Democrat energy policy would reward inefficiency in energy production

William O'Keefe:
Their proposal is an example of the willingness to punish the success and reward the failure of certain sectors of our economy. The focus of the letter is incentivizing “clean energy” but at its core it is nothing more than hostility toward fossil fuels and a fundamental misunderstanding of tax provisions for the energy sector....
If the House coalition had its way, tax provisions like the manufacturing tax credit and dual capacity rule to avoid double taxation would be changed to deny them only to the oil and gas industry while expanding special treatment for wind and solar energy which only survive because of large subsidies. Since neither wind nor solar are new and revolutionary, the justification for continued subsidies defy any economic rationale. Forcing uneconomic energy into an economy has been shown to only accomplish two things—economic harm and growing crony capitalism. A strong commitment to solar wrecked the Spanish economy and in Germany, which is the leader in the pursuit of alternative energy, electricity prices are three times the average rate in the US. Ironically, Germany also has had to build more coal fired plants for back up when the sun doesn’t shine. The folly of Germany’s Energiewende has been widely documented.
Rewarding inefficiency is exactly the wrong policy.  Not only is alternative energy expensive, it is also unreliable when it is needed most.  It is at best a niche product that can fill in from time to time, but its inability to modulate output makes it a very unreliable alternative.  Solar employs more people than the fossil fuel business but produces less than four percent of the nation's energy.  Its output per employee is a testament to inefficiency.

If these Democrats would have had their way, there would have been no shale revolution and the US would still be at the mercy of OPEC and also being awarding countries like Russia who Democrats claims do not have our interests at heart.


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