job created by the government costs Danish taxpayers between 600,000-900,000 krone a year, roughly equivalent to $90,000-$140,000 USD.

The obvious lesson – beware of all claims coming out of any politician’s mouth. They’ll pick and choose any “fact” that supports their agenda and not do a lick of research to ensure it is true. Spin is is king and they have absolutely no shame about spinning you until you puke.

But here’s the other thing to watch for now – since we now know that Denmark hasn’t even approached 20% electricity produced by wind, and this info is available to both the president and his advisers, if we hear it again, then it most likely is a lie.

~McQ

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CO2 – Is This Where We’re Headed?

Cap-and-trade is only the beginning. France is mulling a CO2 tax on its citizens:

The French government plans next year to begin making heavy users of household and transport fuels bear more of the tax burden. President Nicolas Sarkozy is expected to say in coming weeks that such a shift is necessary to nudge French citizens toward cleaner alternatives.

The tax would reportedly start at about 14 euros (or $20) for each ton of CO2 emitted, and could rise to levels of around 100 euros ($143) for each ton by 2030. That could mean substantial increases in the price of gasoline and diesel, as well as a sizable jump in the cost of keeping homes warm.

Nudge French citizens? What is government doing nudging its citizens toward anything to do with their energy usage? Quite simply government, at least in France, has decided that citizens must conform to its priorities (proven or unproven) and thus uses its power to tax to “nudge” people into the behavior it prefers?

Is that a proper function of government? Only if you believe government is infallible and should be the arbiter of what constitutes the “proper” way of living. Trust me, such a belief has absolutely nothing to do with freedom, choice or liberty.

But skeptics say the idea may have less to do with clean energy, and more to do with a desire on the part of Mr. Sarkozy’s government to find new ways to keep the national debt in check.

Heh … the skeptics may be on to something. We have the same sort of problem in this country which is why I imply that cap-and-trade is only the beginning. Once implemented government will use the precedent (“we’re controlling industrial CO2 emission, now we need to control “private” CO2 emissions”) to tax citizens on their use. It’s all about revenue and this source is perfect – created, literally, out of thin air.

As usual, the socialists in France (and elsewhere) are without a clue:

In addition, members of the opposition Socialist party have slammed the plan, suggesting it would unfairly burden lower income citizens — particularly those who are obliged to use their cars.

Segolene Royal, a former presidential candidate, has instead called for direct taxes on gasoline and other energy companies.

Because everyone knows that a direct tax on “gasoline and other energy companies” would never be passed on to “lower income citizens” who are “obliged to use their cars” and “unfairly burden” them, would they?

~McQ

Breaking: Van Jones A Remarkably Bad Liar

Perhaps indicating why he has never been a politician, Van Jones lays a whopper on the American public (my emphasis):

A top environmental official of the Obama administration issued a statement Thursday apologizing for past incendiary statement and denying that he ever agreed with a 2004 petition on which his name appears, a petition calling for congressional hearings and an investigation by the New York Attorney General into “evidence that suggests high-level government officials may have deliberately allowed the September 11th attacks to occur.”

Van Jones, the Special Advisor for Green Jobs at the White House Council on Environmental Quality, is Number 46 of the petitioners from the so-called “Truther” movement which suggests that people in the administration of President George W. Bush “may indeed have deliberately allowed 9/11 to happen, perhaps as a pretext for war.”

In a statement issued Thursday evening Jones said of “the petition that was circulated today, I do not agree with this statement and it certainly does not reflect my views now or ever.”

He did not explain how his name came to be on the petition. A source said Jones did not carefully review the language in the petition before agreeing to add his name.

Jones’ statements are so laughable that one could be forgiven for thinking that this is a parody from The Onion (it’s not; I checked the URL … twice).

He and the Obama administration are really expecting us to believe that Jones didn’t know what he was signing? That just begs the question, what did he think it was? Why did Truther group come to him for a signature in the first place? What made them think he would sign it? Did they know of Jones’ apparent disdain for reading what he puts his name on and figure he would offer up his John Hancock without any issue? Or did they, being composed of several other statist weirdos (Cynthia McKinney, Howard Zinn), activists (Medea Benjamin and Jodie Evans of Code Pink), and radicals (Ed Asner, Ralph Nader), know full well that Jones would happily sign the petition because it fits in with his own radical views?

Don’t expect any answers to these questions to be forthcoming.

At this point, the White House isn’t answering any of these questions, but they will have a difficult time sticking with the “I didn’t read it” defense for very long. To be sure, lots of excuses will be offered up by the media in an attempt to provide cover for Obama’s administration, but this isn’t a story that can just go quietly away. They tried to do that with Rev. Wright, but the buzz from non-MSM sources kept it alive until Obama was forced to throw Wright under the bus (with his own grandma!). Expect the same here.

People Opposed To Cap-And-Trade

As Congress members slink back into Washington DC to get trauma treatment for their townhall wounds, a new Rasmussen poll indicates cap-and-trade legislation isn’t much more popular than health care insurance reform.

The survey of 1,000 adults showed 35 percent of Americans favor the climate change bill, while 40 percent oppose it.

Nearly one adult in four — 24 percent — are not sure whether passage of the bill is a good idea — findings which reflect virtually the same results as in late June.

While that may not seem overwhelming, it changes dramatically when the question of cost to the person being polled is brought up:

On economic impact of the legislation, 56 percent said they are unwilling to pay more in taxes and utility costs to generate cleaner energy and fight global warming, the same number who expressed that opinion in June.

Another poll mirrored the results. Of those polled in a Washington Post/ABC poll 52% supported cap-and-trade legislation, until cost was introduced into the questioning:

When asked if a cap and trade program “significantly lowered greenhouse gases but raised your monthly electrical bill by 25 dollars a month” – then only 39 percent support cap and trade while 59 percent oppose it.

The Heritage Foundation modeled the current pending legislation and found that on average it would increase electricity prices by $32.67 a month. But that’s just part of it:

But that’s just one small chapter in the book on how an average family of four’s pocketbook would be hit. Cap and trade is a massive tax on energy across the board – so your electricity bills will rise and so will everything else – gasoline, natural gas, and home heating oil. Add it up and the family of four energy expenditures increase on average by $69 per month from 2012-2035. Because the carbon caps become more stringent in subsequent years, the costs are highest in 2035 at $103 per month in the form of direct higher energy prices.

And we’re still not done – also added into the mix are the indirect costs these price increases will bring:

The energy tax also hits producers. As the higher production costs ripple through the economy, the household pocketbooks get hit again and again when producers pass costs onto the consumers. If you look at the total energy tax from Waxman-Markey, it works out to an average of $2,979 annually from 2012-2035 for a household of four. By 2035 alone, the total cost is over $4,600.

Now that $32.65 a month for the family of four has grown to $248.25 brought on solely by the imposition of cap-and-trade. Add to that the cost of the proposed health care insurance reform, the bailouts, the unstimulating “stimulus” and the pork laden emergency spending bill, plus a 10 year budget that puts us 9 trillion further in debt and you can begin to understand why the American people are angry and the clueless Congress and administration are seeking trauma care.

Like one woman said at one of the townhall meetings, echoing Adm. Yamamoto’s WWII quote, “I think you’ve awakened a sleeping giant”.

I certainly hope so. And if so, hopefully cap-and-trade will go the way of the Dodo bird, and become an extinct idea. Cap-and-trade is based on dubious and unsubstantiated science and it is obviously detrimental to the economic health of this nation. It should be abandoned immediately.

~McQ

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Stimulus? Try Offshore Drilling

During the last days of the Bush administration, there was a small flurry of hope among proponents of drilling for oil and gas which is off our coast. The president lifted the ban on offshore oil drilling and Congress, understanding the politics of the moment, let their ban expire. As the Washington Examiner explains, that leaves only one obstacle to the US finally going after what is thought to be about 3 billion barrels of oil and 11 trillion cubic feet of natural gas:

So the only thing keeping U.S. firms from drilling off our own continental shelf is President Barack Obama and his secretary of the interior, Ken Salazar, who is slow-walking the approval process that must be cleared before the work can begin.

However, President Obama has managed to break 2 billion of your dollars loose to loan to Brazil to help bankroll their offshore drilling in the Atlantic. One assumes that will give Brazil a savings which will allow them pursue drilling in the Gulf of Mexico as well, since they are one of a number of nations pursuing oil and gas there:

Brazil, China, India, Norway, Spain and Russia have all signed agreements with Cuba and the Bahamas to initiate exploration and production in the Gulf of Mexico within the next two years. So the prospect of seeing Russian oil rigs 45 miles off the Florida Keys — where American oil companies are now forbidden to drill — is a very real possibility.

That “very real possibility” would see us buying oil from the Gulf from foreign oil producers when it was just as readily available to us and our own companies.

And who would you rather produced it – US companies who have proven over the years that they have the ability to recover both oil and gas safely and in an environmentally sensitive way or foreign companies 45 miles off your coast who could give a good rip one way or the other how environmentally safe their methods were?

Then there’s the recession, jobs and the government’s hunt for revenue. This seems like a natural “shovel ready” industry that wouldn’t cost the taxpayer a nickle to crank up but would benefit the economy and the tax base:

According to the American Petroleum Institute, the development of America’s coastal oil and gas resources would generate more than $1.3 trillion in new government revenue and 160,000 high-paying jobs over the next two decades.

Instead of going full bore and trying to get this program off the ground – or in this case, in the water, we’re still piddling around trying to pass legislation:

Senators Lisa Murkowski, R-Ak., and Mary Landrieu, D-La., are bipartisan co-sponsors of a bill that provides coastal states such as Florida their fair share of revenues produced by off-shore drilling and production. The same thing should be done for states on the East and West coasts. California Gov. Arnold Schwarzenegger and the state’s lawmakers hope to tap deposits off Santa Barbara to generate billions in royalties, and Virginia’s front-running gubernatorial candidate Bob McDonnell has made drilling 50 miles off that state’s coast a key component of his energy plan.

Meanwhile foreign nations are moving to exploit resources we should have been exploiting for decades.

We have a huge looming energy gap. We’re behind the curve as it stands right now. While all the politics is focused on health care reform, this need isn’t going away and only becomes worse. Instead of “slow-walking” this, Barack Obama and Ken Salazar should be fast-tracking it and getting us out in those offshore areas to grab the most productive regions first. If we don’t, we’ll be moaning about how the percentage of oil and gas we import has gone up again.

And, as usual, that will be our own negligent fault.

~McQ

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“Green” UK – A Cautionary Tale

A bit of ego, a little dab of moral vanity, a smidge of hubris all driven by an agenda and you have the perfect definition of the political class worldwide.  Of course I understate the smidges, bits and dabs by quite a bit. But that class has a problem.  Other than boring economic stuff they are apparently lacking a great moral cause.   So, it appears, they’ve decided to make one up with predicable results.

Dominic Lawson brings us up to date with the goings on in the UK beginning with helping us understand where the “green” movement has gotten them:

I was irresistibly reminded of this by Ed Miliband, the energy secretary, in his launch of plans to cut carbon emissions by switching to “renewables” for more than 30% of our energy use. This, he claimed, would “rise to the moral challenge of climate change”.

Miliband is of the generation of politicians struggling to find a great moral cause. Earlier in the Labour administration Tony Blair thought he had found it with wars of choice far from home, but that has, to put it mildly, lost its lustre. Now it is the “war against climate change”, given additional moral potency by the notion that the greatest concentration of sufferers from global rising temperatures would be among the world’s poorest.

Given the mostly positive press the fulminations of one Al Gore has received, what pol worth his salt could resist the call to save the world. “Go Green” young man and don’t dally because the earth has a fever!

And so Britain has tried to lead the effort. With high flying rhetoric and an aim to save Africa (really? Yup, so says Lawson), British politicans have bravely decided to throttle back their emissions and, apparently, kill their steel industry. Of course other than see the last vestiges of that industry leave forever, Lawson wonders, in the big scheme of things, if it’s worth it:

The UK is responsible for less than 2% of global carbon emissions – a figure set to fall sharply, regardless of what we do, as a result of the startlingly rapid industrial-isation of countries such as China and India: each year the increase in Chinese CO2 emissions alone is greater than those produced by the entire British economy. On the fashionable assumption that climate change is entirely driven by CO2 emissions, the effect on global temperatures of Britain closing every fossil fuel power station would be much smaller than the statistical margin of error: in effect, zero.

You see, Lawson, like many, has figured out the unfashionable truth – unless the big 3rd world emitters play ball, whatever dinky emitters like the UK do won’t amount to any net change. Whether or not you believe in AGW or not, running your economy on the shoals for no net gain seems something only a politican would do. And you’re right.

But those great moral crusades are beckoning and the political flesh is weak. Who wants to show up and serve their time in the spotlight with nothing but mundane governing to do. Politicians are driven to make a difference:

Gordon Brown claims: “Britain is leading the world in the battle against climate change.” Such remarks are regarded as absurd in the chancelleries of Europe: if you do take as a measure of such commitment the proportion of domestic energy already supplied by renewables, the UK occupies 25th place in the European Union league table, above only Malta and Luxembourg.

Never the less, “leading” certainly has had an effect, at least domestically. With a yawning energy gap promising huge problems in he very near future, the UK is leading by committing itself to 7,000 offshore wind generators.

Two problems with that. One they should have learned from Germany:

Indeed, Paul Golby, who runs the British operations of E.ON, Europe’s biggest wind-power producer, has told the government that a 90% fossil fuel or nuclear back-up will be needed for any of the National Grid’s future wind-power capacity. As Martin Fuchs, his German boss, pointed out: “The wind, sadly, does not blow where large quantities of power are required . . . on September 12 last year wind power contributed 38% of our grid power requirements at all times, but on September 30 the figure went down to 0.2%.”

Yes that’s right – wind is so unreliable that it must be backed up with more conventional methods of power generation up to the 90% mark. And:

The powerful wind-turbine lobby in Germany constantly harps on about the number of jobs “created” by its subsidised investment, quite ignoring the number of jobs destroyed by high-cost energy, or indeed the greater number of jobs that could be created if the same amounts were invested in more profitable activities. This is why the Bremen Energy Institute argues that “wind energy macro-economically has a negative employment impact”.

Peachy. Germany isn’t the only one that has learned “green” means fewer jobs, not more. Spain has also learned that lesson. A study of what has happened in Spain since it took essentially the same path as the UK in 2000 yielded these results:

* For every green job financed by Spanish taxpayers, 2.2 real jobs were lost as an opportunity cost;
* 9 out of 10 green jobs created by Spain over the past 10 years are no longer in existence today;
* Since 2000, Spain has spent €571,138 ($753,778) to create each “green job,” including subsidies of more than €1 million ($1,319,783) per wind industry job;
* Those programs resulted in the destruction of nearly 113,000 jobs elsewhere in the economy and;
* Each “green” megawatt installed destroyed 5.39 jobs in non-energy sectors of the Spanish economy.”

And what about all that wonderful green energy promised by the UK wind machines? Well, unfortunately it’s very expensive:

Miliband claimed last week that the result of his proposals would be an increase in costs to energy users of about 17%. However, the business and enterprise department admitted last year that Britain’s existing “climate policies” – even before Miliband’s latest Big New Idea – would add an extra 55% to energy bills. It’s obvious where this will lead: to the exit from Britain (and, indeed, Europe) of much of what remains of energy-intensive manufacturing industry – the euphemistic jargon term is “carbon leakage”.

Sure enough, that’s precisely what is happening:

Jeremy Nicholson, the director of the Energy Intensive Users Group, which represents such industries as steel and aluminium, is exasperated beyond measure: “A future administration will have to say in public what ministers and their officials already admit in private, that the renewables target is neither practical nor affordable. Outsourcing our emissions is not a solution to a global problem. Politicians need to understand that unilateral action will come at a terrible cost in terms of UK manufacturing jobs, investment and export revenue, for no discernible environmental gain – is that really what they want?”

Apparently so, since that is precisely the road the US and UK, without either China, India or the rest of the 3rd world, is headed.

What about the “exasperated” steel and aluminum industuries in Britain?

Well their demise has already begun:

Thousands of British steelworkers and their families are holding a protest march Saturday in a town in northeast England where the looming closure of a Corus steel plant threatens to throw families into poverty.

[…]

Closure is expected to result in the loss of 2,000 jobs at the plant, and another 1,000 elsewhere.

But others say the status of the plant, known as Teesside Cast Products, as one of the main regional employers means its closure will result in a loss of local high street spending that could balloon into nearly 10,000 job losses.

Aluminum too:

On the day Nicholson said this to me, last Thursday, Anglesey Aluminium, the biggest consumer of electricity in Wales, announced that it would cease production, precisely because it could see no prospect of signing up to a long-term supply of electricity at a rate at which it could make a profit. And on the day of Miliband’s announcement, a group of Labour MPs presented a “Save Our Steel” petition, saying: “We need to make sure we act before the light goes out.”

It may well be that the English steel mills will become unable to compete globally, even at current domestic energy prices; but deliberately to make them uncompetitive is industrial vandalism – and even madness when the consequence of Miliband’s Martin Luther King moment may be the lights going out not just for producers but for all of us in our homes. This is worse than a futile gesture: it is immoral.

Indeed. But the moral vanity and hubris involved in the belief one is “saving the world” apparently trumps any concern for the lives of others and the reality such policy brings in its execution.

The immoral part, as it pertains to the US, is we know this from watching what has happened in Europe and elsewhere. Yet apparently, if the administration has its way, we’re going to see the same immorality visited on us here shortly.

~McQ

Questions and Observations #4

For new readers, the title is what the shortened “QandO” stands for.

  • I thought one of the things the Obama administration was promising it wouldn’t do was use signing statements to ignore the law? Apparently not.
  • It would appear that a witch-hunt for “extremists” in the military is building. First we had the DHS warning claiming veterans might be recruited by right-wing extremist organizations. Then Alcee Hastings proposes law (a law already on the books, btw) to prohibit “extremists” from joining the military. Now the Southern Poverty Law Center is asking Congress to investigate the military based on a couple of postings it found on a suspect website.  The premise, of course, is because we now have a black Democratic president, there is more of a threat from such extremists who might be in the military.
  • Government’s attempt to regulate every aspect of your life takes another step in that direction, but in an unexpected area – licensing yoga teachers. Of course, government knows so much about yoga to begin with. In fact, all this will do is add cost and paperwork to something which is at the moment, self-regulated by the market.  What it will do for yoga is present an government imposed bar to entry.  And, of course, create another revenue stream where none previously existed.
  • Electric cars? The panacea? Not according to the Government Accounting Office which claims, at best, they’d reduce CO2 emissions by 4 – 5% but would see that negated by increased travel because users would drive more believing their use isn’t a threat to the environment. And then there’s the lithium problem.
  • David Brooks sat through an entire dinner with a Republican Senator’s hand on his inner thigh? Really? Why? And what does that say about David Brooks?
  • Corporations which have taken taxpayer money are on notice not to book meetings at fancy resorts. But government (which exists on nothing but taxpayer money)? No problem.
  • Mark Steyn wonders if the era of “soft despotism” has begun here? It’s a good description of what is going on I think.  For the record, Obama isn’t the initiator of it, he’s just an accelerant. The only problem with “soft despotism” is it usually turns to the garden-variety hard despotism after a while.
  • Timing is everything, isn’t it? In the midst of the recession, the federal minimum wage is scheduled to increase by 70 cents an hour to $7.25 on July 24th. That’ll certainly help the recovery and create jobs, won’t it?

I’ll add more as I find them – check back throughout the day.

~McQ