Opinions
Category:
Tax Breaks & Subsidies
Iberdrola of Spain, owner of Elk River, realized over $9.9 million in PTC allowances in 2007. Foreign companies are not regulated by the Kansas Corporation Commission. There are no state or federal regulations of any kind on WECS. Few Kansas counties have wind regulations.
WECS will force consumers to pay for their electricity three times; to build the WECS, build conventional power as backup, and additional transmission lines to carry power from the WECS to the grid.
WECS will not produce large economic benefits to a community as evidenced by records from Gray County (Montezuma), or Butler County (Elk River). Elk River has produced seven jobs. Most employees live outside the community.
If wind energy were a sensible economic investment, it would not need federal and state subsidies already in place or the additional subsidies inherently needed in the wind power expansion directly and inferentially sought after by Pickens. Similarly, if compressed natural gas (CNG) vehicles are really an economically viable alternative to conventional gasoline-powered vehicles, they would have succeeded in the market place and no government subsidy would be necessary.
We can wish T. Boone Pickens well in his wind energy business, but there is no reason for taxpayers, ratepayers or consumers to pay him for his investments.
Also filed under [
Energy Policy]
Probing Wind Farms: Burgeoning, vital industry must be kept free of taint
August 1, 2008 in Post-Standard
August 1, 2008 in Post-Standard
Every wind-generating power company in New York needs to come under closer scrutiny.
There is just too much public money at stake. An aggressive watchdog is needed to make sense of the complicated deals they make, to protect taxpayers and to monitor the conduct of public officials whose decisions can yield wind generators millions of dollars.
That's why a state attorney general's investigation of two wind-power companies is so important -- and why a critical, independent eye should be kept on the rest of the industry. ...These agreements need to above-board without even the hint of conflict.
Oil man T. Boone Pickens recently announced his own large program to help get America off its oil addictions. His message in his own Texas twang starts off appealing, while he properly and accurately reports on the $700 billion annually we now spend on imported oil, now at 70% of our total oil consumption. ...Regrettably, near the middle of his advertisement T. Boone wandered off into an alternative energy universe, proposing that wind and solar energy replace the current 22% of our electricity produced by natural gas. Neither source is a true alternative, and are merely erratic, unreliable, supplementary energy sources.
Also filed under [
USA]
In Tazewell we detect something more to the spat between the state's attorney and some County Board members than just a difference of professional opinion. While we're none too keen on one part of local government suing another - attorneys win, taxpayers lose - Umholtz is on the right side of this issue by taking his stand on principle. ...the everybody-does-it defense employed by some Tazewell board members is a cop-out for those who know they're on shaky ground but want to rationalize a "yes" vote. Sorry, but these elected officials can read and comprehend the law.
Also filed under [
Illinois]
The reaction of environmentalists to these developments shows how apparently strong principles can be set aside in favour of certain right-on technologies. Try to sink one 15,000 tonne oil platform in the North Sea (as Shell attempted with the Brent Spar platform in 1995) and Greenpeace will vilify you, but announce a plan to plant 7,000 concrete and steel pylons - each weighing 2,000 tonnes - on the seabed and you will be an eco-hero.
Also filed under [
UK]
There's a price for subsidizing wind energy with taxpayer dollars
June 8, 2008 in Abilene Reporter News
June 8, 2008 in Abilene Reporter News
Much has been written about the merits or demerits of wind energy as a viable source of electricity generation for meeting the growing needs of electricity consumption in the United States.
No matter which side of the debate one comes down on, one issue is crystal clear. Trillions of taxpayer dollars are being poured into the wind energy corporations' coffers to enhance the return on investment strategies with a guaranteed commitment by federal, state and local governments for a 10-year period.
According to a recent report by the National Renewable Technology Laboratory (DOE), wind energy could account for 20 percent of the nation's electricity by 2030. To reach this target, wind turbines would have to produce 300,000 MW of power or 1,000,000 MW installed capacity. The 500,000 plus wind turbines would cost the taxpayers between $5-7 trillion.
As the Senate opens debate on its mammoth carbon regulation program this week, the phrase of the hour is "cap and trade." This sounds innocuous enough. But anyone who looks at the legislative details will quickly see that a better description is cap and spend. This is easily the largest income redistribution scheme since the income tax. ...If Congress is really going to impose this carbon tax in the name of saving mankind, the least it should do is forego all of this political largesse. In return for this new tax, Congress should cut taxes elsewhere to make the bill revenue neutral.
Also filed under [
Energy Policy|
USA]
As they [the American Wind Energy Association] well know, "installed capacity" is meaningless, since the output of industrial wind turbines cannot be stored and cannot be predicted or regulated.
Their effective or useable capacity is near zero, while the effective capacity of coal, gas and nuclear plants is near 99%.
When the public figures this out, I doubt that "85% of Americans" will continue to support wind energy.
Also filed under [
USA]
At the heart of the credit crunch now afflicting the global economy is the bursting of a great housing bubble throughout much of the developed world. Bubbles are, of course, as old as capitalism itself. Many of us in England recall learning at school of the great South Sea bubble of the early 18th century. But they seem to be coming more frequently nowadays. The housing bubble has burst only a decade or so after the Internet and tech-stock bubble. So we may not need to wait all that long to see the next one. And the most likely candidate is a green bubble, fueled by climate-change alarmism and government subsidies. ...There may well be a green business opportunity. But my advice to would-be investors is this: make sure you get out before the bubble bursts.
Also filed under [
General]
Watermelons - people who are "green on the outside and Red on the inside" - refuse to believe renewable-energy technologies may never be capable of replacing oil and natural gas, but it doesn't stop them from sowing their fantasy seeds. ...Even with massive subsidies, renewables can't come close to competing with oil and gas; without them, they'd be dead in the water. Though wind and solar have been on the "subsidy take" for decades, the Journal notes, they produce less than 1 percent of America's electricity; nuclear, meanwhile, generates 20 percent but is subsidized 15 times less.
Believing all renewables, let alone just wind, will produce 20 percent of America's power anytime soon requires a leap of faith only fools would attempt.
Also filed under [
Energy Policy]
Olbeter says the House Ways and Means Committee will unveil today a tax package that would extend and expand renewable tax credits and reinstate the R&D tax credit. The bill would pay for itself by closing tax loopholes, "including one that allows fund managers to defer taxes on compensation earned from offshore funds and another that would allow multinational firms flexibility in allocating global interest expense."
Olberter contends that the bill "has virtually no chance, in its current form, of becoming law." He says the tax loophole closures "are a nonstarter with Senate Republicans and the White House, which opposes taxes generally and these measures specifically." ...this is likely the last meaningful attempt by the Congress to pass extension of renewable energy tax credits before November; he predicts that the solar and wind credits "will probably lapse on December 31."
Also filed under [
USA]
Congress seems ready to spend billions on a new "Manhattan Project" for green energy, or at least the political class really, really likes talking about one. But maybe we should look at what our energy subsidy dollars are buying now. ...The wind and solar lobbies are currently moaning that they don't get their fair share of the subsidy pie. They also argue that subsidies per unit of energy are always higher at an early stage of development, before innovation makes large-scale production possible. But wind and solar have been on the subsidy take for years, and they still account for less than 1% of total net electricity generation.
Also filed under [
USA]
Only George Orwell could have invented - and named - the British Government's Renewable Transport Fuel Obligation (RTFO) that came into operation yesterday. It is the latest in a long line of measures intended to ease the conscience of the rich while keeping the poor miserable, in this case spectacularly so. ...The British Government has been persuaded by the wind turbine manufacturers to commit a third of its annual renewables subsidy to this uniquely inefficient energy source, advertising over hill and dale the cabinet's horror of making a decision on nuclear power. ...If all these fancy subsidies and market manipulations were withdrawn tomorrow and government action confined to energy-saving regulation, I am convinced the world would be a cheaper and a safer place, and the poor would not be threatened with starvation.
Just now, for reasons not all of which are "green", commodity prices are soaring. Leave them. Send food parcels to the starving, but let demand evoke supply and stop curbing trade. The marketplace is never perfect, but in this matter it could not be worse than government action. Playing these games has so far made a few people very rich at the cost of the taxpayer. Now the cost is in famine and starvation. This is no longer a game.
Worldwide opposition to wind power has now reached a crescendo and governments have been forced to respond with new planning regulations which impose the technology, often against huge objection.
Public distaste for wind turbines revolves around landscape impact and concerns about noise and loss of tranquillity, but technical objections are of greater concern. ...The power industry concedes that wind turbines would not be built without unprecedented consumer-sourced subsidy or massive tax breaks.
It is time for the threat posed by intermittent renewables, not least in requiring CO2-emitting coal-fired spinning reserve, to be investigated independently, without political interference.
In 1996, Denmark went on to hit industrial producers with a $15 per tonne carbon tax, initially neutralized by cuts in payroll taxes.
What happened?
By 1998, manufacturers started shutting their doors due to high energy prices, and overall Danish carbon tax revenues started to fall along with manufacturing jobs.
At the same time, the cost of government programs rose significantly.
The government's solution incredibly was to - wait for it - subsidize electricity to select manufacturers and raise income taxes by lowering the income threshold on the country's top marginal rate.
By 2001, with economic growth hovering at one- seventh-of-one-percent, Danes making over CAD$50,000 paid 59 per cent of their income in taxes and had to cope with record electricity prices. The entire debacle led to a change of government that year, with the incoming government promising a tax freeze, followed by a tax reduction - including those taxes on energy.
It's unfair to force Delmarva Power to deal only with Bluewater Wind on H.B. 6
March 11, 2008 in Delaware Online
March 11, 2008 in Delaware Online
The Bluewater Wind offshore wind farm proposal exploits the Delaware Renewable Portfolio Standard Act intended to foster the use of renewable energy sources. ...To qualify as an electricity supplier, BWW has to offer a supply that meets customer needs all the time, not just to the extent the wind blows. The BWW proposal drafts Delmarva as its supply partner, reducing supplier competition.
Further, Delmarva's SOS customers may lose the right to choose another supplier if the BWW take-or-pay wind and Delmarva backup power partnership proves expensive. They could be locked in for 25 years.
Also filed under [
Impact on Economy|
Delaware]
With a majority of St. Lucie County commissioners opposing Florida Power & Light Co.'s plans to put three giant wind turbines on conservation land at Blind Creek Park, that part of the nine-windmill project is dead. Three cheers.
The project does not belong on land the county and state paid to preserve. ...St. Lucie's rejection would leave intact the principle that land bought for conservation is meant to be preserved. If FPL proceeds with the project on its own land, it should return a portion of the grant. If FPL drops the whole project, the whole grant should go back to the state.
Also filed under [
Zoning/Planning|
Florida]
These letters, and a host of others addressing the Cape Wind facility proposed for Nantucket Sound, were published in the Mar 6, 2008 edition of the Cape Cod Times. The Minerals Management Service, a division of the Department of Interior, has released the draft environmental impact statement of the proposed project. Other letters can be accessed by clicking on the link at the bottom of this page.
"While renewable energy technologies can be more expensive than conventional sources in the first instance, the environmental, economic growth and public health benefits from their use justify the public investment," the Paterson report states flat-out.
I would argue that this statement should be viewed as a working hypothesis, and doesn't deserve yet to be considered a proven fact. How expensive is too expensive? Which conventional sources? Some are far more polluting than others, for example.
That quote from the report shows us the zeal of the alternative energies movement. With that zeal comes a touch of arrogance, because if you read through the Paterson report recommendations, there are thinly veiled justifications for running roughshod over local zoning and the opinions of those who actually have to live with solar panels, wind turbines or whatever. "The greater good" argument is just beneath the surface, and that makes me very nervous.
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