January 2012

In October last year, CEI’s Jackie Moreau blogged about victims of EPA’s wetland regulatory regime. “The once lovely face of Lady Liberty,” she wrote, “now wears the quintessential looks of the mean kid on the playground: class bully.” In this excerpt from Mugged by the State: Outrageous Government Assaults on Ordinary People and their Property, Randall Fitzgerald reinforces her point with some more outrageous examples of government environmentalism out-of-control.

Mugged by the State was released in 2003

As James Knott sat at his desk talking on the telephone on the morning of November 7, 1997, he noticed a police officer strolling across the lobby of Riverdale Mills, the wire-mesh manufacturing plant Knott owned in Northbridge, Massachusetts. Seconds later, twenty armed federal, state, and local law enforcement officers swarmed through the lobby and began entering employee’s offices.

Knott rushed out into the lobby and found himself confronted by a man wearing a dark jacket emblazoned with the lettering US AGENT. “We are here to seize some records,” the U.S. Environmental Protection Agency officer announced. “I have a warrant from a United States federal judge.”

After reading over this warrant, the sixty-nine-year-old Knott gave his consent for the search, though he sternly warned the EPA agents, “I am sure someone has perjured themselves to obtain such a warrant from a judge.”

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Post image for Coming Out of the Climate Change Closet

So much for consensus.

For years, climate change cultists have attempted to shut down public discourse over global warming by assuring us that “the debate is over,” that scientists are in lockstep agreement that Man is steam-frying his own planet.

That was always bunk, of course.  For one, if the scientific debate was really over, no one would have to say it.  There just wouldn’t be any debate.  No one these days goes around saying “the debate is over” about heliocentrism.  That’s because no one questions the fact that the Earth revolves around the Sun – there is literally no debate.

Second, the fact that it was so often politicians and/or celebrities (or a bizarre hybrid of the two like Al Gore) intoning the “debate is over” canard, instead of actual scientists, was a major clue that something was amiss with the “consensus” claim.

(The Washington Post famously reported on Gore’s scientific acumen: “For all of Gore’s later fascination with science and technology, he often struggled academically in those subjects. The political champion of the natural world received that sophomore D in Natural Sciences 6…and then got a C-plus in Natural Sciences 118 his senior year.”)

Sadly for Gore et al, a growing number of scientists are publically expressing skepticism about anthropogenic global warming, emboldened by a flood of new data that casts doubt on the whole “climate change” paradigm (I address some of this new data in my latest piece for the Washington Examiner).

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Bier family members—Dan and Jerry—blogged notable responses to Obama’s State of the Union energy policy recommendations this week. Over at Speak With Authority, Jerry (my uncle) points out that while the president mentioned “renewable” and “clean” energy, the president was light on details like the Department of Energy’s proposed volcano energy project in Oregon. Jerry writes, “Of all the recent ideas for developing new sources of energy, this volcano project is the one that sounds most like some junior high school boys pouring all the chemicals in the science lab into one beaker just to ‘see what will happen.’”

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Post image for Drip, Drip, Drip: Yet Another Green Energy Stimulus Recipient Hits the Skids (the third this week!)

Earlier this week, Stimulus beneficiary Evergreen Energy bit the dust. Then, Ener1, a manufacturer of batteries for electric vehicles and recipient of Stimulus largesse, filed for bankruptcy. And today, the Las Vegas Sun reports that Amonix, Inc., a manufacturer of solar panels that received $5.9 million from the Porkulus, will cut two-thirds of its workforce, about 200 employees, only seven months after opening a factory in Nevada.

I foresaw this spate of bad news last November. As I explained yesterday,

In a previous post, I compared renewable energy spending in the 2009 Stimulus to a green albatross burdening the President. I argued that Stimulus spending was inherently wasteful, because politics invariably corrupts government’s investment decisions. The result is taxpayers losses on bankrupt companies that existed only by the grace of political favoritism, a la Solyndra. I predicted the green stimulus would haunt the President, in the form of a slow drip public relations nightmare, as a litany of bad investments go belly-up in the run up to the 2012 elections.

Mr. President, are you still sure you want to “double down” on renewable energy giveaways?

Post image for Is It Fair for Government To Pick Winners?

In January 2010, Ener1, a manufacturer of lithium-ion batteries for use in plug-in electric cars, received a $118.5 million Stimulus grant from the US Department of Energy. Today, it filed for bankruptcy. Their Chapter 11 filing lists around $100 million each in assets and debts and proposes a restructuring plan to reduce its debt and provide up to $81 million to recapitalize the company.

The bankruptcy follows in the footsteps of Solyndra ($535 million from the DOE), Beacon Power ($43 million from the DOE) and SpectraWatt ($500,000 from the American Recovery and Reinvestment Act), all government-subsidized green energy companies which collapsed within the last year.

Ener1 cites heavy competition from Asia, a rough economy, bad investments and the slowly developing electric car market for its failure.  Even though Asia may have a cheaper workforce and more relaxed labor laws, the repeated failures of federally-backed green industry corporations—which according to CBS, will perhaps total 11 bankruptcies in the near future—is due to the Obama administration’s unrealistic insistence on creating a green energy industry out of subsidies, particularly when the demand for “green” products is virtually non-existent in the real marketplace.

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Post image for Did GM and Feds Collude to Hide Green Car Battery Fires?

At a hearing Wednesday morning, GOP members of the House Oversight Subcommittee on Regulatory Affairs opined that General Motors (GM) and the National Highway Traffic Safety Administration (NHTSA) colluded to withhold information from the public about battery fires in the Chevy Volt, the plug-in hybrid car lavishly subsidized by the Obama administration as part of its bailout of the auto industry, the Washington Post reports.

NHTSA began to investigate the green car’s safety risk in June after a test car caught fire, but waited until November to inform the public. Subcommittee Chair Jim Jordan (R-Ohio) called the delay “deeply troubling,” particularly because the Government owns 26.5% of GM shares and an expanding market for electric vehicles is critical to the administration’s plan to raise fuel economy standards to 54.5 mpg.

“Strickland,” says the Post, “insisted there was no connection and said he had not been pressured by anyone from the administration on the investigation.” So why the delay?

Strickland said he would have gone public immediately if there were an imminent safety risk. He said it would have been irresponsible to tell people that something was wrong with the Volt while experts looked into the cause of the fire.

“I hear you. I don’t believe you,” said full Committee Chair Rep. Darrell E. Issa (R-Calif.). Issa has good reason to be skeptical. [click to continue…]

Post image for Obama’s SOTU Message Immediately Belied by Support for T. Boone Billionaire’s Bailout

President Barack Obama’s State of the Union address hitched its wagon to the 99 percent. The speech was rife with populist rhetoric, of which the following is only one example:

We can either settle for a country where a shrinking number of people do really well while a growing number of Americans barely get by, or we can restore an economy where everyone gets a fair shot, and everyone does their fair share, and everyone plays by the same set of rules.

This morning, less than 48 hours removed from his defense of the little guy, the President gave a speech in Nevada during which he championed…H.R. 1380, the New Alternative Transportation to Give Americans Solutions Act (a.k.a., the NAT GAS Act, a.k.a., “The T. Boone Pickens Earmark Bill,” a.k.a., the “Pickens-Your-Pocket Boondoggle Bill”), legislation that was manufactured by billionaire T. Boone Pickens in order to make himself even richer. The bill would subsidize the use of natural gas as a fuel for the transportation sector, in particular for the trucking industry. Pickens is a gas tycoon, and it goes without saying that legislation to increase demand for gas is good for his bottom line.

By throwing his weight behind this Billionaire’s Bailout, President Obama exposed the vapidity of his SOTU commitment to an America where “everyone plays by the same rules.” The NAT GAS Act was written by billionaires, for billionaires.

Post image for Drip, Drip, Drip: Another Green Energy Stimulus Recipient Goes Belly Up

In a previous post, I compared renewable energy spending in the 2009 Stimulus to a green albatross burdening the President. I argued that Stimulus spending was inherently wasteful, because politics invariably corrupts government’s investment decisions. The result is taxpayers losses on bankrupt companies that existed only by the grace of political favoritism, a la Solyndra. I predicted the green stimulus would haunt the President, in the form of a slow drip public relations nightmare, as a litany of bad investments go belly-up in the run up to the 2012 elections.

Earlier in the week, Stimulus beneficiary Evergreen Energy bit the dust. Today, Ener1, a manufacturer of batteries for electric vehicles and recipient of Stimulus largesse, filed for bankruptcy. As is noted by the Heritage Foundation’s Robert Bluey at The Foundry, the Obama Administration mistakenly deemed Ener1 a success a year ago.

Mr. President, are you still sure you want to “double down” on renewable energy giveaways?

During Tuesday night’s State of the Union address, President Barack Obama called for an “all of the above” energy policy. My colleague Dr. David Kreutzer, Research Fellow in Energy Economics and Climate Change at the Heritage Foundation, offers the following observation regarding the President’s pitch:

Obama’s version of “all of the above.”

Which energy policy is best?

a. Subsidize solar energy, wind energy, and biofuels

b. Mandate the consumption of solar energy, wind energy, and biofuel

c. All of the above

d. Allow markets to produce petroleum, natural gas, and coal at affordable prices