Showing posts with label Energy Costs. Show all posts
Showing posts with label Energy Costs. Show all posts

Monday, May 16, 2011

Carbon? Carbon Dioxide? They’re the Same, Aren’t They?


Well, no, they are not the same. Pundits, politicians and some who just want to appear smart may think they are the same thing.

But because you want to be, as well as look, intelligent, you need to know the difference.

CARE blog-favorite writer Paul Driessen explains it so well, that the next time you are drawn into a discussion on climate change, or whatever the current buzzword is for carbonphobes, you will know how to outsmart the strongest spinmeister.

And you will be doing it with facts, not agenda-driven arguments that sooner or later fall flat on their faces.



Carbon and carbon dioxide: Clearing up the confusion

Let's restore common sense to our public policy debates on energy and climate

By Paul Driessen

We are constantly bombarded with information much of it inaccurate, misleading, even deliberately so.

We are frequently told we must reduce carbon emissions, support carbon disclosure and invest in carbon trusts to prevent catastrophic global warming, global climate change or global climate disruption. News stories, advocacy and lobbying activities, and corporate ethics promotions frequently use carbon and carbon dioxide almost interchangeably; some occasionally talk about dangerous carbon monoxide emissions.

Torn by misplaced hydrocarbon guilt, wanting to do right ecologically, and often scientifically challenged, people are naturally confused. Because so much is at stake for our energy supplies and prices, jobs, economies, living standards, budget deficits and environment clearing up that confusion is a high priority.

Carbon (chemical symbol C) is what we burn to get energy to power modern society. Carbon is the molecular building block for wood, charcoal and coal, and hydrocarbons (HC) like oil and natural gas. Cars and power plants do not emit carbon, except in the form of soot. Thus, talk of carbon disclosure or reducing our carbon emissions is misleading, unless one is confessing how much charcoal was used at a picnic, or apologizing for not having pollution controls on a wood-burning stove.

Carbon monoxide (CO) is an odorless, deadly gas. A natural product of combustion, it increases when ventilation is poor, oxygen levels are low and burning is inefficient. It's why we shouldn't use charcoal grills indoors or operate cars in garages, unless we're suicidal.

Carbon dioxide (CO2) is another natural byproduct of combustion, from power plants, factories, vehicles, homes, hospitals and other users of wood, coal, petroleum and biofuels. This is what many environmental activists, politicians and scientists blame for recent and future climate change.

(The other major byproduct is water vapor or steam plus pollutants that reflect impurities in the fuel and are removed via scrubbers and other technologies, or reduced by controlling the temperature, airflow and efficiency of combustion processes: sulfur and nitrogen oxides, particulates, mercury and so on.)

Literally thousands of scientists vigorously disagree with the hypothesis that CO2 is responsible for climate change. It plays only a minor role, they argue, in a complex, chaotic climate system that is driven by numerous natural forces, cycles, and positive and negative feedback loops. They also note that CO2 increases have followed, not preceded, temperature rises, throughout Earth's history.

CO2 constitutes a mere 0.0380% of our atmosphere. That's 380 parts per million (380 ppm), which sounds much more threatening, especially when used in juxtaposition with the pre-Industrial Revolution figure of 280 ppm. But even that 100 ppm increase represents only 0.0100% of Earth's atmosphere — equivalent to one penny out of $100.

380 is far below historical CO2 levels. During the Jurassic and Early Carboniferous periods, geologists calculate, our atmosphere contained 1,500-2,500 ppm carbon dioxide. However, even at today's comparatively CO2-impoverished levels, this trace gas is vital to the health of our planet.

As every grade schooler learns, CO2 enables photosynthesis and plant growth: carbon dioxide and water in, oxygen and plant growth out, through complex chemical reactions. Without CO2, there would be no plants and no oxygen; life as we know it would cease. Carbon dioxide is truly the gas of life and no attempt by Al Gore, James Hansen or the EPA to brand it as a dangerous pollutant can change that.

The 100 ppm rise in CO2 levels came courtesy of two things. As oceans warmed, after the Little Ice Age ended 160 years ago, they released some of their carbon dioxide storehouses. (As with beer and soda water, seawater is able to retain less CO2 as it warms.) The rest came from hydrocarbon fuels burned during the Industrial Revolution and modern era, and from billions more impoverished people still burning wood and animal dung in open fires.

Though vilified by radical greens and climate alarmists, hydrocarbon energy and the Industrial Revolution have hugely benefitted mankind. They doubled average life expectancies in industrialized nations and increased prosperity, overall health and living standards, in proportion to the ability of poor communities to acquire electricity and modern technologies. Thus, telling poor countries to limit hydrocarbon use, and focus instead on wind and solar power, sharply limits their ability to modernize, create jobs, and improve health, living conditions and life spans.

And all that extra CO2 from electrical generation and other economic activities? As Drs. Craig and Sherwood Idso explain on their CO2science.org website and in their fascinating book, The Many Benefits of Atmospheric CO2 Enrichment, the extra carbon dioxide has blessed people and the planet in at least 55 ways.

For example, increased atmospheric carbon dioxide increases the photosynthesis rates for plants. It enables plants to extract more moisture from the air and soil, thereby expanding root systems that stabilize soil, reduce erosion and help plants survive better during droughts.

Higher CO2 levels also reduce the need for plants to keep their stomata (pores in leaves) open to absorb carbon dioxide and in the process release moisture from the plant further increasing drought resistance. Because stomata don't need to be open as much, plants also reduce their absorption of harmful pollutants that can damage their tissue. As with the air in greenhouses, rising atmospheric CO2 concentrations improve nitrogen fixation by soil bacteria, increasing the availability of this important chemical.

CO2-enriched air also increases plants' ability to manufacture Vitamin C, antioxidants, and health-promoting substances in medicinal plants, while likewise improving plants immune systems and ability to withstand a wide variety of common plant diseases.

Many climatologists and astrophysicists believe recent sun spots, Pacific Ocean and global temperature trends suggest that our planet may have entered a cool phase that could last for 25 years. If that is the case, the additional carbon dioxide being emitted by China, India and other developing countries could bring a major additional benefit: helping to protect wildlife habitats, enhance oceanic biota and preserve crop yields under sub-optimal climatic conditions.

Attempts to coerce expanded wind and solar installations will require that we devote still more land, raw materials and taxpayer subsidies to these expensive, unreliable energy supplies. And trying to capture and store carbon dioxide from power plants and factories will require trillions of dollars and vast supplies of energy, to take this plant-fertilizing gas out of the atmosphere and inject it under high pressure deep into the earth and keep it from escaping, to kill animals and people.

To get 1,000 megawatts of net electricity from a power plant designed for CO2-capture-and-storage would require building (at minimum) a 1,300-MW plant, burning at least one-third more fuel than a conventional plant does, using over one-third of the 1,300 MW to power the CCS equipment and paying much higher electricity prices. The impact on factories, shops, jobs, household budgets and fuel supplies would be significant.

Legislators and regulators need to focus on controlling unhealthy amounts of real pollutants (based on valid medical and environmental science) and keep their pesky hands off our CO2!

____________

Paul Driessen is senior policy adviser for the Committee For A Constructive Tomorrow and Congress of Racial Equality, and author of Eco-Imperialism: Green power - Black death.

Tuesday, June 22, 2010

Letter To Congress: Stop The Off-Shore Drilling Moratorium

There is something noble about dedicating one's life to building a family-owned business. It is a huge investment of time, money, energy, and human emotion. However, one family's dream of helping power America has been shattered by President Obama's six-month moratorium on off-shore drilling. In the letter below, citizens Cliffe Laborde and Peter Laborde ask Senator Mary Landrieu (D-LA) and Senator David Vitter (R-LA) to intervene on behalf of their state and their country. They ask that their Senators do whatever it takes to lift the moratorium for the sake of protecting the livelihoods of thousands of American citizens.

The simple fact is that an overwhelming majority of the people working in America's oil and gas industry are honest, hard working Americans that love their country. They're sick and tired of being demonized by this Administration because one company, British Petroleum, made irresponsible decisions that led to a massive oil spill off the Gulf Coast. This letter captures the zeitgeist of how oil and gas workers feel about what's going on in America. It's a compelling story and we invite you to read on.


Letter From Laborde Marine To Senator Mary Landrieu (D-LA) And Senator David Vitter (R-LA)
June 4, 2010


The Honorable Mary Landrieu
United States Senator
724 Hart Senate Office Building
Washington, D.C. 20510

The Honorable David Vitter
United States Senator
516 Hart Senate Office Building
Washington, D.C. 20510

RE: Moratorium on Deep Water Drilling


Dear Senators Landrieu and Vitter,

The B.P. blowout and its aftermath constitute a continuing tragedy of gigantic proportions, both for the nation as a whole, and for Louisiana in particular. However, the Administration’s moratorium on deep water drilling is ill-advised and compounding the tragedy.

Over 50,000 wells have been drilled in the Gulf of Mexico with no environmental incidents of any consequence. Of that number, 4,000 were deepwater wells (drilled at a depth greater than 1,000 feet), and over 700 were ultra-deepwater wells (over 5,000 feet in depth); none of these had any problems. These impressive statistics establish that the offshore drilling industry has an excellent safety record. This record was achieved by advances in drilling technology, coupled with an industry culture of exceptional and safe performance. No one in the industry wants to see our water polluted with oil, and no one wants anyone injured or killed in the production of energy for our nation. The fact that the MMS conducted a safety assessment of each of the deepwater rigs in the days following the blowout and found no significant problems is testament to the industry’s commitment to safe operations.

While the investigation into the BP blowout is still underway, it is apparent that the cause of this tragedy was a series of human errors in judgment, with catastrophic results. The technology and processes were in place to prevent this accident, but they were circumvented to expedite completion of the project. To shut down the entire industry is overkill and analogous to shutting down all commercial air traffic after one plane crash due to pilot error. It is a decision that makes no sense and should be reversed.

Laborde Marine is a family-owned business headquartered in New Orleans which employs over 200 people. Over the last three years, we have built in US shipyards or acquired new US built and flagged vessels primarily designed to service the deepwater drilling market. We own and/or operate 21 vessels, all built in US shipyards. We have invested over $150 million to build or acquire our fleet of vessels. Our annual payroll is over $14 million. Now the US government is telling us to simply “park” our vessels for at least six months. Never in the history of the United States has the government decided to shut down an entire industry for six months. That decision seems to be a knee-jerk reaction based on an emotional response to the spill, and made without a full appreciation of the consequences which will adversely impact tens of thousands of hard working people who are engaged in the industry. It is a decision that advances the Administration’s agenda for transferring to a clean/alternative energy- economy, but at an enormous cost to the thousands of us engaged in offshore exploration and development.

If the moratorium on deep water drilling is not lifted, the 33 semi-submersible rigs and/or drillships affected will simply go to other countries where they will be well received, such as Brazil, the countries off West Africa, and Southeast Asia. They will not return to the US Gulf of Mexico for years, if ever. The damage to our industry will be irreversible. And the companies most adversely affected by this plan are the US based service companies — particularly the marine/boat companies which built their vessels in US shipyards, as required by US law to work in US waters. For us to move internationally, we will have to compete with vessels built in foreign yards at a much lower cost and often subsidized by foreign governments. It will not be a level playing field. The moratorium may well be the death-knell for US businesses engaged in the energy service sector. The major and independent operators — the “oil companies” — are not nearly as adversely affected by the moratorium as service firms, inasmuch as the operators will still own the oil in the ground, and can come back later, after the moratorium is lifted and oil prices have increased, and then produce the oil. The local service companies may not be around to come back.

We are proud to be a part of the offshore industry, doing our small part to assist in the production of energy for our nation. We believe that we are enhancing the national security of the United States by lessening its reliance and dependency on foreign sources of oil. While alternative energy is a laudable goal, it will be decades before alternative fuels make a dent in our country’s needs. The transition to alternative fuels must be done over time — not by a six month moratorium that may well put us out of business. This is the United States of America, where reason and sound judgment have always been the foundation of our system of government — not poorly thought out and capricious reactions that destroy the livelihoods of thousands of its citizens in order to promote a partisan political agenda. Please do whatever it takes to lift the moratorium on deep water drilling immediately, before irreparable harm to our nation’s and state’s economy occurs.


Sincerely,

Cliffe F. Laborde
J. Peter Laborde, Jr.


Cc: Governor Bobby Jindal
Louisiana Congressional Delegation

Tuesday, May 25, 2010

Kerry-Lieberman Climate Bill Equals Lost Jobs

What would happen to you and your family if you were laid off from work? You would be immediately faced with the daunting task of finding another job when national unemployment stands at 9.9%. This nightmare scenario could quickly become a reality if Congress manages to pass the Kerry-Lieberman climate bill, also known as the American Power Act. This monstrosity of a bill would destroy job opportunities for hard working American families struggling to make ends meat through higher taxes, higher utility rates, and outsourcing solar panel and wind turbine manufacturing to China. In addition, unilateral economically self-destructive behavior on part of the United States would result in lower wages for American works while workers in China and India would remain unhindered.

This blog entry will change your view on how environmental/energy policy affects you, your family, and your community. The actions of Washington have very real consequences and it's time to take notice and begin putting political pressure on your members of Congress to KILL THIS BILL! (Please click on text for Congressional contact information directory)


Kerry-Lieberman Equals Lost Jobs
Senators John Kerry (D-MA) and Joseph Lieberman (IND-CT) claim that their new energy bill, the American Power Act, would save the environment. What they don't tell you is that it would powerfully destroy jobs.

The Congressional Budget Office is more honest. Last week it issued a report entitled "How Policies to Reduce Greenhouse Gas Emissions Could Affect Employment." The report concluded that "job losses in the industries that shrink would lower employment more than job gains in other industries would increase employment, thereby raising the overall unemployment rate."

With the national unemployment rate now 9.9%, Americans are concerned about their job prospects and those of friends and neighbors. Polls show that many believe that reducing global warming, the so-called benefit of lower greenhouse gas emissions, is less important than economic growth. With the slowdown in many measures of global warming over the past decade, it's an inconvenient truth that climate change is playing second fiddle to jobs.

Adding to the public's skepticism are leaked emails from the University of East Anglia in November 2009 showing the destruction of original global temperature data and the suppression of research papers authored by global warming dissenters. Americans are no fools - they know that no reduction in global warming will occur if America reduces greenhouse gases without similar action by China and India, and these countries have not agreed to comparable steps.

The Kerry-Lieberman bill is the Senate companion to the climate change bill that the House passed last summer, the American Clean Energy and Security Act of 2009, cosponsored by Henry Waxman, Chairman of the House Energy and Commerce Committee, and Edward Markey, Chairman of the House Energy and Environment Subcommittee, both Democrats.

Senator Lindsay Graham, an influential South Carolina Republican, was originally one of the cosponsors of the Senate bill, making it nominally bipartisan and giving it a greater chance of passage. But he dropped his sponsorship at the end of April.

On Wednesday, Mr. Kerry issued a statement saying that "It is time for Democrats, Republicans, and Independents to come together to pass legislation that will create American jobs and achieve energy security, while reducing carbon pollution by 17 percent in 2020 and by over 80 percent in 2050."

The bill requires that the country's total greenhouse gas emissions in 2013 be 5% lower than 2005 levels and that levels in 2020 be 17% lower - even as the economy, one hopes, has been expanding - and that by 2050, emissions be 80% below the 2005 baseline.

Representative Joe Barton, ranking member of the House Energy and Commerce Committee, declared, "And just like with Waxman-Markey, we'll need to crash dive the economy back to something resembling the 1870s in order to reach the anti-global warming targets that Kerry-Lieberman sets for 2020, 2030, and 2050."

Indeed, it's not technologically possible to meet these goals now without radically reducing the American standard of living. The bill's sponsors appear to believe - or hope - that passage of the law will inspire technology to appear as needed. The bill contains numerous grants to "eligible partnerships" to develop such technology, as well as to study the fields of clean and renewable energy.

The mechanism for achieving the bill's proposed, ambitious goals for emissions reduction is standards for power plants, heavy industry, and transportation, and a "cap-and-trade" program beginning in 2013.

Under this new, far-reaching regulatory regime, Environmental Protection Agency politicians, in consultation with other Cabinet agencies, would issue regulations within a year governing the allocation of allowances to emit greenhouse gases.

The bill would require EPA to shrink allowances steadily to 2050. When any year's emissions exceed a firm's cap, it would have to purchase allowances from the government or other companies. That is a tax under another name, driving up costs that would be passed on to consumers.

Supporters of the bill claim that the new regulations will create jobs as more Americans are employed to produce new emissions-suppressing technology. But funds for new capital expenditures have to come from somewhere, and the costs are passed to consumers in the form of higher prices.

Not only does the bill penalize American firms through higher costs of production, it causes jobs to be created abroad through required investments in wind turbines and solar panels, now commonly manufactured in China. But carbon-intensive sources of energy such as coal and oil, which are disfavored by the bill, are produced domestically and employ American workers.

The CBO report shows that emissions reduction programs would cause job losses in coal mining, oil and gas extraction, gas utilities, and petroleum refining. In addition, workers' wages adjusted for inflation would be lower than otherwise because of the increase in prices due to a cap and trade program. CBO concludes that some workers, therefore, would leave the labor market, because at the new lower wages they would prefer to stay home.

Any reader of the CBO report would realize that it's not in the interests of American workers to embark on an emissions reduction program with our current high unemployment rate. According to CBO, "While the economy was adjusting to the emission-reduction program, a number of people would lose their job, and some of those people would face prolonged hardship." Workers laid off in declining industries would find it hard to get new jobs.

The CBO report points out that "In cases in which a shrinking industry was the primary employer in a community, the entire community could suffer." The tax base would dwindle and real estate would lose its value as unemployed workers moved elsewhere. The community's personal income would diminish and real estate values would fall as the jobless moved away.

Despite the creation of 290,000 jobs in April, the unemployment rate stands at 9.9%, higher than the United Kingdom, Canada, and even Germany and Italy. When given a choice between the ephemeral benefits of carbon reduction and jobs that pay for rent and groceries, out-of-touch politicians might choose Kerry-Lieberman. But, for most Americans, jobs win every time.

Diana Furchtgott-Roth is a senior fellow at the Hudson Institute.

Friday, April 30, 2010

The Tale Of Two Americas

There is a tale of two Americans playing out right before our eyes. In the state of Pennsylvania, there is an job-creation surge being fueled by the shale gas industry. In the state of California, there is a campaign to drive hundreds of thousands of Californians out of work by mandating the creation of "green jobs" at the expense of other sectors of the economy. The shale gas industry has sent up a flare of hope during dark economic times while environmentalists are doing everything they can do to prolong this recession.

According to Penn State University, "the shale gas industry's boom is creating 100,000 jobs in Pennsylvania during 2010..." In contrast, "California's unemployment has soared from less than 5 percent to more than 12 percent since Gov. Arnold Schwarzenegger signed the California Global Warming Solutions Act three years ago." See the difference? Embracing traditional energy sources like shale gas can turn back the tide of rising unemployment while government-mandated "green jobs" will exacerbate America's current economic plight.

In reality, the problem is much more complicated than this which is why CARE is pleased to bring you insights from Dennis T. Avery, an environmental economist and senior fellow with the Hudson Institute. We invite you to read his latest analysis so you have the knowledge needed to set the record straight and tell the tale of two Americas; one that embraces traditional energy sources and economic prosperity while the other embraces government-mandated "green jobs" and the economic misery that comes with it.


Green Jobs or Shale Gas? The Numbers Talk
The shale gas industry’s boom is creating 100,000 jobs in Pennsylvania during 2010, according to Penn State University. Only a few of these new jobs are on drill rigs; many of those jobs go to highly-skilled oil patch veterans from out of state. But the gas industry’s expansion has created jobs by the tens of thousands in steel production, construction, and services.

More important, the clean, low-cost energy from the shale gas will go on creating additional jobs in every Northeast regional industry that needs energy—meaning all of them. The shale gas boom is creating similar huge job gains throughout Appalachia, Texas, and Louisiana, with the new shale drilling system also about to expand in the huge Bakken oil shale deposits under the Dakotas and Montana.

Meanwhile, the giant state of California has created only 48,000 "green jobs" over the 13 years from 1995 to 2008. Green jobs still make up only 1 percent of California’s economy. Worse, says State Senator Bob Dutton, the high energy taxes needed to create those few green jobs are at the same time killing millions of jobs in all sorts of industries across the state. California’s unemployment has soared from less than 5 percent to more than 12 percent since Gov. Arnold Schwarzenegger signed the California Global Warming Solutions Act three years ago.

The governor promised that the global warming tax would "create a whole new industry to pump up our economy, a clean-tech industry that creates jobs, sparks new cutting-edge technology and will be a model for the rest of the nation and the rest of the world." Instead, the global warming taxes will drive up the prices of all non-renewable energy—as they were intended to do.

California taxpayers will now pay for wind turbines and solar panels made in China, while California has lost more than 600,000 manufacturing jobs. Business relocation specialist Joseph Vranich says he’s working full time to help companies flee California’s rising costs and restrictions. He warns that no one is calling about moving into the Golden State.

Senator Dutton points to CalPortland Cement, which has cancelled its California expansion plans and is considering a Nevada location instead. It recently closed a cement operation in Colton, laying off 100 workers.

That’s a preview of the "green jobs" impact. The manufacturing—and farming—will be done in places that don’t impose energy taxes. If the Congress imposes import tariffs, that still won’t provide cost-effective energy for American farming, manufacturing, or transport. With far less energy available, our standards of living must drop dramatically.

The Wall Street Journal reports the Southern California Public Power Authority is warning of a 30 percent hike in electric rates. The Los Angeles Department of Water and Power has told business to expect a 21 percent hike this year. LA Mayor Antonio Villaraigosa says the city must raise rates because "the State is breathing down our necks . . . where we could be looking at fines of $300 million [in 2012] and $600 million on top of that."

All of this in spite of the low correlation between CO2 and our thermometer records—22 percent. The correlation with sunspots is 79 percent. Does Washington care? Or does President Obama want $6 gasoline, tripled electric bills—and $800 billion per year in energy taxes to "spread the wealth" among his allies?

DENNIS T. AVERY is an environmental economist, and a senior fellow for the Hudson Institute in Washington, DC. He was formerly a senior analyst for the Department of State. He is co-author, with S. Fred Singer, of Unstoppable Global Warming Every 1500 Hundred Years, Readers may write him at PO Box 202, Churchville, VA 24421 or email to cgfi@hughes.net.

Monday, March 29, 2010

Least Expensive Power for the Future--It’s Not What You Think

On March 25th, we had a great conference call with Robert Bryce. A call Participant had suggested Robert as a featured guest after seeing him on television with John Stossel. In that interview, Robert Bryce debated T. Boone Pickens regarding the “Pickens Plan” and the ability of wind to do what Pickens proposed. We invited Robert Bryce (author of Gusher of Lies and the forthcoming Power Hungry: The Myths of "Green" Energy and the Real Fuels of the Future) to join us and he did. It was a great discussion. If you have not listened to the recording, available on CARE’s website, we encourage you to check it out.

During the call, Robert pointed us to an article he’d written that very day and posted on his website. His article is based on a recent IEA Study called “Projected Costs of Generating Electricity.” The study has not gotten much media attention—and you can expect it will not, as it does not affirm the popular views on electricity generation. We believe this is information all American’s need to know.

Give it a look. What do you think?

IEA: Nuclear Power is Cheap, Wind Energy Is Expensive
The wind energy lobbyists love to claim that installing new wind turbines is the cheapest form of new electricity generation capacity. In fact, I heard that very claim while at a party here in Austin a few weeks ago. But as usual, there’s the hype and there’s the reality.

On March 25th, the International Energy Agency, in cooperation with the Organization for Economic Cooperation and Development’s Nuclear Energy Agency, released a study called “Projected Costs of Generating Electricity.” The results are yet another refutation that wind is the least-costly source of new generation. Using what it calls the “levelized costs of electricity,” a metric that includes key factors like the discount rate, construction costs, load factors, fuel prices, and carbon costs, the study found that nuclear power is the least-expensive option for new generation in North America, Europe, and Asia Pacific when the discount rate is 5%. Meanwhile, wind energy was often the most expensive option regardless of location and whether the discount rate was 5% or 10%.

Levelized Cost of Electricity for Nuclear, Coal, Gas, and Onshore Wind Power Plants


Source: OECD

When the discount rate was moved to 10%, then nuclear remained cheaper than other sources in both North America and Asia Pacific. Indeed, at that higher discount rate, the median cost for nuclear power in Asia Pacific is less than half that of wind. But nuclear’s economics falter in Europe under a 10% discount rate making it slightly more expensive than both coal and gas, but it remains substantially cheaper than wind.
The study collected data from 190 power plants in 21 countries. And while the IEA included numerous factors in coming up with their estimate of costs, this text from the report is critically important:
The electricity generation costs calculated are plant-level (busbar) costs, at the station, and do not include transmission and distribution costs. Neither does the study include other systemic effects such as the costs incurred for providing back-up for variable or intermittent (non-dispatchable) renewable energies.


Those two sentences are telling. While the IEA report shows that wind energy is usually more expensive than conventional generation, their cost calculations do not include two of the most expensive--and controversial--aspects of integrating wind energy into a given electric grid: the transmission lines needed to carry wind-generated electricity to distant cities, and the cost of backup generation capacity that must be available to assure that the intermittent electricity supplied by the wind turbines doesn’t cause the grid to go dark.

Expect wind lobbyists and environmental advocates to downplay the importance of this IEA report. (For my recent article on earlier IEA and EIA projections on the cost of wind energy, go here.) But just look at the figures from the new IEA and consider the disparity in costs between wind and nuclear. Also look at the disparity in costs between wind and conventional generation, particularly in Asia. Then consider how much higher the costs of wind would be if all of the costs--that means adding in the transmission line costs and the backup generation costs--were factored into the equation.

The punchline here is abundantly obvious: Adding more wind energy to the US electricity grid will mean higher costs for consumers.


Robert Bryce's articles have appeared in dozens of publications ranging from the Wall Street Journal to Counterpunch and Atlantic Monthly to Oklahoma Stripper. Bryce, the managing editor of Energy Tribune, is also a senior fellow at the Manhattan Institute. He lives in Austin.

Wednesday, February 3, 2010

A Chill Hits Wind Power

Would you like to save money? Of course you would! If you live in a house or rent an apartment then you probably consume electricity and have to pay an electrical bill at the end of the month. In this spirit of saving money, CARE has decided to take a realistic look at the cost-effectiveness of a popular renewable energy source; wind power.

CARE is not against wind power or renewables in general, but our friend Dennis T. Avery, an environmental economist and senior fellow for the Hudson Institute, has brought some sobering facts to our attention that we would like to share with you. One such fact is that "General Electric has just announced a big wind project: 338 turbines, rated at 845 MW. GE claims it will power for 235,000 homes, and is applying for appropriate federal subsidies." This is troublesome because GE could only realistically provide power for 21,000 households while costing taxpayers money at a time when America is drowning in red ink. This trend isn't limited to America; it's affecting countries that are seen as leaders in wind power such as Denmark and Germany. The British are even being forced to become more dependent on Vladimir Putin's Russia because they overinvested in wind power and... well we better stop there so you have a reason to read the whole article!

A Chill Hits Wind Power
CHURCHVILLE, VA—As I write, a strong wind is blowing across the Alleghany Mountains onto my house. It’s bringing an "Arctic Clipper" that will drop my temperatures this weekend to a frigid and unusual 6 degrees F. Why can’t I get some good from this chill wind—with a wind turbine to harvest the "free" energy?

Out in Oregon, General Electric has just announced a big wind project: 338 turbines, rated at 845 MW. GE claims it will power for 235,000 homes, and is applying for the appropriate federal subsidies.

Will the wind turbines power 235,000 homes? Don’t bet on it. My friend Donald Hertzmark—an energy economist—warns the power deliveries from this wind project are likely to average only 25 percent of its rated capacity. That would serve only 58,000 homes, not 235,000.

But Hertzmark says even this is too high because the wind is highly variable. The Texas power grid’s experience is to rely on no more than 9 percent of the wind farm’s rated capacity. That would reduce GE’s real subsidy claim to about 21,000 households.

It gets worse.

Most of Oregon’s power comes from dams, and the lean period for hydropower is winter. That’s when heating demand peaks—but also when the dams have to restrict their water flow to protect fish, control flooding, and save up irrigation water for the next summer.
How likely is it that wind turbines can add to Oregon’s generating capacity in the midst of the winter electricity demand surge, and offset the hydroelectric generating restrictions? Not very, says Hertzmark.

This January, Britain’s wind turbines (6 percent of total generating capacity after many billions of dollars invested) supplied virtually no power on most days. The wind tends not to blow when and where it’s already very cold.

The stars of the British winter power demand were natural gas turbines, which are 34 percent of capacity and supplied 40 percent of the power during the winter wind lull. But Britain’s North Sea natural gas is running out; the only likely new source would be natural gas piped from Vladimir Putin’s Russia. Ouch.

"Wind cannot be relied upon to provide firm generation at full capacity coincident with peak demand." warns Hertzmark. "Wind might be capable of contributing to the peak demand requirements at some times. However, this will rarely happen—and when it does, it will be for brief periods. For significant periods of time, no households will be served by the wind farms."

Nor have either of the worlds "wind leaders"—Denmark and Germany—decommissioned any fossil fuel plants. The fossil generators are kept in "spinning reserve"—burning fossil fuels—to keep the lights on in the schools, factories, and hospitals when the wind dies.

Why build wind turbines at all? Well, wind and solar were the only energy sources the Greens would endorse, probably because they’re so expensive and erratic that there’s no danger of anybody getting hooked on cheap power again. Denmark was also selling wind turbines to other countries, so they had to be demonstrated at home. Now China is making cheaper turbines. Who will buy?

The cost of the "free wind"? Projections are about 17 cents per kwh—far higher than other energy sources. One of my neighbors has just invested $100,000 in a wind turbine. I think he’s wasted his money—and some of yours.

DENNIS T. AVERY is an environmental economist, and a senior fellow for the Hudson Institute in Washington, DC. He was formerly a senior analyst for the Department of State. He is co-author, with S. Fred Singer, of Unstoppable Global Warming Every 1500 Hundred Years, Readers may write him at PO Box 202, Churchville, VA 24421 or email to cgfi@hughes.net

Thursday, November 12, 2009

How Environmentalists Are Killing American Energy

We've all seen it on television. America is in a deep recession. The national unemployment rate according to the Bureau of Labor Statistics has risen to 10.2%. People are losing their jobs, struggling to pay the bills, and what are environmentalists doing in response? They are systematically waging war against job-creating sources of affordable energy while promoting a fanatical religion known as "global warming".

CARE's most recent blog guest, Edwin X Berry, PhD, has been gracious enough to provide our readers with insights on how extreme environmentalist groups are Turning Off The Lights In America. He begins by telling us how an aluminum plant has recently shut down in Montana due to environmental regulations and outlines how the Environmental Protection Agency has been working diligently since 1988 to spread global warming propaganda. He tells us how credible scientists have been silenced for fear of losing their government jobs and updates us on how the EPA is trying to declare carbon dioxide as a pollutant. That's right! When you exhale as a human being the federal government wants to declare you a pollutant! He finishes off by building the case that global warming is a religion rather than a scientifically-based theory.

His writing is provocative, his determination is admirable, and his writings are credible as Doctor Berry is a respected atmospheric scientist. We at CARE strongly believe that this piece will help change your view of the global warming debate in America. Please read on!

How they are turning off the lights in America
On October 31,2009, the once largest aluminum plant in the world will shut down. With it goes another American industry and more American jobs. The Columbia Falls Aluminum Company in Montana will shut down its aluminum production because it cannot purchase the necessary electrical power to continue its operations.

How did this happen in America? America was once the envy of the world in its industrial capability. America's industrial capacity built America into the most productive nation the world had ever known. Its standard of living rose to levels never before accomplished. Its currency became valuable and powerful, allowing Americans to purchase imported goods at relatively cheap prices.

America grew because of innovation and hard work by the pioneers of the industrial revolution, and because America has vast natural resources. A great economy, as America once was, is founded on the ability to produce electrical energy at low cost. This ability has been extinguished. Why?

Columbia Falls Aluminum negotiated a contract with Bonneville Power Administration in 2006 for Bonneville to supply electrical power until September 30, 2011. But, responding to lawsuits, the 9th US Circuit Court ruled the contract was invalid because it was incompatible with the Northwest Power Act. Therefore, the combination of the Northwest Power Act and a US Circuit Court were the final villains that caused the shutdown of Columbia Falls Aluminum.

But the real reasons are much more complicated. Why was it not possible for Columbia Falls Aluminum to find sources of electricity other than Bonneville?

We need to look no further than the many environmental groups like the Sierra Club and to America's elected officials who turned their backs on American citizens and in essence themselves, for they too are citizens of this country. These officials bought into the green agenda promoted by the heavily funded environmental groups. Caving to pressure, they passed laws and the environmental groups filed lawsuits that began turning off the lights in America. The dominos started to fall.

They began stopping nuclear power plants in the 1970's. They locked up much of our coal and oil resources with land laws. They passed tax credits, which forces taxpayers to foot the bill for billionaire investors to save taxes by investing in less productive wind and solar energy projects.

In 1988, the Environmental Protection Agency called a meeting of atmospheric scientists and others with environmental interests. I remember well the meeting I attended in the San Francisco Bay Area. The meeting was in a theater-like lecture room with the seating curved to face the center stage and rising rapidly toward the back of the room. Attending were many atmospheric scientists whom I knew from Lawrence Livermore Laboratory, Stanford Research Institute and some local colleges.

The room became silent when a man walked up to the lectern. He told us that the next big national problem was global warming. He explained how human carbon dioxide emissions were trapping the earth's radiation like a greenhouse and causing the atmosphere to heat beyond its normal temperature. He said this will lead to environmental disasters. He finished by saying the EPA will now concentrate its research funding toward quantifying the disasters that would be caused by our carbon dioxide.

The room was silent. I was the first to raise my hand to ask a question, "How can you defend your global warming hypothesis when you have omitted the effects of clouds which affect heat balance far more than carbon dioxide, and when your hypothesis contradicts the paper by Lee * in the Journal of Applied Meteorology in 1973 that shows the atmosphere does not behave like a greenhouse?"

He answered me by saying, "You do not know what you are talking about. I know more about how the atmosphere works than you do."

Not being one to drop out of a fight, I responded, "I know many of the atmospheric scientists in this room, and many others who are not present but I do not know you. What is your background and what makes you know so much more than me?"

He answered, "I know more than you because I am a lawyer and I work for the EPA."

After the meeting, many of my atmospheric science friends who worked for public agencies thanked me for what I said, saying they would have liked to say the same thing but they feared for their jobs.

And that, my dear readers, is my recollection of that great day when a lawyer, acting as a scientist, working for the federal government, announced global warming.

Fast forward to today. The federal government is spending 1000 times more money to promote the global warming charade than is available to those scientists who are arguing against it. Never before in history has it taken a massive publicity campaign to convince the public of a scientific truth. The only reason half the public thinks global warming may be true is the massive amount of money put into global warming propaganda.

The green eco-groups have their umbilical cords in the government's tax funds. Aside from a few honest but duped scientists living on government money, the majority of the alarms about global warming - now called "climate change" because it's no longer warming - come from those who have no professional training in atmospheric science. They are the environmentalists, the ecologists, the lawyers and the politicians. They are not the reliable atmospheric scientists whom I know.

Nevertheless, our politicians have passed laws stating that carbon dioxide is bad. See California's AB32 which is based upon science fiction. (For readers who take issue with me, I will be happy to destroy your arguments in another place. In this paper, we focus on the damage to America that is being caused by those promoting the global warming fraud.)

In the year 2000, America planned 150 new coal-electric power plants. These power plants would have been "clean" by real standards but the Greens managed to have carbon dioxide defined legally as "dirty" and this new definition makes all emitters of carbon dioxide, including you, a threat to the planet. Therefore, using legal illogic, the Sierra Club stopped 82 of these planned power plants under Bush II and they expect it will be a slam dunk to stop the rest under Obama.

And now you know the real reason the Columbia Falls Aluminum Company had to shut down. America stopped building new power plants a long time ago. There is now no other source where the company can buy energy. Our energy-producing capability is in a decline and it is taking America with it.

I used to belong to the Sierra Club in the 1960's. It used to be a nice hiking club. In the late 1960's the Sierra Club began turning its attention toward stopping nuclear power. Then I quit the Sierra Club. It continues to prosper from the many subscribers who think they are supporting a good cause. What they are really supporting is the destruction of America brick by brick. The Sierra Club and similar organizations are like watermelons - green on the outside, red on the inside. They are telling us we have no right to our own natural resources, and in doing so they are sinking America.

Inherent in ecology are three assumptions: "natural" conditions are optimal, climate is fragile, and human influences are bad. Physics makes no such assumptions. By assuming climate is fragile, the global warming supporters have assumed their conclusion. In fact, the climate is not fragile. It is stable. The non-adherence to physical logic in the global warming camp is what makes many physical scientists say that global warming is a religion.

So we have a new age religion promoted by environmentalists, incorporated into our laws and brainwashed into our people that is now destroying America from the inside.

Like a vast ship, America is taking a long time to sink but each day it sinks a little further. The fearsome day awaits, when America, if not quickly recovered by its real citizens, will tilt its nose into the water to begin a rapid and final descent into oblivion ... her many resources saved for whom?

Edwin X Berry, Ph.D., is an atmospheric physicist affiliated with the American Meteorological Society.

References:

* R. Lee: "The 'greenhouse' effect" J. Appl. Meteor. 12, 556-557 (1973)

Gerhard Gerlich and Ralf D. Tscheuschner: "Falsification of the Atmospheric CO2 Greenhouse Effects Within The Frame Of Physics," Version 4.0 (January 6, 2009)

International Journal of Modern Physics B, Vol. 23, No. 3 (2009) 275-364.

http://www.worldscinet.com/ijmpb/23/2303/S02179792092303.html
Page 37: "Lee's paper is a milestone marking the day after which every serious scientist or science educator is no longer allowed to compare the greenhouse with the atmosphere."

Thursday, October 29, 2009

Barrel of Oil Cost to Increase by End of 2009

With uncertainty in the air about the future cost of a barrel of oil, CARE contacted our good friend Michael J. Economides, a nationally energy analyst, to provide us with some foresight. As a regular contributor to national TV and radio programs and PhD petroleum engineer that has performed technical and managerial work in more than 70 countries; Dr. Economides has both the credibility and expertise to predict how much a barrel of oil will cost in months ahead. With both international political calculations and oil-producing nation's economic policies guiding the future price for a barrel of oil, things can get confusing sometimes and it takes an expert to provide clarity. Below is Dr. Economies's case that the cost of a barrel of oil will soon increase from $80 per barrel to $100 per barrel.

$80 oil on the way to $100 by the end of 2009
Oil has been flirting with $80 per barrel and from the start of this year I have been predicting $100 oil before the end of the year. Almost all other analysts were predicting $40 to $60 oil. I am not quite ready to declare that I was exactly right and they were wrong but it looks like increasingly so.

There are obvious and real underlying reasons for the escalating oil prices which we will expound upon below but news headlines have ruled the price of oil since at least 2004. There was no real rational economic reason for almost $150 oil (which for people with short memories may seem to have happened last century – it happened a year ago, July) nor was there any reason for below $40 oil, which happened right after the late last year "crises" such as the economic crisis, the credit crunch crisis etc. In fact had it not been for those events delegating oil announcements to the seventeenth page of newspapers, a report by the International Energy Agency in Paris last November, which showed that world oil production from operating wells has been declining by 9.1 percent per year, the largest ever, would have shot the oil price to over $200. In fact, even now, there is a lingering possibility that a strike by Israel on Iran may close the Straits of Hormuz and will shoot the price overnight to the stratosphere.

The headlines started in 2004 and included the Abu Ghraib photographs, which increased enormously the fear factor in the Middle East, the re-Sovietization of Russia’s oil industry following the assault on Yukos by then President Vladimir Putin and the re-nationalization of Venezuela’s oil industry by the Hugo Chavez government. That perfect storm of headlines created one of the most telling and repeatable events from 2004 to last year’s economic collapse. With escalating energy and energy product prices, every quarter ExxonMobil, the largest multinational oil company, would announce the biggest profits of any company in the history of the world and "Big Oil" would be in the mouth of many politicians in many countries as the devil-incarnate himself. And yet that very same day, mystifying to many people, their stock would plunge because in smaller letters they would announce that their oil production and reserves were declining. Shut out of reserves in some of the most prolific oil provinces of the world, such as Russia and Venezuela, international Big Oil was, and is, in trouble.

Recent hints of economic recovery and the price of the dollar are offered now as the reason for the oil price escalation. They are real reasons but they hide others. There should be no mistake: oil producing countries love $100 oil and they have little incentive to shoot themselves in the foot by increasing production. Neither the price escalation of the previous four years nor the oncoming one have anything to do with "peak oil". This will eventually happen but not for decades. Physically but not necessarily politically, the world can produce 130 million barrels of oil per day, compared to the current 85 million, but with proper investment and management and will.

Many of the oil producing and exporting nations are run by regimes that want the oil revenue not for technological and even business re-investment and long-term resource management but to affect other internal political and geopolitical aims.

Let’s look first at Russia. From 1998 and the admittedly imperfect privatizations that involved Yukos and Sibneft when the country produced 6 million barrels per day to 2005 when production escalated to more than 9.5 million barrels per day (almost 10% increase per year) Russia was the brightest spot in the international oil business. There was talk of increasing production to 12 million barrels per day which some Yukos executives touted as very realistic. Since then Russia has vegetated to about the same production and the tax regime and government control of the oil business can mean only one thing: imminent declining production and no incentive to do any of the spectacular things that Yukos and Sibneft became legendary for.

Venezuela is an even bigger factor, considering its oil dominance in the Western hemisphere. Before Hugo Chavez took office in 1999 Venezuela was producing 3.4 million barrels per day and there were concrete plans to increase that production by now to 6 million. Instead, after the massive firing of practically all petroleum professionals and the re-nationalization and expulsion of international oil companies, Venezuela is producing 2.6 million barrels per day, the lowest volume since the first nationalization in the 1970’s.

And of course Iraq, with a demonstrable ability to escalate its oil production to 6 million barrels per day has been languishing at 2 million. It may have been quieted down a bit but the sectarian violence is barely beneath the surface and the risks are still great. In a recent auction for oil blocks the interest by international oil companies was abjectly disappointing.

Saudi Arabia is the only country with excess production capacity, estimated at 2.5 million barrels per day, and this is a role that the country found itself once more, in the 1980s, when at the prompting of then US President Reagan it overproduced. The ensuing oil price collapse contributed greatly to the demise of the Soviet Union which depended on oil for almost all its foreign revenues. Russia today depends pretty much at the same level on oil and gas and Saudi Arabia has the capability, if it chooses, to bring enormous hardship on that and other oil producing countries. There is no evidence they will do so, considering it will bring huge hardship on them as well.

Finally, the signs of imminent Chinese exploding oil demand are already here. After phenomenal economic growth in the first seven years of this decade, oil demand was growing by annual double digits. A short-lived slowdown lasted for a few months after the dire headlines of last year’s economic crisis. But Chinese economic growth has bounced back to more than 8 percent. So did oil demand which just came in with vengeance. Last January and February, Chinese oil imports stood at 3.1 million barrels per day, compared to an average of 3.87 million barrels per day in 2008. But from March to June oil imports averaged over 4 million barrels per day and in July they jumped to an unprecedented 4.6 million barrels per day, close to a 20% increase over the average of 2008. (Source: China Customs, August 2009.) This level of imports inch towards the two-thirds of total demand that the United States has been experiencing.

All signs point that oil is on its way to $100 very soon and it will not stop there.

Prof. Michael J. Economides, University of Houston and also Editor-in-Chief Energy Tribune Houston, TX.

Monday, October 26, 2009

Will America Run Out of Oil?

Most Americans live hectic lives and don’t have time in their day to pay attention to news reports about “peak oil”. But would more people pay attention to the supply of oil if the price for a gallon of gas at the pump skyrocketed in the near future? You bet!

Is there an oncoming energy crisis to be caused by peak oil production? Will global oil production become stagnant due to international political strife? Will humanity experience a global oil shock by the year 2012? Our CARE blog contributor and former conference call guest Byron King from the Whiskey and Gunpowder (an investment newsletter) thinks so. While we at CARE don’t necessarily agree, or disagree, with Byron King’s viewpoint on "peak oil," he offers a noteworthy perspective on the situation. You’ll want to note that he writes from an investment perspective.

Peak at 85 Million Barrels of Oil a Day
Eighty-five million barrels a day. That’s the most that can be produced. So when recession causes a temporary decrease in world consumption, it can seem like those 85 million barrels are enough. But consumption is bound to resume its upward climb, while those 85 million barrels a day are all we get. The day of reckoning has just been delayed for a little bit.

"Can’t we get more than 85 million barrels?" some folks are bound to wonder. Let’s look into that.

Those Stubborn "Peak" Curves
This week I was in Denver, attending the 2009 conference of the Association for the Study of Peak Oil & Gas (ASPO). Despite all the happy talk in the Big Media about how the oil situation is under control, I assure you that the oil situation is NOT under control.

The market meltdown and world recession of the past year has bought some time, or stolen some time may be a better way of saying it. All the "peak" curves are still out there, but are merely adjusted a bit to the right on the timelines.

As Marine Corps Gunnery Sergeant R. Lee Ermey likes to say on the television show Mail Call, "Wipe that smile off your face." We’re staring at an energy problem that’s coming down the tracks like a runaway freight train. It’s just astonishing that more people don’t appreciate the looming impact of Peak Oil.

Meanwhile, the politicians are fooling around with the health care issue. Hmmm... I have some news for them. If you screw up energy, health care isn’t going to matter very much.

Oil Output Not Increasing
It might be a comforting thought to believe that world oil output can increase. Indeed, many policymakers in the U.S. and Europe apparently dream themselves to sleep at night pondering how the current oil volume of about 85 million barrels per day could move upward to, say, 95 million barrels per day — "if only the world oil industry were more efficient."

Yeah, right. Except the global oil industry is not that model of dreamland efficiency. Sure, there are some bright spots. The big internationals like Exxon Mobil, Chevron, BP, Shell, etc. are good. There are some really good state oil firms like Brazil’s Petrobras and Norway’s StatoilHydro. Saudi Aramco is outstanding. These guys are all doing great work to keep the world’s pipelines and tankers filled.

But much of the rest of the world’s oil industry lacks the knack for capital discipline and crisp project execution. Venezuela’s oil industry is a basket case, what with the Chavez-led nationalizations and mass firings of recent years. Output is falling in Venezuela, and this from a nation with among the largest hydrocarbon reserves anywhere in the world.

Mexico’s national firm, Pemex, is nothing but a piggy bank for the politicians, who suck most of the investment capital away from the oil patch and into their own boondoggles. Thus is Pemex walking off a cliff of underinvestment, depletion and decline. According to Matt Simmons, Pemex may not be exporting any oil at all to the U.S. within 18-24 months.

Iran’s oil industry is in a slow death spiral, despite the occasional report of Chinese assistance with field development. Apparently, there’s a "Twitter Revolution" going on in Iran that includes people at the grass roots impeding the oil industry. Well, it worked to depose the Shah back in 1979. Perhaps the Iranians can rid themselves of their mullahs in a similar way.

Next door in Iraq, chaos reigns. According to Matt Simmons, the Iraqis "are in the dark about how to run their oil industry." The Iraqi oil legislation is so burdensome that almost all players within the international energy industry are spurning Iraq, including the Chinese. Wow. When the Chinese won’t invest in your oil fields, there MUST be something wrong.

And so it goes. The bottom line is that we should expect a global oil shock by 2012, or earlier if global economic activity kicks into high gear. It should go without saying that despite any calamities that may come from such a thing, you would be very happy if you’d taken advantage of lower oil prices to stock up.

Byron King--Prior to joining Whiskey and Gunpowder, Byron received his Juris Doctor from the University of Pittsburgh School of Law, was a cum laude graduate of Harvard University, served on the staff of the Chief of Naval Operations and as a field historian with the Navy. Our resident energy and oil expert, Byron is the editor of Outstanding Investments and Energy and Scarcity Investor.

Friday, October 2, 2009

An Informed Voter's Opinions on Cap and Trade

Typically here at Comments About Responsible Energy, we feature opinions, current energy news, and have made available a cadre of experts who willingly share their insights with us. Upon reading, you are invited to add you comments or questions.

In the CARE Newsletter, The PowerLine, we frequently post questions from the “audience”—either an audience member from one of Marita’s speaking engagements or something that comes in via e-mail in response to the newsletter. We solicit the answer from an appropriate expert and post both the question and answer there.

But this posting is different. It is from a CARE Newsletter Reader and it does have questions. And we are inviting our various experts to comment on it. But we’ve chosen to post this piece here in the Blog because we think the author’s comments and questions may reflect some of what you are thinking. We invite you—expert or not—to respond to the thoughts and questions posted here. Tell Criss where she is right—or where she is off base. If you know the answers to her questions, please offer your insights.


My feelings on cap and trade can best be expressed by the following:
The root purpose of the Cap and Trade bill appears to me to be reducing greenhouse emissions and steer the U.S. away from fossil fuel dependency; the ultimate goal being reducing the emissions by 20% by the year 2020. It accomplishes this via various taxes, surcharges, fines and the like and then distributing these funds to the development and deployment of “renewable” energy sources.

When I look at gas, oil and coal I realize that they give us electrical energy, transportation/shipping fuel and a ton of by-products like: plastic, herbicides, pesticides, fertilizers, pharmaceuticals, cosmetics, more than 50% of all our composite materials, including fabrics, air and water filters and even pencils. Until recently these fossil fuels have been the most cost effective sources of these energy needs. We humans have known, consciously, as a whole, that these fuels put poisons into our air, water and soil. We have also been aware that they kill humans since at least the 1800’s. No government taxes in any country developed or made available these fuels and all their various uses to the masses, rather free enterprise did that. Governments did not really get involved until it was admitted just how deadly these poisons from burning these fuels can be. IE: There were thousands of deaths from these poisons. Also all three of these fuel sources are an earth resource. They are finite as far as we humans are concerned because it takes the earth millions if not billions of years to produce them. Worldwide consumption rates to these fuels are increasing each year. This means eventually they will become consumed to extinction. We humans currently, nor in the near future, have a way to make our own version of these fuels, en mass, quickly and cost efficiently.

I do not want to put any more poisons into our air, water and soil. So any replacement energy source will need to be cleaner than our existing ones. Nor do I want to rely on another finite earth resource for energy as eventually that too will be consumed to extinction. So they should be as renewable as possible. Nor do I want to have the new energy source to be more dangerous than any existing fuel source to harvest, refine, distribute and burn or utilize and dispose of in any way. Nor do I want to be charged to develop these new energy sources or to put these new sources into production. I believe that the private enterprise sector should do that. And the new sources must be at least as cost effective as the existing energy sources.

The existing alternatives to gas, coal and oil are hydro, solar, wind, geo-thermal and nuclear.

I rule nuclear out because it is based on another finite earth resource--uranium, which is rarer than gas, oil or coal. Rarer than diamonds. Plus it has some safety and security issues that have yet to be resolved. The large plants are almost as cost effective as existing gas, coal and oil, but the cost of safety and security make it uneconomical. Then there is the fact that it only addresses, on a large scale, just one energy need--electrical. It does not address transportation, other than large sea vessels, nor does it address all the by-products. Its safety and security issues also means that additional poisons can and have been, released into either or our air, water or soil. And radiation poison scares me as much as any other natural or man-made disaster or poison, if not more so.

I rule out solar and wind because again they only address electrical energy and do not address transportation or by-product. Yes there is some research to use electrical airplanes, but the successful ones so far are for one or two people and not mass transit or cargo. And yes we do have some electrical vehicles, but they too are not ready for economical en mass deployment (being small they are a safety risk to occupants up against say a dump truck, nor do they have the oomph to plow thru a snow drift). When implemented for large scale electrical production there are some environmental issues and they are not as cost effective as gas, coal and oil production plants in our current business economic model (mega bucks, mega profits, mega quickly). Although, these are very good and cost effective on a small non-commercial production scale, so much so that the energy companies are doing everything in their power to push the price up and they must perceive this as a threat to their mega bucks.

I rule out hydro energy as again this is mostly electrical energy and has some safety and security issues of its own to be resolved. Mainly concerning the dams themselves. They disrupt the natural flow and ecosystems of the river they are implemented on and there is the risk of dam failure which could result in deaths from flooding. Nor does hydro address all the by-products. They are however almost as cost effective as gas, coal and oil without the poisons.

I rule out geo-thermal as they only address electrical and are not quite as cost effective as our existing gas, coal and oil, very close but not quite. Nor do they address transportation and by-products.

My research also indicates that if the U.S. achieved its Cap and Trade Bill goal of reducing greenhouse gas emissions by 20% by 2020, the actual result worldwide would be barely over 1%. If all the other countries of the world did the same and reduced by 20% by 2020 the overall worldwide lowering of greenhouse gases in the air would still be in the single percentage points, almost double digit, but single.

Then there is my opinion that physiologically it does not induce or entice people to reduce and conserve their existing fossil fuel usage. Yes it does tax and fine or surcharge if we do not lower our consumption but it does so in a very negative way and not a positive way. Philologists have long been proponents of the quickest and longest lasting behavior changes occur thru positive reinforcement and not negative. IE: Give people a tax break if they lower their consumption (individual or company), taxes stay the same if they stay at the same level as today and then taxes go to a higher percentage rate if they increase consumption over today.

When I compare this research information against the bill, the bill does not address my requirements or priorities. It charges (taxes, fines, surcharges) me to make drastic changes to the U.S. greenhouse gas emissions but does not result in an overall reduction worldwide that is beneficial to humans, et al verses the cost of doing so. Nor does it address finding, developing and deploying en mass cost effective replacements to the electrical, transportation and by-product needs to get off coal, gas and oil. Nor does it address the issue of how to use our existing energy sources more effectively and cost efficiently. And last but not least it does not address the energy infrastructure which is over 50 years old, is falling down around our feet and looses approximately 20-30% of the energy we currently produce via transmission and conversion from AC to DC and DC to AC losses. We need a suite of replacements and no one alternative available today accomplishes enough to charge me to death for their deployment.

I am against the cap and trade bill as it exists today because it basically accomplishes nothing but charges the crap out of me.

My "debate" questions are really asking why everyone seems to be debating the disputed facts concerning greenhouse gas emissions and not zeroing in on the real issues:

Oil, Coal, Gas and Uranium are finite earth resources and will eventually become extinct. Doesn't really matter when they get used up, they will be used up and the longer we take to reduce or eliminate our use of them the faster they will be used up.

Other than people with a suicide wish--I doubt there is anyone who wants more poisons in our air, water or land. So cutting greenhouse gases is not really the issue--cutting all poison emissions is the real issue.

Our energy infrastructure or GRID is so old it is falling down around us. Just putting a computer program on it to re-route surges and drops does not fix this aspect. We need a new, more efficient and cost effective TRUE SMART GRID. We need to stop loosing energy we currently produce to transmission and energy type conversion as well as the physical aspects of the power lines being just too old and tired to keep up with today’s demands.

We need replacements for our electrical energy needs, our transportation (personal and bulk) energy needs and we need replacements for all the by-products that existing fossil fuels, particularly oil and coal, now give us.

Our current US Business Economic Model for Mega Bucks, Mega Profits, Mega Quickly (instead of just bucks, profits and quick) are killing research, development and deployment of any true changes to our existing mass energy systems and enterprises that can get us off these dang blasted finite earth resource fuels.

Our current US Government and energy businesses seem to think that we the American Citizens should pay for this development and deployment of new sources and fixes through taxes, fines, surcharges and debasement of our dollars. Sorry but they created the problem, it was not just us citizens, this needs to be free enterprise.

There seems to be an avoidance of the fact that NONE of the existing alternatives to coal, gas and oil will FIX our true energy issues or the environmental ones either and no one wants to go broke via any means to pay for the fix either. So why do we keep debating all this other crap instead of really brain storming for ideas to fix this mess?

Criss--An Independent, Informed Voter

Monday, September 14, 2009

How many Americans Will Follow Obama’s Leadership On Climate Change?

We here at CARE noticed (perhaps you did too) that President Obama repeatedly states, “Few challenges facing America—and the world—are more urgent than combating climate change,” and that “We will make it clear that America is ready to lead."

Building upon the work of CARE Blog contributor Paul Driessen, we’ve decided to raise some questions: How many Americans will support a 1400-page energy and climate bill that will create a trillion-dollar cap-trade-and-tax industry? How many Americans will follow the leadership of a man who is working hard to ensure that energy and food costs “necessarily skyrocket,” killing jobs, and imposing an all-intrusive Green Nanny State? How many Americans are willing to point an economic gun to the heads of their neighbors and to pull the trigger during this economic downturn?

These questions have serious implications and we encourage our readers to delve further into the issue with our friend Paul Driessen.


Leader of None
"Few challenges facing America--and the world--are more urgent than combating climate change," President Obama has asserted. "We will make it clear that America is ready to lead."

The President and Al Gore are certainly ready to lead. But how many will follow?

Even in America, and certainly on the world stage, the two increasingly look like Don Quixote and his faithful squire, Sancho Panza. As they tilt for windmills, and against a "monstrous giant of infamous repute"--climate disasters conjured up by computer models and Hollywood special effects masters--their erstwhile followers are making politically correct noises, but running for the hills.

The House of Representatives passed a 1400-page energy and climate bill - by a razor-thin margin, and only after Nancy Pelosi and Henry Waxman packed it with enough last-minute deals to protect favored congressional districts, buy votes, and curry favor with assorted special interests. Not one legislator actually read the bill--which would create a trillion-dollar cap-trade-and-tax industry, ensure that energy and food costs "necessarily skyrocket," kill jobs, and impose an all-intrusive Green Nanny State.

Republicans want to control what people do in their bedrooms, insists the old canard. Democrats, it appears, want to dictate what we do everywhere outside of our bedrooms. And Sancho Gore wants to become the world's first global warming billionaire, by selling climate indulgences, aka carbon offsets.

The reaction has been predictable--by anyone except House and White House czars and czarinas.

Citizens are livid over yet another attempt to use a purported crisis to justify further expanding the government and spending billions more tax dollars for alarmist research, activism and propaganda, just ahead of the Copenhagen climate conference. Global warming continues to rank dead-last in Pew Research and other polls that actually list it as an issue. Rasmussen puts the President's approval ratings at 46% and falling. Zogby reports that 57% of Americans oppose cap-and-trade bills.

Manufacturing states, which get 60-98% of their electricity from coal, worry that the only thing they'll export in ten years will be jobs. Democrat senators from those states worry that the energy and climate issue will be "toxic for them during midterm elections," says Politico magazine.

Even companies that had eagerly sought seats at the negotiating table are now gagging. ConocoPhillips, Caterpillar and others finally realize that cap-and-tax will severely penalize them and their customers.

Not even the climate is cooperating. Outside of Dallas, 2009 has brought some of coldest summer days on record across the US. Near freezing temperatures nipped at crops, and gas heaters were sine qua non at an August 29 outdoor wedding in Wisconsin. The Farmers Almanac predicts a brutal 2009-2010 winter.

In Europe, every longitude has a platitude about saving the planet. But EU countries that agreed to slash greenhouse gas emissions below 1990 levels are well above their Kyoto Protocol targets - Austria by 30% and Spain by 37% as of 2008. And despite new commitments to cut emissions 40 years from now, you don't need tarot cards or entrails to predict the more probable EU emissions future.

Germany plans to build 27 coal-fired electrical generating plants by 2020. Italy plans to double its reliance on coal in just five years. Europe as a whole will have 40 new coal-fired power plants by 2015, columnist Alan Caruba reports. The Polish Academy of Sciences has publicly challenged manmade global warming disaster hypotheses. And only 11% of Czech citizens believe rising carbon dioxide emissions caused global temperatures to climb 1975-1998--and also caused them to rise 1915-1940, fall 1940-1975, then stabilize and decline again 1998-2009.
Australia just voted down punitive global warming legislation. New Zealand has put its emissions-bashing program in a deep freeze.

Russian President Dmitry Medvedev's top economic aid bluntly dismissed any talk of following President Obama's quixotic lead. "We won't sacrifice economic growth for the sake of emission reduction," he told reporters at the July 2009 G8 meeting.

Chinese and Indian leaders are equally adamant. China is playing a smart hand in this high-stakes climate poker game, drawing up plans to combat global warming sometime in the future, and gradually improve its energy efficiency and pollution control. However, it is building a new coal-fired power plant every week and putting millions of new cars on its growing network of highways.

So is India, which will double its coal-based electricity generation and produce millions of Tata and other affordable cars by 2020. "India will not accept any binding emission-reduction target, period," Indian Environment Minister Jairam Ramesh has stated. "This is a non-negotiable stand."

India and China have a "complete convergence" of views on these matters, Ramesh added. No wonder: 400 million Indians still do not have electricity; 500 million Chinese still do not.

No electricity means no refrigeration, to keep food and medicines from spoiling. It means no water purification, to reduce baby-killing intestinal diseases. No modern heating and air conditioning, to reduce hypothermia in winter, heat stroke in summer, and lung disease year-round. It means no lights or computers, no modern offices, factories, schools, shops, clinics or hospitals.

Fossil fuels are "gradually eliminating poverty in the Third world," observes UCLA economist Deepak Lal. Any call to curb carbon emissions would "condemn billions to continued poverty. While numerous Western do-gooders shed crocodile tears about the Third World's poor, they are willing to prevent them from taking the only feasible current route out from this abject state" - oil, gas, coal, nuclear and hydroelectric energy development. The situation is intolerable, unsustainable, lethal and immoral.

The only way India and China would agree to cut their emissions is if the United States cut its emissions 40% by 2020, says Ramesh - back to 1959 levels and pre-JFK living standards, when the US population was 179 million (versus 306 million today). No way will that happen. So Asian energy and economic development will continue apace. And rightly so, to foster human rights and environmental justice.

All is not bleak, however, for Canute Obama's impossible dream of controlling global temperatures.

British politicians remain committed to slashing CO2 emissions and replacing hydrocarbons with wind power. Unfortunately, the biggest UK wind projects have been abandoned or put on indefinite hold--and a growing demand/supply imbalance portends still higher energy prices, widespread power cuts, rolling blackouts and energy rationing, the Daily Telegraph reported on August 31. Brits may soon trade their stiff upper lips for contentious town hall meetings and ballot-box revolution.

The Democratic Party of Japan's landslide victory in the August 30 election will likely create a new coalition government tilted strongly to the left. The DJP has pledged to cut carbon dioxide gas emissions 25% below 1990 levels by 2020 - though this will likely strangle economic growth and job creation, especially if one coalition partner's opposition to nuclear power becomes DJP policy.

Then there is Africa, where leaders appear ready to support curbs on energy use--in exchange for up to $300 billion per year in additional foreign aid, "to cushion the impact of global warming." That will be nice for their private bank accounts, but less so for Africa's 750 million people who still don't have electricity. Those people will simply be sacrificed, to prevent natural or fictitious climate disasters.

Of course, the real goal was never to control the climate. It was always to control energy use, lives, jobs, economies, transportation and housing--and usher in a new era of high tax global governance. The American people are increasingly saying they're not ready to grant that power to Obama Gore & Company.


Paul Driessen is author of Eco-Imperialism: Green power ∙ Black death (http://www.eco-imperialism.com/) and senior policy advisor for the Congress of Racial Equality and Center for the Defense of Free Enterprise, whose new book (Freezing in the Dark) reveals how environmental pressure groups raise money and promote policies that restrict energy development and hurt poor families.

Monday, August 24, 2009

The Real Moral Implications of Climate Change Legislation

While Healthcare has captured the airwaves, the issue of cap and trade is roiling just under the surface and will surely attract more attention when our congressional representatives get back to Washington. At the heart of the debate is global warming or climate change as the concerns of catastrophic warming are the impetus for the entire cap and trade scheme.

Here, on CARE’s Blog, we have posted many items on global warming. So many, in fact, that one might think we’d covered everything--which is why this one caught our interest when it came to our in box. Calvin Beisner offers us an new and thoughtful perspective on the topic. We found it interesting and think you will too. Please give it a look and let us know what you think!

(Note: one of the authors of the Heritgae Foundation Study noted below is David
Kreutzer who was the featured guest for CARE's August Confernce Call.)


Today's Global Warming Policy: It's Unbiblical
I've been a pastor, and I know how busy pastors can be. So why would I urge America's Christian leaders and clergy to take on yet another concern, namely, standing against global warming alarmism?

Because while on the surface this might seem like a peripheral issue, it has profound spiritual, moral and economic implications for believers--and especially the poor--that pastors can ill afford to ignore.

It is widely believed that increasing emissions of carbon dioxide are causing global warming that threatens to harm people, wildlife and ecosystems through rising sea levels; increasing droughts, floods and storms; and an altering of natural habitats.

In response, some people propose to fight global warming by slowing or reversing the increase of CO2 in the atmosphere through massive, forced reductions in use of carbon-based fuels--oil, coal and natural gas.

The most recent example is a bill that recently passed the House of Representatives. It would create a so-called "cap and trade" system to reduce CO2 emissions. Emitters would be required to obtain permits, which would be limited in number (the "cap"), from the federal government and could then buy and sell them on the market (the "trade"). The cap would gradually decrease, increasing the cost of energy over time.

A recent study by the Heritage Foundation found that the law would:
• raise the average family's annual energy bill $1,241 (over $100 per month);
• raise electricity rates 90 percent, gasoline prices 74 percent and residential natural gas prices 55 percent;
• raise unemployment by nearly 2 million jobs in 2012, with additional job losses to follow;
• raise the inflation-adjusted federal debt 26 percent by 2035--about $115,00 per family of four; and
• reduce gross domestic product by an average of $393 billion per year, or $9.4 trillion through 2035.

The payoff? About 0.09 degree F reduction in global average temperature in the year 2050. (The real reduction might be only one-tenth as much.) At that rate, counting the costs only through 2035, we'd be paying $940 billion for every one-one hundredth of a degree reduction in temperature. Assuming--optimistically!--that costs after 2035 were slashed in half, we'd end up paying an additional $2.9 trillion, for a total of over $12 trillion, or $1.2 trillion for every one-one hundredth of a degree. That's an awful lot to pay for so little return when growing numbers of qualified scientists reject the case for destructive manmade global warming anyway.

In the face of these facts, we should remember that the Bible requires us to care for the poor. The Apostle Paul wrote that the other Apostles in Jerusalem had one main concern on their minds when he visited them: that he should "remember the poor--the very thing [he] also was eager to do" (Galatians 2:10).

The costs of climate change policy will hit the poor harder than anyone else. Indeed, they can least afford the general rise in prices, and energy constitutes a larger share of their spending than of others with more discretionary income.

But that isn't the only reason pastors should be concerned. Global warming policy is part of a concerted effort to push environmentalism to the fore in American politics and culture. We must recognize such secular environmentalism is hardly limited to good stewardship of God-given natural resources.

Secular environmentalism--in contrast to biblical creation stewardship--is at heart a false religion. It degrades human beings, the crown of God's creation (Genesis 1:26; Psalm 8); it deifies nature in its untouched state as the ideal, contrary to God's mandate for man to fill, subdue, and rule the Earth (Genesis 1:28); and it disregards the poor, who often are harmed by environmental policies like banning DDT, a cheap and safe insecticide that could largely eliminate the malaria-bearing mosquitoes that cost millions of lives every year in the developing world.

Secular environmentalism is also the new face of the anti-human, pro-death agenda. As the Optimum Population Trust put it in 2007, "The most effective national and global climate change strategy is limiting the size of its population. ... A non-existent person has no environmental footprint."

Among many environmentalists, people are the ultimate pollution, and reducing their numbers--through abortion, euthanasia, disease or poverty--is the goal. Replacing wood and dung as fuels for cooking and heating with electricity would prevent 2 to 3 million premature deaths every year in poor countries, yet CO2-restricting policies will make electricity generation more expensive and delay its provision to the poor for decades. Such thinking is more common than you might think; one well-known religious leader once told me that "the last thing" the developing world poor need is cheap, abundant energy. (Brian McClaren, radio interview, 2007)

But there's an alternative. The WeGetIt.org Campaign calls for stewardship of creation based on biblical principles and factual evidence. The heart of the WeGetIt.org Declaration is, "With billions suffering in poverty, environmental policies must not further oppress the world's poor by denying them basic needs. Instead, we must help people fulfill their God-given potential as producers and stewards."

As a pastor, I signed on. Please join me. And please help spread the call for biblically based creation stewardship near and far.

E. Calvin Beisner is the National Spokesman for the Cornwall Alliance for the Stewardship of Creation