EPA Fracking Stance Under Election Year Attack

Perhaps sensing the political vulnerability of the Obama administration, fracking industry executives such as Exxon Mobil Chief Exec Rex Tillerson are striking out at what he terms an overly "complicated" and "duplicative" regulatory process that threatens to derail the new boom in oil and natural gas exploration and production.

Tillerson, in a recent address to CERA, an industry conference annually for energy industry execs, lashed out at a regulatory environment wherein many state regulators are hesitant to update drilling rules for fear they will be overruled by new federal laws or regulations, causing industry uncertainty.

Fracking activity is one of the few bright spots in the American economy, adding tens of thousands of new jobs annually and creating boom town conditions in the northern Great Plains states as well as Texas and parts of the Midwest. After initially coming out on the side of critics of the process, the Obama administration has been largely silent as the November election approaches.

Exxon is the largest natural gas producer in the world, and the world's largest publicly-traded oil company, according to the Wall Street Journal.

Drop in Cost of Solar Energy Continues

A continued trend toward cheaper solar power has finally put it within striking distance of being competitive with fossil fuels. If recent trends continue, the price of solar power will continue to fall, while the price of more conventional fuels increases.

Of course, one of the big deterrents of installing a solar system is the upfront cost. One has to be in a position to absorb that cost while waiting for the long term payback of reduced costs from no longer paying the local power company for electricity.

If you lack the money to pay for an installation, there are companies that extend financing, as well as others that will lease a system to you in return for an agreement to purchase electricity from the company at a rate that is the same or lower than you are currently paying.

Additionally, the U.S. Dept. of Energy website lists federal and state rebates for solar installations, which include tax credits and accelerated depreciation.

Needless to say, by installing a solar energy system for your home or business, you are also making a significant contribution to the environment and helping slow the trend of climate change.

New Energy Sources, Continued

China, by contrast, widely expected to be a geopolitical rival to the U.S. because of its strong economy and expanding military, can only look with envy upon the new American domestic energy sources. China's quest for more oil and gas has put it into direct competition with its neighbors and gives the U.S. an opportunity to score diplomatic points with no risk to our own energy supplies.

In a decade dominated by serious economic issues, including excessive federal debt, foreign military involvement, high unemployment, and sluggish growth, it is nice to have some good news for a change. Unsurprisingly, private industry and investment has led the way, despite the initial opposition from the federal government, and showing why our economic system, although not without problems, is remarkably resilient.

New American energy sources marks an unexpected paradigm shift

Not even the most optimistic commentator knowledgeable with the American energy industry could have predicted the global impact of the newly-discovered technology that permits the economical tapping of the country's new energy supplies. The development is so significant that it has dwarfed arguments between liberals and conservatives as to the proper role of "green energy".

To politicians on both ends of the spectrum, the new technology coupled with rising energy prices is a true "win-win" situation. Natural gas is a cleaner, more environmentally friendly method of providing power for all sorts of uses, from heating homes and businesses, to fueling manufacturing, and running new generation mass transit and even automobiles. previous concerns about contamination of drinking water by "fracking" and the threat of onerous new Environmental Protection Agency Regulations (EPA) have quieted.

America now has the unexpected luxury of having not only sufficient energy for domestic usage, but also enough to export, resulting in consequences for OPEC and countries who have used the west's energy dependence for political purposes. One can also speculate on the consequences of the U.S. not having to project American military might to protect valuable energy sources in unfriendly countries.

Even More Hawken...

Hawken suggests various avenues to reverse this trend, suggesting that governments and business can work in partnership to establish a "pathway" to eliminate the poisons, that "energizes business, stimulates innovation, preserves employment, and restores the environment." he strongly advocates removing the incentives that currently exist which encourage the manufacture of additional wastes, asking the market to recognize the real costs of these products.

He is strongly in favor of a gradual shift from the use of carbon fuels to one based upon the sun, wind, and waves, as well as a system of accountability that supports and strengthens restorative behavior. Life, he says, may not be as convenient, but in the long run, with sustainability as its hallmark, much healthier for both humans and the earth.

Finally, he challenges business and its leaders to come up with their own plans to not only reach full sustainability, but also help pay to restore what has been lost. Clearly, this book is a thought-provoking blue- print for profound changes in the business community which bear serious consideration and action.

More on Hawken...

Hawken highlights the incredible amount of energy the worldwide economy uses in a day, which required 13,000 years for the planet to create. He introduces the concept of  net primary production (NPP), which he defines as the sum of all photosynthetic production minus the energy required to maintain and support those organisms. Humans, he estimates, use more than 40% of the total NPP on land. He also says that it is unclear whether, as human population increases, the planet's ecosystems will be able to survive the rapid depletion of its natural resources.

He also addresses the fact that humans are a wasteful species, consuming 36 pounds each of resources a week which requires an additional 2,000 pounds of waste to produce. In the U.S. alone, there are an estimated 90,000 hazardous waste sites, producing unknown impact on human, plant, and animal health that cannot be measured but is clearly not positive.

Reflections upon Paul Hawken's "Ecology of Commerce".

It is hard to overestimate the impact that the 1993 publication of this book had on public perceptions of the relationship between ecology and business. Author Paul Hawken has published dozens of articles and three other books advocating the position that business has an important role to play in leading the way to a sustainable society.

According to Hawken, "business is the problem and it must be part of the solution." Even though he maintains that commerce often has resulted in serious environmental damage, the ideas and much of the technology required to reshape business and the world are already available, if the business community could only find the will to utilize it.