Cooler Heads Digest

Announcements

This week the American Energy Alliance launched a four week American energy bus tour to build public awareness of what cap-and-trade is, how it works, and the extent to which it’s capable of inflicting serious damage to the American economy. Click here to learn more.

Freedom Action is a new political advocacy organization that aims to create a gathering of grassroots free market activists that will make their voices heard above special interests and big government advocates. Freedom Action’s first project is to Stop Al Gore’s Electricity Tax, and can be found here.

Americans For Prosperity is hosting grassroots demonstrations against cap-and-trade energy rationing in cities across the country. Learn more about the Hot Air Tour by clicking here.

The Center for Data Analysis (CDA) at the Heritage Foundation last week published state-by-state analysis of what the American Clean Energy and Security Act would cost consumers. Click here to find out how much cap-and-trade would raise energy prices in your state.

In the News

Carbongate
Investor’s Business Daily, 28 August 2009

Greens Threaten Native American Prosperity
William Yeatman & Jeremy Lott, Washington Examiner, 28 August 2009

Why the Electric Industry Supports Energy Rationing
Robert Peltier, MasterResource.org, 27 August 2009

Biofuels Are Going Bust
Ann Davis & Russell Gold, Wall Street Journal, 27 August 2009

GE’s Climate Scam
Timothy Carney, Washington Examiner, 26 August 2009

Carbon Baron Gore
Lawrence Solomon, Financial Post, 26 August 2009

EPA Looking To Shut Down Whistleblower’s Office
Gary Howard, GlobalWarming.org, 26 August 2009

Spiking the Road to Copenhagen
Deepak Lal, Business Standard, 25 August 2009

Counting the Costs
Paul Chesser, American Spectator, 25 August 2009

The Cap-and-Trade Bait and Switch
David Schoenbrod & Richard Stewart, Wall Street Journal, 24 August 2009

12 Facts about Global Warming That You Won’t See in the Mainstream Media
Joseph D’Aleo, Energy Tribune, 18 August 2009

Energy Workers Rally against Climate Plan
Tom Fowler, Houston Chronicle, 18 August 2009

5 Things Congress and the President Are Doing to Keep Gas Prices High
Ben Lieberman, Heritage Webmemo, 13 August 2009

News You Can Use

UN Exaggerates Global Warming 6 Fold

The UN has exaggerated global warming 6-fold, according to a recent peer-reviewed paper by Professor Richard Lindzen of the Massachusetts Institute of Technology.

The Science and Public Policy Institute has reprinted this important new study, which is available here.

Inside the Beltway

Climate Science on Trial

The U.S. Chamber of Commerce this week threatened the Environmental Protection Agency with a lawsuit unless the EPA publicly defends the science it used to conclude last April that carbon dioxide “endangers” health and human welfare.

An “endangerment” ruling might sound like harmless bureaucratese, but it’s actually a clear and present danger to all Americans, because it would tripwire provisions of the Clean Air Act that would send the U.S. economy back to the Stone Age (to learn more about the possibility of this regulatory nightmare, click here).

Despite the far-reaching economic consequences of an “endangerment” ruling, there was virtually no transparency in the EPA’s decision-making process. Earlier this summer, the Competitive Enterprise Institute uncovered evidence that the EPA actually suppressed a dissenting voice from a career official for political reasons. In light of these troubling procedures and tactics, the EPA should grant the Chamber’s request, and put alarmist climate science on trial.

A Crestfallen Greenpeace Activist

Julie Walsh

I recently spoke to a pro-climate bill kid on the street. He had all of Greenpeace’s talking points down-climate refugees, wind and solar’s future, the European heat wave, etc-which I easily refuted.  When he came to Exxon’s past support of climate realists, he looked truly heartbroken when I told him that Exxon now supports Nature Conservancy and Conservation Fund. Using the alarmists’ logic, if we were shills then, they’re the shills now.

And I went on to explain how that, according to the draft, the current energy-rationing bill was “modeled closely” on the recommendations of big corporations-GE, Shell, Duke Energy, etc. I think I may have ruined his day.

This is why Poland’s new proposition cuts to the true motives of the Big Money behind this scheme: Poland may ban utilities from selling European Union carbon emissions permits many of them will get for free from 2013. No more windfall profits.

Announcements

The Competitive Enterprise Institute this week unveiled a new video campaign-Al Gore, 1984. The web page links to a joint CEI-National Taxpayers Union project that allows you to email your Member of Congress about the Waxman-Markey energy-rationing bill.

In the News

Indiana Says “No Thanks” to a Cap-and-Trade
Governor Mitch Daniels, Wall Street Journal, 15 May 2009

Air Traffic Control Reform: Good for Planet, Bad for Bureaucrats
Iain Murray, DC Examiner, 15 May 2009

Global Warming Bill Is a Pork-Fest
Tim Carney, DC Examiner, 15 May 2009

The New Energy Economy
Marlo Lewis, MasterResource.org, 15 May 2009

What If Global Warming Fears Are Overblown?
John Birger, Forbes, 14 May 2009

Give the Skeptics a Voice
Dr. William Porter, Atlanta Journal Constitution, 14 May 2009

The Deep Ecologists
Peter Hannaford, American Spectator, 13 May 2009

Obama’s Anti-Energy Plan
Barry Russell, DC Examiner, 13 May 2009

Marx in a Pony Tail (video)
Chris Horner, Fox News, 12 May 2009

Is Copenhagen Already Dead?
Terrence Corcoran, National Post, 12 May 2009

Expose Cap-and-Trade Costs
Jason Chaffetz, Washington Times, 12 May 2009

Sending Us Back to 1875
U.S. Rep Joe Barton, Washington Times, 10 May 2009

News You Can Use

Is the Temperature Record Reliable?

Anthony Watts and a team of volunteers examined 850 stations used by the National Weather Service to calculate America’s temperature, and found that 89 percent of them fail to meet the National Weather Service’s own siting requirements that stations must be 30 meters or more away from an artificial heating or reflecting source.

Eco-Irony

According to the Daily Telegraph, a team researching the effects of global warming on the Arctic had to call off a trek to the North Pole well short of its destination due to the extreme cold.

Inside the Beltway

Myron Ebell

Waxman Buys Support for Expensive Energy Bill

It took a lot of concessions to moderate Democrats, but House Energy and Commerce Committee Chairman Henry Waxman (D-Beverly Hills) announced this week that he will have enough votes to pass the Waxman-Markey energy rationing bill out of committee next week. It appears that every Republican, with the possible exception of Rep. Mary Bono Mack (R-Calif.), will vote against the bill. With 36 Democrats and 23 Republicans on the committee, that means that Waxman can lose no more than seven Democrats out of the group of around eighteen Democrats that represent districts that produce oil or coal or have significant energy-intensive manufacturing.

The 932 page text of the new bill has just been released as I write this, so I haven’t had a chance to look at it. However, a memo did become public today that summarizes most of the deals that Waxman has made. Electric utilities will be given 35% of the ration coupons, which will be phased out from 2026 to 2030. Natural gas distributors will get 9% of the ration coupons, which will also be phased out from 2026 to 2030. These free ration coupons must be used to protect consumers from rate increases.

Fifteen percent of the ration coupons will be auctioned every year and the proceeds will be distributed to low and moderate income people “to protect them from other energy cost increases.” Fifteen percent of the ration coupons will be given to energy-intensive industries that are subject to foreign competition. These can be phased out in 2025 unless the President decides otherwise. Oil refineries will be given 2% of the ration coupons beginning in 2014 and ending in 2026. There is a long list of other recipients of free ration coupons: to pay for carbon sequestration, to offset heating oil and propane costs, investments in automobile technology, research and development, preventing tropical deforestation, domestic adaptation, international adaptation, clean technology transfer, and worker assistance and job training.

What’s left? Very little, but the proceeds of whatever remaining ration coupons are auctioned will be used to ensure budget neutrality and for “consumer protection.” So nearly all the changes that have been made to the initial draft are designed to protect consumers or special interests from the consequences of the bill-namely, higher energy prices. One might wonder, if the bill does actually produce emissions reductions, then who’s going to being paying for the higher energy prices?

Even before these details were released, the Edison Electric Institute, which represents investor-owned utilities, announced that they would support the bill. On the other side, Greenpeace USA, Friends of the Earth, and Public Citizen announced that they are likely to oppose the bill because it’s all about rewarding special interests and not about reducing greenhouse gas emissions. I wouldn’t be surprised if the Sierra Club comes out against it as well. The environmental pressure groups that are fronts for big business-Pew Center on Global Climate Change, Environmental Defense Fund, and Natural Resources Defense Council-are of course supporting it.

Committee mark-up is scheduled to begin on Monday at 1 PM. It will probably take most of the week. The bill that is released today or Saturday may not actually be the vehicle.  It has been rumored that Waxman will come to the mark-up with a revised version as he continues to make deals over the weekend and his committee staffers continue to try to perfect the technical details.  The Republicans, led by ranking member Joe Barton (R-Tex.), have made up a list of around two hundred amendments and are threatening to demand recorded votes on amendment after amendment.  It has been rumored that part of the deal Waxman has made with moderate Democrats is that they will vote against all Republican amendments.

It has also been rumored that Waxman has refused to take out the citizen lawsuit provision. As long as citizen lawsuits are in the bill, the other details don’t matter.  Environmental pressure groups will be able to file suits in federal courts to block any new facility that produces energy or uses energy. Even windmills and solar panels take a lot of energy to fabricate, and much of that comes from coal-fired power plants.

As I look at the eighteen moderate Democrats on the committee, I think the breakdown is roughly as follows.

Yes-signed on: Dingell (Mich.-15th district), Boucher (Va.-9), Gordon (Tenn.-6), Stupak (Mich.-1), DeGette (Colo.-1), Doyle (Penna.-14), Hill (Ind.-9), Space (Ohio-18), and Sutton (Ohio-13).

No-or not yet signed on: Rush (Ill.-1), Engel (NY-17), Green (Tex.-29), Gonzalez (Tex.-20), Ross (Ark.-4), Matheson (Utah-2), Butterfield (NC-1), Melancon (La.-3), and Barrow (Ga.-12).

Around the World

Green Corruption in the UK

The Times this week reported that Elliot Morley, the chairman of the House of Commons energy and climate change select committee, claimed more than $24,000 of taxpayers’ money for a mortgage he had already paid off. Lawyers said last night that the claim could amount to fraud. The scandal is growing rapidly.

Krugman Is Wrong on Carbon Tariff

The New York Times’s Paul Krugman today endorsed a carbon tariff-a tax on the carbon footprint of Chinese imports- because “like it or not, China will have to do its part” to fight global warming. Krugman, however, ignores the consequences of his preferred climate “solution” –namely, an economically ruinous trade war. Already, the Chinese have warned that retaliation is likely if the U.S. were to adopt carbon tariffs. Under such a scenario, American manufacturers, in addition to expensive energy climate policies at home, would be threatened by diminished markets abroad.

In the News

The Real Danger of Global Warming
Vaclav Klaus, RealClearWorld.com, 1 May 2009

Obama’s Plan “Necessarily” Skyrockets Energy Bills
Paul Chesser, DC Examiner, 1 May 2009

Back to the Good Old Days
Paul Driessen, GlobalWarming.org, 1 May 2009

CO2 Fantasy
Deroy Murdock, Indianapolis Star, 30 April 2009

Make Believe World of Cap-and-Trade
Vincent Carroll, Denver Post, 29 April 2009

Al Gore Is Wrong on Arctic Ice
Kenneth P. Green, MasterResource.org, 30 April 2009

A Primer for Deniers
Lawrence Solomon, Financial Post, 30 April 2009

Chevy Volt Not Ready To Roll
Charles Lane, Washington Post, 29 April 2009

Al Gore’s Morals vs. Your Pocketbook
Morning Bell, Heritage.org, 27 April 2009

News You Can Use

  • Sea ice around Antarctica has been increasing at a rate of 100,000 sq km a decade since the 1970s, according to a new study by the British Antarctic Survey, published in the journal Geophysical Research Letters (reported in The Australian).
  • A new Zogby Poll shows that 57% of Americans oppose cap-and-trade schemes.
  • Charles River Associates released a study this week estimating that President Barack Obama’s cap-and-trade scheme would kill 1.9 million jobs by 2020.

Inside the Beltway

Myron Ebell

Waxman-Markey Update

After cancelling this week’s scheduled subcommittee mark-up, Representatives Henry Waxman (D-Beverly Hills) and Edward Markey (D-Mass.) have spent the week trying to gain enough support to pass their energy rationing bill out of committee. Very few details have emerged from these backroom sessions, and so it is not clear that Energy and Commerce Committee Chairman Waxman and Energy and the Environment Subcommittee Chairman Markey have yet made enough concessions to win over Democrats representing districts that produce oil or coal, rely on coal for electricity, or have energy-intensive manufacturing. These Democrats are: Mike Ross (Ark.), Gene Green (Tex.), Charles Melancon (La.), Mike Doyle (Penna.), Rick Boucher (Va.), Bart Stupak (Mich.), John Barrow (Ga.), Bart Gordon (Tenn.), Jim Matheson (Utah), G. K. Butterfield (NC), Baron Hill (Ind.), and Zack Space (Ohio). Thus whether the committee holds a mark-up next week is still up in the air as I write this.

Highlights from Hearings

In the meantime, I have been thumbing through the transcripts of last week’s three long days of hearings on the Waxman-Markey draft bill. The highlights would fill many pages. Let me just mention a few.

The panel of witnesses representing the U. S. Climate Action Partnership, a big business special interest coalition of companies that wrote the cap-and trade title of the bill, naturally all testified in favor of the Waxman-Markey bill.  However, they were asked by Representative Joe Barton (R-Tex.), the ranking Republican on the Committee, whether they would support the cap-and-trade program if all the ration coupons were auctioned rather than given away free to them. No, sorry, they would then have to oppose the bill. From which I conclude that global warming is a crisis as long as you think you can get rich off it.

Former Vice President Al Gore was the star witness of the hearings, but former House Speaker Newt Gingrich stole the show.  I am far from being a fan of Gingrich, but he did a great job attacking the premises of the bill.  Gingrich was a fill-in witness after Chairman Waxman refused the Republicans’ request to invite Christopher, Viscount Monckton to testify.

Gore’s testimony was much less impressive.  He is still making scientific claims that are not supported or have been discredited in the scientific literature.  He also claimed that it is possible to remake America’s energy sector even more quickly than the targets in the bill, but doesn’t see that the first obstacle to doing this is the regulatory structure that can delay building new transmission lines, wind farms, etc. for decades.  And while the doomsday clock is running, he still wants to think about nuclear power as something we should consider.

In reply to a question from Representative Marsha Blackburn (D-Tenn.), Gore assured the Committee that every penny he had earned from his investments in renewable energy and from his movie and book had been donated to his non-profit group, the Alliance for Climate Protection.  He did not mention that his tax deductible donations to the Alliance for Climate Protection are being used to promote policies that would increase the value of his investments.  Nor did he promise that all future pennies earned would also be donated to some worthy cause.  That’s the real point.  The real profits from investments in renewable will come if energy-rationing legislation is enacted.  So Al could still be set to make hundreds of millions, perhaps even billions, of dollars for himself and his partners at Generation Investment Management and Kleiner Perkins.

Renewables Can’t Compete

Julie Walsh

The Energy Information Agency sent us their calculations for the levelized costs of different power sources in 2016, minus any incentives, under an adjustment that simulates a $15 per ton CO2 emissions fee. (rounded)

Natural gas advanced combined cycle: 8 ¢/kwh
Conventional coal: 9.3 ¢/kwh
Advanced nuclear: 10.5 ¢/kwh
Biomass: 11.3 ¢/kwh
Wind: 11.6 ¢/kwh
Advanced coal with carbon capture and sequestration: 11.5 ¢/kwh
Offshore wind: 22.5 ¢/kwh
Solar thermal: 25.8 ¢/kwh

Therefore the “rush to gas” fears are justified and renewables would still require massive subsidies.

(Email Julie Walsh at jwalsh@cei.org for EIA’s excel spread sheet calculations and notes. Source:  Energy Information Administration, Annual Energy Outlook, 2009 DOE/EIA-0383(2009).)

Across the States

EPA Revokes Permit for Navajo Power Plant

Last week the Environmental Protection Agency withdrew an air quality permit for a proposed coal fired power plant in the Four Corners administered by the Navajo Nation. The EPA reasoned that “complete analysis” had not yet been performed when it issued the permit last summer. Navajo Nation President Joe Shirley said in a statement the decision was further proof that the U.S. government isn’t “honest and truthful in its dealings with Native America.”

California

On Monday, the California Air Resources Board approved a Low Carbon Fuel Standard that requires the State’s fuel supply to achieve a 10% reduction in “carbon intensity” by 2020. CARB’s Mary Nichols said that the measure will break California’s petroleum habit, but Severin Borenstein, director of the Energy Institute at the University of California, Berkeley, told the Miami Herald that there’s no certainty alternative fuels will be ready to meet the demand.

Maryland

The DC Examiner reports this week that Montgomery County (Maryland) officials want to scale back some of the county’s ambitious efforts to reduce greenhouse gas emissions in order to help bridge a budget gap of more than $550 million.

Around the World

Canadian Emissions Increase

Canada’s greenhouse gas emissions jumped 4% from 2006 to 2007, according to Environment Canada. Since it signed the Kyoto Protocol, Canada’s emissions have increased every year for which there is data available.

Green Jobs for China

Lewis Page of the Register reports that international wind-turbine maker Vestas announced it will lay-off 600 employees in the United Kingdom. The day after that decision, the company announced new investments to expand existing Chinese plants, which likely are powered by coal.

Corrections

The article last week entitled “Arctic Ice Recovers” should have been titled “Arctic Ice Recovering.” Also, the graph that best show the Arctic ice increasing since the low in 2007 referred to (here) is from “The Cryosphere Today,” run by the Polar Research Group in the Department of Atmospheric Science, University of Illinois at Urbana-Champaign.

In the News

Global Warming Overreach
Kimberley Strassel, Wall Street Journal, 24 April 2009

Reckless Endangerment
Wall Street Journal, 24 April 2009

It’s Not Easy Being Green
W. James Antle III, American Spectator, 24 April 2009

The Biggest Tax Increase in History?
Myron Ebell, FoxNews.com, 23 April 2009

On Global Warming, Politics Trumps Science
Anthony J. Sadar & Susan T. Cammarata, Washington Times, 22 April 2009

Exploding Myths on Energy and the Environment
Drew Thornley, DC Examiner, 22 April 2009

Getting a Rise out of Us
Chris Horner, Washington Times, 21 April 2009

EPA’s Endangerment Finding: Legislative Hammer? Or Suicide Note?
Marlo Lewis, DC Examiner, 21 April 2009

The Unbearable Lightness of Wind
William Tucker, American Spectator, 21 April 2009

Global Warming Will Not Make Humans Worse Off
Indur Goklany, MasterResource.org, 20 April 2009

Consider the Costs of Environmental Edicts
Orange County Register, 20 April 2009

News You Can Use

The Cost of Cap-and-Trade

Global warming alarmists recently criticized Republicans for incorrectly citing a Massachusetts Institute of Technology study that estimated a cap-and-trade energy rationing scheme would cost the average American household $3,100 a year. The alarmists were right-according to the Weekly Standard’s John McCormack, the actual cost suggested by the MIT study is $3,900 per year per American household.

Inside the Beltway

Myron Ebell

Three Days of Climate Hearings

The big news in Washington this week has been the three days of hearings on the Waxman-Markey draft energy rationing bill. Beginning on Wednesday morning with EPA Administrator Lisa M. Jackson, Energy Secretary Steven Chu, and Transportation Secretary Ray LaHood, the House Energy and Commerce Committee will have heard from more than sixty witnesses by the time they finish on Friday evening. Jackson, Chu, and LaHood didn’t say much of interest, but their panel was very revealing in two respects. First, the committee no longer has a lot of members who know a lot about energy or basic economics. There are still some Republicans who do, but the Democrat are a sorry bunch, led by Rep. Jay Inslee (D-Wash.), who makes Al Gore look moderately well informed.

Second, Jackson, Chu, and LaHood are enthusiastic about the bill and looking forward to learning more about it. In response to a question from Rep. Greg Walden (R-Oreg.), who represents my native eastern Oregon, they all admitted that they hadn’t read the bill, but assured the committee that they had staffers who had read it. As became apparent, most committee members haven’t read the draft either, and who can blame them? It’s 648 pages long, highly technical, and tedious. All three administration witnesses described it as a bill that was about creating jobs, reducing our dependence on foreign oil, and helping the economy, although they couldn’t explain how. Nor did they say much about global warming.

Rep. John Dingell (D-Mich.), former Chairman of the Committee, asked Jackson how many regulations would be required to regulate greenhouse gas emissions under the Clean Air Act as a result of Jackson’s 16th April endangerment finding. She couldn’t answer, but Dingell said his rough count was 106 separate regulations. Dingell also mentioned that he never had any intention to regulate carbon dioxide emissions when he wrote the Clean Air Act and subsequent amendments.

The highlight for me was Rep. Joe Barton’s question to Dr. Chu about where all the oil in Alaska and the Arctic came from. Chu fumbled a little and then settled on movement of the tectonic plates. Sec. Chu: “There are, there’s continental plates that have been drifting around throughout the geological ages.” Rep. Barton: “So it just drifted up there?”  Sec. Chu: “Ah, that’s certainly what happened.”

I guess Dr. Chu never took geology in high school, but he spoke with the authority of a Nobel Prize winner.

The second panel consisted of members of the U. S. Climate Action Partnership.  They all support the legislation, as they should since the cap-and-trade title was written by USCAP. There’s one main condition: all the ration coupons have to be given to them for free, not auctioned. I testified on the next panel, which remarkably consisted of four witnesses requested by the minority Republicans and only three by the majority Democrats.  My written testimony is here. Also, here are the written statements of David Kreutzer of the Heritage Foundation, Paul Cicio of the Industrial Energy Consumers of America, and Steve Hayward of the American Enterprise Institute.  But the testimony that did the most damage to Waxman-Markey was surprisingly provided by Dr. Nathaniel Keohane of the Environmental Defense Fund. He brought up the EPA modeling of the costs of Waxman-Markey. EPA found that cutting emissions by 80% by 2050 will be almost free-or as Keohane put it, only 13 cents a day per person. The six or seven Republican Members were smiling as they listened to Keohane go on and on, while the two or three Democrats were wincing.

A highlight on Thursday was Professor Robert Michaels’s testimony. Of the sixty-some witnesses, about twelve were requested by the minority, but one of those is former House Speaker Newt Gingrich, so that’s one spot that doesn’t count. Gingrich was added at the last minute to follow the week’s star witness, former Vice President Al Gore. I’m listening to Gore and former Senator John Warner (R-Va.) as I write this. Gore’s written testimony can be found here.  In reply to a question from Rep. Fred Upton (R-Mich.), Gore said that he wasn’t against nuclear power but doubted that it would play much of a role in reducing emissions because it’s too costly to build new plants and no one knows how much it will cost to build new plants. Then Gore said that the costs of renewable energy technologies will turn out to be much lower than predicted and that energy costs would go down once the Congress waved its magic wand. He didn’t mention that most of these cheaper technologies have been invented yet, but his faith in America’s technological creativity is touching.

Gore didn’t answer a question from Rep. Barton, but he did say that Barton was unfortunately relying on scientists who were providing him with bad information. He then compared the situation to investors who had been duped by Bernie Madoff. Gore, too, thinks that the costs will be very low and ultimately be a net benefit to the economy.

What’s Next?

Now that the House Energy and Commerce Committee has had three grueling days of hearings on the Waxman-Markey draft energy rationing bill, what happens next?  Rep. Edward Markey (D-Mass.), Chairman of the Energy and Environment Subcommittee, has announced that he intends to mark up the bill starting on Monday, 27th April.  Mark-up may happen that quickly, but if it does start on Monday committee staffers aren’t going to get any sleep this weekend. The bill has one huge hole in it-how the ration coupons are going to be divvied up.  It has been reported that Markey and Committee Chairman Henry Waxman (D-Beverly Hills) still haven’t rounded up enough votes from committee Democrats from districts that still produce energy or have energy-intensive industries to pass the bill out of subcommittee. Rep. Rick Boucher (D-Va.), former chairman of the subcommittee, and a group of “Blue Dog” Democrats have presented a list of four pages of changes that they made before committing to support the bill.  It has been reported that Waxman has Members lined up to do deals.  As he agrees to give away ration coupons to one special interest after another in order to secure enough votes to pass this turkey, it will be interesting to see if the total adds up to more than 100%.

The Science

Julie Walsh

Arctic Ice Recovers

Last century’s and this century’s sun make look the same, but they are very different. ‘Between 1645 and 1715, sunspots were very rare and temperatures were low. Then sunspot frequency grew until, between 1930 and 2000, the Sun was more active than at almost any time in the last 10,000 years. The oceans can cause up to several decades of delay before air temperatures respond fully to this solar “Grand Maximum.” Now that the Sun is becoming less active again, global temperatures have fallen for seven years,’ according to Willie Soon, a solar and climate scientist at the Harvard-Smithsonian Center for Astrophysics.

Is it any wonder that, despite many news stories to the contrary, Arctic ice is now increasing and almost back up to average levels? However, Juliet Eilperin and Mary Beth Sheridan write in their Washington Post April 7 article, “New Data Show Rapid Arctic Ice Decline; Proportion of Thicker, More Persistent Winter Cover Is the Lowest on Record”:

The Arctic sea ice cover continues to shrink and become thinner, according to satellite measurements and other data released yesterday, providing further evidence that the region is warming more rapidly than scientists had expected.

Around the World

U.S. Faces Diplomatic Deadline

Today is the cutoff for the Obama Administration to submit input for a successor treaty to the failed Kyoto Protocol in advance of negotiations at the 15th Conference of the Parties to the United Nations Framework Convention on Climate Change this December in Copenhagen.

Forty-eight hours before the deadline, Todd Stern, Obama’s climate envoy, told the Senate Foreign Relations Committee Chairman that there remained “suspense” in the “main outline” of U.S. input to a climate treaty, presumably because the Congress had yet to pass a bill to reduce greenhouse gas emissions.

Stern is missing the boat. Even if the U.S. Congress agreed to reduce American emissions to zero by next winter, a new treaty is impossible until developed nations agree to pay for a “green” energy revolution in developing nations. These countries will account for almost all future increases in global emissions, but they refuse expensive-energy policies that would harm economic growth. Absent hundreds of billions of dollars a year in financing for new, environmentally friendly energy technologies in developing countries, there can be no successor to the failed Kyoto Protocol. That’s why European Union Environmental Commissioner Stavros Dimas last week told reporters, “No money, no deal.”

For Stern’s diplomatic strategy to work, the Congress would have to ration energy in America AND pass funding for a green energy package for China, India, and the major developing nations. The federal government would have to borrow the hundreds of billions of dollars needed to pay them off, and I suppose China would be willing to loan it to us.

Announcements

The Committee for a Constructive Tomorrow (CFACT) has launched a new global warming website, Climate Depot, run by Marc Morano, former communications director for the Republicans on the Senate Environment and Public Works Committee. To visit the site, click here.

In the News

Dissenter on Warming Expands His Campaign
Leslie Kaufman, New York Times, 10 April 2009

Climate Bill Could Trigger Lawsuit Landslide
Tom Lobianco, Washington Times, 10 April 2009

A Dangerous New Global Warming Law
Alan Caruba, Warning Signs, 10 April 2009

The U.N.’s Global Green Raw Deal
Patrick Michaels, Planet Gore, 9 April 2009

Waxman-Markey Litigation Shell Game
Marlo Lewis, OpenMarket.org, 9 April 2009

Alarmists Get Their Wish
Paul Chesser, GlobalWarming.org, 9 April 2009

Wind Power Is a Complete Disaster
Michael J. Trebilcock, Financial Post, 8 April 2009

Can Renewables Meet America’s Energy Needs?
Mary Hutzler, MasterResource.org, 7 April 2009

Outrageous: Waxman-Markey’s Energy Tax
Amy Ridenour, National Center for Public Policy Research, 6 April 2009

Obama Proposes Cap Growth
Donald Lambro, Washington Times, 6 April 2009

News You Can Use

Wind Power Is Not the Answer

Interior Secretary Ken Salazar this week in New Jersey said that windmills off the East Coast could generate enough electricity to replace all the coal-fired power in the United States. In response, Thomas Pyle, president of the Institute for Energy Research, told the D.C. Examiner that, “Secretary Salazar is living in Fantasy Land.” According to Pyle, “We would need to install 309,587 giant turbines – about 172 turbines per mile of coast – and hope the wind blows 24 hours a day, seven days a week.”

Inside the Beltway

Myron Ebell

New Study Shows Costs of Canada’s Climate Plans

I was in Toronto, Kingston, and Ottawa this week to enjoy the snow. The way the climate is warming so rapidly it might be the last snow we see for quite awhile-maybe not until December. While I was there, the Ontario Conservative Party released a study that estimates that electric bills will increase by up to $780 per household if the Liberal Party government’s Green Energy Act to reduce greenhouse gas emissions is passed by the Ontario Parliament. Energy Minister George Smitherman immediately disputed the study’s findings.  He said that electric bills would go up only one percent per year because the higher rates would create a “culture of conservation.”  It’s nice to see that Canadians can be just as loopy as Californians.

It’s Too Late for Obama To Hedge on Climate

Here in Washington, White House Science Adviser John P. Holdren gave interesting interviews to Juliet Eilperin of the Washington Post and to Seth Borenstein of the Associated Press. He confirmed to Eilperin something that President Barack Obama seemed to say several weeks ago. The Administration would be open to a cap-and-trade bill, such as the Waxman-Markey draft (which I wrote about last week), that gives away some of the ration coupons to emitting industries. Obama favors auctioning 100% of the coupons, but clearly he and his top advisers recognize that the only way to gain the support of big business special interests is to give them some of the coupons they need to stay in business.

The problem is that the Administration and many Members of Congress have already made plans for spending all the revenue that would be raised by auctioning the coupons.  It may be solved if the revenues generated are much higher in the first eight years of a cap-and-trade regime than the $646 billion estimate in President Obama’s budget submission to Congress. A White House official, Jason Furman, was quoted as saying that they thought the revenues could be two to three times their estimate, or $1.3 to 1.9 trillion. That sounds like enough money to pay off big business and vastly increase federal spending at the same time. However, if the economy remains weak, which it may well do given the policies being pursued by the Congress and the Administration, then there may be a glut of coupons and the auction price may be low.  Cap-and-trade will siphon a lot of money out of the economy while at the same time putting a governor on the economy limiting the upper end of growth to perhaps one or two percent per year. As people’s incomes stagnate and decline, federal revenues are going to drop off a cliff without major tax increases.

Dr. Doom

Dr. Holdren told Borenstein that the Administration was actively considering geo-engineering solutions to stop global warming because the situation is so desperate. It’s relevant here to remember that the first time anyone said we had only ten years left to begin reducing emissions was about seven years ago. Geo-engineering is of course anathema to most global warming alarmists. For them, the only way to save us is to cripple the economy. Therefore, it was no surprise that environmental pressure groups came out swinging against Holdren’s comments. Holdren then quickly sent around an e-mail saying that his remarks had been taken out of context. I mention this story because the idea that Dr. Holdren could be put in charge of engineering the perfect climate is the most frightening thing I’ve heard for many years. Michael Crichton, may he rest in peace, could have written his scariest novel based closely on the real-life ravings of John P. Holdren.

Around the World

Bonn Conference Ends in Failure

The United Nations Framework Convention on Climate Change (UNFCCC) conference in Bonn ended this week. It was the latest round of negotiations to pave the way for the fifteenth Conference of the Parties this December in Copenhagen, where member nations have pledged to conclude negotiations on a successor agreement to the failed Kyoto Protocol, which expires at the end of 2012.

There was no progress on the most important issue-legally binding emissions cuts. The head of the UNFCCC, Yvo de Boer, said that the numbers discussed for emissions targets for industrialized countries were “well short” of the 25-40% below 1990 levels by 2020 proposed by the Intergovernmental Panel on Climate Change (IPCC).

The U.S. delegation spent most of the Bonn talks trying to dampen expectations. European member countries bemoaned the lack of “leadership,” an implicit attack on American inaction. And developing countries continued to reject emissions targets of any kind, while at the same time demanding hundreds of billions of dollars to pay for clean energy technologies and adaptation. Environmentalists were sorely disappointed.

Predictably, the only thing the negotiators agreed upon was the need for more negotiations on top of those already scheduled for Bonn in June and Bangkok in October. They agreed to meet in Bonn again in August, and at an undisclosed location in November, presumably somewhere tropical. These jet-setting diplomats have a tough job-endless, inconclusive meetings at five-star resorts all over the world.

Announcements

  • You can now receive tweets on the global warming battle by following cooler_heads on Twitter! You’ll receive links to new blog posts on globalwarming.org and thoughts and links from CEI’s global warming team experts.
  • The George C. Marshall Institute has released two new studies on the Economic, Environmental, and Energy Security Consequences of a National Low Carbon Fuel Standard.

In the News

Video: Marc Morano debating Joe Romm on RollCallTV
Part 1
: Starts at 3:45 min.
Part 2
: Starts immediately

Congress Balks at Obama’s Cap and Trade Proposal
Wall Street Journal, 3 April 2009

Technology is the Answer to Climate Change
Representative F. James Sensenbrenner, Wall Street Journal, 3 April 2009

Embracing Trendy Green Policies did not Help the British Tories
Iain Murray and Matthew Sinclair, National Review Online, 1 April 2009

Wall Street Sees “Bucks to be Made” in House Climate Plan
Nathanial Gronewald, New York Times, 2 April 2009

Enviro Group Sues Obama Administration Over New CAFE Standards
Business Week, 2 April 2009

Is Our President a “Carbon Communist”?
Chris Horner, Human Events, 1 April 2009

We’re Experiencing a Very Deep Solar Minimum
NASA, Science.NASA.gov, 1 April 2009

Climate Change Scepticism is Going Mainstream
Chris Ayres, TimesOnline, 1 April 2009

The Obama Administration Risks a Cap and Trade War
Wall Street Journal, 30 March 2009

News You Can Use

We listed the New York Times Sunday Magazine’s March 29 cover story on Freeman Dyson in last week’s news stories, but we want to mention it again.  Nicholas Dawidoff’s fascinating profile of the great physicist focuses on the fact that Dyson is a “Global-Warming Heretic” even though his political views are orthodox left.  The alarmist community is not pleased.

Inside the Beltway

Myron Ebell

Waxman and Markey Roll Out Monstrosity

The House Energy and Commerce Committee this week released a draft of the energy-rationing bill that Chairman Henry Waxman (D-Beverly Hills) and Energy and Environment Subcommittee Chairman Edward Markey (D-Mass.) plan to mark up in May. The official summary of the bill can be found here and the text of the draft bill here.  A summary analysis by the Heritage Foundation can be found here. The centerpiece of the 648-page bill is a cap-and-trade program, but it contains many other provisions designed to constrict energy supplies and raise prices.

These include: a renewable mandate for electric utilities; funding for carbon capture and storage technology research and a performance standard for new coal-fired power plants; a low carbon transportation fuel standard; new emissions standards for trains, ships, and heavy equipment; developing a smart grid that can control your thermostat; and new energy efficiency standards for buildings, appliances, utilities, industries, and government facilities. All this is quite surprising.  A cap-and-trade program works best if there aren’t a lot of other overlapping programs. Adding all these new programs means that emission reductions achieved by cap-and-trade would come at a much higher cost. It also implies that Representatives Waxman and Markey don’t have much faith in cap-and-trade, which suggests that they have been paying attention to the failing European Union’s Emissions Trading Scheme.

Also of note is a requirement that utilities “must demonstrate that its customers have achieved a required level of cumulative electricity or natural gas savings relative to business-as-usual projections.”  It sounds like the bill would do for the family home what the Obama Administration has done to General Motors.

Instead of pre-empting California ‘s emission standards for new vehicles, Waxman and Markey would direct the executive branch to negotiate to try to harmonize federal and conflicting state auto fuel economy programs. However, the draft bill does pre-empt the Environmental Protection Agency from using the Clean Air Act to regulate greenhouse gas emissions. That is a notable recognition that doing so would create a regulatory nightmare.

The cap-and-trade provisions are peculiar and complicated and will require much closer study than I have given them.  The baseline year is 2005, and the targets for emissions reductions are -3% by 2012, -20% by 2020, -42% by 2030, and -83% by 2050.  It appears that the initial reductions could be met through the current economic downturn and by buying a few carbon offsets rather than by making emissions reductions.  Indeed, the carbon offset provisions are remarkably generous.  The cap-and-trade title would also create a huge “strategic reserve” of rationing coupons that could be sold “in case prices rise faster than expected.”  The draft bill does not say how many of the rationing coupons would be given away for free and how many would be auctioned.  That decision will apparently be made later after the various special interests have a chance to threaten and plead.

Waxman and Markey also include provisions to create a trade war and destroy the World Trade Organization. They call it “ensuring domestic competitiveness.”  Similar provisions to “assist” consumers with higher energy bills were left blank and are to be filled in later.

The most astonishing thing in the Waxman-Markey draft is that they state openly that the cap-and-trade provisions “are modeled closely on the recommendations of the U. S. Climate Action Partnership.”  That is to say, the powerful big business special interests that are to be regulated got to write their own regulations. I wonder who will benefit from that, consumers or the big companies that belong to US CAP?  I seem to recall that Chairman Waxman has criticized and even investigated Republicans who introduced bills that were written by outside special interests. That was different, I guess. The second most astonishing thing is how little attention the mainstream media and environmental pressure groups have given to this fact that the regulated are being allowed to write the regulations.

Senate Budget Resolution Includes Good Intentions

Senators passed their version of the budget resolution by a 55-43 margin on Thursday. Several amendments related to the President’s budget proposal to raise $646 billion in federal revenues from a cap-and-trade program were voted and adopted.  The Senate agreed on a 67 to 31 vote to an amendment offered by Senators Mike Johanns (R-Neb.) and Robert Byrd (D-WV) that says that cap-and-trade should not be included in budget reconciliation legislation.  Reconciliation bills cannot be filibustered and so require only a simple majority to pass.

Senator Barbara Boxer’s (D-Calif.) amendment that states that revenues derived from selling rationing coupons under cap-and-trade should be used to help people pay their higher energy bills was passed by a 54 to 43 vote.  But then the Senate passed a competing amendment from Senator John Thune (R-SD) by an 89 to 8 margin.  It states that any energy-rationing legislation passed should not raise energy or gasoline prices. And by a 54 to 44 vote, Senators agreed to an amendment offered by Senator Christopher Bond (R-Mo.) that urges that any climate legislation passed does not cause significant job losses.

Some people are claiming that passing the Thune amendment means that cap-and-trade is dead in the Senate because cap-and-trade would only work if it raised energy prices. But all these votes are hortatory and non-binding on future Senate votes.  The unavoidable reality is that the colossal revenues that can be generated by auctioning cap-and-trade rationing coupons are an irresistible prospect for many in Congress. Senator Benjamin Cardin (D-Md.) told the Washington Post that cap-and-trade was “the most significant revenue-generating proposal of our time” (you can almost hear his lips smacking). Or as I have been putting it, “the biggest tax increase in history.” So a House-Senate conference committee on the budget could still decide to use budget reconciliation to sneak cap-and-trade through the Senate.

Around the World

Though the G-20 countries decided on a $1.1 trillion package, no agreements were made in regard to climate change. Greenpeace executive director John Sauven’s angst is noted: “Tacking climate change on to the end of the communique (two short paragraphs) as an afterthought does not demonstrate anything like the seriousness we needed to see. Hundreds of billions were found for the IMF and World Bank, but for making the transition to a green economy there is no money on the table, just vague aspirations, talks about talks and agreements to agree.” (parenthetical added)

China now calls for developed countries to give a full 1 percent of their GDPs to developing nations to cut greenhouse gas emissions.

In April, the President will host a Major Economies Meeting to lay the groundwork for an international agreement at Copenhagen later this year. This is the new name for the process set up by President George W. Bush, which he called the Major Emitters Meeting.

In the States

California

The California Senate voted this week to increase the state’s renewable power mandate to from 20% to 33% of total load by 2020. However Sen. John Benoit ( R-Palm Desert ) said the increased mandate for solar, wind and geothermal power will not only hurt residents who are already having trouble paying their bills, but will also drive manufacturing firms out of the state. “We are going to make ourselves the greenest Third World economy in the world,” he said.

Tennessee

Last Saturday while climate realists were celebrating Human Achievement Hour, some climate alarmists were refraining from using energy for Earth Hour. But not all. Although Al Gore turned off most of his lights, the blue hue from the use of televisions or computers and brightly-lit trees in his garden evidenced his Do As I Say mentality.

Announcements

There are only 2 weeks left to sign up for the Heartland Institute’s second International Conference on Climate Change in New York City, March 8-10, 2009! Are you sick and tired of climate alarmism based on flawed science and economics? Then join hundreds of the world’s elite scientists, economists, legal experts, business people, legislators, and members of the media in New York City to discuss the latest science, economics, and politics of global warming. Space is limited, so register by clicking here.

When it comes to global warming, dire predictions seem to be all we see or hear. In Climate of Extremes, a new book by climatologists Patrick Michaels and Robert Balling Jr., we learn why the news and information we receive about global warming have become so apocalyptic. The science itself has become increasingly biased, with warnings of extreme consequences from global warming becoming the norm. That bias is then communicated through the media, who focus on only extreme predictions. To learn more, click here.

In the News

Don’t Count on ‘Countless’ Green Jobs
Max Schulz, Wall Street Journal, 20 February 2009

Will Lisa Jackson Turn the Clean Air Act into a De-Stimulus Package?
Marlo Lewis, Globalwarming.org, 19 February 2009

Debate Heats Up as Climate Cools Down
S. Fred Singer, Investor’s Business Daily, 18 February 2009

Obama’s Climate Plan Could Trigger a Trade War
Mark Drajem and Catherine Dodgem, Bloomberg, 20 February 2009

Take Climate Change Off the Agenda
Chris Horner and Maureen Bader, Financial Post, 18 February 2009

Gore’s Global Warming Riff Keeps Melting
Chris Horner, Human Events, 18 February 2009

Is Obama Planning To Sneak Kyoto Past Congress?
Chris Horner, the Federalist Society Policy Series, 16 February 2009

So What Does He Think of a Cap-and-Trade?
Iain Murray, Open Market, 20 February 2009

The War on Coal
Alan Caruba, Warning Signs, 18 February 2009

Thomas Edison to Henry Ford: Forget Electric Cars
Robert Bradley, Master Resource, 19 February 2009

News You Can Use

Leading Alarmist Defers Crisis to 2040

Sir John Houghton, Britain’s leading global warming alarmist and lead editor of the IPCC’s first three assessment reports, told an interviewer recently that major effects of global warming will not be seen for 20 to 30 years. Apparently, Sir John has not heard from Al Gore, IPCC Chairman Rajendra Pachauri, NASA’s James Hansen, and President Obama’s pick for White House Science Adviser, Dr. John P. Holdren, that the impacts of global warming are they’re here, they’re now, and boy are they big.

Inside the Beltway

CEI’s Myron Ebell

EPW Stacks the Deck Against Common Sense

The good news is that the Congress is not in session this week.  But they’re back next week. The Senate Environment and Public Works Committee has scheduled a hearing at 10 AM EST on Wednesday, 25th February, titled, “Update on the Latest Global Warming Science.”  The first witness will be Dr. Rajendra K. Pachauri, Chairman of the UN Intergovernmental Panel on Climate Change.  Pachauri is an engineer and economist.  He regularly misrepresents climate science and smears scientists who disagree with the alarmist consensus that the IPCC supposedly represents.  Among the other witnesses, the witness invited by the Republican minority is Dr. William Happer.  He is Professor of Physics at Princeton University.  Notably, the Clinton Administration fired Happer in 1993 from his position as Director of Energy Research at the Department of Energy for disagreeing in public with then-Vice President Al Gore’s alarmist views on global warming.  The hearing should be available at the committee’s web site for viewing online.

EPA Reconsiders

Environmental Protection Agency Administrator Lisa Jackson has been making news this week with announcements about re-considering decisions taken by her Bush Administration predecessor, Stephen Johnson.  On Tuesday, EPA announced that Jackson would grant a petition from the Sierra Club, Environmental Defense Fund, and Natural Resources Defense Council to re-consider a memo from Johnson that stated that federal officials could not consider greenhouse gas emissions when deciding whether to permit new coal-fired power plants.

Jackson also told the New York Times in an interview published Wednesday that she has directed EPA staff to prepare the paperwork for a finding that carbon dioxide emissions endanger public health and safety and therefore must be regulated under the Clean Air Act.

Press reports suggest that she will make the endangerment finding by early April.  As my colleagues Marlo Lewis and Chris Horner noted in their official comments submitted to EPA this fall, regulating carbon dioxide emissions under the Clean Air Act would be a regulatory nightmare that would cause an economic train wreck.

At the end of the week, Greenwire reported that EPA has sent to the Office of Management and Budget for review a draft rule that would create a mandatory registry of greenhouse gas emissions.  The Bush Administration failed to finalize a rule before it left office that would have improved and expanded the current voluntary registry.

Around the World

CEI’s Myron Ebell

Obama Goes to Canada

President Barack Obama visited Ottawa on Thursday to meet with Canadian Prime Minister Stephen Harper.  Press reports suggested that they papered over disagreements on global warming policy and on oil production from the Alberta tar sands.

Canada is the United States’s major foreign supplier of oil, and more and more of it is synthetic oil produced from the tar sands.  However, the anti-energy bill enacted in 2007 requires the federal government to begin to buy petroleum products that meet a “low-carbon fuel standard.”  Since it takes a lot of energy to mine the tar sands and heat them up to liquefy the oil and since most of the energy used to do that comes from natural gas and coal, it’s unlikely that oil from the tar sands can meet this looming federal standard.  Since you can’t segregate types of oil once they are in put in the pipeline, the effect of the low carbon fuel standard could be to ban imports of oil from the tar sands.

Obama said before going to Ottawa that new technology was the answer.  He and Harper agreed to engage in a “clean energy dialogue” and to work together on global warming.  Problem deferred.

Across the States

Western Climate Initiative

Seven States (Arizona, California, Montana, New Mexico, Oregon, Utah, and Washington) and four Canadian provinces (British Columbia, Manitoba, Ontario, and Quebec) last year agreed to participate in a regional cap-and-trade energy rationing scheme called the Western Climate Initiative. A cap-and-trade scheme is designed to raise energy costs, yet proponents of WCI, such as California Governor Arnold Schwarzenegger (R), claim that it will help the economy. Businessmen and economists, however, disagree. This week the Western Business Roundtable released a report showing that the WCI will chase business out of participating States by raising energy costs. According to the report, the WCI would impose a $2,300 cap-and-trade tax on the average family in participating States by 2020.

Your tax dollars at work–$139 per ton of carbon dioxide

CEI’s Julie Walsh

In this video, Dr James Hansen, head of NASA’s Goddard Institute for Space Studies in New York City, advocates civil disobedience at a protest scheduled to be held in front of the Congress’s coal-fired power plant on March 2nd. His goal presumably is to force a shift in the plant’s fuel mix away from coal in order to decrease carbon dioxide emissions.

Such activism is not new for Hansen. Last summer in the UK, a group of Greenpeace supporters trespassed on to a coal-fired power station and started vandalizing it. They were arrested and prosecuted. Their defense witnesses included James Hansen. They were found not guilty.

Here are the facts concerning such a possible shift. The Capitol power plant currently uses 10% fuel oil, 47% coal, and 43% natural gas. A June 2008 GAO study found that with a minor shift to 60% natural gas, 31% coal and with fuel oil staying the same:

“The fuel switching should cost about $1.4 million in fiscal year 2008 and could range from between $1.0 and $1.8 million depending on actual fuel costs, among other factors….Our May 2008 report also found that decreasing the plant’s reliance on coal could decrease greenhouse gas emissions by about 9,970 metric tons per year at an average cost of $139 per ton.”

That’s because as a GAO study published in May 2008 concluded: “Currently, natural gas costs about four times more than coal per British thermal unit.”

Announcements

More than 70 of the world’s elite scientists specializing in climate issues will confront the subject of global warming at the Heartland Institute’s second International Conference on Climate Change in New York City, March 8-10, 2009. They will be joined by economists, legal experts, private-sector business people, state and federal legislators and officials, policy analysts, media, and students. To learn more, click here.

In the News

Travesty-Rep. Inslee’s Behavior at Committee Hearing
Marlo Lewis, Globalwarming.org, 12 February 2009

The Collapse of Climate Policy
Roger Pielke Jr., Prometheus, 7 February 2009

Obama’s Extreme team on Energy
Ben Lieberman, FoxNews.com, 6 February 2009

Video: Heartland Institute Exposes Fear Mongering
Heartland Institute, 5 February 2009

Carbon Collapse Threatens Green Dreams
Sarah Arnott, The Independent, 9 February 2009

Climate Change Paradox: New Wind Power Doesn’t Reduce Emissions
Anselm Walderman, De Spiegal, 10 February 2009

Energy Secretary Floats a Carbon Tax
AFP, 12 February 2009

News You Can Use

Expensive Ethanol

The Environmental Protection Agency and the Department of Energy jointly have launched a new website that allows viewers to compare the annual cost of fueling vehicles with E-85 (a blend including 85% ethanol) and regular unleaded gasoline. According to their calculations, it is almost 120% more expensive to fill a vehicle with E-85 than with gas. Click here to read commentary by CEI’s Marlo Lewis on the new site. Thanks to Dan Kish of the Institute for Energy Research for calling it to our attention.

Inside the Beltway

Senate Confirmation Hearing for Chronic Kook

The Senate Commerce, Science, and Transportation Committee held a hearing on Thursday, 12th February, on the nominations of Dr. Jane Lubchenco to be Administrator of the National Oceanic and Atmospheric Administration and of Dr. John P. Holdren to be White House Science Adviser and Director of the Office and Science and Technology Policy.  Lubchenco was careful not to say anything.  It looked as if Holdren’s eagerness to say something was frustrated by his knowing that he’d been advised by his handlers not to say anything.  The only interesting exchange during questions came when Senator David Vitter (R-La.) asked Holdren about some of the outrageous statements he has made over the years.  Holdren has been preaching imminent environmental doom and the need for population control and de-development of the industrialized countries for decades.  A few years ago he predicted that one billion people could die from global warming by 2020.  Vitter put him on the spot and peeled away just enough of Holdren’s mask to catch a glimpse of the kook underneath.  The Chairman and Ranking Republican of the committee, Senators Jay Rockefeller (D-WV) and Kay Bailey Hutchison (R-Tex.) are trying to send both nominations to the floor quickly for confirmation by voice vote.  Let’s hope that Sen. Vitter’s efforts will cause some Senators to consider Holdren’s nomination a little more carefully.

Green Pork in Stimulus

The House and the Senate are likely to vote on the conference report for the so-called stimulus package in the next day or two.  The bill wastes $790 billion of taxpayer money in an astounding number of ways.  The “green” spending provisions reportedly survived pretty well in the House-Senate negotiations.  It will take some time to add up all the potential “green” spending and tax credits.

Boxer Sets Timetable for Energy Rationing

I forgot to mention in last week’s issue that Senator Barbara Boxer (D-Marin County, Calif.), Chairman of the Environment and Public Works Committee, held a press conference on 3rd February to discuss her plans for a cap-and trade bill this year.  She said that the new bill would be less complicated than the Lieberman-Warner bill that crashed on the Senate floor last June and listed six principles that would guide writing the new bill.  The only item worth noting is Boxer’s discussion of the schedule.  She said that she was determined to vote a bill out of committee before the annual UN global warming meeting in Copenhagen in December.  That’s when the parties to the Framework Convention on Climate Change are supposed to wrap up their negotiations on an agreement to succeed the Kyoto Protocol, which expires at the end of 2012.

It was only a few months ago that the Democratic leadership said they would have a cap-and-trade bill on President Obama’s desk to sign before Copenhagen.  Now, Boxer is committed to having a bill out of committee before Copenhagen, while her House counterpart, Rep. Henry Waxman (D-Beverly Hills, Calif.), Chairman of the Energy and Commerce Committee, has promised to have a bill out of his committee by Memorial Day.  But it looks increasingly likely that neither the House nor the Senate will consider and vote on a cap-and-trade bill on the floor this year.  And 2010 is an election year, when floor time becomes scarce and Members shy away from having to take votes on controversial issues.  Although these same Democratic leaders complained in the early years of this decade that the Republican majority was stalling on global warming legislation and that the time for talk was long past, the prospects for enacting energy-rationing legislation by a Democratic majority nonetheless continue to fade into the future.

Around the World

UK: The Good, the Bad, and the Ugly

According to a story this week in the Independent, Sammy Wilson, Northern Ireland’s Environment minister, banned an advertising campaign urging people to help tackle climate change by turning off their television sets because he does not believe humans are the main cause of global warming.

An airline industry journal this week reported that Adair Turner, chairman of the independent Committee on Climate Change that advises UK Prime Minister Gordon Brown, proposed limiting UK citizens to just a few vacation trips abroad by air per year in order to reduce carbon dioxide emissions.

David Cameron, the leader of the Conservative Party in Britain, spent almost $5,000 to install a D400 Stealthgen wind turbine on the roof of his London home in order to appear environmentally sensitive. After planners noticed it was in the wrong spot, Cameron took the turbine down, but it never went back up, most likely because it was an unsightly waste of money: Experts estimated that Cameron’s turbine would take 40 to 70 years to pay its way. B&Q, the manufacturer of the turbine, has announced that it will stop selling the D400.

Study: Renewables Remain Uncompetitive in EU even with Energy Rationing Policies

A new study by Chappin and Dijkema from the Delft University of Technology in the Netherlands questions the common assumption that raising the cost of inexpensive coal-fired power will cause a shift to renewable sources. By modeling the future reductions forced by the European Union’s Emissions Trading Scheme, they conclude:

“A long-term portfolio shift towards less-CO2 intensive power generation is observed. However, the effect of CET (CO2 Emissions Trading) is relatively small and materializes late. The absolute emissions from power generation rise under most scenarios. This corresponds to the dominant character of current capacity expansion planned in the Netherlands (50%) and in Germany (68%), where companies have announced many new coal-based power plants. Coal is the most CO2 intensive option available and it seems surprising that even after the introduction of CET these capacity expansion plans indicate a preference for coal. Apparently in power generation the economic effect of CO2 emission-trading is not sufficient to outweigh the economic incentives to choose for coal.”

Across the States

California

The Los Angeles Times reported this week on an independent analysis asserting that the city government has not “appropriately analyzed or communicated” the fact that the city’s plan to generate 35% of its electricity with renewables by 2020 would have a “significant impact” on energy prices. The office of LA Mayor Antonio Villaraigosa (D) disputed the analysis. The Mayor continues to claim that using greater amounts of expensive alternative energy will benefit the economy.

Maryland

Maryland Governor Martin O’ Malley (D) held a press conference this week to promote S. 278, the Greenhouse Gas Emissions Reduction Act of 2009, which directs a state agency to develop a strategy to reduce Maryland’s greenhouse gas emissions 25% below 2006 levels by 2020, while at the same time ensuring “no loss of manufacturing jobs; a net increase in jobs and a net economic benefit…and no adverse impact on the reliability and affordability of electricity and fuel supplies.” Of course, that’s impossible, but by the time that Maryland citizens have to pay more for energy to meet O’ Malley’s contradictory agenda, the Governor will be safely out of office.

In the News

Exxon, Carbon Prices and Surrender
Iain Murray, NRO Corner, 9 January 2009

Why Should We Give Up?
Chris Horner, NRO Planet Gore, 7 January 2009

It’s Cold Out There!
R Emmett Tyrrell, American Spectator, 8 January 2009

Electric Cars and Econ 101
Eric Peters, American Spectator, 6 January 2009

Who Knew? Global Warming Causes Wars, Too
Bill Dupray, DC Examiner, 5 January 2009

No Time for an Oil Crackdown
Ben Lieberman, Washington Times, 5 January 2009

Sustaining the Unsustainable
Dr. Timothy Ball, Canada Free Press, 5 January 2009

News You Can Use

Obama’s Energy Czar Is a Card Carrying Member of a Major Socialist Organization

CEI adjunct scholar Steven Milloy reported last week that Carol Browner, President-elect Barack Obama’s choice for energy and global warming czar, is a member of the Socialist International. Milloy’s revelation clearly ruffled some feathers, because Browner’s name, photo and, bio have since been scrubbed from Socialist International’s web site.

Inside the Beltway

Obama’s Clean Energy Policy

Myron Ebell

President-elect Barack Obama gave a wide-ranging speech on economic policy this week in which he said that, “To finally spark the creation of a clean energy economy, we will double the production of alternative energy in the next three years.”  That seems a modest goal considering how little of the energy we use is currently produced by alternative sources such as ethanol, windmills, and solar panels.  But it’s a ridiculous goal in such a short time considering the capacity limitations of these industries and the higher cost to consumers and taxpayers of the energy that will be produced.  Obama also said that he would begin building a smart electricity grid and require that 75% of federal buildings and two million private houses be modernized in terms of energy efficiency within two years.  Funding for those goals will probably be part of the stimulus spending bill that is currently being cooked up.

Markey Takes Top Energy Post

Representative Edward Markey (D-Mass.) announced this week that he will use his seniority to claim the chairmanship of the House Energy and Commerce Committee’s Subcommittee on Energy and the Environment.  Rep. Rick Boucher (D-Va.) was the chairman of the Energy and Air Quality Subcommittee in the last Congress.  The re-named subcommittee will be given additional jurisdiction, but its biggest responsibility will be global warming legislation.  Naturally, environmental pressure groups were happy.  Markey is a strong environmentalist, while Boucher has to be a moderate environmentalist since he represents a major coal-mining area.  Nonetheless, I think this is further good news on top of the election by House Democrats of Rep. Henry Waxman (D-Calif.) over Rep. John Dingell (D-Mich.) to be chairman of the full committee.  Dingell and Boucher are serious legislators who know how to build coalitions to move big, controversial bills.  Waxman and Markey are hard-left ideologues.

Omnibus Land Grab Bill

Senator Jeff Bingaman (D-NM) has re-introduced the gigantic omnibus land grab bill from last year.  It’s now S. 22  in the 111th Congress.  It’s a terrible bill with dozens of awful titles, but the worst is the one that’s relevant to energy and global warming policies.  A provision in Title III would withdraw 1.2 million acres of the Bridger-Teton National Forest in Wyoming from oil and gas production.  This is an area with high gas potential.  Natural gas is in tight supply, production continues to decline in many fields, and it’s the only alternative to coal that produces much electricity.  So naturally the first item of business for Majority Leader Harry Reid (D-Nev.) in the 111th Congress is to pass a bill that will constrict gas production.  Curiously, one of Wyoming’s Senators, John Barrasso (R-Wyo.), was supportive of the bill in the last Congress.

Around the World

Putin Plays Hardball with EU Energy

Julie Walsh

Russian Prime Minister Vladimir Putin on New Year’s Day ordered Gazprom to cut all natural gas supplies to Ukraine because of an ongoing dispute over prices and overdue bills. Gazprom initially continued to supply European Union countries through Ukraine’s pipelines, but then on Wednesday turned off all pipelines after accusing Ukraine of diverting gas intended for the EU.

The pipelines through Ukraine supply 80% of the gas Russia exports to the European Union.  Russian gas accounts for 25% of total EU consumption, but accounts for 100% in some eastern European countries. Eighteen countries have been affected.

Turning off the gas led to immediate chaos and suffering in eastern Europe and Ukraine, which like the rest of Europe are experiencing brutally cold weather. Eleven people have died, including ten in Poland. A number of factories have been shut down.

The Wall Street Journal believes this to be more than a commercial dispute: “The Kremlin’s goals in Ukraine are transparent. Kiev’s support for Georgia in the August war, and its ambitions to join the EU and NATO, is a thorn in the bear’s paw. In Europe, Russia wants to reassert itself as the dominant power in the east, feared if not respected. Germany’s establishment is all too happy to kowtow and urge the EU to do the same, at Ukraine’s expense.”

Yet because the EU have decided they don’t want any new coal-fired or nuclear plants, they have thrown themselves on the mercy of Russia’s gas monopoly. Rather than come to a logical conclusion, environmental pressure groups are suggesting the need for even more investment in offshore wind, solar power and clean biomass, which provide little energy at very high prices.

Due to technological advances and global demand, the price of liquefied natural gas (LNG) is approaching the cost of natural gas delivered through pipelines. However, the major suppliers of LNG—Russia, Iran, Qatar, and Venezuela—are trying to create a global gas cartel, which could be a harsher taskmaster than OPEC.

Now after nine days, the EU, Russia, and Ukraine appear to be close to reaching a deal to resume gas shipments to the EU.  Ukraine will allow Gazprom and the EU to send monitors to watch the pipelines for any diversion of gas by Ukraine.  Once Gazprom opens the spigots, it will take another three days to reach European consumers.  There is no word on when Russia may start sending gas to Ukraine.

Across the States

Iowa

Iowa Governor Chet Culver (D) and leading legislators from both political parties have indicated that they are unlikely to consider seriously the 56 greenhouse gas reduction recommendations made by the state’s Climate Change Advisory Council because of the $4.8 billion price tag.

Kansas

Leaders in the Kansas legislature promise to continue trying to overturn the controversial decision by Governor Kathleen Sebelieus (D) to block coal-fired power plants in the State because of greenhouse gas emissions. Rep. Carl Holmes (R-Liberal), chairman of the House Energy and Utilities Committee, told the Topeka Constitution Journal that it is unfair to deny a coal plant in western Kansas when more than a dozen coal-burning units dot the eastern side of the State. The Governor said she would unveil an energy program “with some clear detail” in her State of the State speech Monday night.

Texas

In Texas, Sen. Rodney Ellis (D, District 13) introduced Senate Bill 136, the Texas Global Warming Solutions Act, which would create a cap-and-trade system for the State’s carbon emissions. The bill calls for the state’s environmental commission to develop a plan to reduce Texas greenhouse gas emissions to 1990 levels by 2020.

In the News

An Energy Policy That Is the Stuff of Nightmares
Raymond Keating, Long Island Business News, 30 December 2008

Green Goals Have Limits
Jeffrey Ball, Wall Street Journal, 30 December 2008

Green Bible Attracts Controversy
Ginger D. Richardson, Arizona Republic, 29 December 2008

Global Warming Predictions and Computer Climate Models

Dr. Timothy Ball, RightSideNews, 28 December 2008

Clean Waste

William Yeatman & Jeremy Lott, Culture11, 22 December 2008

It’s Cold Outside, But Alarmists Are Still Hard at Work

Chris Horner, Human Events, 22 December 2008

News You Can Use

Great New Blogs

Two new valuable climate blogs appeared this week. Dr. Roy W. Spencer, author of the best selling book, Climate Confusion, and Principal Research Scientist at the University of Alabama at Huntsville, has started blogging at www.drroyspencer.com. Dr. Robert Bradley, author of Capitalism at Work: Business, Government, and Energy, and others now blog at http://masterresource.org/.

Inside the Beltway

Californians in Control

Myron Ebell

The Obama transition team continues to talk to House and Senate Democratic leaders about trying to move a big ($850 billion?) economic stimulus package soon after the new Congress is sworn in. Every special interest in the country is trying to stake a claim to a share of the cash, including promoters of “green jobs” and those that claim that transforming the energy economy to rely on much more costly forms of renewable energy would somehow stimulate the economy. As the Washington Post noted this week, our energy and environmental policy is now in the hands of powerful legislators from California, where they actually believe that raising consumer and producer costs and pricing people out of jobs is sound public policy.  (And where the State, perhaps co-incidentally, now confronts a $40 billion budget deficit.)  We shall see what happens next week.

Obama’s Disastrous Energy Pick, Part 2

I commented in the last issue (19th December) on President-elect Barack Obama’s choices of John P. Holdren for White House science adviser and Jane Lubchenco for administrator of the National Oceanic and Atmospheric Administration. I would like to say a bit more about the bizarre choice of Dr. Holdren.

Holdren holds the Teresa and John Heinz professorship at Harvard University’s Kennedy School of Government, shared a Nobel Peace Prize in 1995 for his leading involvement with the Pugwash nuclear disarmament conferences, earned a Ph. D. in physics from Stanford University, won a MacArthur Foundation “genius” fellowship, has served as president and chairman of the American Association for the Advancement of Science, and has published hundreds of articles and books. He has spent most of his career on areas and issues outside of physics, especially on energy and ecology policy.

Wow! That sounds great, doesn’t it? A man of high accomplishment, wide interests, and long involvement in public policy. Unfortunately, Holdren is also a lifelong doomster and close associate of Paul Ehrlich, who has promoted one nutty cause after another.  Ehrlich called Holdren “one of the best scientists in the world,” and his recommendation alone should disqualify Holdren for any position of public trust.

There is something in Western civilization that regularly produces people proclaiming that the end of the world is nigh and that they are the leaders with the knowledge to prevent it. The threat is that people will actually believe these charlatans and sign up to remake the world according to their ideas. Holdren has moved from one looming disaster to another. What remains constant is that the disaster requires radical political action, which always includes massive increases in government.

His latest cause is what he calls global “climate disruption.” He regularly makes outlandish claims about the disastrous disruptions that are already occurring and the even more disastrous disruptions that are about to occur. And from these wild claims, which are not supported in the scientific literature, he jumps immediately to policy prescriptions. In short, the threat posed by global warming to civilization requires that we tear down civilization and rebuild it in a way more pleasing to the tastes of people like Holdren.

In my view, the Senate should not confirm John P. Holdren to be the White House science adviser and chairman of the Office of Science and Technology Policy.

Around the World

UK

The Cooler Heads Digest has already reported how the United Kingdom’s huge gamble on wind power will raise electricity prices and undermine reliability (here and here). Unfortunately for energy consumers in that country, it looks like it’s going to take a lot more windmills than the government thought. Experts had calculated that 50,000 wind turbines would be needed to generate 15% of Britain’s electricity, to help the government to meet the EU target for a 20% reduction of CO2 emissions by 2020.  But the Sunday Telegraph reports that it will take 100,000 turbines to meet the country’s climate goals, because wind power lobbyists in the UK grossly overestimated the benefits of wind power. The British Wind Energy Association had previously estimated that electricity from wind turbines ‘displaces’ 860 grams of carbon dioxide emissions for every kilowatt hour of electricity generated.  Now it has revised that figure to 430 grams following discussions with the Advertising Standards Authority.

Whopper of the Year

Julie Walsh

Last year’s doozy is almost as good as this year’s but not quite. In June Senator Barbara Boxer, who chairs the Environment and Public Works Committee, told reporters during the Senate debate on the Lieberman-Warner America’s Climate Security Act:

“This bill, in fact, will lead us to a strong economy, with the creation of millions of new jobs.”

Partner in crime Senator Harry Reid elaborated:

“The Boxer-Warner-Lieberman bill is also about creating a new and powerful economic engine. It is about creating hundreds of thousands, even millions of high-paying, permanent and sustainable jobs in America… Hundreds of thousands of new jobs in renewable energy have already been created by foresighted investors who see the need for clean energy that doesn’t contribute to global warming. Millions more jobs can be created with the enactment of a strong cap-and-trade system.”

The Office of Management and Budget countered, saying the bill would impose economic costs of $10 trillion through 2050 primarily by boosting energy prices and would slash annual household disposable income by nearly $1,400 per household in 2030 and as much as $4,400 in 2050. “This would make S. 3036 by far the single most expensive regulatory bill in our nation’s history,” OMB said.

The Heritage Foundation calculated job losses under the Act would exceed 500,000 before 2030, even using the most favorable assumptions. And the National Association of Manufacturers predicted that more than 4 million jobs could be lost by 2030.

Talking about the “millions” of jobs that would be created and forgetting to mention the many more millions that would be destroyed truly takes the cake.