With the whole Trump transition, controversy over various nominees, and other distracting background noise, there are a lot of subjects which have been placed on the back burner – one of them is renewable energy.
I noted a few days back that two pipelines stalled under the previous administration were kicked back into gear once Trump came into office, but at the very end I alluded to two battles shaping up in the Maryland General Assembly. One was the overturning of Governor Hogan’s proper veto of the “sunshine tax,” which I discussed a lot on the Facebook page of the Maryland Climate Coalition (a motley crew of environmentalist wackos, leftist faith-based groups, and a union or two.) The other is their misguided attempt to ban fracking in the state (SB740/HB1325) which has 23 of the 47 Senators as co-sponsors and over 60 members of the House of Delegates. (Think of the sponsor lists as a handy guide for voting for their opponents in 2018.)
A couple days later, I received an e-mail from someone at the National Council for Solar Growth (NCSG), which I gather is a non-profit because she wrote “We’re in a dash to get as much exposure as possible in fear that our funding may soon be pulled. :(” According to their website, they are a 501 (c)(3) organization “with a mission to educate homeowners and businesses about the economic and environmental benefits of PV solar,” and some of the benefactors listed are the Departments of Energy and Housing and Urban Development, along with the Global Solar Council and PACENow, which is a financing mechanism that adds an assessment to your property tax bill.
One thing that is worth reading on their website is a case study on return on investment, using a home in Massachusetts as an example. This family spent $55,000 on a 10 kW system, which is probably double the amount some homeowners would require. But once you knocked off rebates, tax credits, solar renewable energy credits, and net metering, supposedly the cost came down to just under $30,000. Realize, of course, most of this “savings” is a subsidy by state and federal governments. In Maryland’s case, the “sunshine tax” that Hogan vetoed would increase the number of solar renewable energy credits utility companies have to purchase – basically they created an artificial market where none existed. In the case of this Massachusetts family, their upfront cost was defrayed by $3,725 and it would continue at that pace for another nine years.
All told, the family would put in about $30,000 but taxpayers and ratepayers would kick in $54,750 – $21,225 up front and $33,525 over the next nine years. The case study also said the family was receiving income of about $350 monthly from the utility company for net metering. It seems like a sweet gig, which is probably why I see Solar City trucks all over the place. But would they be as prevalent if the public money spigot were shut off? I think not, and remember our friend was fretting about NCSG losing their funding. The market may not be sustainable at this point, nor will it become so. Over time, the panels will begin to lose efficiency and may not end up saving them anything.
And then I started thinking about some of those who have been financing the Left over the years, particularly a “green energy” guy like Tom Steyer. Instead of working to mature the market and taking the risks inherent in building it while allowing people to choose whether they wish to participate or not, those financing Radical Green have instead been backing the idea of forcing people to adapt via government fiat. Don’t want to buy a solar energy system for your house? Well, we will just make the utility companies pay for it and they’ll just pass the cost onto you. Can’t find enough private financing to build the market? We’ll just lobby for our own carveouts and earmarks in the name of “saving the planet.” Instead of assisting those interested, they impose their preferences on everyone.
I think a great example of this is the electric car. Once upon a time, way back when, there were rudimentary electric cars produced. But people found it was cheaper and easier to use the internal combustion engine, and the American love affair with the automobile began. As opposed to mass transit, for one thing the automobile equates to freedom of movement: you are not at the mercy of waiting for the next train or bus nor are you restricted to going only to places they serve.
So I suppose it’s a concession from the Left that they decided electric cars are worth an “investment.” The problem is that they aren’t necessarily suited for freedom of movement in the respect that they have a limited range – it’s almost like you have a leash on yourself unless you know of places you can charge up, and that’s not even really an option because, as opposed to five or ten minutes at the local Wawa filling up, you would need at least a half-hour to charge enough for 90 miles. But the government is still trying to bring that market up to speed, to turn a phrase.
Consider the Chevy Bolt, which GM bills as an all-electric vehicle with a range per charge of 238 miles. It’s built on the same platform as their sub-compact Spark, but instead of setting you back about $17,000 as a Spark would a Bolt retails for $37,495. (Some of that is returned in a federal tax credit of $7,500 – again, no one is giving tax credits on the regular Spark. My older daughter and son-in-law would love that, since they both own a Spark.) But to do things right, you would need to install a home charging station, which costs about $1,000 – of which 30% is rebated in another federal tax credit. It requires at least 40 amp, 240 volt service so a rule of thumb is that you will use about 30 kWh to go 100 miles. Driving 1,500 miles a month (not uncommon around here) and that means additional electrical consumption of 450 kWh, which is about 50% of a typical home’s usage for a month. So much for net metering.
So let’s recap: you’re using far more electricity, limiting your range of motion, and costing taxpayers about $8,000 for dubious gain. (And I haven’t even discussed how they get the materials for the battery – hint: it’s not very eco-friendly.)
In essence, what has been going on for the last thirty years is that we have transferred billions of dollars from hard-working taxpayers to those who profit from a belief that mankind can save their planet from the scourge of climate change, which is laughable on its face. As I have said for years, I have no real issue with energy efficiency but that should be sought on a market standpoint, not because we are forced into it or made to pay for it. There are certain things which create abundant energy quite cheaply and reliably: coal, oil, and natural gas. At one time – before my time – we were told (falsely, as it turned out) that nuclear power would be so cheap they wouldn’t have to meter it.
With a government that’s spending $4 trillion a year, isn’t it time to let these giveaways to Radical Green go away? And before you argue about Big Oil and its “subsidies,” read this. America’s economic engine needs reliable and inexpensive energy to run at peak efficiency, and on this cloudy day with relatively calm winds I’m not seeing much from those other sources.