Monday, July 5, 2010

A conservative view


On energy and the progressive plans for “cap and tax

A Conservative View

HUNTSVILLE — I will confess to having been in somewhat of a quandary the last couple of weeks. Said quandary has been that of trying to decide what topic to write about. Our Constitutional Republic (that’s right — not a Democracy) has never been more threatened by numerous assaults than it is at this time. After deliberation, I decided to write about the push by the current administration to pass “Cap and Tax” legislation.

Do we have crisis in our usage of petroleum products? Yes we do, but not as portrayed by the “progressives” and many of the media. Do we need regulation and inspection of petroleum production? Certainly we do. It is glaringly obvious that the governmental inspection of the well causing the current damage in the gulf was ineffectual. The events around that disaster will be included in a subsequent article.

In discussing the proposed “Cap and Tax” legislation, I will be obliged to use  a considerable amount of generalizations. These generalizations will represent my views regarding the real importance of this effort. For those detractors — this usage is at least as fair as the convoluted, stilted manner the legislation is written. Until there is direct, clear, transparent and comprehensive debate clarifying just what is intended, it is my contention that my generalizations are as valid as the bill.

Some basic assumptions are made by the administration and Congress to justify the need for this legislation. There is the assumption that “global warming” is real, and is a crisis. There is the further assumption that the federal government is the only entity capable of making the decisions necessary to combat this. Another assumption is that throwing billions (or trillions) of our tax dollars at the problem will fix it.

 There is a great deal of disagreement regarding the idea of “global warming.” Despite the progressive talking points alleging that a preponderance of scientific experts agree, that is not the case. There have been many instances uncovered that the core group of “experts” have more or less cooked the books by reporting data favorable to their theory and hiding data that would refute. The fact that some of these same “experts” have ties to organizations that stand to profit immensely from “Cap and Tax” makes this situation that much more questionable.

Regarding the federal government being the body to make those decisions; what problem do you recall that the government had made “better” by creating myriads of bureaucratic agencies doling out our tax dollars? I can think of exactly zero.

 It appears to me that there are two factors that are the prime movers of this attempt to pass “Cap and Tax.” One is power, and the other is money. As I read the House Bill (H.R. 2454; American Clean Energy And Security Act) sponsored by Waxman and Markey in 2009, the quest for additional growth and power of the federal government is apparent. Through bureaucracies created, and/or enhanced for the task, this bill would place in the hands of the federal government immense additional power that transcends bail-outs, and the taking over of financial institutions, health care and auto manufacturing. This would be done by the creation and control of “Carbon emission credits”.

 In order to combat the alleged “Global warming”, decisions will be made by governmental agencies to determine the amount of emissions allowable by essentially every entity in the country. Then, the federal government will make the decision and assign the number of carbon credits received by each of those entities, using a scale determined by the government. These carbon credits would be purchased from the government. Once purchased, the owner would then be free to use them to “pay” for emissions, or sell them to other entities through an approved exchange. One such exchange is already in existence, the Chicago Climate Exchange (CCX).

This power play by the federal government is massive. One of the first steps would be acquiring greater control over the states. This would be done by forcing each state to provide a plan for each component of the legislation, using the threat of withholding  funds for non-compliance. This is the same as is being done with highway funds and others, but would be on a larger scale. States, faced with the burdensome regulation requirements, would essentially have no option for non-compliance.

The next step would be the enhanced control of utilities and manufacturing, which would have a tremendous burden regarding the development of “green energy” and compliance with a monstrous amount of “green energy” requirements for the manufacture of products, and for the products themselves. A huge increase in manufacturing costs would be inevitable. You know what that will do to prices. They will, as our President said about electricity prices, “necessarily skyrocket.”

 If you are thinking that the direct impact on you personally will not be all that bad, think again. If you have not done so yet, get on the internet and read this bill, particularly the section captioned Title II – Energy Efficiency.  In this section there are several factors that should be of interest. It speaks to assigning energy efficiency  “standards” to residences, and that these standards must be addressed as a part of any mortgages that are entered into — assuming the availability of a mortgage from a “green” bank, whatever that is.

In other words, an inspector from a governmental agency will be involved in the decision for you to buy or sell a house. This inspector and his agency will have the power to define what work you must have done to achieve compliance, and he or another government agent will have approval authority regarding who does the work, since there are requirements regarding “approved’ contractors, and the payment of prevailing wages.

I wonder — does this mean that the fix might be in for requiring union labor to do work you might be capable of doing for yourself?  What do you think?

Another factor regarding the consolidation of power by the federal government is the veritable pipeline of money (my taxes and yours) in the form of huge grants for academics to “study” various aspects of energy problems, and the billions of dollars that would be used to “redistribute” tax dollars in the form of subsidies to pay utility bills and foot the bill for renovations for millions of people. As an entitlement program, there is no real estimate yet as to its ultimate size. Could it get us to the tipping point that is approaching regarding entitlements that we are so near? You know the one — that point in which there are so many more of those who are receiving than those who are providing that our social system will crash.  I am afraid that it might.

There will not be space in this article to provide any wealth of discussion of the Chicago Climate Exchange, so it will be visited at a later date. It is my opinion that its primary purpose is tremendous enrichment of a number of the principals in this group, many of whom have ties to the same government officials who are pushing for “Cap and Tax”.

If this doesn’t cause you some indigestion, it should. Don’t take my word for it, or take the opposite side because of what I have said. Research it yourself. See for yourself, as best as you can, who are the people involved.  Look for yourself at the potential for this to be a scam that makes Barney Madoff “s scams seem small.

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