Subsidising the Green Agenda

Posted: 29/03/2009 in taxation
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One of the problems I have that has evolved out of my digging into the alternative energies industry and the global warming lie is the fact that much of the urgency to solve this problem that doesn’t exist comes from those who are benefitting the most from the money we sink into the solutions to this non-problem. Fuel oil is one of the biggest recipients that has a direct impact on much more than the E10 we are forced to make our cars drink.

Take the paper industry, for example. Let’s examine a Steven Mufson article in the Washington Post, Papermakers Dig Deep in Highway Bill To Hit Gold. Mufson writes, “Big paper companies could each get hundreds of millions of dollars in cash payments from the Treasury this year by taking advantage of an alternative fuels tax credit in the 2005 highway bill, according to company filings and Wall Street analysts.” Seems kind of odd that these lawmakers down in DC would allow a paper company to benefit from the Highway Bill, doesn’t it?

So exactly how do they benefit? I mean you can’t drive a paper mill on the highway, so what gives here? Why the tax bennies to the paper companies? Well, apparently the alternative fuels clause of the bill was supposed to dramatically increase the usage of alternative fuels such as ethanol in this country. I was sitting at a stoplight the other day and noticed that every car was emitting clouds of water vapor from their exhausts, and realized that that never used to be the case.

Usually when warmer weather comes the water vapor evaporates at the tailpipe and you never actually see it in the air. But not with the ethanol additive. You see, in their efforts to lay blame upon the filthy rich oil barons, the greenies fail to realize that the greatest GHG is non CO2 but water vapor. And there is a lot of water in ethanol. In fact, after about 90 days the process of decay takes hold and ethanol actually turns to water. How’s that for energy security? Oil has been oil for thousands of years, but ethanol is only ethanol for a bit longer than a business quarter.

That means if we wish to subsidize the ethanol energy to make it viable, and allow it to compete with the energy packed petroleum products, we will have to be forking over our tax dollars in perpetuity. Forever babe! Remember that phrase in the back seat of the ’69? Get rid of big oil and we’ll be dealing with big ethanol. One gang replaces another. And the replacements are always worse than the first. Always.

Today, there are in excess of two hundred state and federal policies that provide for the subsidization of ethanol or alternative energy in one form or another, and every one of them adds to the tax burden of the legal citizens of this state, as well as the nation. Some estimates are that these subsidies add over six billion dollars a year to our pockets over and above what the actual product or service costs. The sad part is that most of these taxes are hidden in the total cost so we do not see the portion of our purchases that go towards the subsidization of the green agenda.

Lets touch upon the Volumetric Ethanol Excise Tax Credit, also known as VEETC, which happens to be a Federal tax credit that went into effect on January 1, 2005. This is a credit of $.51 for every gallon of pure ethanol blended into gasoline. For example, an E10 blend will have a credit available of $.051 per gallon, and E85 will have a credit available of $.4335 per gallon. That means that for every gallon of gas we put in our car in Maine, a nickel and a half is going to the suppliers of that E10 blend, instead of being used for some more productive aspect of the tax system, such as education or health care.

And that’s just the federal level taxes, States can, and do have their own subsidies in addition to the federal program. Or should I say programme, like they do in the Antichrist mother ship called the UN? That’s what this is really all about you know. Feeding the beast we have created by allowing the UN to continue existing. Equal rights for all they cry. Equal treatment, equal this, equal that and on and on. but somebody has to pay for all of this free living that the UN wants everyone to partake in and yet nobody wants to pay for it. So the UN develops this global warming hysteria and all of a sudden alternative fuels and a global tax programme for carbon based fuels arises from the mist of the great misty swamps. Looming lake a dark giant demon awaiting for the moment to seize victory.

Thanks to the Leftinista centered media in the world, that victory is at hand. Just as the proof of the pudding called global warming melts I the ever-warming atmosphere, destroying us all. This was the warmest winter on record wasn’t it? Oh wait, no it wasn’t. it was actually the coolest one we’ve had for some time. And I hear several new low records were made to boot! Mankind cannot control climate, that’s Gods provenance. Mankind can do stupid things though, and to continue to subsidize the ethanol industry based upon the false claims of global warming is wrong.

Doesn’t sound like global warming is a threat to me. and the numbers of people that are beginning to come to the same realization are increasing as well. One day soon the backlash will become very apparent. But I fear it may well be too late to stop the train the New World Order is running at breakneck speed. The damage has been done, and too many people have become addicted to the lure of subsidies.

Here in Maine the big cry right now is that the milk farms will go out of business if not for the subsidization of milk production. Other states have other industries as well, including farming and the ethanol industry. But why does no one see that free market is the only fair way to gauge success?

Let them fail or let them win, but let them do it upon their own might.

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Comments
  1. Ron Steenblik says:

    Dan: thanks for the link to the Washington Post story on subsidies to paper mills for burning black liquor. What a sham! Agree with you about the fact that the way that ethanol has been subsidized so far, it could be subsidized in perpetuity.

    But don’t blame the “greenies”. Most environmental groups long ago abandoned their support for biofuels produced from crops. The policies are maintained mainly by a powerful Midwest farm lobby and farm-state senators from both ends of the political spectrum.

    As for this year’s cold winter disproving global warming, it doesn’t: one has to also take into consider natural solar cycles, which may be masking longer-term trends. See this article, for example, for an explanation.

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