It’s not too late for an energy led recovery

August 8, 2011

In a wide ranging interview with Reuters today, Gluskin Sheff lead economist Dave Rosenberg laments the failure of pursuing a shale-gas dominated energy policy for the last two and a half years.

Q:  What can be done now?
A:  On the fiscal side, it’s too late. Nothing on the fiscal side will help the economy.

Q:  What should have been done?
A:  What would have helped is a real energy policy combined with a jobs policy.

Q:  What happened to real energy policy?                                                                                                                                         A:  If we had a permanent shift to shale gas, that would have helped the economy. We thought we weren’t going to see gas prices go back up into the $100s, but they did. Gas prices and oil prices have gone back up. A permanent decrease in energy costs would be really beneficial and help the bottom line in Washington.

It is the opinion here at EGP that it is not too late.  As we have written time and again, there is a fortune beneath our feet.  There are more than a trillion dollars in revenue available to the government from leases and royalties, let alone taxes, from unleashing our fossil fuel wealth.   On the Democratic side, it is going to require courage to take on the powerful anti-fossil fuel wing of the environmental movement.   The GOP can help them do so by offering up something on CO2 reduction, like a carbon tax (which would have to be coupled with an end to both subsidies and fuel taxes).  Give something to get something – which is the essence of politics.

One comment

  1. […] I have posted before (for example, here, here and here), I believe that unleashing the fortune beneath America’s feet – the massive energy […]

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: