Wednesday, September 16, 2009

Green Energy... Not So Fast

SEARCH BLOG: ENERGY

The other day I was reading the September 21 issue [yes, the pre-dating is getting little out of hand] of Forbes. The story was titled Dead-Tree Hugger. No, it's the tree that's dead, not the hugger.

It's all about this guy, Mark Mathis, who saw an opportunity in disaster and turned it into a thriving company. The disaster is the kill-off of the western pines by the Dendroctonus ponderosae ... bark beetle to the less esoterically educated.

http://www.fs.fed.us/r2/bark-beetle/images/beetle.gif

Images from U.S. Forest Service.

Long story short... he determined that with 7-8 million acres of dead trees out west, there was a reasonably adequate supply of raw material for a wood pellet company... each million acres being equivalent to 100 million barrels of oil! Add in another 25+ million acres of trees from Canada and you've got quite a bonfire.

Of course, since his factory is in Colorado and the largest portion of the dead trees are elsewhere, once he uses up the local sources he will start incurring a lot of transportation costs. Now here is where the government comes in....

  1. Until Jan 1, 2011 you can get a tax credit of 40% up to a maximum of $1,500 on the purchase of a wood pellet stove.
  2. The climate change bill that came out of the House in June exempts biomass culled from Federal lands from carbon emissions allowances.
  3. 80% of the land that contains those dead trees is off-limits because it is designated wilderness... with logging allowed on the rest if you live long enough to get a permit.
Okay, just in case you didn't connect the dots. The government encourages the use of wood pellet stoves that spew tons of CO2. And the government exempts trees used for fuel that have been taken from Federal lands from EPA regulations and Cap and Trade caps. And then the government says, "Nah, nanah, nah, nah" you can't have the wood. Left hand... right hand... no communication. Don't you just love government bureaucracy?

Can't you just hear the greenies and the government bureaucrats chanting, "Another one bites the [saw] dust." Yeah, and wait until all of those dead trees lying around the wilderness areas burst into massive forest fires. Try capping the emissions on those babies!

Read the online version here.
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