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Showing posts with label Energy. Show all posts
Showing posts with label Energy. Show all posts

Monday, January 24, 2011

Growth Energy Responds to Forbes Magazine

For the third time in nine days, Forbes Magazine has published a misleading and negative editorial about the only viable, affordable, high-tech alternative to oil today: American ethanol.

Not surprisingly, while these editorials fail to reference a single alternative to ethanol, they also gloss over the truth of what industry is the biggest fuel recipient of taxpayer dollars in the United States: oil.

At Growth Energy, we work to educate the press, opinion makers and the general public about the benefits of domestic ethanol. American ethanol, as anyone who is paying attention knows, strengthens our national security by reducing our dependence on foreign oil, helps our economy by creating U.S. jobs, and helps clean the environment because grain ethanol is at least 59 percent cleaner than conventional gasoline.

We have sent two letters to the editor of Forbes in an effort to set the record straight with the facts about domestic, renewable ethanol. Growth Energy has yet to hear back on whether they will run our letters – and so we have decided to publish our responses on our blog for the public to read.

Below are our original letters to Forbes.


Response # 1:

December 6, 2010

Dear Editor,

Henry Miller’s recent commentary suggests that former Vice President Gore’s support for ethanol was a “whopper” of a mistake (Gore, Gobbledygook and Global Warming, Dec. 6). But the real whopper here is Miller’s omission of the facts.

First, the concept of “food vs. fuel” is nothing more than a myth perpetuated by vested interests, with no basis in fact, that has been dispelled by numerous objective economic analyses, including a recent World Bank paper which proves that the skyrocketing grocery bills of two years ago were not caused by ethanol, but rather, by rampant market speculation and record fossil fuel prices.

USDA chief economist Joseph Glauber confirmed as such when he testified before the U.S. Senate, stating that ethanol demand had, at most, a “moderate” impact on food prices.

Second, not one kernel of food fit for humans goes to ethanol production. The corn used to make ethanol in this country is field corn. In fact, a co-product of ethanol production are the Dried Distiller’s Grains which go right back into the food chain in the form of a high-quality livestock feeds. So, ethanol production does not take food away from people.

Finally, Mr. Miller conveniently omits the only reason that the “food vs. fuel” rhetoric gained traction with the general public: a multi-million dollar misinformation campaign waged by the Grocery Manufacturers Association with one of Washington, D.C.’s premier public relations agencies, Glover Park.

Facts are facts. And there is no credible “food versus fuel” debate, except in the minds of Big Food and Big Oil.

Sincerely,

Tom Buis
CEO Of Growth Energy


Response # 2

December 9, 2010

Dear Editor,

If Matt Kibbe wants to do away with “runaway spending” (Let Ethanol Subsidies Expire For Good, Dec. 9) let’s include Big Oil.

Globally, more than $280 billion in taxpayer dollars are given to Big Oil and other fossil fuel producers every year in the form of subsidies and other financial incentives, according to recent DTN and World Energy Outlook analyses, not factoring in the estimated $50 billion in U.S. military spending to protect the shipping lanes in the Persian Gulf.

The main reason the ethanol industry needs government support today is because we are denied access to all but ten percent of the fuel market which is tightly controlled by the oil industry. Growth Energy’s Fueling Freedom plan would redirect tax credits to build out a national ethanol infrastructure including “blender pumps” and “flex-fuel” vehicles, to allow access to fair and open market.

Every year we pay $300 billion annually – the equivalent of a thousand-dollar-a-person tax—to foreign countries for oil. Increasing the production of ethanol that is produced right here in America will reduce the role that foreign oil plays in our economy and in our national security. Every gallon of clean burning ethanol that we produce in this country decreases the demand for foreign oil, keeps our hard-earned money here at home and helps create good jobs that can’t be shipped overseas.

Ethanol is 59 percent cleaner than gasoline, and the latest studies from the United States Department of Agriculture show that ethanol is more energy efficient to produce than conventional gasoline. Furthermore, for those repeating that disproven “food v. fuel” fiction, I can only urge them to look at the series of academic, economic and government studies, including a recent World Bank study, that have all debunked this myth. Wall Street speculators, high oil prices and the costs of manufacturing, packaging and transportation all have far more impact than ethanol on the grocery prices that everyday Americans pay.

Ethanol is the only available, affordable alternative to oil today and in a truly open market, ethanol can compete – and beat – foreign oil. Extending the current ethanol incentives today will provide certainty in the market and give Congress the opportunity to consider longer term reforms, like our Fueling Freedom Plan, next year. As a result, consumers would have real choices. Our air would be cleaner. Our prosperity would be enhanced. And our security would be strengthened.

Sincerely,

Tom Buis
CEO Of Growth Energy


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Saturday, January 22, 2011

Why Tax Credits Make Lousy Renewable Energy Policy

This is part of a series of posts on distributed renewable energy that will be posted to Renewable Energy World. It originally appeared on Energy Self-Reliant States, a resource of the Institute for Local Self-Reliance's New Rules Project.

For two years, solar and wind energy producers seeking federal incentives have been able to take cash grants in lieu of tax credits.  The stimulus act program helped keep the renewable energy industry afloat as the credit crunch and economic downturn dried up the market for reselling tax credits to banks and other investors with large tax bills.

The cash grant program is set to sunset at the end of this year, but solar and wind energy advocates are hoping it will be extended, for good reason:

In fact, the tax credits were always an awkward tool, some argue. Rhone Resch, the head of the Solar Energy Industries Association, said that many of the companies doing the installations were not making a profit either, so these tax credits were sold as “tax equity,” a secondary market, at a loss of 30 to 50 cents on the dollar to the seller. [emphasis added]

The tax credits were worth 30% of a project's value, so the transaction costs of reselling the credits meant that renewable energy projects without sufficient internal tax liability were 13 to 21% more expensive than projects that could use the credits themselves.

This is dumb policy.  Ratepayers pay a higher price for renewable energy because incentives filter through the tax code instead of the general fund.

But the cash grant v. tax credit issue is just one symptom of a larger disease affecting American renewable energy policy.  Transaction costs are increasing the cost of renewable energy in nearly every state with a renewable portfolio standard (RPS).

Under most state RPS policies, utilities put out requests for proposal to acquire renewable energy to meet the state mandates.  These solicitations attract thousands of developers who all have to front their project development costs.  But in California, for example, 90% of projects don't make the utilities' shortlist for the solicitation, stranding over $100 million in development costs.

Some of those projects may eventually get online, but most of that money is flushed because the U.S. prefers to let utilities act as gatekeepers to clean energy rather than open the market to any potential producer. It's not the only way.

There's a renewable energy policy that's responsible for 75% of the world's solar and half its wind power.  It has the lowest transaction costs because there's no fiddling with the tax code and no parasitic costs from auctions or solicitations.  Instead, utilities are required to interconnect and take the power from any developed renewable energy project, and to provide a price sufficient to provide a reasonable return on investment (just like the utilities enjoy in rate regulated states).

The policy is funded entirely through the electricity system, so renewable energy doesn't have to compete with other budget priorities.

It's called a feed-in tariff.

The U.S. can extend the cash grant program, but it merely treats a symptom of the disease.  A better policy awaits.

Contact John Farrell at jfarrell@ilsr.org, find more content at energyselfreliantstates.org or follow @johnffarrell on Twitter


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Thursday, January 20, 2011

Solar Energy International to ring in the new year with Solar Business and Technical Sales course

SEI is listening.

In response to the demand for comprehensive solar business training, Solar Energy International introduced its new PVOL206: Solar Business and Technical Sales online course in November 2010 for those working in the solar industry or hoping to work in solar sales. The course has been so popular, SEI is offering PV206 starting Jan. 10 online. Solar Business and Technical Sales has been developed from the ground up with a strong focus on business principals and topics directly aligned with the North American Board of Certified Energy Practitioners (NABCEP) PV Technical Sales Task Analysis. Through insightful presentations and instruction from working experts in the field, SEI's Solar Business and Technical Sales online course covers marketing and sales techniques you need to be successful. The six-week course runs from Jan. 10 to Feb. 20 at $695.00.

Register here.

Concepts discussed in detail in PVOL206: Solar Business and Technical Sales include: customer qualification, solar site analysis, creating conceptual design proposals, system costing, incentives and rebates, cost-benefit analyses, financing options, and the non-financial benefits of photovoltaic systems.

While certain aspects of the  course will be a review for students who have previously taken SEI's PV204 or PV205, this workshop offers a broad curriculum based on the NABCEP PV Technical Sales Task Analysis to help prepare participants for the NABCEP PV Technical Sales Certification.

We recommend taking PVOL206 in conjunction with SEI's technical training workshops - PV101 and PV202 (Click here for descriptions PV workshop and courses). Those completing ALL THREE courses will have the technical training necessary to help direct a potential solar PV site from initial analysis to successful design and installation.

Prerequisites: There are no prerequisites for PV206, however we recommend that students take at minimum PV101 or PV101 online to obtain a baseline level of technical PV training.

Register here.


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Tuesday, December 21, 2010

Green Energy Projects to Damage Environment

Green Energy Projects to Damage Environment | Lifeofearth.org HomeGreen CommunityTake ActionGreen ImagesGreen VideosGreen NewsDonate HereResourcesLifeofearth.orgDiseases DirectoryAstronomyEnvironmentEarthGlobal-WarmingActivistHealthMens-HealthWomens-HealthPollutionAir PollutionSoil PollutionWater PollutionPublicationGlobal Warming BookRecyclingGreen-GuideWildlifeWorldAgricultureEconomicNatural-DisasterTravel Sponsored LinksSponsored LinksSponsored LinksGreen Energy Projects to Damage EnvironmentDateMarch 15th, 2010 | AuthorMacProjects to develop renewable energy sources including solar and wind power are paradoxically damaging the environment despite their intent to cut CO2 emissions, a state-run think tank said.

The Korea Environment Institute said, “A solar power plant built in Bonghwa County, North Gyeongsang Province, that will cut carbon dioxide volume will produce a smaller value than the environmental value lost due to environmental degradation stemming from the project. Hence, 15 years of plant operation will cause 38.1 billion won (34 million U.S. dollars) in net value losses.”

Solar Power

The institute released the report “Evaluation of the eco-friendliness of renewable energy, and environmentally friendly development.”

Massive forestry damage, little gainsAccording to the report, the Bonghwa plant, which was built over thick forest measuring 1.43 million square meters, generates 140 megawatts of electricity daily. The effect of the power generated at the plant to replace that produced by fossil fuel, when calculated in the volume of carbon dioxide, is 21,728 tons.

The institute then converted the volume into the cumulative gains expected from the trading of carbon emission rights, and compared the figure to the value of damaged forests due to the construction of the plant.


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