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Tag Archives: Energy

The Russian Bear is Awake - Hold onto your Wallet

Moscow, with its recent attack on its former Georgian republic has caused concern across the world.  Russia is feeling strong, and is showing that it is no longer going to sit idly by as their former client states forge stronger relationships with the EU and the West.  This new found strength has been gained by becoming one of the world’s largest energy producers. The Russians now supply about 25 percent of the European Union’s crude oil needs and half of its natural gas.  But now Black Sea oil tankers that normally would be filling up with Baku crude, are anchored 15 miles offshore the Georgian port of Batumi, waiting for a cessation of hostilities.

Russia has demonstrated that its military is a force to reckon with, that it can defeat a Western-trained force, and that the West and NATO will not act to intervene.  Like during the Cold War, the West has limited ability to blunt Russia’s military agression.  Both sides know that an armed conflict between NATO and Russia is never going to happen.

After the fall of Communism, both Washington and the EU invested heavily in Russian energy production.  The result has been a network of oil and natural gas pipelines, ports, and tankers that can feed a million barrels a day to the world market. Washington has helped to expand and link that network directly to Europe, where Russia is currently the dominant supplier.  The multi-billion-dollar Baku-Tbilisi-Ceyhan pipeline that runs across Georgia is run by an international consortium, including American oil-giants Chevron and Conoco-Phillips.

Now, US taxpayers are about to get a double whammy.  Two government agencies, the Export-Import Bank (Ex-Im) and the Overseas Private Investment Corporation (OPIC), have made large investments in the Baku-Tbilisi-Ceyhan pipeline, lending money to private companies involved in the construction of the pipeline. Ex-Im Bank gave $160 million in loans, and OPIC has provided $100 million in “political risk insurance”.  If the pipeline is damaged or destroyed, these companies will be forced to write off these loans, and US taxpayers will be left to pickup the pieces.  That is a potential quarter of a Billion dollar bill that may come due soon.

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Average Americans Display PHEV Spirit

Today is Good News Tuesday.  After weeks and weeks of political squabbling about our current energy crisis, regular Americans are showing why our country is great.  American ingenuity and work ethic will drive our nation toward alternative energy sources and the goal of US energy independence, regardless of how hard the politicians try to get in the way. 

The Spirit of DC is a Plug-in Hybrid Electric Vehicle that is currently travelling all around America.  Called PHEV3A (PHEV All Around America), the goal of their country-wide tour is to show the nation that plug-in hybrids and electric vehicles are truly practical and are possible now, we do not need to wait for new technology to be developed.   The converted 2005 Toyota Prius has a battery pack that was added to the rear of the vehicle, allowing it to be charged from a regular electrical outlet.  This allows the Prius to run on all-electric power for a greater percentage of time, resulting in 100+ MPG. 

Imagine what a fleet of PHEV’s getting 100+MPG would do to our dependence on foreign oil.  Urge your elected officials to support tax credits for PHEV ownership, and ask them to help encourage our auto companies to quickly bring new PHEV’s to market.   Ask them to spend some of the existing $35 Billion in taxes that ExxonMobile paid last quarter on supporting alternative energy sources.  Toyota and Honda currently lead the field in electric hybrids, and if our auto industry truly does not want to become irrelevant, they need to quickly bring more hybrids and PHEVs into production immediately.

If you think you might be a potential sponsor you can contact PHEV3A’s Co-Chairs, Joseph Lado, at the virtual PHEV3A operations Center (Poc) by emailing joelado@yahoo.comand “on the Road” PHEV3A driver “EVJerry” Asher at EVisionA2Z@usa.net.  You can keep up to date on their progress at their blog.

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Why is your Electric Company Stealing your Money?

Our monopolized electric utilities are one of the major sources of energy waste in our country.  There is a built-in system that allows them to build larger and larger power plants, passing along those costs to the consumer.  Because most utilities make a fixed percentage on their total revenue, as mandated by local state utility commissions, the only way to make additional profit is to sell you more energy!  These utilities have no built-in incentives to help consumers lower their overall energy use, as that would clearly take away from their profits.

Like many energy and pollution related matters, California has been leading the way at solving these issues.  Often derided as wacky, California has provided much needed leadership in re-thinking the energy monopoly that the utilities control.  Some measures have failed, everyone remembers the rolling blackouts earlier in the decade, however in other areas they have had very positive results.

Specific new regulations allowed utility company profits to no longer be tied to how much electricity they sell.  This is often called “decoupling”, and allows utilities to take a share of any energy savings they help consumers and businesses achieve.  Now California utilities make money when their customers save money.

So why is this a big deal?  Now the utility can make investments in increasing energy efficiency, and make a profit on the long term energy savings.   For example if the utility spends $5 million to replace all state traffic lights with new high efficient LED traffic lights, they than can profit in the $10 million yearly savings, not only in the first year, but in future years as well.  This causes energy-efficiency investments to become just as important to the utility as building a new power plant.

Sound like a good idea?  Some experts are saying that the US could reduce our overall electrical usage by almost half if adopted nationwide.  This is a realistic, and actionable, way that we can move towards energy independence.  If you agree, call or write your elected officials today and tell them that you want the public service commission in every state to allow utilities to receive the same profits on energy efficiency as they are allowed to receive on generation.

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Bye, Bye, Nancy. Hello General David Petraeus

Time to push Nancy’s picture down the page. 

First off, I have the utmost respect for General David Petraeus, and I truly appreciate his service to our country.  We need more individuals with the strength and courage to fight for our country.   But….

Yesterday the General said “If you could reduce these sensational attacks further, I think you are almost approaching a level of normal or latent violence”.  Somehow using the word normal after 56 people are killed, hundreds injured, all due to four woman suicide bombers just does not seem appropriate.  Are we in a world where 4 people blowing themselves up is normal?  Are we in a world where 56 people killed in a bomb blast is normal?

I guess some folks would argue yes, however I personally feel that it was an unwise choice of words.   If we really want to get back to normal, we need to stop sending 800 billion dollars a year to the Middle East as payment for their oil.  Let’s become energy independent, and reduce our dependency on a group of people that hate us.

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Weekend with Nancy

Nancy Pelosi

Nancy Pelosi

Our Congressional leaders sure wanted us to know that they were working hard this weekend.   In scanning just some of the headlines in various publications, they kept using the phrase, “the Senate in a rare weekend session”.  Are they trying to make us think they are actually working hard for us?  Or do they feel sorry for themselves?

It all reminds me of co-workers who send email messages to the CEO at 2AM to “impress” him with how hard they work.  Give me a break…  Our elected representatives need to be working harder for us, they need to spend less time worrying about getting re-elected, and more time worrying about our nation’s problems.  And in my opinion, the issue everyone should be focused on is energy independence.

So what was Nancy Pelosi working on this weekend?  Uh, making sure that Congress does NOT vote… Instead of dealing with the issue of offshore drilling, House Speaker Nancy Pelosi (D-Calif.), a staunch opponent of well, everything, has simply decreed that she will not allow an offshore drilling vote to take place on the House floor.   So, why will she not allow a simple vote?

“What the president would like to do is to have validation for his failed policy,” said Nancy yesterday when asked that very question. “What we’re saying is, ‘Exhaust other remedies, Mr. President.’ . . .

We can debate if offshore drilling will solve our issues, but at least bring the topic up for vote.  Ignoring the problem, and hoping that other remedies just show up, is short-sighted, and anti-democratic.

Share your views here.

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