“Electrification calls for a massive societal transformation from gasoline to electric vehicles, from traditional power plants to wind and solar generators, and from gas heating to electric and heat pump systems. There is no evidence that this transition will have any measurable effect on global temperatures. But electrification will produce substantially higher energy prices.”
“Electrification” is the new buzz word touted by climate fighters and environmental groups. Where electrification once meant providing electricity to people, today it often means elimination of traditional fuels. But the only tangible result of green electrification policies will be higher energy prices.
Proponents of electrification intend to force transportation and heating and cooling systems to run on electricity, and eliminate the use of hydrocarbon fuels. Electric cars, electric furnaces and water heaters, and heat pumps must replace gasoline-powered vehicles and gas-fueled appliances.…
Continue Reading“Wind projects most at risk by the new tax bill are those that negotiated their finance package in the last two years based on a 35 percent corporate tax rate. Renegotiating these agreements, if possible, could result in higher debt assumed for the project, higher prices for the electricity sold, and pressure to lower build costs … to put the financial viability of the project at risk.”
As previously cited, the wind industry is reliant on tax-equity investors willing to accept tax credits in return for funding significant percentages of their project costs. Tax-equity financing is complex; altering one or more elements of an investment package could undermine the success of a wind project.
Despite Congress’ decision to leave the wind PTC phase-out unchanged in the final tax bill, other changes in the law might upset plans for some projects.…
Continue Reading“There remains much to do in 2018. But the crony energies–those dependent on special government favor–are on notice that their time may be running short. Consumers and taxpayers come first in a free and prosperous commonwealth.”
It has been a good year for the master resource and public policy in the United States. The Trump reset of energy and climate policy has been the most dramatic in history in terms of free-market orientation. Trump’s reversing the Obama administration is what Ronald Reagan did to the Carter Administration’s energy policy back in 1981–but more so.
At yesterday’s White House briefing, Sarah Huckabee Sanders reviewed some of the energy highlights of the year.
“As December winds down,’ she said, “I thought this would be a perfect opportunity to look back at what has been, by any measure, a historic year.”…
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