One of my favorite writers, Jonathan Chait, has an article in The New Republic on "the latest in global warming denialism" (the latest being acknowledging it exists but refusing to do anything about it). It mostly goes over familiar ground, but I wanted to call out one part where Chait makes an unwarranted concession.
Discussing recent efforts to repeal some oil industry tax breaks in order to fund tax credits for renewable energy, Chait writes:
Objection number one is that repealing the tax break to pay for renewable energy amounts to "taxing successful energy sources and subsidizing unsuccessful ones," as the Heritage Foundation puts it. This description was intended as a devastating insult, but of course it's the whole point. If renewable energy were "successful" in the pure free market, then it wouldn't need to be subsidized.
Argh. How could we possibly know if renewables could beat fossil fuels in a "pure free market"? There is no such thing.
After all, what's under discussion here is not taxing oil companies but removing previous tax breaks and subsidies. An energy source that benefits from well over a century of favorable treatment from governments is not succeeding in a "pure free market."
So while Heritage's point would be silly even it if were true ... it's not true.
Chait even seems to realize this later in the piece:
What makes [objection number three] particularly comic is that the House isn't proposing some new tax hikes for oil companies. It's only proposing to get rid of a special tax break.
So why concede the Heritage Institute's point?
I'm only making a big deal out of this because the notion that fossil fuels are the free market champions, and renewables can only compete with government subsidies, is a central talking point on the right. People on the right always think that those born on third base are better ballplayers. But the rest of us don't need to buy it.
Did China block Copenhagen progress to pave way for its own dominance in cleantech?
Comments
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GRLCowan Posted 1:29 pm
13 Apr 2008
... the notion that fossil fuels are the free market champions, and renewables can only compete with government subsidies ...
is a right-wing talking point, but if so, they're missing the importance of fossil fuel consumption taxes.
Those taxes mean that government is a strong protector of the fossil fuel industry. It is not subject to the aggressive depredations of its market share that it would be in a free market.
Because fossil fuels are negatively subsidized, and renewables are positively so, renewables not only would be much less able to compete if they lost their subsidies and monopolies, they would be as Bambi to Godzilla if, on top of that, their consumers began to be taxed the way fossil fuel consumers are. That would be a level playing field.
As a government cheque-casher or direct-deposit-receiver, then, one might see the subsidy and monopoly privileges one's paymaster extends to renewables as a double injury: first, one gets a little less from the fossil fuel cash cow, because renewable energies have had their slack jaws manually pulled wide open, thrust onto its flanks, and manually forced to shut and take a tiny bite, and second because of the money and effort it costs to do this playacting.
Why might one not mind? Well, is there another fossil fuel biter with self-operating jaws, such jaws that some governments keep it muzzled, and all keep it on a short leash, and when that leash lets it reach their fossil fuel cash cow, does blood flow, do heavy bones crunch? If the cow is putatively despised but actually much valued, one will want to have token bites to show, along with not allowing real ones.
Thus, we see that preserving the energy status quo amounts to prevention of cruelty to an animal!
Boron: A Better Energy Carrier than Hydrogen?
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amazingdrx Posted 5:24 pm
13 Apr 2008
Just a really simple plan. Take away corporate welfare for big oil, coal, nukes, and agribizz fuel farming.
give it to investors in solar panels and so forth at the rate of 10 cents per GHG free kwh, or kwh saved with conservation.
http://amazngdrx.blogharbor.com/blog
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socialscientist Posted 11:35 pm
13 Apr 2008
What do the "free marketeers" say about the trillion-dollar externalities of the carbon-auto industry. They are silent.
Come to think of it "environmentalists" don't say much either.
http://frepubtra.blogspot.com
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GreyFlcn Posted 1:10 am
14 Apr 2008
Doesn't matter what you drive, eventually you are going to have to pay road taxes.
Acting like Road Tax is simply "a tax on gasoline" is disingenuous.
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Biodiversivist Posted 1:37 am
14 Apr 2008
In the end, it all comes down to biodiversity. Poison Darts--Protecting the biodiversity of our world
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amazingdrx Posted 2:55 am
14 Apr 2008
Just like the rebates for buying a gas guzzling monster suv or truck. And the huge tax write off, pretending every small business needs a 100k tax break to buy one.
Steel manufacturing subsidies are a big part of gas guzzler subsidies. And tax breaks for outsourcing jobs manufacturing the parts.
The actual gas guzzler is like a cheap flashlight, they are a loss leader, the money is made selling batteries.
So it goes with the auto industry.
Shift steel making subsidies to carbon fiber composiite auto part manufacturing. Mass production of 200 mph crash survivable hypercars that weigh half of what they weight now will soon follow.
Eliminate tax subsidies for outsourcing jobs.
Give subsidies directly to owners of plugin hybrids, per kwh of renewable power used for transportation.
The ultimate solution is a total home energy system designed to plug into a renewable smart grid, and in fact be part of the grid's distributed computer nervous system, that charges a plugin hybrid and manages solar power and heat, adding in geo heat as needed and storing electricity and heat/cold in the home and appliances.
Water conservation and waste recycling could be part of the complete mechanical core of the home. A one piece unit that a new home can be built around or can be inserted to retrofit an existing building.
With plugin ports for plumbing, electrical, solar panels (both heat and electric), geo heat exchange tubing buried underground, and external biogas system and generator, wind system, and finally a port to plug it all into the utility grid and internet.
These could be locally mass produced for the local climate, and would be easy to install for home builders or local building contractors. We now have plugin plumbing connection and electric wiring for homes. It makes the whole process much less prone to expense and problems.
Finally a subsidy per kwh generated and saved could be easily calculated and monitered with units like this. The utility bill paying back for power sold onto the grid by the homeowner would be a record.
This also allows plugin hybrid power use to be monitered and subsidized.
http://amazngdrx.blogharbor.com/blog
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amazingdrx Posted 3:02 am
14 Apr 2008
What else does he have to do all day? But..play with his balls? Hehey.
Giggle, scratch, tapdance, and taunt his lackeys. Sure. But what gives him the most satisfaction?
http://amazngdrx.blogharbor.com/blog
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