Obama Administration Says Energy Reform Not Negotiable

WASHINGTON — President Barack Obama said Monday the nation must move quickly to develop clean and innovative sources of energy after years of delay.

"We've seen enough," Obama said at a White House event intended to draw attention to his energy proposals. "We can remain the world's leading importer of foreign oil, or we can become the world's leading exporter of renewable energy."

The president's comments came following a weekend in which administration officials indicated his campaign promise to explore new sources of renewable energy is one element of his budget that is nonnegotiable. Obama is devoting much of his time these days to build support for his $3.6 trillion budget proposal.

Speaking to entrepreneurs in the fields of energy, Obama told them their country needs them to create jobs and be inventive. In turn, he said: "Your country will support you. Your president will support you."

The administration's $787 billion stimulus package includes $39 billion for the Department of Energy and $20 billion in tax incentives for clean energy.

Obama's budget calls for making a tax credit for research and experimentation permanent. Overall, the budget would invest billions in research designed to reduce climate change and guarantees loans for companies that develop clean energy technologies.

Obama and his aides have begun an aggressive effort for the president's budget that contains many of his campaign promises. The core projects are providing affordable health coverage, improving education and diversifying the nation's energy supply with a focus on so-called green jobs.

Facing some political pressure to scale back all of his priorities, the president said energy innovation cannot wait. Progress itself can take years, he said.

"Sometimes you have to fail before you can succeed," he said. "And often it takes not just the commitment of an innovator, but the commitment of a country to innovation. Often what's required is the support of government."

Obama plans to make his budget pitch with a prime-time news conference on Tuesday. His budget faces opposition from members of both parties.

Democrats worry the plan inflates deficit spending; the Congressional Budget Office estimates Obama's budget would generate $9.3 trillion in red ink over the next decade. Republicans say it would impose massive tax increases, including on polluters; Washington could raise billions from companies that use unclean fuels, what GOP leaders called a carbon tax.

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Associated Press Writer Ben Feller contributed to this report.

Comments

[TxAggie]

03:07 PM on 03/31/2009

"We can remain the world's leading importer of foreign oil, or we can become the world's leading exporter of renewable energy." What exactly does he hope to export and to whom? Let's see, he can export electicity maybe to Mexico and Canada, yes, aren't we land locked? Uh, I think we already do that. What else does he have in mind? Can anybody out there answer?

[Stephen Federowicz]

12:15 AM on 04/16/2009

Clean energy technology including turbines, solar cells, digital infrastructure, software, other equipment and most importantly, the know how and consulting expertise to implement similar systems in other countries. This has in part been what has made american power so pervasive around the world, we didn't just sell people all of the great stuff we made, we sold them the information or the service to implement technologies.

[PlayTOE]

07:40 AM on 04/16/2009

The alternative is that American innovators can sit home out of work while China develops the technology and production capacity to fill world demand.

Just think, most countries in the world could be buying both wind turbines and electric cars from China within the next four years.
All except the USA who would still be importing foreign oil at a HUGE cost.

Obama wants to change that future.

[TxAggie]

10:00 PM on 03/27/2009

"Energy reform" what does that mean if you are Obama? Apparently it means you first decimate your own domestic industry by removing accounting and tax incentives, imposing a new "excise tax" , increasing royalty rates and stating that "we can't see subsidizing the activity that we are trying to wean ourselves off of". This guarantees that the price of crude will rise and that our own production will wane causing even more reliance on foreign oil while thousands of American jobs are lost. This is while 90% of federal lands are off limits to oil and gas exploration. We have a large supply of oil & gas in our own country which should be developed while alternatives develop. What about the Pickens plan, where is Obama on this? In the meantime O is going to double hydroelectric (appprox 2.4%) and solar/wind (currently 0.5 % ) within 3 years. Great, the other 94% will be generated by nuclear, coal and natural gas, lets ignore, vilify and discourage the base of our energy supply while the renewables soar to 6%. (better get to work on those dams, the greenies will cooperate no doubt).We as a country cannot afford to ignore the basic heavy industries that make our economy work. Not everyone lives in urban areas, works at Starbucks or Huffpo. Let's remember Obama's energy vision when gasoline is at $5 a gallon and our domestic o&g industry is on the ropes.

[PhilipTaylor]

07:04 PM on 03/25/2009

Congress must BE SERIOUS about Green Energy!

We can NOT afford to PAY OIL COMPANY PROFITS and our Enemies while hurting our Planet and fighting wars to meet our OIL NEEDS!

1. We can NOT afford to poison ourselves and the earth for the sake of OIL Company Profits!
2. We can NOT fight Wars to eventually extract Oil from foreign countries for the sake of OIL Profits!
3. We can NOT afford to ignore the progress in solar, wind, and thermal energy for the sake of OIL Profits!
4. We can NOT afford to ignore hybrid electric cars to save 66% of our transportation fuel cost for the sake of OIL Profits!
5. We Must be leaders in New Technology and become a manufacturing exporter of that technology to build wealth!

[ProgressiveMinded]

11:35 PM on 03/24/2009

It's great having a smart man of sound values and principles in the White House. He sure knows how to play chess. Now the coal state pols have to support his budget or risk having the EPA keep mining clamped down. The Repugs have no grounds for stopping new regulations on the finance industry after the way they have just attacked the administration for having not already regulated the industry.

Renewables are going to get an even better boost than any of us have even expected.

[jpmdevildog]

01:29 PM on 03/24/2009

The old god Poseidon has weighed in on Obama's comments

http://weeklyworldnews.com/opinion/7102/poseidon-my-fame-is-not-negotiable/

[SallyVCrockett]

10:01 AM on 03/24/2009

Politically, I think it's smart that the President is saying that his priorities related to the climate are non-negotiable. Of course, I think it's a mistake to be so set on a flawed cap and trade scheme that there is no room for discussion on the alternatives. Leading economists, scientists and opinion leaders are vocally supporting a revenue-neutral carbon tax and it should at very least be part of the discussion. And while I agree that something must be done soon to stem the tide of catastrophic climate change, there are better ways by which to do it than cap and trade and refusing to even entertain those alternatives is bad for the environment, for the economy and for the country.

[orangepetal]

11:09 PM on 03/23/2009

We need organized public pressure on Walmart, Costco, Amazon etc. to convert their trucks asap to local natural gas.

[Bitsko]

09:05 PM on 03/23/2009

Now that's what I'm talking about. Go 0bama!

[pokemon]

06:59 PM on 03/23/2009

Thank God.. Here my voice... Green energy or bust (buts thats mostly because we have no choice).

Peak Oil Baby!

[Noah Sabich]

04:26 PM on 03/23/2009

I am thrilled at the idea that the emphasis is finally put on green energy, health and education. They are so intimately connected to each other and relevant to the survival of our planet. I think we all need to pull together, invest in these green technologies, start small gardens, bike more, and support the beautification of our country once again. I know America can be free of Middle Easter oil. I know America can regain its status as the country of education. I know America can be clean. Let's do it!

[realpolitic]

03:53 PM on 03/23/2009

If Obama continues to stick to his principles on energy and health care, he will go down as one of our greatest presidents. These policies of energy conservation and reform will save us so much money in the future we wiil be thankful a decade or two from now.

[EinChicago]

06:09 PM on 03/23/2009

Ummmmm. Yeah. That worked out well for Carter.

[BrettnCalgary]

06:19 PM on 03/23/2009

It would have worked well for your whole country if his plans weren't derailed by someone, I forget who.

[pokemon]

07:00 PM on 03/23/2009

Obama could care less, he has his place in history. What is important is that we will benefit from his policy changes.. at least until some jack ass Republican decides it is best that those things are handled by the market.

[NWBrunette]

03:48 PM on 03/23/2009

If we really do fund alternative energy, and we really do fund stem cell research... in 10 years this country will be breathtakingly better.

[Boneszy]

03:27 PM on 03/23/2009

Democrats worry the plan inflates deficit spending; the Congressional Budget Office estimates Obama's budget would generate $9.3 trillion in red ink over the next decade. -- I would worry about something like this too

[InspiredByTruth]

04:48 PM on 03/23/2009

The CBO assumes every year will be as bad as this year...for the next decade. This budget plan will create quiet a few good paying jobs for those that work at these plants. To suggest we should avoid creating jobs to reduce a few digits on our deficit is ridiculous. Even Reagan responded to the recession during his first term with huge, shocking, growth in the deficit.

[Boneszy]

01:33 PM on 03/25/2009

My main point is that the CBO repeatedly underscores these budget projections, so when they say their number you can assume that is a low ball figure.

[Javani]

03:27 PM on 03/23/2009

Reform? Goldman owns the carbon exchanges. From their web site:

""Trading and Capital Markets

Goldman Sachs is active in the markets for carbon emissions, SOx, Renewable Energy Credits and weather derivatives, among other climate related commodities. Additionally, we have created new financial products to help our clients manage the risks posed by climate change.

In September 2006, we made a minority equity investment in Climate Exchange PLC, which owns several European and US trading platforms that facilitate trading in environmental financial instruments: the European Climate Exchange (ECX), the Chicago Climate Exchange (CCX) and the newly created California Climate Exchange (CaCX).""

Interestingly, the climate exchanges are all modeled on the work for the CCX funded by the Joyce Foundation, on whose Board of Directors Obama sat when the +$1 million for the project was approved.

[InspiredByTruth]

04:42 PM on 03/23/2009

OK and? They also profit from energy commodities and futures. The reform is producing renewable energy while penalizing the production of dangerous greenhouse emissions. Its no surprise that somebody somewhere will profit from it.

[Javani]

05:18 PM on 03/23/2009

"They also profit from energy commodities and futures."

I suppose you will enjoy the "carbon derivatives" market then.

"The reform is producing renewable energy"

Not at all evident in Europe. In fact, the carbon price bubble has burst twice there, all benefits gone bye-bye, traders keep their transaction fees.

"Its no surprise that somebody somewhere will profit from it."

Unfortunately, it won't be us.

[joewalters]

03:26 PM on 03/23/2009

GO BIG OR GO HOME...