Wednesday, August 1, 2012

Energy Manipulation

I'm getting really tired of government manipulating energy markets. Here in Jersey the Governor just signed a bill subsidizing solar power to the tune of $400 Milliom dollars/year of ratepayer's money (that's another tax on us people). This money is not being used to develop new technology to make solar power more efficient or more cost effective, but to make NJ the leader in installations. The payback period without subsidy (by the industry's own numbers ranges from over 20 years to over 30 years), a rate that NOBODY would invest in without substantial subsidy (ergo, the reason for the new bill).
Nationally, the government has blocked drilling in many promising areas, prevented exploratory drilling in many other areas, has outlawed hydraulic fracturing for gas production, has prevented the building of LNG import facilities, while subsidizing wind energy offshore. the economics of wind energy run neck and neck with the economics of solar power, i.e., not cost effective, nor reliable.
our economy suffers as a result of these policies. we are more energy dependent, have higher energy prices, have fewer american jobs and have a landscape of fans and panels which are quite unappealing.
how about letting the market work! nobody wants pollution. we have the strongest pollution laws in the world. lets enforce them, but stop regulating our businesses out of existance. What's good for Brazil, should be good for us (we are giving them our money to develop offshore oil and gas wells). Let's let common sense rule! It's the same ocean.

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