A Free-Market Energy Blog

Climate Mitigation: Costs versus Benefits (reassessing Robert Frank’s call for policy action)

By Robert Murphy -- March 15, 2010

In a recent New York Times article, economist Robert H. Frank–“The Economic Naturalist”–argues that fighting global warming through government intervention entails a small cost and promises a large benefit. Yet to cast serious doubts on his claim, all we need do is quote from U.S. government and IPCC reports. We find that even in a textbook implementation, it’s not obvious that government mitigation efforts deliver net benefits.

Of course in the real world, if the politicians and/or EPA starts intervening in the energy sector, their actions will be far from the economist’s theoretical ideal. Then the case for such policy activism falls apart.

Frank’s Pros/Cons of Intervention

Frank’s opening paragraphs nicely summarize his views on climate policy:

FORECASTS involving climate change are highly uncertain, denialists assert — a point that climate researchers themselves readily concede.

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Understanding the Limits of Wind Power: Key Industry Terms

By Glenn Schleede -- March 14, 2010

Two characteristics of industrial wind power crucially inform the public policy debate.

First, wind turbines have little or no “capacity value”; i.e., they are unlikely to be producing electricity at the time of peak electricity demand. Therefore, wind turbines cannot substitute for conventional generating capacity responsible for providing reliable electricity to customers.

Second, a kilowatt-hour (kWh) of electricity from wind has less value than a kWh of electricity from a reliable (“dispatchable”) generating unit; i.e., from a unit that can be called upon to produce electricity whenever the electricity is needed by electric customers.

These issues are important because “wind farm” developers and lobbyists have misled the public, media and government officials by making false claims and by using terms intended to confuse their listeners.

To address this problem, this post explains a few key electric industry terms that are important in understanding the critically important differences between the quality and value of

(i) the high cost, intermittent, volatile and unreliable electricity produced by wind turbines and

(ii) the lower cost, reliable and more valuable electricity produced by generating units that can be called upon to produce electricity whenever it is needed by electric customers.

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Howlin’ Wolf: Paul Ehrlich on Energy (Part I: Demeaning Julian Simon; Energy as Desecrator; Doom from Depletion)

By Robert Bradley Jr. -- March 13, 2010

[Editor’s note: Part II in this five-part series examines Dr. Ehrlich’s failed predictions in energy. Part III examines Ehrlich’s conservation(ism) views.]

“Most of our colleagues don’t seem to grasp that we’re not in a gentlepersons’ debate, we’re in a street fight against well-funded, merciless enemies who play by entirely different rules.”

Paul R. Ehrlich, quoted in Stephen Dinan, “Climate Scientists to Fight Back Against Skeptics,” Washington Times, March 5, 2010.

“Everyone is scared shitless [about the attacks from climate-science critics], but they don’t know what to do.”

– Paul Ehrlich. Quoted in “Climate of Fear,” Nature, March 11, 2010.

Paul Ehrlich is back in the news regarding Climategate and the IPCC controversy.  How ironic!  Dr. Ehrlich’s multi-decadal over-the-top pronouncements of doom-and-gloom, and his arrogant behavior towards his critics (Julian Simon in particular), might qualify as Malthusgate.…

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U.S. Wind Industry: Turbine Construction Won’t be Domestic

By Kenneth P. Green -- March 12, 2010
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Empty Shell: The Unbearable Lightness of U.S. CAP (A critical look at Marvin Odum’s Op-Ed)

By -- March 11, 2010
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Can Utility-Scale Batteries Rescue Intermittent Renewables? (Improvement, market shakeout, but no ‘silver bullet’)

By Robert Peltier -- March 10, 2010
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The U.S. Biofuel Scam: A View from Abroad

By Caroline Boin -- March 9, 2010
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Yet Another Incorrect IPCC Assessment: Antarctic Sea Ice Increase

By Chip Knappenberger -- March 8, 2010
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The Perfect Energy Course? (Pierre Desrochers’ “Energy & Society” class about as good as it gets)

By Robert Bradley Jr. -- March 6, 2010
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Joe (Romm), Where Art Thou? (my peak oil bet deserves an up or down)

By -- March 5, 2010
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