global warming

An AB32 Primer

by Chris Horner on October 25, 2010

in Blog

So, we read that Hollywood, Al Gore’s group, rent-seeking industry and other green groups have been joined by the rest of the usual suspects-Google, Bill Gates-in opposing Proposition 23, a ballot initiative to delay their state’s energy rationing law which will soon take effect. That is, barring voter intervention putting a temporary stay on this economic suicide pact until the state’s economy recovers somewhat.

I should think that’s about all one needs to know about Proposition 23.

Still, all of that money to protect the global warming industry’s gravy train seems to be having an effect among telephone survey respondents. But it remains a close one. And that’s why they suit up and play the game.

The people who will be hurt most by this costly gesture by elites who for the most part will not feel the pinch of California sinking further down the drain, particularly Hispanic voters, support reclaiming voter sovereignty on an issue the political class has proven an inability to responsibly manage.

I suppose this is just fodder for so much more hand-wringing by the Left about the regular voter being too stupid for the elites to stomach. How dare those imbeciles not wildly fall for it! Remember, AB 32 was passed as a global warming law. When it began to dawn on people that now was not the time for foolish gestures, even in California, and since no one actually posits that AB 32 would ‘do something’ to the climate in any detectable way (or even close, accepting all of the alarmists’ assumptions), the party line promptly switched to it being a jobs bill. Yeah, that’s it.

And, now, as the truth is making the rounds that this “world’s first” scheme has in fact proven to be a job-killing bog in many places already, the global warming industry has now done its usual late-hour race to the bottom. One pressure group is blitzing the airwaves with shameful ads saying this is about (of course) childhood respiratory function. Not a word in the ad about global warming. Huh. This comes from the California chapter of a group long having had a difficult relationship with being straight on such matters (including, as Reason’s Joel Schwartz has pointed out on many occasions, about California-specific issues and, as I detailed in Red Hot Lies, about global warming).

Which begs the question, unless they are just torturing the facts and being alarmist (again), why wasn’t that the reason AB 32 was passed to begin with? Instead, it was (risible) state-specific computer-modeled scenarios of doom unless the people allowed the political class to strip them of ever more freedoms. It was the faddish “global warming” pony they sought to ride to the long-held desire to price energy out of the reach of the same average voters whose proliferation and attainment of automobility, vacations and the like the elites just couldn’t tolerate.

You will know them by their deeds, and the global warming industry’s have a pretty miserable record.

This afternoon I attended an informative panel, “Saving the Polar Bear or Obama’s CO2 Agenda?,” on how the Endangered Species Act is easily manipulated by environmentalist lawyers intent on gumming up economic activity. The panel was videotaped, so you can see it for yourself at the Heritage Foundation’s website. If, however, you don’t have an hour, then here are the highlights:

  • Robert Gordon of the Heritage Foundation cited the Iowa Pleistocene snail. Seemingly, the snail is a smashing success story. It was listed as an endangered species in 1978, and after implementing protections, the snail recovered. Indeed, it far-exceeded the criteria first set out to de-list. Nonetheless, the Obama administration upgraded its peril. Why? Because, the Obama administration says, the snail is threatened “in the long term” by global warming! This example supported Mr. Gordon’s conclusion, that the Endangered Species Act is a “tool for those that wish to constrict economic activity.”
  • The Competitive Enterprise Institute’s R.J. Smith questioned which section of the Constitution authorizes the government to favor animals and insects over humans. He joked that the 3rd amendment prohibits the government from forcing Americans to quarter soldiers, yet the Endangered Species Act can force Americans to give quarter to snails.
  • I asked Reed Hopper of the Pacific Legal Foundation to flesh out the regulatory consequences of listing the polar bear as an endangered species due to climate change, and his response was sobering. According to Mr. Hopper, a citizen suit provision of the Endangered Species Act means that anyone could sue anyone for harming the polar bear by emitting greenhouse gases. He said it would be “unprecedented.”

Today’s exhibit about Spain’s economic miracle — you could call it a sector-specific collapse — comes from Bloomberg, a heartbreaking tale of the gravy inevitably running out. It is a tale that, pre-collapse, President Obama expressly sought to emulate and California is still actively pursuing, as is typical for the equally bankrupt California. Obama is now silent about Spain as his model and California claims its law is, er…the “world’s first!”

As happened in Spain, California’s bill is certain to come due long before the preening political class expected. The U.K.’s Global Warming Policy Foundation has a roundup with the top six stories in today’s update being relevant, as well.

So, yes, dear, these “green economy” schemes grow the economy. Of course, then so did Mr. Ponzi’s scheme. And, naturally, the plaintiff’s bar grows the economy, too, because we need a bigger court system and people to craft the instructions on shampoo bottles. Except upon slightly more scrutiny than the statists would like, they actually kill jobs. But if you only focus on this part I’m waving my hands at over here

And upon such scrutiny, their approach of name-calling and fabrication instead of arguing the merits begins to look pretty good.

This morning we received an update from friend at the Institut Hayek in France. Evidently, the French Academy of Sciences soon will release a paper that eviscerates the “beautiful certainties” espoused by the Intergovernmental Panel on Climate Change. To read Drieu Godefridi’s brief on the imminent report, click here. To visits the Institut Hayek website, click here.

Post image for Government Did Not Develop the Internet

Proponents of green energy subsidies[1] are quick to claim that the U.S. government created the internet as we know it. Their reasoning is as follows: If only Uncle Sam would do for solar power what it did for the internet, then we could achieve the clean energy breakthrough that will deliver America to a carbon-free energy future.

This line of thinking is misguided, because it conflates “research” and “development.”

“Research” is the “diligent  and  systematic  inquiry  or  investigation  into  a  subject  in  order  to  discover  or  revise  facts,  theories,  applications,  etc,” according to dictionary.com. This process of discovery is amenable to top-down control. A priori, a research team sets out to investigate a particular phenomenon. “Development,” however, is different. This is the process by which a technology becomes valued by consumers. It is recalcitrant to top-down controls; rather, it is a function of tinkering by myriad actors.

To put it another way, government research created the internet, but it took many, many smart, opportunistic people to develop the internet.

Consider a brief history that serves to clarify my point. From 1965-1989, the US military and the National Science Foundation created the internet. In 1989, a private telecommunications company, MCI, gained commercial rights to use the internet. Then, “During the 1990s, it was estimated that the Internet grew by 100 percent per year, with a brief period of explosive growth in 1996 and 1997. This growth is often attributed to the lack of central administration, which allows organic growth of the network, as well as the non-proprietary open nature of the Internet protocols, which encourages vendor interoperability and prevents any one company from exerting too much control over the network.” (from Wikipedia)

So, government had zero to do with commercializing internet. Indeed, the internet grew by leaps and bounds only after it was loosened from the grip of the state.

Green energy enthusiasts claim that government can do R&D, and they point to the internet as evidence for this assertion. They are mistaken. While it’s debatable whether government should do the “R,” it is irrefutable that government can’t do the “D.”


[1] Most recently, the much-ballyhooed “post partisan” climate plan released today by the Breakthrough Institute, the Brookings Institute and the American Enterprise Institute.

There’s only a month left on the Senate calendar, and elections are looming, so many Senators are wary of an issue as divisive and nuanced as is cap-and-trade energy rationing. As a result, there’s been a lot of procrastinating.

Two weeks ago, Senate Majority Leader Harry Reid convened a meeting of Senate Committee chairs in order to figure out how to proceed with climate legislation. They agreed to punt, by having a meeting of the entire Senate the following week.

A week ago, all Democratic Senators met, and they listened to three of their colleagues pitch variations of climate/energy legislation, as well as a pep talk from Sen. Barbara Boxer (my favorite environmentalist Senator). But the pleas fell on deaf ears, and the DNP Caucus session ended inconclusively.

Following that failure, President Obama requested yet another meeting of Senate energy/climate principles and moderates from both parties. The discussion will take place today, and the guest list includes Sens. John Kerry, Joe Lieberman, Richard Lugar, Judd Gregg, Susan Collins, Sherrod Brown and Lisa Murkowski, according to a survey of offices by Energy & Environment Daily.

Meanwhile, the clock is ticking, and elections are nearing. The punditry seems to be in consensus that the prognosis for cap-and-trade is dire, although there has been some discussion about a sinister back door strategy, by which the Senate would pass bare-bones energy bill, sans an energy tax, and then leadership would insert a cap-and-trade into the bill that is reconciled with the American Energy and Security Act, the climate legislation that the House passed last June. Evidently, proponents of this strategy are banking on the reconciliation conference to take place during the lame duck session after upcoming elections, a time when some Members of Congress would have nothing to lose, because they would have already lost.

**Update: 8:20 A.M. E&E Daily’s lede story this morning reports that President Obama has postponed the climate meeting, due to the ongoing imbroglio over the Afghan general who put his foot in his mouth. Fortunately, there’s not much further down the road the majority can kick this can, before the clock runs out on the legislative calendar.

Hosts Richard Morrison and Jeremy Lott welcome guest William Yeatman to Episode 94 of the LibertyWeek podcast. We examine Chris Horner’s recent freedom of information requests to the University of Virginia, over key Climategate figure Michael Mann. Segment starts approximately 5 minutes in.

After 7 months of negotiations, Senators John Kerry and Joseph Lieberman last week unveiled a major climate bill to a chorus of…silence. On the day after the rollout, the American Power Act failed to make the front page of a single paper with a national scope. The Sunday political talkies also ignored the bill. I didn’t hear a single mention of the American Power Act on Fox News Sunday, ABC’s This Week, NBC’s Meet the Press, the McLaughlin Group, or the Chris Matthews Show.

What gives? The mainstream media LOVES global warming as an issue, because it’s divisive and it’s yellow. So why would they ignore it? The only explanation I can think of is that the media believes the bill is dead. My only evidence is anecdotal. Last Thursday I did a taped interview with a very pro-cap-and-trade reporter from Al Jezeera, and the first thing out of his mouth was, “So this bill is dead, right?” I’m not so sanguine, because I once thought the same thing about health care “reform.” Nonetheless, the media’s evident apathy is curious.

The chance that the Senate will pass a comprehensive energy-rationing (a k a climate) bill this year remains close to zero.  BP’s big oil spill in the Gulf changes very little.

The global warming movement peaked last June 26 when the House passed the Waxman-Markey bill.  When members went home for the Fourth of July, many who voted for it discovered that their constituents were angry and mobilized.

Seeing the public reaction, Senator Majority Leader Harry Reid (D-Nev.) dropped plans to move a cap-and-trade bill before the August recess and turned to health care reform.  It’s been all downhill since then.

The Kerry-Boxer bill, which is very similar to Waxman-Markey, passed the Environment and Public Works Committee last fall, but it was clear that it couldn’t get 51 votes, let alone 60, on the floor.  That’s when Senator John Kerry (D-Mass.) began working on a “middle-of-the-road” package with Senators Lindsey Graham (R-SC) and Joseph Lieberman (I-Conn.).

Even if he does finally release a draft of the measure this week, it’s still not going anywhere.  Whether Graham is on board doesn’t matter because he doesn’t bring any other Republicans with him.

Kerry’s draft has restricted cap-and trade to electric utilities only.  And he’s stopped calling it cap-and-trade because the American people have figured out that it is an indirect tax on them.  Now it’s “pollution reduction and investment.”  Similarly, a gasoline tax has been renamed “linked fee.”  Call it whatever you want, it’s still a tax that consumers will have to pay.  Adding some offshore oil or nuclear incentives or clean coal research can’t hide the fact that prices will go up when energy is rationed.

What’s become increasingly apparent is that this legislation no longer has much to do with reducing greenhouse gas emissions.  It’s a monstrous collection of payoffs to big business special interests, ranging from Goldman Sachs to Duke Energy to General Electric.

(This piece originally appeared on the New York Times’s Room for Debate web site. )

In the Politico today, there’s a story about how the Natural Resources Defense Council is advising the White House Correspondents’ Association on how to “go green” with their annual dinner. They seem to be taking this very seriously:

Every two weeks, the greening team — including [NRDC senior scientist Allen] Hershkowitz and representatives from the Hilton — held a conference call to make sure every procurement decision and operation at the event would be as green as possible.

The story goes on to explain that they will be offsetting all of the energy use associated with the dinner – including the private jet to fly host Jay Leno out from L.A. and back. With advice from the Portland-based nonprofit the Bonneville Environmental Foundation, they’ve purchased an undisclosed amount of carbon credits. According to Politico‘s Lisa Lerer, “Credits purchased for the dinner will help fund the Tatanka Wind Farm on the North Dakota-South Dakota border.”

So far, so good. Except that the Tatanka Wind Farm is already up and running – it went online in July of 2008. The project’s $381 million budget was financed by GE Energy Financial Services and Wachovia. And it’s operated by Acciona Energy, a multi-billion dollar Spanish conglomerate with 40,000 employees and operations in 30 countries.

So, my question is, who is getting the White House Correspondents’ Association’s money? The shareholders of Acciona? GE and Wachovia (now Wells Fargo)? It’s one thing for carbon offset money to, for example, fund a nonprofit organization in the developing world to manage a reforestation project, but how does it make any sense to pay money to a Spanish corporation for operating a wind farm that’s already been privately financed and has been producing energy for almost two years? Am I missing something here?