May 2008

From NewsBusters.org

Some more pieces of the "How Al Gore is Going to Become Amazingly Wealthy by Selling Climate Hysteria" puzzle came together Friday when the Silicon Valley venture capital firm he's now a part of announced a $500 million investment in green technologies.

Making matters more delicious, the firm already has investments in many of the same companies Gore admitted in March he has a stake in.

To begin untangling this web, let's first take a gander at what was reported Friday by the San Francisco Chronicle (emphasis added):

Kleiner Perkins Caufield & Byers said Thursday it will invest $500 million in green technology companies that have passed their earliest stages of growth and are maturing.

The venture capital firm also will invest in green-tech startup companies as part of another investment fund it introduced Thursday, which will invest $700 million over the next three years in startups.

For those that have forgotten, this is the same VC group Gore joined last November as reported by NewsBusters.

Here's where the plot thickens. The KPCB website identified the following companies this group has already invested in: Altarock Energy Inc, Altra Biofuels, Amyris Biotechnologies, Ausra, Bloom Energy, GreatPoint Energy, Mascoma Corporation, and Miasole.

Sound familiar? Well, they should, as these are some of the same companies Gore highlighted in his speech to the TED conference in Monterey, California, which NewsBusters reported on April 11:

There are a lot of great investments you can make. If you are investing in tar sands, or shale oil, then you have a portfolio that is crammed with sub-prime carbon assets. And it is based on an old model. Junkies find veins in their toes when the ones in their arms and their legs collapse. Developing tar sands and coal shale is the equivalent. Here are just a few of the investments I personally think make sense. I have a stake in these so I’ll have a disclaimer there. But geo-thermal concentrating solar, advanced photovoltaics, efficiency, and conservation.

As Gore spoke these words, pictures of electric cars, windmills and solar panels appeared in multiple slides on the screen with company names at the bottom such as Amyris (biofuels), Altra (biofuels), Bloom Energy (solid oxide fuel cells), Mascoma (cellulosic biofuels), GreatPoint Energy (catalytic gasification), Miasole (solar cells), Ausra (utility scale solar panels), GEM (battery operated cars), Smart (electric cars), and AltaRock Energy (geothermal power).

Starting to make some sense? Gore and this VC firm invest in the same companies, all which will benefit from the enactment of legislation requiring industry to reduce carbon dioxide emissions, and then they travel the world lobbying governments to do exactly that.

Untangling the web further, one of the key partners at KPCB, legendary moneyman John Doerr, also spoke at the TED conference in March, and as can be seen in this video, bragged about how he and seven of his colleagues lobbied legislators in California for the passage of AB 32, The Global Warming Solutions Act of 2006.

As Doerr proudly exclaimed, this made California "the first state in this country to mandate 25 percent reduction of greenhouse gases by 2020."

Later, Doerr told the audience something that should answer everybody's questions concerning what all this climate hysteria is about:

We've got to make this economic so that all people and all nations make the right outcome, the right profitable outcome, and, therefore, the likely outcome. Energy's a $6 trillion business worldwide. It is the mother of all markets. You remember that Internet? Well, I'll tell you what: green technologies, going green is bigger than the Internet. It could be the biggest economic opportunity of the 21st century.

Things becoming clearer?

Let's understand something, folks: this man and this VC firm made billions off of the dot-com boom of the '90s. Now, they're all over this green technology investment scheme.

However, unlike the Internet, their success lies first in scaring the heck of people, and then getting governments — like mine here in California — to buy into this nonsense, and enact legislation which will require businesses to purchase products from companies they already own.

Without such legislation, this entire investment scheme collapses just as dot-com stocks did from March 2000 through March 2003.

This raises some interesting questions. After all, in the past couple of weeks, NewsBusters has reported many media outlets beginning to recognize the folly of biofuels, and how they are adding to the international food crisis.

As Gore and KPCB have invested large amounts of money in biofuel companies, when will press members make this connection, and start informing the public of this really inconvenient truth?

—Noel Sheppard is an economist, business owner, and Associate Editor of NewsBusters.

Snooze button

by Julie Walsh on May 2, 2008

Apparently the spin du jour on the Nature paper referenced serially, below, is that “Nature” – the Mother, not the magazine – “has given Earth a break” for (surprise!) “the next ten years” (what is it with these people and the number 10?).

 

So Al Gore’s Doomsday Clock has a snooze button. Who knew?

Driving around today I wondered how bad the traffic would be if humans had increased their population since 1950 nearly fivefold — as has happened over that span with the apparently soon-to-be-declared "endangered" polar bear — instead of the mere sub-threefold we've experienced.

I'm just saying. One man's population bomb, explosion, epidemic, etc. is another's threat of extinction, harkening back to P.J. O'Rourke's distillation of the population nags' philosophy as "just enough of them, way too many of you and me."

Paul Chesser, Climate Strategies Watch

In North Carolina, where the John Locke Foundation (my former employer) has endeavored to expose the influence of the Center for Climate Strategies upon the state's Climate Action Plan Advisory Group, an outside group enlisted by CCS has seriously backpedaled on ludicrous claims of great economic benefits that would result from CAPAG's recommendations. My Locke colleague Roy Cordato explains:

“Six months ago, the (Appalachian State University) Energy Center trumpeted its claims that policies to cut carbon dioxide emissions in North Carolina would add more than 325,000 jobs and $20 billion to the state’s economy by 2020,” said Dr. Roy Cordato, JLF Vice President for Research and Resident Scholar. “Now the same ASU team has snuck out a new report that drops that estimate to 32,000 jobs and $2.2 billion in gross state product.”

“That’s not just a rounding error,” Cordato added. “That’s a major mistake that should call into question the researchers’ competence. No serious scholar would put out research that makes a mistake that large.”

Of course, it was the earliest boast (see "Ponder presentation") that got the greater attention of the local media, while the new, revised figures ("Ponder presentation" again) were ignored.

That CCS contracted out to the Energy Center in the first place was a recognition that they had to shore up their credibility on the economics claims they were making. Only who did they get to do the research? A fellow named David Ponder, who is a graduate assistant in the Department of Political Science at Appalachian State. Further evidence of CCS's embarrassment over economic ignorance is that they have overhauled their personnel page on their Web site to emphasize economics credentials. Amusingly updated on executive director Tom Peterson's bio are these new inclusions:

He holds a B.S. in Biology with a concentration in Economics from the College of William and Mary…

He also has a Master's degree in Environmental Management with a concentration in Natural Resource Economics and Policy from Duke University…

Meanwhile, the Beacon Hill Institute (well-qualified economists all) has produced its own analysis of CAPAG's recommendations, and not surprisingly they arrive at far different conclusions from the poli-sci grad student:

“By 2011, the state would shed more than 33,000 jobs,” according to the report from the Beacon Hill Institute, the research arm of the economics department at Boston’s Suffolk University. “Annual investment would drop by about $502.4 million, real disposable income by more than $2.2 billion, and real state Gross Domestic Product by about $4.5 billion.”

“The negative economic effects would spill over into state and local tax collections,” the report adds. “We estimate a loss of $184.6 million in revenues in 2011.”

So now the question for everyone concerned is, who do you believe?

 

Paul Chesser, Climate Strategies Watch

A new clearing house Web site on global warming skepticism is up, called The Chilling Effect, and along with its sister site Gored Earth, says it will produce a new political cartoon that addresses the issue every week. The first two look very promising.

It is, we are told, as inevitable and inexorable as night follows day that, as the amount of carbon dioxide in the atmosphere goes up, so too does the temperature of the world. Inconveniently for this axiomatic truth, however, while carbon dioxide has continued to increase the temperature of the planet has stayed flat over the past decade and even recently dropped like a stone. Never mind: man-made global warming turns out to be the most obliging of theories because now we are told that this inexorable process of heating is now to take a ten-year pause.

More than seven in 10 voters insist that they would not be willing to pay higher taxes in order to fund projects to combat climate change, according to a new poll.

A new study indicates alarmist concern and a need to explain away the lack of actual global warming. Researchers belonging to the U.N. Intergovernmental Panel on Climate Change, or IPCC, reported in Nature (May 1) that after adjusting their climate model to reflect actual sea surface temperatures of the last 50 years, "global surface temperature may not increase over the next decade, as natural climate variations … temporarily offset the projected anthropogenic warming."

Paul Chesser, Climate Strategies Watch

I just spent two days in Detroit and Lansing talking about the fairly new Michigan Climate Action Council, where I was hosted by the free-market Mackinac Center for Public Policy. As usual the local mainstream media showed little interest, but I did get some coverage by the state's (subscription only) political news service, Gongwer ("Group Charges Climate Panel Rigged"):

Michigan, and other states, have hired the Center for Climate Strategies to assist state climate councils in determining how best the state can respond to global warming issues. But what they are getting is a pre-packaged set of recommendations that have no proof of effectiveness, Paul Chesser of Climate Strategies Watch told those gathered Tuesday for a luncheon hosted by the Mackinac Center for Public Policy.

State officials said the Michigan council is developing its own plan based on Michigan findings and needs, not being served a pre-determined set of recommendations.

Compare that to what the MCAC process memo — basically the ground rules — say about the commission's procedures and sources of recommendations:

The MCAC process will follow the format of CCS policy development processes used successfully in a number current and completed state-level climate action planning initiatives. To facilitate learning, collaboration, and task completion by the MCAC members, CCS will provide a series of decision templates for each step in the process, including: a catalog of state actions with ranking criteria, a balloting form for identification of initial priorities for analysis, a draft policy option template for the drafting and analysis of individual recommendations, a quantification principles and guidelines document for each TWG, and a final report format. CCS will also provide meeting materials for each MCAC meeting and TWG teleconference call, including: a PowerPoint presentation of the discussion items, an agenda and notice of the meeting, a draft summary of the previous meeting for review and approval, and additional handouts as needed. Materials will be provided by CCS in advance through website posting and email notice with a goal of seven-days advance notice. CCS will provide and manage a project website (www.miclimatechange.us) in close coordination with the DEQ. All website materials are reviewed by the DEQ prior to posting. Examples of CCS project websites can be found at www.climatestrategies.us.

But other than that, Michigan is unique! More from the Gongwer report:

Mr. Chesser argued the state climate councils, such as the Michigan Climate Action Council, should be open to discussions of the science supporting global warming findings as well as policies to address it. But he said CCS-run councils do not allow such discussions.

DEQ spokesperson Robert McCann admitted the Climate Action Council was not discussing the reality or causes of global warming. "They're starting point is what science is telling us," he said. "There's really is no scientific debate at this point."

That's because the alarmists are afraid to debate!

But Mr. McCann said the council is not being led to pre-determined recommendations that CCS may have offered in other states. "That's certainly not how it's working here," he said. "They are really taking an open book look at what's happening here."

And CCS is the author.

Mr. McCann argued the recommendations expected from the Climate Action Council will not only help to improve the state's environment, but will also help to improve its economy by creating incentives for alternative energy and energy efficiency. "They'll help us protect the environment and carve a path to those next alternative energy jobs," he said.

There they go again

Some locals are not thrilled.

 

Paul Chesser, Climate Strategies Watch

This morning Massachusetts Gov. Deval Patrick, speaking at a meeting held by the Greater Boston Chamber of Commerce, repeated the oft-heard mantra (Colorado Gov. Bill Ritter claims his government will create a New Energy Economyhis capitalization!) that going green (and halting new coal-fired power plants) will create jobs and grow the economy:

“If Massachusetts gets clean energy right, the world would be our customer,” Patrick said at a packed breakfast sponsored by the Greater Boston Chamber of Commerce….

“Massachusetts has what it takes to lead a clean energy economy,” he said, “because in the age of clean energy, power will come not from fossil fuels but from technology, innovation and skill.

“Those are resources we have in abundance – and they are infinitely renewable,” he said….

Energy efficiency, he said, is “the cleanest energy of all, and the ultimate defense against rising energy prices.”

An impressive discovery, and I hope Gov. Patrick lets everyone else in on the Massachusetts secret. You no longer need raw material to burn, blow or flow to generate power — you simply need brain power (waves?) and reduced usage to keep yourself warm in the winter and to transport yourself long distances. Amazing!