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Tag Archives: Energy Policy


Consideration of greenhouse gas emissions and climate change effects in NEPA Reviews

Marlo Lewis Competitive Enterprise Institute and Free Market Allies Comment Letter on NEPA GHG Guidance Document 73-1

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Unlocking the Potential

The Keystone XL pipeline is our best bet for a secure energy future.

By Peter Roff     •     U.S. News

keystone-xl-pipelineA decision handed down Friday by the Nebraska Supreme Court allows the permitting process for the Keystone XL pipeline to move forward.

It’s long overdue. The pipeline is a needed addition to the U.S. energy infrastructure that will do much to help America reduce its dependence on energy sources produced in politically volatile regions of the world. In the interim, its construction will lead to the creation of thousands of new jobs in vital industries, the kind some politicians like to call “good jobs and good wages.” Continue reading


Time for Solar Subsidies to Sunset

by Peter Roff     •     The Hill

Obama SolyndraSome of solar energy’s more persuasive advocates have some people believing the age of free, homegrown electricity is just around the corner. Of course they had folks believing that in the 1970s, back when Jimmy Carter put solar panels on the White House and wore a sweater when the weather started to cool.

The basic fact, as true today as it was then, is that solar energy – like many of the so-called green energy alternatives to oil, to coal, to natural gas, and to nuclear power – is too expensive for most consumers to utilize unless accompanied by generous subsidies at just about every level of the process.

Some solar panels are manufactured by companies that have received direct subsidies or loan guarantees from the federal government — and if those companies fail (remember Solyndra) the taxpayers are the ones who make it possible for the investors to recoup the money they put at risk. Continue reading


Debunking the Anti-Fracking Fearmongers

by Alex B. Berezow     •     RealClearScience

frackingWorld events have made it quite clear to most Americans that we should develop more of our own energy sources. Reducing our reliance on foreign oil by exploiting the natural gas under our feet is not only smart foreign policy but also smart environmental policy: Natural gas burns cleaner than coal or oil, and it has already lowered our CO2 emissions. Natural gas is a win for America and the planet.

But not according to anti-technology environmentalists, who have made all sorts of wild, unsubstantiated claims about the supposed harms of fracking. Three claims in particular are worth examining: (1) Fracking causes a dangerous leakage of methane into drinking water; (2) Fracking causes earthquakes; and (3) Fracking chemicals contaminate drinking water. Continue reading


Constitutional chutzpah

by Seth Lipsky     •     New York Post

barack_obamaThere are three ways something can become what the US Constitution calls the “supreme law of the land.” It can be made part of the Constitution by amendment, it can be passed by Congress as a law or it can be ratified by the Senate as a treaty.

President Obama can’t get his climate-change agreement made supreme law of the land by any of those constitutional routes. Not even close. The Republican House doesn’t want it. The Democratic Senate won’t act.

That’s because the people don’t want it. They’re no dummies. Even in drought-stricken California, the Hill newspaper reports, Democratic candidates for Congress avoid the climate-change issue.

This is driving Obama crazy. Continue reading


Fuel Freedom: Fuels should be taxed in a fair and equitable way

The US tax code taxes diesel fuel at one rate and taxes the ultra clean burning and domestically produced liquified natural gas at a rate that is 70% higher.  This should be corrected! 

The United States is now the largest producer of natural gas in the world. This is a positive development and will help us reliably and inexpensively heat our homes, power our economy, and fuel our vehicles. Moreover, it will reduce our dependence on unreliable foreign sources of energy.

Despite this good news, there is a bit of bad news. When natural gas is liquified and used as a transpiration fuel, our tax policy puts it at a huge disadvantage as compared to diesel fuel. We tax diesel at one rate and then tax the ultra clean burning and domestically produced liquified natural gas (LNG) at a rate that is 70% higher than diesel fuel based on its energy content. This is counter productive and disincentivizes the use of a reliable domestic energy resource.

Our tax policy should not be picking winners and losers and it shouldn’t be favoring one source of energy while penalizing another. Yet, that is precisely what the current tax code does to LNG and propane.

Some in the House and the Senate want to reduce the taxes on LNG and propane so that they are equalized with the taxes on diesel fuel. This amounts to a tax cut for LNG and propane so that it is taxed a the same rate as diesel fuel based on its energy content, rather than at substantially higher rates. We strongly support such a tax cut!

The Senate plan to extend federal funding for transportation projects into the summer of 2015 includes this important tax fairness and equalization provision. It is also an important economic growth provision. While we cannot support every measure within the Senate highway bill, this is a provision that we believe should be included in the final bill. It is fair. And it will help the economy grow because it will remove an arbitrary tax penalty and a counterproductive tax disincentive on an important homegrown energy resource.

We call upon the House to compromise by including this tax reduction and tax fairness provision in their highway transportation bill. We also call upon Senate Majority Leader Harry Reid to be willing to compromise with the House on the final bill and allow the legislative process to proceed. In our estimation, the House transportation bill has a great deal to recommend it. But by taking the strengths of the House bill and the Senate bill, we will end up with a better outcome.


Five Legal Obstacles to the EPA’s Power Plant Rules

epa-logoby Ben Adler

The famous adage that nothing is certain in this world but death and taxes should probably be amended. At least insofar as politics and policy are concerned, there is a third inevitability: lawsuits.

Before they even know the details of a major environmental regulation, affected industries start looking for ways to get it thrown out in court. That’s definitely the case for President Obama’s newly proposed regulation on CO2 emissions from existing power plants. Republican-controlled states will be joining the legal assault too because the power-plant rule, like Obamacare, would impose mandates on state governments. Continue reading


There’s a Hefty Price to Pay for Driving Down U.S. Coal Usage

coal miningby The Oklahoman Editorial Board 

Reports of the demise of coal-fired power plants are greatly exacerbated by reality. Using coal to make electricity isn’t going away any time soon. And the coal plants that are going away the soonest account for relatively little carbon emissions.

One of the state’s two largest investor-owned utilities (PSO) is moving away from coal, but it won’t be out of the coal business until at least 2026. The other utility, Oklahoma Gas and Electric Co., remains committed to coal even though it will require expensive upgrades to its generating station near Red Rock.

Coal remains the cheapest way to make power, which is one reason it will stay in the fuel mix despite the Obama administration’s attempt to get rid of it and the environmental community’s demand that coal be kept underground for as long as it has been already. Continue reading


EPA Quietly Signs Off on State Carbon Taxes

Energy TaxThe agency didn’t mention it in the new climate rules, but the plan would allow states to place a levy on greenhouse gases.

by Ben Geman

EPA’s big new draft regulations to cut power-plant carbon dioxide emissions name-check all kinds of tools that states can use to comply with the standards.

They include renewable-power growth, efficiency programs, switching coal plants to natural gas, and cap-and-trade initiatives, which are already underway in California and among Northeastern states. Not mentioned: Imposing state-level carbon taxes on power-plant emissions.

It’s not something the agency is likely to tout at a time when top Republicans are already trying to frame the whole rule as a “national energy tax.” But EPA officials, when asked, made it clear Monday that a state could indeed choose to go the carbon tax route. Continue reading


The Answer Isn’t Blowing in the Wind

wind-turbine-moneyWarren Buffett can do without a tax break for wind energy.

By Peter Roff  

Does the “Oracle of Omaha” really need another tax break? It’s a fair question, given the way billionaire Warren Buffet made headlines several years ago with his complaints that his secretary paid more in taxes to the federal government than he did.

Of course, that was back when he was campaigning in support of higher taxes on the so-called “wealthiest Americans” in furtherance of the class envy strategy Democrats like himself, President Barack Obama and their allies in Washington have honed to a razor sharp edge. But now he’s got his hand out for corporate tax breaks that improve the bottom line for his Berkshire Hathaway company and the stock price of all the companies he’s invested in. Continue reading


Towards Energy Independence

gas-pump“Despite what some argue, North American energy independence is not out of reach. The massive production gains expected in Canada combined with the output from Mexico and US domestic reserves could total 2.75 billion barrels per year by 2030. This figure exceeds expected US petroleum consumption by such a wide margin. This is only possible if increased volumes of Canadian petroleum can reach more distant US markets for competitive cost. To that end, pipeline projects such as Keystone XL are vital to any strategy of displacing oil imports from outside North America. Without them, Canadian oil will remain uncompetitive with foreign oil arriving by tanker, and even dramatic increases in Canadian production figures would not result in a reduced dependence on OPEC for most regions of the United States.”

by Kenneth Bloomquist

Executive Summary

In 2013, the United States imported 16% of the total energy it consumed from all sources, 86% of which was petroleum. Reducing these imports is therefore the primary obstacle to attaining energy independence. To achieve this by 2030, approximately 2 billion barrels of imported petroleum will need to be displaced, either on the supply side by increasing domestic production or on the demand side by reducing consumption. Continue reading


When Gas Prices Rise, Blame Obama and the EPA

Gas Can Man * 1.85 GasolineThe renewable fuel standard has proven to be a fool’s errand.

by Peter Roff

It did not exactly come as a surprise when the Obama administration announced that it was pushing the decision regarding whether or not to go ahead with the Keystone XL pipeline off again. Politically, it’s a difficult issue, one that splits the left-liberal coalition that put him in the White House.

On one side are the so-called environmental groups who are opposed to keeping fossil fuels in the American energy mix. They think the completion of the pipeline, which will take oil from the Canadian tar sands south to the refineries located on the American Gulf Coast, will only add to the problems they have already imagined the productivity of mankind has created. On the other are congressional Democrats, private sector unions and energy company executives who also helped Obama come to power and who want the oil and the jobs the pipeline will bring. Continue reading


Dirty Politics Clog Keystone XL Pipeline

XL Pipeline Keystone PipelineBillionaire baits Democrats to block the project that America desperately needs.

by Phil Kerpen

The decision to yet again delay the final permit for the popular Keystone XL pipeline was made not in the White House or at the State Department, but in a posh private residence in the Sea Cliff neighborhood in northwestern San Francisco. It was there on February 19 that former vice president Al Gore and Senate Majority Leader Harry Reid made the pilgrimage to Tom Steyer’s home to kiss the ring of the hedge fund-billionaire turned super-donor, in exchange for $400,000 that night and a promise of $100 million more to come. Steyer’s sole demand? Stop the pipeline.

There were six Senate Democrats present: Reid, Sheldon Whitehouse of Rhode Island, Patrick Leahy of Vermont, Ben Cardin of Maryland, Jeanne Shaheen of New Hampshire, and Mark Udall of Colorado. All had voted against the pipeline in a test vote offered as a budget amendment last year, although 17 Democrats voted for the bipartisan measure. Continue reading


It is time to stop ‘studying’ Keystone XL and approve it

keystone-xl-pipelineIt appears increasingly clear that the proposed Keystone XL oil sands pipeline project is being studied to death as President Obama dithers over whether to approve it. The massive project to move Canadian oil to American refineries should already be under construction, but the president can’t decide whether to pander to Big Green environmentalists who rabidly oppose it or to the trade unions who want to build it and benefit from the thousands of jobs that it would create. So he keeps moving the goal posts, from one study to the next, desperate to avoid responsibility for the final decision.

The latest study, released Jan. 31 by the State Department, found that the pipeline would not significantly increase greenhouse gas emissions, confirming the results of a draft version that was released in March 2013. That conclusion should put to rest Obama’s professed concern that the pipeline would add to the problem of greenhouse gases. Other studies have concluded that not approving Keystone XL could do more environmental damage because Canada will sell its oil to China. The Asian giant’s environmental standards fall far short of America’s. Continue reading


No plausible reasons left to reject the Keystone Pipeline

XL Pipeline Keystone PipelineWhite House Chief of Staff Denis McDonough discussed with NBC News’ David Gregory the administration’s foot-dragging on the Keystone XL pipeline. The Sunday interview came in the wake of the State Department’s latest report on the project, which again found no good reason to block construction of an oil pipeline from western Canada to Steele City, Neb.

The chat produced this rich quote from Mr. McDonough on President Barack Obama’s refusal to approve the privately funded project thus far: “He’s been very clear that he’s going to insulate this process from politics.”

But politics are indeed driving the president’s Keystone inaction, thanks largely to climate change and environmental alarmists. How else to explain the more than five-year wait for approval of the Keystone pipeline, a project that requires no tax money, is shovel ready and loaded with good-paying jobs? The State Department’s Final Supplemental Environmental Impact Statement, released Jan. 31, concludes: “During construction, proposed Project spending would support approximately 42,100 jobs (direct, indirect, and induced), and approximately $2 billion in earnings throughout the United States.” Continue reading


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