Obama Promises Progress on Energy and Climate

November 5, 2008 – Vol.13 No.33

OBAMA PROMISES PROGRESS ON ENERGY AND CLIMATE.

An historic election to be sure: America’s first black President.

But there’s more: The first President from the outset, from the day he is sworn in, willing to tackle global warming. And the first President from day one in office who wants to create energy independence through renewables and energy efficiency while seeking millions of new jobs in the process. He wants to use clean energies as an engine of growth in the economy in the way the dot coms were the engine of growth in the 1990’s.

Obama has a tough job ahead. He inherits a sagging economy (as do most new presidents, by the way). There are two wars waging sapping millions daily. There’s enormous national and personal debt. People are holding on to their pocketbooks, pinching pennies. America’s companies large and small are belt-tightening as well. The last thing on many consumers’ minds right now may be buying a new hybrid. Businesses are probably more concerned about making payroll than investing in solar electric systems for company buildings. Major taxpayer-paid subsidies from Washington to help pay for fuel-efficient cars or green power for buildings are not in the cards right away.

Still, Obama has some tools to use.

He’ll have the bully pulpit. Words he speaks will be published online and in print above-the-fold. He’s an orator. He will be able to convince many to make investments in cleaner energies for the sake of the country, the planet, themselves and their children.

He’ll have recently approved energy incentives, as well as $25 billion in loans available to U.S. automakers if they build more efficient cars, on his side. Tax incentives have helped keep renewables and energy efficiency moving forward in a slowing economy. When the automakers start collecting their loans, sometime next year, there should be some uptick in plant and equipment orders for retooling efforts, even if orders for these greener cars are a year or two away.

He’ll have the work of the past two presidents to build upon. Both Clinton and Bush authorized significant investments in energy research. Research will continue, but more importantly research will lead to commercialization.

He’ll have the states and municipalities to work with. Climate change mitigation initiatives, which will eventually translate into greener power generation or energy efficiency programs, have been operating for years now. Renewable energy portfolio standards are more common in the states than not. Utility companies are already building green generation capacity, by law.

One party rule in Washington, which at this point in writing Obama almost has (60 is real majority in the Senate) doesn’t mean Capitol Hill always follows lockstep behind the White House (Democrats like to argue among themselves) but it will make it far easier to get work done faster.

But mostly, Obama already has the attention of people, industry and political leaders, worldwide. Despite now lower prices at the pump, it’s safe to say the most American’s know something needs to be done about energy. Automakers have finally learned their lesson (they won’t be fooled again) and won’t go back to ignoring fuel economy. Global warming are household words, even if some don’t agree. Energy dependence needs to be changed to Energy Independence, Americans know that. So does the new President.