Replacing Crude Oil: The 2006 Debate Revisited (coal oil in play)

By Robert Bradley Jr. -- May 12, 2021 No Comments

Ed. Note: From time to time, MasterResource reaches back in energy history to document bad governmental ideas. The example before is surprisingly recent–just before the shale revolution destroyed the case for synthetic oil and gas (not to mention wind, solar, and even nuclear in power generation) as market-competitive.

“In March [2006], the [U.S. Department of] Energy Secretary, Samuel K. Bodman, said in a speech that making diesel fuel or jet fuel from coal was ‘one of the most exciting areas’ of research and could be crucial to the President’s [George W. Bush] goal of cutting oil imports.” (below)

Synthetic oil and gas: World War II, Korean War, postwar, 1970s. All projects a failure, completed or suspended-in-construction. But a last hurrah came in 2006, a period when none other than George W.…

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California Grid Frailty: Imported Power/Solar at Issue

By -- May 5, 2021 2 Comments

Ed note: Power shortages in California in 2020 and Texas in 2021 have exposed the limits to renewable energy for a reliable grid. The post below complements prior analysis here and here.

“The apparent difference between SDG&E [no blackouts] and PG&E [blackouts] can be attributed to the greater proportion of decentralized green power cooperatives in PG&E’s service area that relied on a greater percentage of green power.”

The anti-energy environmental lobby concluded that natural gas-fired power plants failed during California’s blackouts last summer and should be phased out. But empirical investigation reaches an opposite conclusion, questioning the future of dilute, intermittent energies.

Earthjustice, the Sierra Club and the California Environmental Justice Alliance in the article “Gas Is Failing in California: Time to Move On” (Utility Dive: April 16, 2021) accuse the Wall Street Journal and gas “industry voices” of fear-mongering about renewable’s role in the state’s blackouts during the region’s southwest summer heat wave of 2020.…

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U.S. Renewables – Current and Potential Output

By Stanislav Jakuba -- May 4, 2021 No Comments

Ed note: This article overviews the growth of renewables over the last 20 years from the U.S. Department of Energy’s Annual Energy Review. For convenience, the DOE tables are converted to watts (W), in its billion multiple the gigawatt (GW). The same unit for both generation and consumption enables straightforward comparisons among various efficiencies, capacity factors, site factors, etc. Conversion factors such as Cal, cal, joule, Btu, Wh, each per second, hour, or year, is defined at the end. [1]

“The wind and solar industry claims employment … at about 250 000 jobs. The relative productivity per employee is thus 7.5 kW with solar, and 32 kW with wind. Compare that to 1,300 kW with fossil fuels, and 2,000 kW with nuclear.”

The U.S. Department of Energy (DOE) lists six significant sources of renewable energy: Wind, Solar, Hydro, Wood, Waste, and Geothermal.…

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Electricity Planners on Defense (more exchange on the PUCT/ERCOT debacle)

By Robert Bradley Jr. -- April 29, 2021 1 Comment

“Rob, you certainly have the right to participate in the discussion but it is clear to me (and others) that you do not understand how the ERCOT market actually functions. Instead you spout off free market economic theories without getting down and dirty into the details of how to apply them to power systems. In the real world the devil is in the details.” (Robert Borlick, below)

“Rob, why are you shilling for the natural gas industry?” (Borlick, below)

Welcome to the political economy of electricity from the expert/planner viewpoint. Electricity is different. Its complexity requires central planning/regulation. The free market does not work. Ergo, free-market theories do not apply.

Bottom line: Experts/planners/regulators/politicians must get “down and dirty into the details of how to apply them to power systems.”

Previous posts (here and here) have chronicled my interaction with electricity planning experts in the wake of the Great Texas Power Blackout of February 2021.…

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Nigeria Places Its Bet on Oil, Gas, and Coal to Secure Its Energy Future

By Vijay Jayaraj -- April 26, 2021 No Comments Continue Reading

Cato Institute on Biden’s Earth Day Climate Summit, 2021 (goose-stepping on the road to serfdom)

By Robert Bradley Jr. -- April 23, 2021 1 Comment Continue Reading

“The Special Case of Paul Ehrlich” (Julian Simon remembered)

By Robert Bradley Jr. -- April 21, 2021 1 Comment Continue Reading

Electricity Scare in Texas: Interview

By Robert Bradley Jr. -- April 19, 2021 No Comments Continue Reading

PUC/ERCOT: A Classic Hayekian Planning Failure

By Robert Bradley Jr. -- April 11, 2021 No Comments Continue Reading

Electricity Markets: Contrived/Distorted vs. Real (debating the Texas Blackout)

By Robert Bradley Jr. -- April 8, 2021 4 Comments Continue Reading