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	<title>Comments on: Mr. President, How About These Shovel-Ready Projects?</title>
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	<link>http://www.masterresource.org/2009/02/mr-president-how-about-these-shovel-ready-projects/</link>
	<description>A free-market energy blog</description>
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		<title>By: Dear Tom Friedman: Are You a Fascist Wannabee? &#8212; MasterResource</title>
		<link>http://www.masterresource.org/2009/02/mr-president-how-about-these-shovel-ready-projects/comment-page-1/#comment-513</link>
		<dc:creator>Dear Tom Friedman: Are You a Fascist Wannabee? &#8212; MasterResource</dc:creator>
		<pubDate>Fri, 11 Sep 2009 13:44:43 +0000</pubDate>
		<guid isPermaLink="false">http://masterresource.org/?p=1024#comment-513</guid>
		<description>[...] think that the government can (and should) just order up a new economy, is more likely to lead to greater reliance on older dirty plants than is a program of generation expansion based on sound economic and scientific [...]</description>
		<content:encoded><![CDATA[<p>[...] think that the government can (and should) just order up a new economy, is more likely to lead to greater reliance on older dirty plants than is a program of generation expansion based on sound economic and scientific [...]</p>
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		<title>By: CO2 Cap &#38; Trade Meets the (China) Dragon: Why Legislating Trillions of Dollars in Regulatory Costs Would Be Climatically Inconsequential &#8212; MasterResource</title>
		<link>http://www.masterresource.org/2009/02/mr-president-how-about-these-shovel-ready-projects/comment-page-1/#comment-512</link>
		<dc:creator>CO2 Cap &#38; Trade Meets the (China) Dragon: Why Legislating Trillions of Dollars in Regulatory Costs Would Be Climatically Inconsequential &#8212; MasterResource</dc:creator>
		<pubDate>Wed, 13 May 2009 06:20:44 +0000</pubDate>
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		<description>[...] intended to bring the U.S. into line with Europe and Japan on CO2 policy. But as I have explained previously, the current U.S. policy discouraging new coal and new nuclear capacity [...]</description>
		<content:encoded><![CDATA[<p>[...] intended to bring the U.S. into line with Europe and Japan on CO2 policy. But as I have explained previously, the current U.S. policy discouraging new coal and new nuclear capacity [...]</p>
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		<title>By: TokyoTom</title>
		<link>http://www.masterresource.org/2009/02/mr-president-how-about-these-shovel-ready-projects/comment-page-1/#comment-511</link>
		<dc:creator>TokyoTom</dc:creator>
		<pubDate>Fri, 27 Feb 2009 12:30:47 +0000</pubDate>
		<guid isPermaLink="false">http://masterresource.org/?p=1024#comment-511</guid>
		<description>Don, thanks for this well-argued piece.  However, can you provide support for these premises?

&lt;i&gt;Using bad science and bad economics, federal and state government have decided that we will be better off—with lots of electricity, less CO2—if we make wind the primary substitute for older and proposed new coal power plants&lt;/i&gt;

Is the administration really to trying to replace coal baseload with wind?   And are the science and economics in favor of introducing some type of carbon pricing really so bad?</description>
		<content:encoded><![CDATA[<p>Don, thanks for this well-argued piece.  However, can you provide support for these premises?</p>
<p><i>Using bad science and bad economics, federal and state government have decided that we will be better off—with lots of electricity, less CO2—if we make wind the primary substitute for older and proposed new coal power plants</i></p>
<p>Is the administration really to trying to replace coal baseload with wind?   And are the science and economics in favor of introducing some type of carbon pricing really so bad?</p>
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		<title>By: Donald Hertzmark</title>
		<link>http://www.masterresource.org/2009/02/mr-president-how-about-these-shovel-ready-projects/comment-page-1/#comment-510</link>
		<dc:creator>Donald Hertzmark</dc:creator>
		<pubDate>Mon, 23 Feb 2009 01:02:58 +0000</pubDate>
		<guid isPermaLink="false">http://masterresource.org/?p=1024#comment-510</guid>
		<description>BOT9,
The sane among us hope that you are correct, but we fear that the Barnett and Woodford shales will not be enough to pull us out of a production decline, with so many other areas out of reach.  After all, many of the &quot;difficult to site&quot; proposed LNG regasification terminals are in LA, TX, AL, MS.

Point taken on tight gas and shale gas formations.</description>
		<content:encoded><![CDATA[<p>BOT9,<br />
The sane among us hope that you are correct, but we fear that the Barnett and Woodford shales will not be enough to pull us out of a production decline, with so many other areas out of reach.  After all, many of the &#8220;difficult to site&#8221; proposed LNG regasification terminals are in LA, TX, AL, MS.</p>
<p>Point taken on tight gas and shale gas formations.</p>
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		<title>By: bottomofthe9th</title>
		<link>http://www.masterresource.org/2009/02/mr-president-how-about-these-shovel-ready-projects/comment-page-1/#comment-509</link>
		<dc:creator>bottomofthe9th</dc:creator>
		<pubDate>Mon, 23 Feb 2009 00:13:29 +0000</pubDate>
		<guid isPermaLink="false">http://masterresource.org/?p=1024#comment-509</guid>
		<description>Certainly nimbyism is a big issue in domestic production generally, but Texans (Barnett), Oklahomans (Woodford), and Louisianans (Haynesville) are awfully drilling-friendly. Even in Colorado (Piceance) and West Virginia (Marcellus), I&#039;d be shocked if residents turned away producers now that they&#039;ve already gotten a taste of the checks in the mail.

And tight gas and shale are two completely different types of formations.</description>
		<content:encoded><![CDATA[<p>Certainly nimbyism is a big issue in domestic production generally, but Texans (Barnett), Oklahomans (Woodford), and Louisianans (Haynesville) are awfully drilling-friendly. Even in Colorado (Piceance) and West Virginia (Marcellus), I&#8217;d be shocked if residents turned away producers now that they&#8217;ve already gotten a taste of the checks in the mail.</p>
<p>And tight gas and shale are two completely different types of formations.</p>
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		<title>By: Donald Hertzmark</title>
		<link>http://www.masterresource.org/2009/02/mr-president-how-about-these-shovel-ready-projects/comment-page-1/#comment-508</link>
		<dc:creator>Donald Hertzmark</dc:creator>
		<pubDate>Sun, 22 Feb 2009 23:31:15 +0000</pubDate>
		<guid isPermaLink="false">http://masterresource.org/?p=1024#comment-508</guid>
		<description>Dear BOT9,
I wish I could be as optimistic as you about restarting production activities in the tight gas formations.  However, these shales require continuous step out drilling and I have already seen signs of nimbyism rear its ugly head.  And don&#039;t forget all those LNG regasification terminals have to go someplace, too.  That&#039;s why I think that we will end with old coal as the default.</description>
		<content:encoded><![CDATA[<p>Dear BOT9,<br />
I wish I could be as optimistic as you about restarting production activities in the tight gas formations.  However, these shales require continuous step out drilling and I have already seen signs of nimbyism rear its ugly head.  And don&#8217;t forget all those LNG regasification terminals have to go someplace, too.  That&#8217;s why I think that we will end with old coal as the default.</p>
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		<title>By: bottomofthe9th</title>
		<link>http://www.masterresource.org/2009/02/mr-president-how-about-these-shovel-ready-projects/comment-page-1/#comment-507</link>
		<dc:creator>bottomofthe9th</dc:creator>
		<pubDate>Sun, 22 Feb 2009 19:30:22 +0000</pubDate>
		<guid isPermaLink="false">http://masterresource.org/?p=1024#comment-507</guid>
		<description>We don&#039;t have to approve any more domestic drilling to get more gas. In the last six months 35% of gas rigs have been laid off--meaning they were being used in areas where drilling already had been approved. They were laid off because the demand--and therefore price--didn&#039;t sustain continued development. That is, we have significant spare gas-producing capacity in the United States, now and for the foreseeable future.

Building more CCGTs doesn&#039;t need to mean more LNG--more likely, it&#039;d just mean more rigs in Barnett, Marcellus, Piceance, Woodford, etc.</description>
		<content:encoded><![CDATA[<p>We don&#8217;t have to approve any more domestic drilling to get more gas. In the last six months 35% of gas rigs have been laid off&#8211;meaning they were being used in areas where drilling already had been approved. They were laid off because the demand&#8211;and therefore price&#8211;didn&#8217;t sustain continued development. That is, we have significant spare gas-producing capacity in the United States, now and for the foreseeable future.</p>
<p>Building more CCGTs doesn&#8217;t need to mean more LNG&#8211;more likely, it&#8217;d just mean more rigs in Barnett, Marcellus, Piceance, Woodford, etc.</p>
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		<title>By: Ed Reid</title>
		<link>http://www.masterresource.org/2009/02/mr-president-how-about-these-shovel-ready-projects/comment-page-1/#comment-506</link>
		<dc:creator>Ed Reid</dc:creator>
		<pubDate>Sun, 22 Feb 2009 16:48:02 +0000</pubDate>
		<guid isPermaLink="false">http://masterresource.org/?p=1024#comment-506</guid>
		<description>I would not believe that this discussion had gotten this far without mention of &quot;80% by 2050&quot;, except that almost every discussion on this topic ignores &quot;80% by 2050&quot;.

In the absence of proven technology for the economical capture and permanent sequestration of CO2, there is absolutely no point in discussion of either new coal- or new natural gas-fueled generation.

Never mind that &quot;80% by 2050&quot; would accomplish nothing of value with regard to AGW, as long as it is strictly a US effort. There is no such thing as a national &quot;solution&quot; to a global atmospheric issue. Even assuming that halting the increase in atmospheric CO2 concentrations would halt AGW (a very large and questionable assumption), no US effort could accomplish that if: Europe and Canada continue to perform as effectively as they have under Kyoto; and, the developing world continues to observe from the sidelines, while continuing to build new coal-fired generation.</description>
		<content:encoded><![CDATA[<p>I would not believe that this discussion had gotten this far without mention of &#8220;80% by 2050&#8243;, except that almost every discussion on this topic ignores &#8220;80% by 2050&#8243;.</p>
<p>In the absence of proven technology for the economical capture and permanent sequestration of CO2, there is absolutely no point in discussion of either new coal- or new natural gas-fueled generation.</p>
<p>Never mind that &#8220;80% by 2050&#8243; would accomplish nothing of value with regard to AGW, as long as it is strictly a US effort. There is no such thing as a national &#8220;solution&#8221; to a global atmospheric issue. Even assuming that halting the increase in atmospheric CO2 concentrations would halt AGW (a very large and questionable assumption), no US effort could accomplish that if: Europe and Canada continue to perform as effectively as they have under Kyoto; and, the developing world continues to observe from the sidelines, while continuing to build new coal-fired generation.</p>
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		<title>By: Rutherford Moore</title>
		<link>http://www.masterresource.org/2009/02/mr-president-how-about-these-shovel-ready-projects/comment-page-1/#comment-505</link>
		<dc:creator>Rutherford Moore</dc:creator>
		<pubDate>Sun, 22 Feb 2009 15:47:36 +0000</pubDate>
		<guid isPermaLink="false">http://masterresource.org/?p=1024#comment-505</guid>
		<description>This is a great blog with very good comments. Please keep up the good work.</description>
		<content:encoded><![CDATA[<p>This is a great blog with very good comments. Please keep up the good work.</p>
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		<title>By: Donald Hertzmark</title>
		<link>http://www.masterresource.org/2009/02/mr-president-how-about-these-shovel-ready-projects/comment-page-1/#comment-502</link>
		<dc:creator>Donald Hertzmark</dc:creator>
		<pubDate>Sun, 22 Feb 2009 14:56:56 +0000</pubDate>
		<guid isPermaLink="false">http://masterresource.org/?p=1024#comment-502</guid>
		<description>John,
I am afraid you have not kept up with the news.  This administration is not likely to support new oil and gas production and infrastructure, as already evinced by its suspension of both onshore and offshore licensing.  You cannot obtain financing for a CCGT project without a fuel supply agreement.  You cannot have a fuel supply agreement without new sources of gas, the old ones are all spoken for.  This leaves LNG as the only realistic option to supply new gas-fired plants if we are not willing to approve more domestic drilling or license coal and nuclear plants.  Wind has to be backed up with something secure, especially as it becomes significant as a proportion of generation.

As to the carbon business, proposed federal action on CO2 is a wonderful example of sacrificing the good for the perfect.  If we fail to build new power plant capacity that maintains system reliability (read: fossil or nuclear plants), then at some point we will decide by default that the older coal plants must remain on line lest we suffer catastrophic loss of load during peak periods.  Wind cannot be relied on in this way, as anyone who read this blog should understand.  Continued dependence on older coal plants leads inexorably to more fuel consumption from such units, and hence, more pollution.  New coal plants represent the quickest and most economical way to reduce CO2 emissions from the US electricity generation system.  There is literally nothing else on offer that could reduce emissions of CO2 and its companion emissions as quickly as more efficient high technology coal-fired plants.  Think of them as a stepping-stone to a higher technology future in power generation.  As EU experience with cap and trade has shown, relying on hopes and wishes does not change the facts on the ground, it only leads to grotesque government-led misallocations of &quot;carbon rights&quot; that put money into the pockets of the well-connected.  Would you put Pelosi and Reid in charge of allocating “carbon rights?”

A measured approach to reducing emissions has worked wonders in the automobile and power sectors already (though the process was not always efficient or appropriate).  Anyone over the age of 50 knows what the air looked like in the 1960s, before emission controls.  Ignoring an opportunity to reduce emissions from the power generation industry by more than 20%, without the use of public funds, seems to me to be derelict in the extreme.</description>
		<content:encoded><![CDATA[<p>John,<br />
I am afraid you have not kept up with the news.  This administration is not likely to support new oil and gas production and infrastructure, as already evinced by its suspension of both onshore and offshore licensing.  You cannot obtain financing for a CCGT project without a fuel supply agreement.  You cannot have a fuel supply agreement without new sources of gas, the old ones are all spoken for.  This leaves LNG as the only realistic option to supply new gas-fired plants if we are not willing to approve more domestic drilling or license coal and nuclear plants.  Wind has to be backed up with something secure, especially as it becomes significant as a proportion of generation.</p>
<p>As to the carbon business, proposed federal action on CO2 is a wonderful example of sacrificing the good for the perfect.  If we fail to build new power plant capacity that maintains system reliability (read: fossil or nuclear plants), then at some point we will decide by default that the older coal plants must remain on line lest we suffer catastrophic loss of load during peak periods.  Wind cannot be relied on in this way, as anyone who read this blog should understand.  Continued dependence on older coal plants leads inexorably to more fuel consumption from such units, and hence, more pollution.  New coal plants represent the quickest and most economical way to reduce CO2 emissions from the US electricity generation system.  There is literally nothing else on offer that could reduce emissions of CO2 and its companion emissions as quickly as more efficient high technology coal-fired plants.  Think of them as a stepping-stone to a higher technology future in power generation.  As EU experience with cap and trade has shown, relying on hopes and wishes does not change the facts on the ground, it only leads to grotesque government-led misallocations of &#8220;carbon rights&#8221; that put money into the pockets of the well-connected.  Would you put Pelosi and Reid in charge of allocating “carbon rights?”</p>
<p>A measured approach to reducing emissions has worked wonders in the automobile and power sectors already (though the process was not always efficient or appropriate).  Anyone over the age of 50 knows what the air looked like in the 1960s, before emission controls.  Ignoring an opportunity to reduce emissions from the power generation industry by more than 20%, without the use of public funds, seems to me to be derelict in the extreme.</p>
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