I wish to comment on the renewable energy conference and the climate change (global warming) theme, popularized by Albert Gore Jr.
First, only a fool would not want to conserve a valuable resource like energy. One of Nevada's greatest renewable energy resources is geothermal and it should be harnessed and used as effectively as possible. Wind and solar power generation at this time do not come even close to the geothermal potential.
That having been said, there is a whole different aspect of "green energy" that people should be aware of. Green, indeed, as in the color of money - funny money that is. To begin there is the 51-cent per gallon tax credit (subsidy) from the feds given to private companies which refine and blend ethanol which is added to gasoline. Ultimately the taxpayers pay for this agricultural subsidy and that equals no net savings. The price of corn, the most common of animal feeds next to hay has doubled over the last two years.
This has caused significant price increases for milk, cheese, eggs, meat, cereals, and sweeteners. There have even been food riots in Mexico because of the 60 percent increase in the price of tortillas. I am of the opinion that it is borderline insanity for a government to pay to burn (as fuel) a country's food supply especially at a loss.
Next there is the issue of pollution or carbon credits. Here's where the devil is in the details. I'm sure that we can recall the radio ads from non-profit groups asking for the donation of old autos, running or not, while promising tax write-off in exchange. That was the beginning of the carbon tax credits, known then as pollution tax credits. The non-profit group decommissioned the "polluting junker" and received a pollution credit which could be traded or sold to a "gross polluting" business or government entity. The donator of the vehicle received an income tax write-off for his generosity. The brokers who handle the tax credits got rich in the process.
The above system has evolved into a government based grant system of production tax credits which is a way of subsidizing the non-polluting and somewhat non-viable energy production industry. It is a way of promoting an otherwise inefficient expensive alternate electrical energy production.
California and Nevada are extremely aggressive in promoting this concept. The California "governator" is now the "terminator" of greenhouse gases by advancing the Western Regional Climate Action Initiative destined for California, Nevada, Oregon, Arizona, New Mexico and British Columbia. It is, surprise, modeled after the European Union Emission Trading System and scheduled to start in 2008 (keep in mind it must be approved by the Nevada Legislature for enactment plus I'm not sure how a foreign entity would be included with out a treaty between the U.S. and Canada)
Assuming that the measure is enacted, CO2 gas limits will be established in each geographical area for each government, business utility and ultimately individuals. Any entity exceeding the limits would have to purchase carbon credits from other entities or the Chicago climate exchange a brokerage outfit set up to handle the trades and I'm not making this up.
According to the WRCAI the minimum renewable energy production standard of 20 percent for California is mandated for 2010 and for Nevada in 2015. That is a tall order and if it is not attained as required, plan on paying a lot more for electricity.
In conclusion I have two points for your consideration. First let's pressure the state government to remove any obstacles to the most practical alternative energy - geothermal. Secondly, how ironic that Douglas County is hosting a renewal energy conference while Reno is hosting Hot August Nights. Think about it.
C. V. Sledd Shearer
Gardnerville
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