If I were pressed to offer one anecdote exemplifying our failure to elect consistent conservatives to Congress last November, the story of Senator Jerry Moran and Big Wind would be at the top of the list.

In 2010, then-Congressman Jerry Moran beat former Congressman Todd Tiahrt for the Republican nomination for Senate in Kansas running as a red meat conservative.  He easily won the seat in this solid Republican state and summarily joined the ‘Tea Party Caucus’ in the Senate.  Nothing emblematizes the convictions of the Tea Party more than its fervent opposition to special interest handouts and government interventions in the private sector as a way of picking winners and losers.  Yet, Senator Moran let the cat out of the bag last week that he has absolutely no compunction about picking winners and losers, or in the case of Big Wind, big losers.

Last week, Senator Moran announced that he is submitting an amendment to the terrible Senate highway bill (S.1813) that would extend the 2.2 cent/ per kilowatt-hour Production Tax Credit (PTC) for another 4 years.  This special interest handout to Solar and Wind is slated to expire at the end of the year.  What happened to Moran’s Tea Party views?  Well, he unabashedly threw them under the solar-powered bus:

Asked about opposition to extending the credit expressed by Rep. Mike Pompeo of Wichita, Moran said: “There are members of Congress who feel we ought not to pick winners and losers, to let the markets decided. I believe it’s better to get this industry up and running, then let the country decide… rather than pull the rug out overnight.”

Wow!  At least he’s honest.  I wish we had known that before the election.

Read More →

If I were pressed to offer one anecdote exemplifying our failure to elect consistent conservatives to Congress last November, the story of Senator Jerry Moran and Big Wind would be at the top of the list.

In 2010, then-Congressman Jerry Moran beat former Congressman Todd Tiahrt for the Republican nomination for Senate in Kansas running as a red meat conservative.  He easily won the seat in this solid Republican state and summarily joined the ‘Tea Party Caucus’ in the Senate.  Nothing emblematizes the convictions of the Tea Party more than its fervent opposition to special interest handouts and government interventions in the private sector as a way of picking winners and losers.  Yet, Senator Moran let the cat out of the bag last week that he has absolutely no compunction about picking winners and losers, or in the case of Big Wind, big losers.

Last week, Senator Moran announced that he is submitting an amendment to the terrible Senate highway bill (S.1813) that would extend the 2.2 cent/ per kilowatt-hour Production Tax Credit (PTC) for another 4 years.  This special interest handout to Solar and Wind is slated to expire at the end of the year.  What happened to Moran’s Tea Party views?  Well, he unabashedly threw them under the solar-powered bus:

Asked about opposition to extending the credit expressed by Rep. Mike Pompeo of Wichita, Moran said: “There are members of Congress who feel we ought not to pick winners and losers, to let the markets decided. I believe it’s better to get this industry up and running, then let the country decide… rather than pull the rug out overnight.”

Wow!  At least he’s honest.  I wish we had known that before the election.

Read More →

After billions in stimulus funding failed to transform impotent green energy sources into profitable endeavors, even Obama has taken a break from promoting Wind and Solar.  He is even talking more about oil and gas exploration, although his sincerity is in serious doubt.  Unfortunately, some Republicans have not relinquished their affinity for using public funds to prop up their local wind industry.

Yesterday, Iowa Gov. Terry Branstad and Kansas Gov. Sam Brownback sent a letter to the 20 members of the payroll tax cut conference committee imploring them to extend the Production Tax Cut (PTC) for Big Wind, set to expire at the end of the year.  They warned that “wind development will grind to [a] halt due to the uncertainty of a PTC extension.”

The PTC is among 51 ‘tax extenders’ that have either expired last December or are slated to expire this December.  It grants a 2.2 cent/per kilowatt-hour refundable credit for wind, solar, or geothermal.  Believe it or not, that is a large sum of money.  According to the Heritage Foundation, if the oil industry received a commensurate subsidy, they would get a $30 check for every barrel produced.  The PTC is tantamount to an Earned Income Tax Credit for corporations.

As such, the governors are probably correct to assume that Big Wind will grind to a halt without the credit.  And that’s how it should be in our free-market economy.  Why is this any different than Obama’s attempt to pick winners and losers?  Actually, in this instance, we would be picking losers as winners.  While ending the tax credit will probably bring down Big Wind, it’s not like the subsidy actually helped Wind become prosperous.  In 2010, wind accounted for 0.9% of our energy supply, geothermal 0.2%, and solar 0.1%.  Many states offered their own tax credits to the wind industry, and lost money.  In Texas, the property tax break alone cost the state $1.6 million per job created.

Read More →

After billions in stimulus funding failed to transform impotent green energy sources into profitable endeavors, even Obama has taken a break from promoting Wind and Solar.  He is even talking more about oil and gas exploration, although his sincerity is in serious doubt.  Unfortunately, some Republicans have not relinquished their affinity for using public funds to prop up their local wind industry.

Yesterday, Iowa Gov. Terry Branstad and Kansas Gov. Sam Brownback sent a letter to the 20 members of the payroll tax cut conference committee imploring them to extend the Production Tax Cut (PTC) for Big Wind, set to expire at the end of the year.  They warned that “wind development will grind to [a] halt due to the uncertainty of a PTC extension.”

The PTC is among 51 ‘tax extenders’ that have either expired last December or are slated to expire this December.  It grants a 2.2 cent/per kilowatt-hour refundable credit for wind, solar, or geothermal.  Believe it or not, that is a large sum of money.  According to the Heritage Foundation, if the oil industry received a commensurate subsidy, they would get a $30 check for every barrel produced.  The PTC is tantamount to an Earned Income Tax Credit for corporations.

As such, the governors are probably correct to assume that Big Wind will grind to a halt without the credit.  And that’s how it should be in our free-market economy.  Why is this any different than Obama’s attempt to pick winners and losers?  Actually, in this instance, we would be picking losers as winners.  While ending the tax credit will probably bring down Big Wind, it’s not like the subsidy actually helped Wind become prosperous.  In 2010, wind accounted for 0.9% of our energy supply, geothermal 0.2%, and solar 0.1%.  Many states offered their own tax credits to the wind industry, and lost money.  In Texas, the property tax break alone cost the state $1.6 million per job created.

Read More →