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Point – Counterpoint: Heartland Institute Gets It Wrong on Wind

Source: AWEA

Source: AWEA

On the heels of a recent Forbes blog post where I call out Texas’ Comptroller for playing favorites in her biased scrutiny of Texas’ wind industry, comes another Forbes piece by James Taylor from the Heartland Institute. Confusing correlation with causation, Taylor claims wind energy causes higher energy prices. However, an increase in electricity prices cannot automatically be accounted for by pointing the finger at wind energy. That’s simply playing fast and loose with the facts.

This is the same tired slant we have heard from Heartland Institute time and time again. Not surprising – when pundits want to cherry pick data to make their argument strong, it doesn’t always work.

First there are many, many factors that determine energy rates, not just one type of resource. In an analysis of utility rates, economists Ernst Berndt, Roy Epstein, and Michael Doane identified 13 reasons why an electric utility’s rates may be higher or lower than the average. They include things like the average use per customer, age of the electricity distribution system, generation resource mix, local taxes, and rate of increases prior to any implemented renewable portfolio standard (RPS). So faulting renewables for high energy prices is a bogus claim. Furthermore, there is no data showing a nationwide pattern of renewable energy standards leading to rate increases for consumers. The report states: “American consumers in the top wind energy-producing states have seen their electricity prices actually decrease by 0.37 percent over the last 5 years, while all other states have seen their electricity prices increase by 7.79 percent over that time period.” Further, 15 studies from various grid operators, state governments, and academic experts have examined the impact of wind energy on wholesale electricity prices and confirmed that wind energy reduces electricity prices. Read More »

Posted in Clean Energy, Electricity Pricing, Renewable Energy, Texas / Also tagged | Comments are closed

The Oil And Gas Industry’s Assault On Renewable Energy

This commentary was originally posted on our EDF Voices blog.

Source: ali_pk/flickr

Renewable energy enjoyed a record year in 2012 – the U.S. wind industry surpassed 50,000 megawatts of electrical power generation capacity and solar proved once again to be the fastest growing energy source in the United States. That’s a milestone worth celebrating, since greater use of clean, homegrown energy resources creates jobs, cuts foreign oil imports, stabilizes prices, makes our system more resilient and reduces harmful pollution. The list of benefits is vast. So who could possibly be upset?

Well, some utilities that own old and often dirty fossil fuel power plants are upset that renewables are making it harder for their older, polluting units to stay in business. Then there are oil and gas industry association leaders like American Petroleum Institute (API) president Jack Gerard, who often talk about wanting a “level playing field” – implying that policies promoting renewable energy are unfair to fossil fuels.

Don’t be fooled. Renewable investments pale in comparison to the amount of money poured into fossil fuel companies since 1918 to fatten their bottom lines and crowd out competition. Fossil fuels have received around 75 times more subsidies than clean energy. Up to 2011 (adjusted for inflation), the oil and gas industry received $446.96 billion in cumulative energy subsidies from 1994 to 2009, whereas renewable energy sources received just $5.93 billion. An industry that has been enjoying federal tax subsidies for over a century has no standing to argue for a level playing field.

Heavily subsidized fossil fuels may have made sense 100 years ago, when we were racing to build the energy infrastructure of the last century. But today we’re racing to build the clean energy infrastructure of the new century — and we need to support a new set of industries. And we’re making real progress.

So it is no surprise that we are seeing a well-funded, industry-backed effort to roll back the policies that have been so successful in developing and deploying renewables. Take, for example, the latest assault on a series of state laws around the country that have increased the amount of clean, renewable energy these states produce.

Front Groups do the Dirty Work for Oil and Gas Industry

So far, 29 states have implemented Renewable Portfolio Standards (RPS) programs that require increased production of energy from renewable sources such as solar, wind, geothermal and biomass. They’ve been adopted in red states and blue – from California to Texas to Maine – through democratic processes and with popular support. RPS programs have helped jumpstart an industry that is spurring economic development, creating American jobs, boosting energy independence and cutting our carbon footprint.

A Bloomberg article released last week details how the oil and gas industry, through some self-described free market organizations that they fund, are trying to engineer a legislative massacre of these policies in more than a dozen states.

The groups may sound familiar: American Legislative Exchange Council (ALEC), which is currently pushing legislation around the country that would mandate the teaching of climate change denial in public school systems, and The Heartland Institute, which ran a billboard campaign last year comparing global warming “admitters” to Osama bin Laden and Charles Manson. Both have long opposed sensible energy policies. And their funders will sound familiar, too: the oil, gas and coal industries and their owners like the Koch Brothers.

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Posted in Climate, Energy Efficiency, Renewable Energy / Also tagged , , , | Comments are closed