I’ve referred to this writer recently, but energy maven Marita Noon had a piece at NetRightDaily today talking about the difficulties customers in the Northeast may have this winter with electricity. It got me to thinking about the local situation, as we had a rough winter last year and indications are we’ll have more of the same this year.
While the Eastern Shore of Maryland is situated in a slightly better place for solar electricity than the Northeast, the reality is that very little of our electricity comes from renewable sources. Instead, the two closest power plants in the Delmarva Power region where we live are in Vienna, Maryland and Millsboro, Delaware. Both of those plants were once owned by Delmarva Power, but were sold in 2001 to NRG. According to NRG, the Vienna plant is a 167 MW oil-burning plant while Indian River in Millsboro uses coal to create 410 MW (and has a 16 MW oil-burning unit as well.) Another plant under construction in Dover, owned by Calpine, will add 309 MW of natural gas-fired capacity once it comes online beginning next year. Calpine also owns a number of small, locally-based “just in case” plants in the region as well – two of these oil-burning facilities are in Crisfield, Maryland and Tasley, Virginia.
The other regional power supplier, Choptank Electric Cooperative, produces about 2/5 of its supply from plants in Cecil County, Maryland and Virginia with the remaining electricity being purchased from various regional suppliers.
Infrastructure is also a concern. Several years ago there were plans to create the Mid-Atlantic Power Pathway, a transmission line which would extend from Virginia to Delaware, connecting the Calvert Cliffs nuclear plant and others in that region with the aforementioned Vienna and Indian River plants. But those plans were scrapped a few years ago due to slowing demand, which is unfortunate because our transmission otherwise comes exclusively from the north through Delaware.
In order to create good jobs, we need reliable sources of energy. Unfortunately, regulations aren’t on the side of plants like Vienna or Indian River so it may be time to think about encouraging investment in another natural gas-based power plant on Delmarva, with the requisite infrastructure to ensure supply. According to Calpine, the Dover site can expand to double its capacity but that would only partially replace the Indian River plant if it is forced offline. Realistically, though, the new power plant would probably be best sited in Delaware as it’s closer to the main body of pipeline infrastructure for natural gas.
But the new power plant is good news for the region, particularly in light of the issues Noon points out in her piece on the Northeast. With thousands of consumers using electricity to heat their homes in one way or another – either directly through baseboard heating or with a furnace and blower or pump – reliability is key. And when solar panels are buried in snow or wind turbines are frozen in place, they’re not much use.
Rather than talk about the executive amnesty that I fear the Republican leadership in Washington will find a way to accommodate, I want to show you how the other half lives.
Many months ago I somehow got on the mailing list of a liberal Democratic candidate named Rick Weiland, who ran and lost this month for the Senate seat in South Dakota. Senator-elect Mike Rounds crushed Weiland by 20 points in the election but for some reason Weiland still thinks he’s relevant and decided to take out his frustrations using the Keystone XL pipeline vote as the vehicle. While I took out the fundraising appeal links, this is still fun to observe:
The only crock bigger than the Keystone Pipeline is Senate Democrats dumping on our environment to try to save one of their own.
Talk about business as usual, talk about midterm lessons unlearned, talk about just plain stupid!
You’ve already lost the Senate. Polls show that Mary Landrieu, whose runoff election you hope to influence, has absolutely no chance of winning. So what do you do, backstab your president, our Native Nations and the entire environmental community on behalf of a pipeline that will not only not create jobs or any energy security, but will pour additional billions in profits into the hands of the big money special interests who just spent a fortune to crush your party at the polls.
That’s genius, DC Democrat style. And it is the reason my campaign is not over. In fact, it has just begun. As a political party, and as a country, we have one chance and one chance only. END THE HAMMERLOCK BIG MONEY HAS ON BOTH OUR POLITICAL PARTIES.
If you would be willing to help us, click here.
For 18 months we ran for Senate with little more than my videographer son Nick, myself, a lot of shoe leather, and the help of a handful of friends with more passion and skill than common sense.
I want to keep that team together, retire our small debt, and get back into the fight, right now. If the DC Democrats selling us out on Keystone XL doesn’t show why we can’t wait, what will?
Please, send just a few bucks and stay tuned. We may have gotten washed over by the same wave that drowned so many Democrats. But unlike them, we’re not rolling over, belly up and bloated, we’re fighting on.
We are going to make South Dakota a demonstration project, and a nationwide beacon for the fight against big money.
And if you don’t think that matters to you, think about this. Does Elizabeth Warren’s voice matter beyond the boundaries of Massachusetts, or Bernie Sanders beyond Vermont, or did Paul Wellstone make any difference outside of Minnesota?
If you can help, click here.
We have assembled a merry band of very low maintenance truth tellers out here on the prairie. Keep us going with a buck or two and you’ll get the most entertaining, noisy, truth to power megaphone in America. Maybe you’ll even get a new song or two!
So stay tuned. We are not done yet, and Keystone XL shows why.
The fight for a constitutional amendment and other reforms to drive big money out of politics and put the most constitutionally ignorant Supreme Court in American history back in the jack in the box from which it sprang has got to be won or it will be Keystone XLs and stolen Presidential elections as far as the eye can see.
Yes, this guy is apparently serious. Dude, you didn’t fall victim to a “wave” when you got less than 30 percent in a statewide election. Nor does Weiland admit that there were big-money donors on his side as well – then again, the guy is way out on the edge on some issues, like ethanol, so there will always be some who think he’s the best thing since sliced bread.
While Weiland has a point about the cynical political games being played in Washington, the problem isn’t the Keystone vote, the fate of Mary Landrieu, or any sort of political contribution. In fact, I would argue the Keystone XL pipeline would be the best bet for the environment because Canada is going to extract those tar sands whether environmentalists like it or not. We can pipe the oil underground in a vessel which would provide relatively trouble-free transport or we can ship it by rail car with the inherent safety risks. (Or Canada can pipe it to the Pacific coast and send it by tanker to China, which has its own set of perils.) To me, Keystone XL makes a whole lot more sense than growing corn to be fuel for the family SUV and not food for the dinner plate.
But I suspect Rick Weiland would have found something to complain about besides his dismal electoral record – he’s now lost statewide elections in 1996, 2002, and 2014. His “fight against big money,” though, is truly against the wrong source of that massive pile of cash – after all, we spend more on many other common items than all the 2014 federal campaign spending put together.
But the $3.7 billion spent on the 2014 election is a rounding error that’s a factor of about 1 to 1,000 what the federal government spends each year. THAT is the pile of money which we need to address by shrinking it to a more appropriate Constitutional size. As I see it, less money in Washington would lead to less incentive to spend a lot on campaigns.
The example of Weiland well illustrates how the other side feels. To them, it’s all about the feelgood issue du jour, whether its the Keystone XL pipeline, the Citizens United decision, or one of another hundred things where life is unfair and the only solution is bigger government. Yet we have tried it their way for over 80 years now and problems aren’t being solved. This is the question they need to honestly ask themselves: with their track record, is government the answer to problems or does it perpetuate those issues to maintain a reason for existence? To bring it closer to home, ask yourself what happens to the Chesapeake Bay Foundation if the waterway is ever cleaned up?
We have entered the era of the perpetual campaign, which in and of itself provides a reason for being. If government was truly practiced in the best interests of the people, the big news of the day wouldn’t come from Washington or the state capitals but from the achievements of the common man which still occur throughout our nation. Getting money out of politics isn’t the answer – the solution really lies in rightsizing our government.
There are actually a couple things I want to tie together in this piece – they may seem disparate at first, but I think there’s a common thread in something I write about on a frequent basis.
For a guy whose party took a good old-fashioned ass-kicking in the midterms, Barack Obama sure is governing like he didn’t hear any of the voters, whether they showed up or not. We may like these gasoline prices which are the lowest they have been through his time in office, but he’s still determined to decimate our economy in the name of combating global warming. It was a point Peter Ingemi (aka DaTechGuy) made with some hashtag and messaging suggestions today.
In order for our economy to grow, we need to use energy. Like it or not, the vast majority of energy sources for our needs in the near-term future will be fossil fuels – thanks to advances in technology, oil and natural gas prices are reasonably cheap and supplies are plentiful.
And even if you say that cutting our greenhouse gas emissions is a worthy goal, we still are allowing China – you know, that country which seems to send us every product under the sun that’s not made here anymore because manufacturers bailed on America a couple decades back – to continue to increase its emissions. They say they would like their emissions to “peak” around 2030 – of course, that’s no iron-clad guarantee and since when have communists ever told the truth or lived up to an agreement? It’s a ‘get out of jail free’ card for the Chinese and it lasts for 15 years – meanwhile, we cripple what little industry hasn’t abandoned us yet due to shortsighted government policies and the obvious feeling that corporations are cash cows for exploitation to increase spending.
So, just like Obamacare has become the descriptive term for bad health care policy, “Obama China deal” and “Obama EPA regulations” should become part of the political lexicon. Admittedly, it doesn’t roll off the tongue quite as well as Obamacare but all three are detrimental to our economy.
EPA regulations restricting the use of fossil fuels would interrupt what’s been a promising rebirth of an American energy industry many thought was dying just a few short years ago. Instead, they are at a point where the need for workers is great as the industry continues to expand, and writer Marita Noon hit upon a great marriage of supply and demand just in time for Veterans Day. As she notes:
The U.S. oil-and-gas industry has added millions of jobs in the past few years and expects to add more and more—especially with the new energy-friendly Republican-controlled Congress. Just the Keystone pipeline — which is now likely to be built — will employ thousands. Increased access to reserves on federal lands will demand more personnel. But finding potential hires that fit the needs of the energy industry in the general labor pool is difficult, as they lack discipline, the ability to work in a team and, often, can’t pass a drug test.
Obviously our veterans have these qualities in spades thanks to their military experience, (Similarly, veterans have been integrated into a successful local construction firm led by one of their own.)
The question of climate change isn’t one of whether it occurs, as our planet has veered between ice age and warm periods ever since its creation untold eons ago. It’s always been one of responsibility and corrective action – my view is that the sun is the prime driver of the climate and we can’t do a whole lot about that fact. Just the fact that global temperature has held near-steady over the last 18 years and not constantly risen with the amount of carbon emissions punches a hole in a lot of the global warming theory, and is a prime reason they’ve gone to the term “climate disruption.” If we ceased using energy tomorrow it wouldn’t make a dime’s worth of difference to the climate but millions would starve.
Fortunately, what Obama has proposed with China isn’t binding until the Senate says so and a climate deal is probably dead on arrival in a GOP-controlled Senate. But the EPA and other regulators can provide a backhanded way of putting our end of the China deal in effect without lawmakers having a say.
In a proposal that’s wrong on so many levels, the Baltimore City Council passed a surprise measure to ban plastic grocery bags beginning next April, according to the Baltimore Sun and their reporters Yvonne Wenger and Luke Broadwater. Perhaps most interesting to me was the fact they were originally going to slap a nickel fee on each bag but changed their mind based on election results:
Baltimore Councilman James B. Kraft, the bill’s sponsor, said he backed off the idea of charging a fee for plastic bags after last week’s election. He noted the victory of Gov.-elect Larry Hogan, a Republican who frequently criticized Democrats for passing too many taxes and fees.
“Last week’s election around the country showed us two things: People care about progressive issues; and they do not want to pay any more taxes or fees. We got the message,” Kraft said.
Naturally, the ban would induce an additional cost on businesses because paper bags are more expensive than plastic ones.
I actually heard about this a week or so ago. I’m on the mailing list of a company called Edelman Digital Public Affairs, and one of their clients is a plastic bag manufacturer, Novolex. They’re a little behind the times with this page, but apparently the proposed ban caught a lot of people off guard.
Yet a bag tax isn’t unprecedented in the region. Washington, D.C. put a nickel-per-bag tax out in 2010, and Maryland legislators considered this same measure shortly afterward. There wasn’t a push to ban them outright until now, though.
Can plastic grocery bags cause unsightly litter? Yes. But on balance they are far more useful than paper bags and more sanitary than reusable bags that have to be washed occasionally. (Frugal people like us haven’t bought a liner for our little wastepaper baskets in years because plastic grocery bags work just fine, so we are recycling.)
To me, it’s just another intrusion of the nanny state, and an indication that Baltimore City Council has its priorities wrong: with joblessness, crime, and failing schools plaguing the city, you’re worried about plastic bags? Yet with its margin of passage in this reading, even an expected mayoral veto would do no good.
Hopefully cooler heads will prevail next week, but I’m not holding my breath.
Unfortunately, I can’t make the event with my work schedule but I was asked to at least spread the word.
Christopher Summers of the Maryland Public Policy Institute invited me to a Maryland Policy Forum on A Better Way to Restore the Chesapeake Bay, to be held Tuesday night (the 28th of October) at Washington College in Chestertown. (It would be a close trip for my friends and fans up Cecil County way.) The event is billed this way:
Maryland officials expect that it will cost over $14 billion in the next decade to meet EPA pollution mitigation targets for the Chesapeake Bay by 2025. Yet Maryland has pointedly ignored a single, enormous source of the pollutants—the massive amount of water-scoured sediment and trapped nitrogen and phosphorus behind the Susquehanna River’s Conowingo Dam. Periodic discharges from the dam, such as the one following Tropical Storm Lee in 2011, spill enormous amounts of sediment and nutrients into the Bay, dwarfing the most optimistic cleanup targets that have been set for the watershed.
What should Maryland do to reduce Chesapeake Bay pollution, and is current policy too much or too little?
In looking at the bios of the three panelists and moderator, it looks like a good mix of opinions will be had. Of course, there are those who believe the MPPI will put its thumb on the scale for the conservative side but it’s a side which isn’t often listened to in this state.
Personally I believe the cleanup behind Conowingo should take precedence over the regulations which have been adopted. Ditch enforcement of these tier maps, the seven-lot subdivision limit, and septic regulations which only serve to curtail growth in rural areas of the state like the Eastern Shore until the sediment behind that dam is cleaned up and we have a year or two of testing to see the difference. Instead of picking on agriculture, figure out ways to upgrade the real problem: failing urban sanitary sewage treatment plants.
I doubt either of the two candidates for governor will be there, but I think Larry Hogan should send a surrogate to hear what the MPPI and their panelists have to say. Obviously job creation is the key issue in this election, but a different, localized approach to cleaning up Chesapeake Bay would be a good secondary issue to discuss in the waning days of the campaign.
As I noted the other day when I broached the subject, more than a dozen candidates shared the stage for a forum sponsored in part by the Coastal Association of Realtors and the Salisbury Independent newspaper. In this first part, I’ll discuss some of what the county candidates said.
First, the contenders:
For County Executive, two-term incumbent Rick Pollitt faced off with challenger County Councilman Bob Culver. Pollitt was elected in 2006 as Wicomico County’s first County Executive and narrowly won re-election over Republican Joe Ollinger in 2010. Bob Culver lost in a three-way Republican primary in 2006 for County Executive to eventual nominee Ron Alessi and B.J. Corbin before rebounding to win an at-large County Council seat in 2010.
Culver’s seat is being sought by two who join Republican Matt Holloway in attempting to win one of the two at-large County Council posts. Holloway was elected to County Council in the same 2010 election that brought Culver back; ironically those seats opened up because the two incumbents decided not to continue. One of those two was John Cannon, who unsuccessfully ran for the General Assembly in 2010 after one term on the County Council from 2006-10. Now John seeks a return after a four-year hiatus, noting that being a Council member was his “lifeblood.”
The lone Democrat seeking one of the two at-large seats is current Salisbury City Council member Laura Mitchell. Mitchell has served on the City Council since being elected in 2011.
(While there are 7 contenders for the five district Council seats, the forum only covered the pair of countywide posts.)
In the County Executive race, the two contenders disagree on a lot but agree that they would have “stark contrasts” in their approaches to governing. For example, when asked what the most pressing issue was, Culver was blunt: it was the loss of jobs over the last 18 months. (In the July 2013-July 2014 period, BLS statistics show Wicomico County lost 429 jobs as its labor force fell by 649.)
On the other hand, Pollitt asserted we were still in a recession and pleaded that “we have to rebuild our community.” He went on to describe how the needed to “leverage assets” like Wallops Island, Virginia, the port of Salisbury, and the Salisbury-Wicomico Economic Development organization. It was part of a required overall strategy for the “new normal,” added Pollitt.
When it came to whether additional tax increases would be required, Pollitt pointed out that the property tax rates had to increase just to stay even – four cents of the five cent increase this year simply brought us back to constant yield, with the other penny being allowed under the revenue cap. Four of of six Republicans voted for this tax increase, which was the “only responsible thing” to do.
Culver wasn’t one of those Republicans, though. He contended the county needed to go back to zero-based budgeting and trim the fat one step at a time. “Right now the time is not for a tax increase,” said Bob. “We have to do it from a business aspect.”
Another bone of contention came in the question about how best to assist realtors. Culver argued that dropping the county’s impact fee had resulted in 54 new homes being built in Wicomico County, and pointed out that there was only 16% of the county’s land mass which could be developed and we had just 3 percent to go.
Pollitt shot back that the impact fee change was part of the overall budget Culver opposed, restated that government needs to provide services and reminded us that five of the seven Council members had been correct in voting for the budget.
Rick closed with a familiar theme of “building community,” noting as well his role as the Maryland Rural Counties Coalition legislative chair and in the Clean Chesapeake Coalition. The more plain-spoken Culver repeated his assertion that “I think Wicomico County government is broken.”
If you look at it stylistically, Pollitt is a sharper debater. But the approach he’s taken over the last few years has been pragmatic by circumstance rather than by choice. And since the zero-based budgeting Pollitt did as city manager of Fruitland and promised early on doesn’t appear to be the case now – because it’s a campaign issue – and he whined early on in his tenure about the voter-installed revenue cap, one wonders what the budget and tax rate would be if not for the recession.
Rick Pollitt often talks about what he calls “quality of life” issues. But it has to be asked whether our quality of life is better when job numbers are going the wrong way.
The County Council members were asked a different set of questions. One of them was on how to take the good things happening in downtown Salisbury and jump start the area outside the metro core and the other dealt with thoughts on the comprehensive plan.
John Cannon got first shot at the former question, and he opened by praising the “refreshing” leadership of Salisbury City Council president Jake Day. But he believed the county had the responsibility to create its own environment for growth, and Cannon wanted to bring together the major players on a quarterly basis.
As far as tier maps went, John believed it was an argument of local vs. state control and was hoping for relief with the new administration, presumably a Larry Hogan one. He also advocated for enhanced transfer of development rights and perhaps even a wastewater treatment authority. He also noted that he had pushed for a reduction in impact fees six years ago when he was on County Council.
Matt Holloway outlined some of the accomplishments the county has achieved since he came on board: decoupling the personal property tax rate from the real property tax rate, phasing out the inventory tax, and making the manufacturer’s tax exemption automatic. He suggested a focus on public relations and enhancing our one-man economic development team.
Holloway also believed the comprehensive plan needed a “fresh set of eyes” with his goal being that of not impacting property values. But Matt cautioned that the state “has the trump card” under the law. They could help us with our septic issues, however.
Because she is on City Council, the initial question was right in Laura Mitchell’s wheelhouse: “That is why I’m running.” She wanted to translate Salisbury’s excitement to the county and talk about the positive things. She also thought the idea of an EDU bank, which allocates unused sewage capacity that developers donate back to the city, had merit on a countywide level.
Unfortunately, while it is “convoluted, to say the least,” Mitchell dropped the ball on even a rudimentary understanding of the tier maps. She advocated for infill development and sustainable growth, while addressing the double taxation and foreclosure issues in response to the realtors’ question.
Mitchell stressed her accounting background and budgeting experience as the key reasons to vote for her, portraying herself as sort of a budget nerd. But I found it interesting that the city budget had increased for three years in a row before finally declining this year. It’s still almost 7% higher than it was in FY2011, when she won election. (The first budget she would have approved would have been FY2012.)
And while you can’t expect expertise on every issue, her befuddlement on the tier maps was a bad sign.
It’s interesting that tier maps are an issue in this county, which now labors under the state’s default position that lots of any size can’t be subdivided into more than seven lots. Unfortunately, no county has found someone aggrieved enough by this terrible law that they could have standing to sue for the law’s nullification. (It’s doubtful the Democrats in the General Assembly would consider a repeal such as that tried in 2013.) Much as I’d love to force the state to pound sand, I’m not an injured party.
But there can be steps taken in the right direction. If we must have a tier map, the amount of land placed off-limits to development should be minimized because to do otherwise is an infringement on private property rights.
And while downtown development is indeed encouraging, the best way to replicate it isn’t to precisely duplicate it. While entertainment districts are nice, we need more industrial districts, more transportation hubs, and more encouragement of overall development. We shouldn’t shackle ourselves to one approach, either – if Chesapeake Shipbuilding, which isn’t exactly a glamorous company but a useful one that actually is seeking tradesmen, needs something to create another 150 jobs, that should take priority over yet another entertainment venue that may create 20 or 30.
Part 2 tomorrow will look at District 37 races.
Thousands of AAA members across Maryland received an e-mail blast encouraging them to vote for Question 1. In it, the group’s VP for public and governmental affairs, Catherine Rossi, writes in part:
Over the last few years Maryland elected officials have “borrowed” over $1.5 billion dollars from your gas taxes, vehicle registration fees and other sources that were intended for local transportation improvements. Unfortunately, over $1 billion was never repaid and as a result, many local transportation projects have gone unfunded.
Year after year, many of our roads and bridges have been rated poor or in sub-standard condition, as Maryland motorists face some of the worst traffic congestion in the United States. While the State has a long list of state and local projects that would help improve safety and mobility and reduce congestion, these projects could all be derailed if Maryland fails to protect the Transportation Trust Fund, which is why it is so important that you vote FOR Question 1. (Emphasis in original.)
While it’s a compelling argument and outlines the principle of the problem, where I take issue with Question 1 is the substance.
But let’s begin by looking at the other source of the road funding problem. In 2012 it was noted that mass transit takes up 48% of the highway budget, compared to 23% for roads. Simply reversing that proportion would likely have alleviated the need for the additional gas tax passed in 2013 – a gas tax which may provide less income than expected because prices have retreated below $3 a gallon for the first time in a few years. Unfortunately, powerful political interests wanted to construct some useless light rail lines so it looks like we’re going to get them.
And those powerful political interests have enough allies in the General Assembly to make a “lockbox” comprised of a 3/5 majority all but worthless. In actual numerical terms, that’s 85 House members and 29 Senators and as long as the majority party exceeds those numbers there won’t be any sort of taxpayer protection in the TTF.
I know there’s an argument that says I shouldn’t let the perfect get in the way of the good, and just having a lockbox is a good step – basically echoing the AAA contention. But to me voting no sends a message that the proposal is not good enough. We should hold out for a “lockbox” of at least 2/3 – I’d prefer it to be 3/4, meaning that at least some GOP votes would be required. If we pass it this time, the issue will never be revisited, I guarantee it.
If I could trust the majority party any farther than I can throw it, that would be one thing. But I’ve seen the definition of some things they consider “emergency” legislation and there’s potential for abuse here.
If you’re messing with the Maryland Constitution, you should at least do it right. Vote NO on Question 1.
And now a programming note. Instead of burying my forum coverage on a weekend, I’m going to look back at that Monday through Wednesday – just in time for early voting. Tomorrow I have a music review slated and Sunday I’ll detail a special event I attended Thursday night.
In the midst of what’s good news about energy production in America – despite the headwinds created by an administration that believes global warming is a large problem while spending millions to prop up failing green energy companies – the question can be asked whether Maryland has achieved its share. I want to quote writer Mark Green from the Energy Tomorrow blog, who writes that based on Energy Information Administration data that:
This is a snapshot of America’s energy revolution – the fundamental shift from energy scarcity to abundance that would have been unthinkable less than a decade ago. The shift is the result of surging oil and natural gas production using advanced hydraulic fracturing and horizontal drilling, harnessing oil and gas reserves in shale and other tight-rock formations. Safe, responsible energy development has made the United States the world’s No. 1 natural gas producer, and the U.S. could become the world’s top producer of crude oil related liquids before the year is out.
Larry Hogan has acknowledged that western Maryland has an “enormous” amount of natural gas and that he favors an “all of the above” energy policy. On the other hand, Anthony Brown is studying the issue to death. At the other end of the state and scale, Brown backs his boss’s offshore wind boondoggle while Hogan mentions that “proponents (of wind power) rarely mention the actual costs which include billions in state and federal subsidies.” In a separate statement, he also decries the potential for offshore wind’s “crony capitalism” under a Brown administration.
You know, there’s no question that the key issue in this gubernatorial race is the economy. Maryland is a state lagging behind its peers, and more and more people speak about pulling up stakes and relocating somewhere else: Delaware, Florida, Virginia, the Carolinas, Tennessee – name a state south of the Mason-Dixon Line and it’s likely someone you knew in Maryland moved there.
But one piece of the puzzle is energy, and those who toil in the oil and gas industry understand what the potential is. In his piece, Green closes by quoting American Petroleum Institute president and CEO Jack Gerard:
We need leaders who reject the outdated political ideology of the professional environmental fringe and the political dilettantes who advance the irresponsible and unrealistic “off fossil fuel” agenda. Because if we get our energy policy right today, we can be the generation that erases what for decades has been our country’s most potent and intractable economic vulnerability: dependence on energy resources from less stable regions and countries hostile to our goals, ideals and way of life.
Writer Rob Port at the Say Anything Blog also asks the pertinent question, and the answer on a state level can be found in Maryland.
I look at it this way. There was a governor and a majority in the General Assembly who were willing to risk over a billion dollars in ratepayer money on something which studies suggested might work but hadn’t been tried in Maryland before, offshore wind. Conversely, given the success of the Marcellus Shale formation in several surrounding states (most notably Pennsylvania), why not encourage the exploration of several other regions in the state which share many of the same characteristics? The worst that can happen is that we find these areas aren’t worthwhile for natural gas with current technology, but the rapidly evolving science of energy extraction means studies done even as recently as a few years ago may be rendered worthless.
Given the correct conditions for marketable extraction of coal and natural gas and an aggressive expansion of power plant capacity which uses those resources, it should be a goal to make Maryland self-sufficient in electricity by 2030. I don’t think offshore wind will get us there, but extracting those resources we have gives us a shot, and provides good-paying jobs for Maryland families who need them.
Yesterday I pointed out the voting records of the two men who wish to represent those of us who live in Senate District 38, but another thing I alluded to was the disparity in amending bills. Granted, it’s rare that Democrats have to make floor motions because much of their work can be done as a collective at the subcommittee and committee level; moreover, Senator Jim Mathias sits on the Finance Committee and that committee reviewed the smallest number of bills among the four main committees in the Senate (Budget and Taxation; Education, Health, and Environmental Affairs; Finance; and Judicial Proceedings.) All but the Senate President serve on at least one of those committees. Some members also sit on either the Executive Nominations or Rules committees, but Mathias isn’t among that group.
As I pointed out, often the only way a member (particularly a Republican one) has to amend a bill going through a committee he’s not part of is via the floor and McDermott has done so on many occasions.
But another thing Mike does well is communicate with constituents, and he also has a good way of getting to the root of the issue. Take this recent example, part of a piece he wrote called “Politically Correct Farming”:
Farmers have always been the first conservationists, even though they are often the last one to get called to a “Round Table Discussion” when policy is being crafted. Those “Round Tables” are reserved for election years. Ask any farmer about fixing the Bay and they will first point to the Conowingo Dam. The next point will be to the metro core area septic plants. They would also point out that the farming community is way ahead of the mandated time lines already placed upon them by the government.
The fact is, we do not need any further mandates on the shore. We need action in the areas that are creating the problem! The areas of the Bay which receive the best environmental scores are those adjacent to the Eastern Shore; and they rest next to the shore county (Somerset) that has the highest number of poultry operations in Maryland. Go figure!
Our water does not travel from lower shore rivers into the upper Bay regions, rather it moves toward the Atlantic. In spite of the obvious, farmers are an easy lot to blame; and politicians often do so with food in their mouths.
It should be obvious that poor water quality at the Bay Bridge isn’t being caused by a Somerset County poultry farmer, but from an Annapolis point of view untreated chicken waste flows as if magnetized toward the otherwise-pristine waters of the Annapolis harbor.
Or how about another case, this regarding gambling. McDermott called this the “Capitulating vs. Negotiating” piece, from which I excerpt:
For several years, Worcester County and Ocean Downs Casino have been paying off Baltimore City and Prince George’s County. All of that money could (and should) have been utilized for local spending. When I was elected in 2010, I was keenly aware of this wealth transfer and I looked for a mechanism to bring it back home where it belonged.
That opportunity presented itself in 2012 during our 2nd Special Session when the expansion of gaming was being sought. The issue was no longer about whether or not we would have gambling, rather it was about allowing a 6th casino to be built in Prince George’s County at National Harbor. Gambling was no longer the issue.
This bill originated in the Senate and once again, I noticed that the payoffs to Baltimore City and Prince George’s County were still embedded in the legislation. There was no attempt by Mathias to remove these provisions from the bill.
When the bill arrived in the House, the Democrats were hunting for insurance votes to pass the bill. I took advantage of the situation and spoke to the leader on the bill about the possibility of my supporting it. My demand was straightforward: return the local impact money to the citizens where the casinos are located. Depending on revenues, this could amount to $2 million each year that would remain on the lower shore.
To our benefit, they agreed to amend the bill and cut out the funding for Baltimore City and Prince George’s County as soon as Baltimore’s casino was open for business. In turn, I cast a deciding vote for the National Harbor expansion. The amendment was introduced by Delegate Dave Rudolph (D-Cecil) whose county also benefited directly from these local impact grants staying on the Upper Shore in Cecil County.
I could not help but see the irony of these two separate votes from two Delegates representing the same area:
- Mathias casts the deciding vote that brings gambling to Maryland, establishes a casino in Ocean City’s backyard, and agrees to give Baltimore City and Prince Georges County $2 million of our money every year.
- I cast the deciding vote that expands gambling to Prince George’s County alone and only after seeing the bill amended to strip Baltimore City and Prince George’s County from receiving one dime of our local impact money (returning $2 million to the Eastern Shore.)
Let me state for the record that both voted for this bill, a stance with which I disagreed because it punted this responsibility to the voters instead of in the General Assembly where it belongs. One could argue that McDermott sold his vote, or it can be termed horsetrading. But what horsetrading have we received from Mathias?
I also wanted to see what those on the other side of the political spectrum think. This is from a blog called Seventh State, which is a liberal site. In handicapping the 38th District races, David Lublin wrote back in March:
Backed by Rep. Andy Harris, one of my Eastern Shore sources describes McDermott as “to the right of Genghis Khan” on both social and fiscal issues. No one would confuse comparatively moderate Mathias with a Western Shore liberal but the difference between him and McDermott cannot be missed.
Actually, I would pretty much confuse Mathias with a Western Shore liberal given the preponderance of his votes. But honestly I don’t think the 38th District at large would truly mind “to the right of Genghis Khan” because it’s a conservative district. (It’s also an interesting comparison given what we know about the Mongol ruler.) Ours is also a district which chafes at the influence of Annapolis in its affairs, and considering Mathias has received a large portion of his six-figure campaign account from PACs and out-of-area donors, you have to wonder which of these two would be fighting out of our corner.
In a recent PAC-14 interview, McDermott said, “(W)e need leaders from the shore to go up there and represent our values.” Having heard Mike McDermott speak on a number of occasions, I think he would be a great addition to the Senate because he has shown over the last four years that he does the better job of that than his opponent.
Jim Mathias is a nice guy, but in this instance nice guys should finish last.
It took a few days for word to filter out through the local media, but I was very pleased to see Larry Hogan borrow a phrase which has become a rallying cry to some here on this side of the Chesapeake. According to Gail Dean of the Dorchester Star:
For the past eight years in Annapolis, Hogan said, “There’s been a war on rural Maryland. There’s been a war on the Eastern Shore and there’s been a outright assault on watermen and farmers” and other small businesses.
Dean describes what Hogan said about watermen and farmers, and they were all very good points. But those only cover a few fronts on the War on Rural Maryland and its impact on the Eastern Shore.
For example, let’s start a conversation about private property rights in this state. Due to the ill-advised Senate Bill 236 of 2012 – better known as the septic bill – counties are forced to either draw restrictive tier maps or endure an even more draconian rule on subdivisions cast upon them by onerous state law. In 2013 there was an effort made by local Delegates to repeal the so-called “Sustainable Growth and Agricultural Preservation Act of 2012,” the original of which incidentally was sponsored by a Governor who was a former mayor of Baltimore and five Senators from suburban districts. What they know about either sustainable growth or agricultural preservation is probably less than the intelligence of the average farmer or waterman’s pinkie finger.
(It should also be noted that Norm Conway voted FOR Senate Bill 236 [and against farmers] and so did Jim Mathias on the original Senate third reading. He changed his vote to no on the conference bill, perhaps because he knew what the fallout would be.)
Obviously my question is whether Hogan would look to repeal that bill, or make other moves to restore county autonomy in zoning. I know Hogan is gun-shy about repealing law already in place – and yes, that phrase was intentional – but he should know downzoning isn’t popular in local farming circles. Another whisper for Hogan’s “open ear” on that same front would be a moratorium imposed on new Chesapeake Bay regulations until after the Conowingo Dam sediment cleanup is complete.
Now, as far as the War on the Eastern Shore, I think one step in assisting us would be to waive the sales tax for the nine counties on that side of the Chesapeake in order to better compete with sales-tax free Delaware. (All but one of those counties shares a border with Delaware.) If the state can have the precedents of tax-free days for school clothes and various regulations which only apply to certain counties or regions, I think this is one way of jump-starting the local economy and encouraging growth in a region which generally lags the state in employment. It’s also an idea which has been tried and failed in the General Assembly on several occasions, so perhaps it needs a gubernatorial champion. And wouldn’t it be neat to see the phrase “By Request – Administration” on some good bills for a change?
So I’m glad Hogan gets it as far as Eastern Shore matters are concerned, because we would likely never reach our potential under a third term of Martin O’Malley in the guise of Anthony Brown.
No, I’m not talking about a political figure today. Instead, I received an e-mail from the American Wind Energy Association telling me about the state of the wind industry and how its costs are falling rapidly. (This blog post at Into the Wind, the AWEA blog site, has the same information.)
If you look at points 1 through 4, they make varying amounts of sense. With the maturation of the market, it’s no stretch to assume that costs would go down just as they would for any technology. Personally, though, I disagree with the premise that additional carbon emissions are necessarily bad, particularly when the idea is to blame them for climate change. Nearly two decades of steady temperatures combined with the increasing emissions seem to me a fairly good testament that increasing emissions aren’t the problem.
It’s point number 5 that’s the payoff for me, because I knew it would be coming sooner or later.
5. Policy support is still essential for the U.S. to keep scaling up renewable energy
The Lazard study also highlights the need for clear, long-term policy support for renewable energy. While projects located at some of the best wind resources in the country are now cost-competitive, it notes that this is still not the case in most regions. The most recent expiration of the Production Tax Credit (PTC) resulted in a 92% drop in new wind projects from 2012 to 2013.
The PTC helps correct for flaws in our electricity market design that do not value wind’s benefits for protecting the environment and consumers. Wind energy creates billions of dollars in economic value by drastically reducing pollution that harms public health and the environment, but wind energy does not get paid for that even though consumers bear many of those costs.
Wind energy also protects consumers from price increases for fuel, but that is not accounted for in the highly regulated electricity market because other energy sources get to pass their fuel price increases directly on to consumers who have little choice in the matter.
Policies like the PTC correct for those market failures to reach a more efficient market outcome. The PTC has expired, however, for any project not started by the end of last year. An extension is now urgent to avoid shutting down the U.S. manufacturing base, and to ensure that more wind farms are built so that more consumers can benefit from these record low prices.
Yet what if the lack of subsidy isn’t a market failure as they describe? In the original blog post there’s a graphic which shows that every time the tax subsidy is cut, the amount of wind capacity installed plummets. Between that subsidy and the various renewable portfolio standards enacted by many states (including Maryland) it seems to me they artificially prop up the wind energy market, which can’t stand on its own otherwise. This approach is the same argument which posits a carbon tax is necessary because fossil fuel users aren’t paying for the supposed destruction of the environment and public health they create, but discounts the increased standard of living brought on by the usage of reliable sources of electricity to, among other things, improve public health.
Another thing worth pointing out about these studies and reports is that they look strictly at land-based wind turbines. While they are falling in price, researchers around the world are finding that residents nearby are complaining about a litany of health issues derived from the constant noise. Naturally, naysayers would contend that other methods of power generation, such as fracking, also have ill effects but these are anecdotal as well.
So while offshore wind would seem to be a solution, the cost is far more prohibitive. Maryland’s 2013 offshore wind bill, for example, subsidizes the effort through both an increase in the required renewable energy portfolio and $1.7 billion in direct subsidy over 20 years, parceled out as an $18 annual surcharge to residential consumers and a 1.5% hike for businesses. (A business paying $1,000 a month, such as a restaurant, would have to add $180 a year.) Naturally this doesn’t take into account the penchant for our General Assembly, once a new tax or surcharge is enacted, to declare it’s not enough and raise the tariff accordingly. I give it no more than 5 years before someone demands to raise the fee to $30 or $40 annually and hike commercial users up to a 2% or 3% a month surcharge just to keep the business in Maryland’s waters.
It would seem that wind power is a logical way to create electricity in certain locations and situations, but for general use it has the drawback of not being as strictly reliable as fossil fuels are. The fact that we have to create a renewable energy portfolio tells me that the market has otherwise spoken.
We really haven’t heard about this as an issue for the 2014 election, but I would presume the Brown administration would continue on this path as they promise to:
Expand our renewable mix with investments in (read: subsidies for) Maryland-based solar and wind, which can both create new jobs and reduce air pollution that affects the health of everyday Marylanders.
It would be my hope that Larry Hogan would revisit this effort, backing legislation to eliminate this expensive renewable energy portfolio and repealing the prospect of higher electricity rates come 2017 – at the very least, recast this scheme as an opt-in program just like consumer choice has already created with companies like Ethical Electric, which I wrote about last year. Let the market decide how much it wants to support the renewable energy boondoggle, and how many of us simply crave the reliability of knowing that when we flip the switch, the light will turn on.
You know the other side has nothing in their bag of ideas when you see this recycled old chestnut of an appeal for cash:
This from the side with a President who regularly finds millionaires willing to fork over big bucks to get their slice of the government pie.
But I presume these guys are counting the Americans for Prosperity as part of the “hundreds of millions of dollars,” which is funny because while reports attempt to spin the news that the Koch brothers are raising up to $290 million to spend, it’s not like Democratic backers like Tom Steyer and the venerable George Soros are standing still.
Yet what do all these participants stand for? In the case of Soros, he’s donated millions over the years to reliably left-wing causes and opined after the 2010 election wipeout that Barack Obama didn’t fight hard enough for cherished progressive causes. Instead:
While Soros’s comment gave some attendees the impression that he’d cheer a primary challenge to the president, the point, sources say, was different. Rather, it is time to shuffle funds into a progressive infrastructure that will take on the tasks that the president can’t or won’t take on.
“People are determined to help build a progressive infrastructure and make sure it is there not just in the months ahead but one that will last in the long term,” said Anna Burger, the retired treasury secretary of SEIU. “Instead of being pushed over by this election it has empowered people to stand up in a bigger way.”
“There was frustration,” said one Democratic operative who attended the meetings. The main concern was about messaging. I think they are frustrated that the president isn’t being more direct. But I did not get the sense that anyone’s commitment to the progressive movement was wavering… The general consensus is that support has to move beyond being about one person and more about a movement. I don’t know if we’ve moved beyond there.”
One of those “movement” ventures is an outside-government arm to match conservatives in the 2012 elections. For several weeks, discussions have been led by Media Matters for America founder David Brock about the need to create a group that will run advertisements, conduct opposition research and perform rapid response functions. (Emphasis mine.)
As an example of this concept, just look at the movement to increase the minimum wage. I don’t think the SEIU is doing this by themselves.
In Steyer’s case, he’s out pushing for the extinction of fossil fuels, despite being a major benefactor from them over the years. (This would be a fun debate to watch.) Imagine the increase in costs and decrease in living standards a wholesale overnight embrace of renewables would cause. Until we can make the sun shine and the wind blow steadily 24 hours a day, we have a problem. (In terms of naturally occurring energy gathering, it would seem hydroelectric would be the best choice, but that’s also climate-dependent: a drought would dry up supply.)
So consider what the Koch brothers have helped to create: the Cato Institute, a libertarian, small-government think tank and Americans for Prosperity (who would be against prosperity?) They also built up the family business and became billionaires in the process – isn’t that the American Dream writ large? (They also support other causes, as this tongue-in-cheek post notes.)
If the Democrats have to use the Koch brothers – who built a successful life for themselves with a minimum of government assistance and would like others to follow in their footsteps – as an example of evil because they support Republicans, we know they have nothing.