Thanks to Big Wind the hidden cost of wind energy may get even MORE expensive.

Wind Production Tax Credit

In 2013, Congress renewed the Wind Production Tax Credit (PTC) which will cost taxpayers more than any other subsidy Wind PTC in the past 10 years. Congress said this subsidy would be temporary, back in 1993. After more than 20 years of this failed subsidy, it’s time to #EndtheEnergyGiveaway and take the training wheels off Big Wind.


SURVEY: Americans Reject Costly EPA Proposal

WASHINGTON – A new survey released today by the American Energy Alliance found that the majority of American voters oppose EPA’s recently proposed power plant regulations when confronted with the real world impacts of the rule. The survey was conducted among registered voters in Arkansas, Colorado, Iowa, Montana, and North Carolina.

“At a time when Americans are struggling with cost of living and still asking the question ‘where are the jobs’, there is concern about the proposed EPA regulation and the economic impact it will have,” said David Winston, President of the Winston Group, which conducted the survey.

Highlights from the survey:

  • The majority of voters in all five states believe that improving the economy and creating jobs should be the top priority of the Obama administration.
  • Before receiving any information about the regulations, no less than 57 percent of voters in any state supported the regulations. But after listening to key facts about their impact (both positive and negative), no more than 44 percent in any state supported it.

“When faced with the harsh economic reality of the EPA’s new rule, the majority of Americans reject this unprecedented attack on American energy security,” said AEA President Thomas Pyle.

“From the start, the Obama administration has not been forthright with the American public about the exorbitant costs of this rule. Unfortunately, this has become the norm for the ‘most transparent administration in history’: regulating from the shadows and deliberately hiding the consequences of their actions from the American people. And the myriad consequences of the EPA’s new rule are all too real. From lost jobs to rising electricity bills, the EPA’s most recent effort to undermine affordable energy hurts low income families the most.”

“The American people, especially those who live from paycheck to paycheck, cannot afford higher energy costs. Unfortunately for Americans, President Obama seems intent on delivering on his promise to make electricity prices ‘necessarily skyrocket.’”

The survey was conducted for the American Energy Alliance by the Winston Group among 500 registered voters in each of the following states: Arkansas, Colorado, Iowa, and North Carolina, and 503 registered voters in Montana for a total of 2,503 registered voters. The margin of error is +/- 4.4 per state.

To view the results, click here


ICYMI: Lessons from Australia’s Carbon Tax Debacle

WASHINGTON — American Energy Alliance Vice President of Policy Daniel Simmons penned an op-ed for Roll Call titled “Lessons Congress Can Learn from Australia’s Carbon Tax Debacle.” The text of the op-ed follows:

“Lessons Congress Can Learn From Australia’s Carbon Tax Debacle”
By Daniel Simmons

For the past few years, Australia has been lauded by environmentalists as an example other countries should emulate. The adulation began in 2012, when the country enacted its “carbon tax” — a $21.50 charge (in U.S. dollars), increasing annually, on each ton of carbon dioxide emitted by the country’s power plants. Australia’s list of admirers extended all the way to the White House, where President Barack Obama described the country’s actions as “good for the world.”

Yet Australia is now the first country to eliminate its carbon tax. In so doing, it struck a blow in favor of sound public policy — and American legislators should pay attention.

Last September, the Institute for Energy Research released a comprehensive study on the effects of Australia’s carbon tax. The tax was a disaster. In its first year of existence, the tax increased household electricity prices by 15 percent — the highest quarterly increase in the country’s history. Businesses fared no better — their electricity prices jumped 14.5 percent in a single year.

It doesn’t take an economist to see how this stifled the country’s economic growth. Rising electricity costs mean higher prices for almost all goods and services. They also mean fewer future job opportunities for businesses trying to stay in the black. Australia’s unemployment rolls rose by an astounding 10 percent over the course of a year — the equivalent of the United States adding 950,000 people to the unemployment line by next July.

Meanwhile, there was no environmental benefit to speak of. According to the Australian government’s own data, carbon emissions actually increased after the tax was enacted. Even if the carbon tax were still in operation, the country’s emissions levels weren’t expected to fall below current levels until 2045.

No wonder Australians turned against the tax. They’d have to endure three decades of fewer jobs and higher prices on every day goods just to achieve negligible environmental gains.

But this isn’t just a lesson for Australia. For years, American environmentalists have clamored for a similar carbon tax. They have been joined by a dozen U.S. senators, who several years ago sent a letter to Senate Majority Leader Harry Reid demanding Congress levy “a price on greenhouse gas emissions” — a carbon tax by another name.

Among the letter’s signatories are several Democratic senators facing re-election this year, including New Hampshire’s Jeanne Shaheen, Alaska’s Mark Begich and North Carolina’s Kay Hagan.

Yet the effects would be little different in America than they were in Australia. The Heritage Foundation, using data provided by the Energy Information Administration, recently estimated the effects that a slightly more aggressive carbon tax would have (the EIA data assumed a $25/ton tax, compared to Australia’s $21.50/ton rate).

Heritage found that America could be looking at an economic disaster.

In its first four years, the tax could cut a family of four’s income by nearly $2,000 a year. It could raise the same family’s electricity bills by more than $500 per year and increase gas prices by 50 cents per gallon. Finally, it could eliminate more than a million jobs in the first few years.

Yet Americans’ economic despair would ultimately be for naught. Using assumptions from the data from the United Nations Intergovernmental Panel on Climate Change’s assessment report, a recent analysis found America could eliminate all of its carbon emissions and still only lower global temperatures by 0.137 Celsius by 2100 — a statistically insignificant amount.

Put another way: A carbon tax is all economic pain and no environmental gain. Surely we can agree that sapping the economy and stifling innovation won’t make it any easier for us to promote a healthy environment.

Australians learned that the hard way.

It only took them two years of higher prices, fewer jobs, and no environmental benefits before they abandoned their carbon tax. America’s environmentalists and the legislators who listen to them should take note. There’s no need for history to repeat itself in a different hemisphere.

Click here to see the original post. 


AEA Enlists New House Leaders to End Wind Welfare

WASHINGTON – American Energy Alliance President Thomas Pyle sent a letter today to House Leadership congratulating the newly elected Majority Leader Kevin McCarthy and Majority Whip Steve Scalise. The letter also urges them to remain opposed to an extension of the recently expired Wind Production Tax Credit (PTC). AEA also ran a full page ad in today’s edition of Politico as part of a broader paid initiative that includes digital and social media.

Excerpts from the letter:

The PTC expired as of January 1, 2014. However, green pressure groups and the wind lobby are working to revive this costly policy as part of a tax extenders package and also have it be retroactively reinstated. We urge you to oppose such an action.

We agree with Majority Leader McCarthy that subsidies for wind have “had their time”. Majority Whip Scalise, you have similarly condemned the PTC. In late 2012, you joined with 44 fellow Representatives in a letter stating, “Twenty years of subsidizing wind is more than enough.” This decades old subsidy has far outlived its usefulness. The wind industry should be left to compete in the free market based on its own merits, not rely on taxpayer dollars. We ask that you stand by your previous positions and remain in opposition to an extension of this wasteful subsidy.

The effect of providing a subsidy worth half or more of the wholesale price of electricity has already negatively impacted electricity reliability, because the artificial price structure created by the PTC encourages the development of uneconomic wind while undermining the economics of reliable full-time generation such as coal, natural gas, and nuclear. Investor Warren Buffett made this fact very clear when her recently said, “…On wind energy, we get a tax credit if we build a lot of wind farms. That’s the only reason to build them. They don’t make sense without the tax credit.”

To read the full letter, click here.

Rahall is Not Doing Enough

“President Obama’s war on coal is really a war on West Virginia families and Nick Rahall simply has not done enough to protect West Virginia from Washington’s anti-coal regulations.” -AEA President Thomas Pyle
WASHINGTON – The American Energy Alliance continued today its energy accountability initiative with another round of television and online ads in West Virginia. These ads come on the heels of the EPA’s recently proposed rules for existing power plants—one of the costliest regulations in history. The ads hold Congressman Nick Rahall accountable for shielding this and several other of President Obama’s anti-coal regulations from facing an up or down vote in Congress. The total ad buy is for $140,000 and the ads will air for three weeks.
Thomas Pyle, president of the American Energy Alliance, released the following statement:

“When coal takes a hit, so do West Virginia families, and the EPA’s anti-coal policies are having very real and devastating impacts on the state, including higher energy costs and lost jobs. But instead of protecting West Virginians from these threats, Congressman Rahall voted to shield the Obama Administration’s radical anti-coal agenda from the scrutiny of Congress. Rahall’s vote against reining in EPA’s regulatory power and his support for budgets that advance the carbon tax agenda prove that when push comes to shove, Nick Rahall stands with President Obama instead of standing up to him.

“President Obama’s war on coal is really a war on West Virginia families and Nick Rahall simply has not done enough to protect West Virginia from Washington’s anti-coal regulations.”

To view the ad, click here.

To read the fact sheet for the ad, click here.


Wind Energy Gets Away With Murder

According to an estimate published in the Wildlife Society Bulletin in March, almost 600,000 birds are killed by wind farms in America each year, including over 80,000 raptors such as hawks, falcons and eagles. Even more bats die as their lungs are inverted by the negative pressures generated behind the 170 mile-per-hour spinning.

Take Action Now