Carbon Congress

Great article from Matthew L. Wald of The New York Times. A sample:

The Carbon Calculus
By MATTHEW L. WALD

A CHANGE is in the works that could go a long way toward making alternative energy less alternative, and more attractive to consumers and businesses.

It’s not a technological fix from some solar-cell laboratory in Silicon Valley or wind-turbine researcher in Colorado or the development of some superbug to turn wood waste into ethanol.

Rather, the change would come from Washington, if Congress does what it has talked about and puts a price tag on greenhouse-gas emissions. Suddenly the carbon content of fuel, or how much carbon dioxide is produced per unit of energy, would be as important as what the fuel costs. In fact, it might largely define what the fuel costs.

That could shake up the economics of energy, handicapping some fuels and favoring others. Those that produce hefty emissions, like coal and oil, would likely look much worse. And some — sunlight, wind, uranium, even corn stalks and trash as well as natural gas — would probably look much better. “Carbon-negative” fuels that take carbon dioxide out of the atmosphere as they are made, might even become feasible...

Full story can be found here:

http://www.nytimes.com/2007/11/07/business/businessspecial3/07carbon.html?_r=1&hp=&adxnnl=1&oref=slogin&adxnnlx=1194447633-Y2Z9bSQkGAPO87j8QpTahw

So after much discussion, it appears Congress is moving forward with the idea of placing a tax on green-house gas emissions - great for the environment, but could radically shake up the economics of the energy industry as renewable sources like wind and solar power would, in theory, be more favored over coal. The majority of electricity produced comes from burning coal, which releases tons of carbon dioxide into the environment.

As 'green' living has become a significant issue for their customers, utilities have responded with demand-side management programs (DSM) that promote energy conservation. The idea that any company would urge it's customers to use less of the very product they are providing, flies directly in the face of capitalism. But given the significant concern from environmental watchdog groups and outraged citizens like Leonardo DiCaprio, utilities have to adapt to the overall market demand shift. Plus using less energy decreases the need to build new power plants - an undertaking that is not cost or time effective.

Our state and national legislatures need to implement initiatives like this in order to force large conglomerates to find alternative ways to earn profit. Sometimes the corporate bottom line can co-exist with Mother Earth's.