Commentary_ trump’s energy plan would distort free market – midland reporter-telegram

Donald Trump gave a well-timed speech on Thursday, laying out his policies on energy. Gas efficient suv 2010 That day, for the first time in six months, oil hit $50 a barrel, and he was in North Dakota, which produces more oil than any other state but Texas.

The audience there welcomed his calls for greater production of fossil fuels, an end to the Environmental Protection Agency and the lifting of federal restrictions against drilling offshore and on public lands. Gas city indiana post office His approach, he said, would produce such a windfall for the U.S. E gaskell north and south economy “that we will start to pay down our $19 trillion in debt, lower taxes and take care of our Social Security and Medicare,” not to mention rebuild roads, bridges and airports.

But, if anything, Trump’s approach would backfire. Electricity video ks1 He would encourage so much production of fossil fuels that prices would plummet, not increase. Wireless electricity how it works By recalling regulations that force fossil fuel prices to recognize the cost of pollution, he would also subvert the free market and jeopardize advances that could help pave the way for future U.S. Zyklon b gas effects economic growth.

Add up Trump’s energy-policy pledges, and it’s plain that he wants to flood the domestic market with fossil fuels. Electricity history united states He promises to lift any environmental rule that threatens jobs. Electricity 1 7 pdf He would also approve pipeline construction, remove barriers to energy exports, revive the coal industry and set aside U.S. Electricity generation definition commitments in the Paris climate-change treaty. Gas in back relief In other words: Drill, baby, drill.

As we saw with oil over the last two years, rapid supply increases from the shale boom sent prices plummeting to $26 a barrel from $100 in mid-2014. Z gas ensenada Dozens of small exploration-and-production companies defaulted on loans, and hundreds of oil wells were shut off. Grade 6 electricity test Stock markets plunged globally as lower prices fed the perception that growth was slowing along with demand for other goods and services.

The point isn’t that U.S. Gas dryer vs electric dryer operating cost policy should aim to keep energy supplies higher or lower. Electricity electricity lyrics Lower supply (and thus higher prices) of fossil fuels would make it easier for wind and solar to compete and would help to lower greenhouse-gas emissions. Electricity generation in india But a policy whose deliberate goal is to boost supply, as Trump seems to want, would almost certainly drive down prices, causing even more of an oil-patch bust than the U.S. 5 gases found in the environment just experienced.

Trump’s promise to revive the coal industry also misconstrues the role markets have played in driving coal into the ground. Sgas belfast True, the Barack Obama administration has used environmental regulation to make it less economical to burn coal for electricity. Static electricity images Rules such as the Environmental Protection Agency’s Clean Power Plan, now under court review, are meant to force coal’s price to include the cost of pollution.

But what’s really driving the depression in coal country is the shale-gas boom. Electricity and magnetism worksheets middle school Because of hydraulic fracturing technology, natural gas is so plentiful that it has been robbing coal of market share for almost seven years now, long before the EPA’s power-plant rules existed.

Encouraging more exports of liquefied natural gas, as Trump says he favors, might help coal’s cause by pushing up domestic gas prices a bit. K electric jobs 2015 But the global LNG market is already having a hard time absorbing the available supply, as my Bloomberg colleague Liam Denning explains.

Not only do Trump’s energy policies misunderstand supply and demand in this market. Electricity units calculator in pakistan He seems to be winging it, letting industry officials all but write them. R gasquet As reported in SNL Energy, Robert Murray, the chief executive officer of Murray Energy Corp., said he recently urged Trump to favor lifting obstacles to opening LNG export facilities to reduce the natural-gas glut in the U.S. Gas utility cost Trump was agreeable to the idea, but then asked, “What’s LNG?” said Murray, who supports Trump.

Trump’s preference for favoring certain entrenched interests over the free market also extends to his stance on ethanol. Q gastrobar leblon While campaigning in Iowa in January, he said he favored the federal mandate requiring that ethanol be added to gasoline.

If Trump really favored free markets, he would see the federal mandate as a government subsidy for corn growers and processors — and a price-distorting one, too. Gas stoichiometry practice sheet By diverting corn for gasoline blending, the U.S. U save gas station grants pass is raising the price of corn for other food products and eventually consumers. Gas x ultra strength during pregnancy As for the environmental argument for ethanol, that eroded when research showed it may not reduce greenhouse-gas emissions as once thought.

Then there’s the matter of renewable energy. Gas x directions Here, Trump claims some expertise. Electricity videos for 4th grade “I know a lot about solar,” he said on Friday, adding: “It’s very expensive. Electricity prices by country When you have a 30-year payback it’s not the greatest thing in the world.” He added that wind power doesn’t work without “massive subsidies.”

He needs to update his knowledge. Gas after eating eggs Solar-power prices are rapidly declining. Gas station in spanish A solar panel costs about 50 cents a watt, down from about $10 a watt in the 1990s. Electricity font Even if government subsidies for solar power decline to 10 percent from 30 percent now, solar could soon be cheaper than fossil-fuel power in dozens of states.

In parts of Europe, wind is already the cheapest source of new electricity generation. K electric bill By 2023, it will be cheaper to install turbines to generate wind power than to build new natural-gas plants in the U.S. F gas certification logo That will be the case even without federal subsidies, which expire in 2017.

By relying on the past to map America’s energy future, Trump is putting the short-term profits of industries favored by Republicans ahead of the free market and smart management. Electricity and magnetism study guide The self-proclaimed outsider, it turns out, favors special-interest insiders when it comes to energy.