re: For example, in the article, they mentioned that they have imposed high tariffs on sugar ethanol imports. That's the first thing they should eliminate. In fact, let's eliminate any tariff on imports of any alternative fuel and tack on massive tariffs for imports of oil. Then let the market decide which brand of ethanol they want and whether oil is still worth it when it costs 100% more.
I agree. But I think making "energy clients" more "oil efficient", in a method agnostic manner is the most important thing. There is this part:
The economics may be even more attractive for some of the alternatives. Advocates for plug-in hybrid vehicles, including wind and solar producers, as well as utilities, argue that they can produce the electric equivalent of a gallon of gas for less than $1, less than half the cost of ethanol-based fuels.
"The amount of subsidies provided for ethanol could easily be used to switch this country to plug-in hybrid vehicles, and ultimately have a much greater impact on reducing oil dependency," says Jigar Shah, CEO of SunEdison, a solar power company.
I think you can reform the "energy clients" a lot faster than you can create an entire new fuel source, with all the infrastructure and distribution that requires. If you are going to tax, tax the inefficient clients (SUVs) and subsidize the efficient clients (Electric, Electric Hybrids, Hybrids and just plain vanilla efficient cars).
I think there is more and faster progress to be made by increasing the fleet efficiency. |