A Free-Market Energy Blog

Gouging, Free Markets, and the Psychology of Fuel Prices

By Paul Schwennesen -- August 15, 2011

Four-dollar diesel (forgive an agricultural bias) is an ugly thing–but not the ugliest of things. To grossly paraphrase John Stuart Mill, the state of moral feeling that thinks that government should “keep prices reasonable” is far worse.

Prices at the pump are (for the most part) an elegant demonstration of market forces at work. It should come as no surprise then, that they tend to raise the ire of those who distrust markets and favor their manipulation. (And what goes up also comes down–the trend is positive right now.)

Whether it’s because the prices are so prominently displayed, or because so many of us so often pay them, fuel prices are a tempting target for the command-and-control set.

Economies (and Psychologies) of Taxation

The keen attention we Americans pay to fuel prices is both a blessing and a curse.…

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Wind Power Gets an Environmental Pass in New York State (Power NY Act's Article X vs. grassroot environmentalism)

By Sherri Lange -- August 12, 2011

Joke: ‘When is an environmentalist not an environmentalist? …. When it comes to windpower.’

[This press release from August 10th is reproduced in its entirety. A description of the sponsoring organizations follows.]

The North-American Platform Against Windpower (NA-PAW) objects to the passing of the “Power NY Act” on August 8th. Also known as “Article X”, this law reverses decades of democratic rights in New York State.

Municipalities no longer have the power to veto harmful projects targeting their constituencies. Albany bureaucrats will decide where energy and other industrial projects are to be built, and the people will have to bite the bullet.

Says Sherri Lange, NA-PAW’s CEO: “I believe New Yorkers won’t take it lying down. I have faith in the North American spirit: we won’t let politicians take away our freedoms.”…

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California's 33% Renewable Energy Goal by 2020: Form or Substance? (Part II-RECs Required)

By Ulrich Decher -- August 11, 2011

Part I yesterday reviewed in-state electricity generation and power imports required to meet California’s current power demand. Part II today shows how Renewable Energy Credits may be used to meet California’s aggressive renewable energy goals.

Renewable Energy Credits

Renewable Energy Credits (RECs) are the power generation credits that a distribution system can use to meet its renewable portfolio. These RECs come in two flavors—bundled and unbundled. The bundled RECs are the credits that are bought and used within the same distribution system; unbundled RECs are those bought by one distribution system but used in another. These RECs are managed by the Center for Resource Solutions, which also prevents double counting of credits.

Unbundled RECs are particularly interesting, because it means that a distribution system doesn’t need to build renewable energy power plants because the distribution system can simply buy the renewable power that is generated in another distribution system.

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California's 33% Renewable Energy Goal by 2020: Form or Substance? (Part I–Current Situation)

By Ulrich Decher -- August 10, 2011
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Debt-Deal Warnings for Energy Subsidies

By Gary Hunt -- August 9, 2011
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American Wind Industry Association: Circling the Wagons

By Thomas Stacy II -- August 8, 2011
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A West Texas Lizard vs. Oil and Gas Production (Controversial government evidence with consequences)

By Vance Ginn -- August 5, 2011
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Ontario's Great Windpower Escape: A Setback Only

By Sherri Lange -- August 4, 2011
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Environmentalists vs. Cap-and-Trade: Washington Yesterday, California Today

By Tom Tanton -- August 3, 2011
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Nano Climate Change: Another Issue for Industrial Wind

By Mark Lively -- August 2, 2011
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