Greening the industry
By Richard Lambert
How much difference will the departure of George W Bush make to the politics of climate change? The answer as of today is: not enough. Both candidates for his job have acknowledged the need for action, but not such as to threaten the inalienable right of US motorists to cheap gas. And the boldest initiatives that now seem politically feasible in America will scarcely make a dent in the problem.
For one thing, there is much less of a consensus in the US about the nature of the threat than exists in Europe, and powerful vested interests stand in the way. Four of the key swing states — Ohio, Pennsylvania, Tennessee and West Virginia — are built on coal, while others such as Iowa have big biofuel interests.
For another, the sheer complexity of America’s energy system is a serious barrier to progress. To take one example, there are more than 3,000 separate electric utility companies spread across the country, all of them given incentives to sell as much power as possible from the cheapest energy sources. There are three regional grids, with limited interconnection. And there are armies of sometimes competing regulators, at local, state and federal level.
Hence the importance of Thomas Friedman’s new book, Hot, Flat and Crowded. In many ways, it’s a maddening read for Europeans, and not just because it ignores the EU and the lead that it has taken on this issue. Friedman’s style is all-American.
He believes the vital role of the US is to stand as “a beacon of hope and the country that can always be counted on to lead the world in response to whatever is the most important issue of the day”.
But his arguments are pitched squarely at American readers, and his is an influential voice. His last book, The World is Flat, became required reading in the corner offices of Fortune magazine, and his latest offering is designed to win over the same sceptical audience.
The starting point is that ending America’s addiction to oil is not just an environmental necessity — it is also a strategic and economic imperative. Oil dependency makes dictators stronger, democratic countries weaker and radical terrorists richer. Rather than staying on this course, business and the country as a whole should see the development of a clean energy infrastructure as a source of competitive advantage.
— The Guardian, London


