Tuesday, January 23, 2007

State of the Union and Energy Independence: Power to the People!

Power to the people, not the corporations!

Energy independence is supposed to be an important part of the President's State of the Union speech tonight. So, when it comes to energy independence, where should the government place its tax incentive focus? Should it be on alternative fuels such as ethanol, bio-diesel, clean diesel and hydrogen? Should it be on advanced technologies such as hybrid vehicles, lithium-ion batteries, and fuel cells?

I say forget fuel. Forget ethanol. Ethanol already receives an incredulous amount of tax subsidies and is in danger of turning into a pork-barrel legislator's dream.

I say focus on hybrid vehicles, electric vehicles and lithium-ion battery technology. Let's invest in the kinds of technologies that can practically wipe out the need for any liquid fuel in just the next decade.

Of course not everyone will agree on the approach. Consequently, I say try to give the power to the people, and let's make the people accountable for their choices.

Yesterday, I suggested a gas tax. Why not make gas more expensive while using the gas tax revenue to reward consumers whom buy more fuel efficient technologies? Also, make that tax 85% less for E85, for example - let consumers reap the benefit of buying a flex-fuel vehicle if it works for them. Why should automakers receive CAFE credits - a tax saving loophole - for selling E85 functionality that is never used by the majority of consumers? In addition, empower the flex-fuel user to save even far more with a flex-fuel hybrid vehicle.

I say give the power to the people! It's fair, it's competitive, it's responsible.

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2 Comments:

Blogger trav.is said...

Of course not everyone will agree on the approach. Consequently, I say try to give the power to the people, and let's make the people accountable for their choices.

I love it! Freedom, personal responsibility, and the free market. Best tools ever for getting good products to good people.

I've blogged a couple of times about hybrid cars and alternative fuels. Ultimately, government isn't equipped to deal with this. Your statement that I say forget fuel. Forget ethanol. Ethanol already receives an incredulous amount of tax subsidies and is in danger of turning into a pork-barrel legislator's dream couldn't have been said better. I'd argue it already is a pork-barrel dream. Senator Chuck Grassley of Iowa was all smiles and emphatic applause when Bush mentioned ethanol in the State of the Union.

5:11 PM  
Blogger Dahcredyns said...

Thanks. I'll check out your blog.

I've not been too interested in a gas tax before, but I'm starting to think it's the best possible solution to foreign oil dependency, especially if the gas tax is used purely to finance clean energy tax credits for consumers - not congressional pork.

5:39 PM  

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