While this legislation does nothing to increase the supply of our primary sources of fuel, like oil, it relies heavily on the idea of increasing our use of alternative fuels, like corn-based ethanol. Undoubtedly, alternative fuels hold great promise. Yet government mandates that call for dramatic increases in the production of such fuels are unrealistic at present and will lead to a number of unintended consequences. The government push to encourage the use of corn for ethanol has already pushed up the price of corn, and many other food products along with it.
While the media commonly equates the increased use of ethanol with environmental progress, the environmental impact of ethanol is mixed. Growing corn requires significant amounts of water and fertilizers. Further, corn requires significant amounts of traditional energy to refine it (natural gas) and ship it (diesel). Add to this that ethanol is less efficient than regular fuel, meaning consumers must purchase more to go the same distances, and the economic and environmental benefits become less attractive immediately.
There are many potential sources of alternative fuel, but what ultimately becomes a major source of energy should be determined by its efficacy and efficiency. Yet government mandates skew the market and discourage out-of-the-box solutions that could be preferable to political attractive products like corn-based ethanol.
The House passed energy bill also contains many provisions entirely unrelated to energy production; they are exactly the type of earmarks and unseemly largess that the Democrats had criticized Republicans for passing in the previous Congress. House Minority Leader Boehner highlighted several earmarks that rival the infamous “Bridge to Nowhere”: $161 million for the Plum Creek Timber Company, $2 billion for New York City to develop a rail line from J.F.K Airport to Manhattan, and $3 billion for unspecified “green” projects, that according to Boehner could be used for anything from financing “Al Gore’s speaking tour” to “buying some energy efficient hybrid snowmobiles for Aspen.” This kind of pork will hardly make Americans feel better when they open their heating bills come January.
The last election was about change. If their record next year is anything like this year’s, Democrats might find voters want change again.