U.S. businesses not buying President Obama’s rhetoric on energy ‘race’ with China

The U.S. has “raced” to control space exploration, nuclear arms and electronics. Since taking office, President Obama has introduced the idea that the U.S. is now battling China — the world’s largest polluter — in new race for world domination. A clean energy race.

“The nation that leads in the creation of a clean-energy economy will be the nation that leads the 21st-century global economy,” the president has said. Energy Secretary Steven Chu has repeated the message several times, creating a frenzy to “go green,” before China does.

If America really is in such a race, the Energy and Commerce Departments should talk.

According to Ernst & Young’s Renewable Energy Country Attractiveness Index, China ranks first among 30 countries on building renewable-energy infrastructure. In the fourth quarter of 2010, China invested more than $10 billion in its wind energy sector — half the total global investment of just over $20 billion. The U.S. fell from first in May to fifth in November, because of its relatively low investment.

Consulting firm Accenture said in a January report on transportation technologies, “Whoever wins the race to commercialize technology first may have unique advantages. These include intellectual property ownership and opportunities to provide jobs to their domestic population.”

Accenture is betting on a Chinese victory, if China’s government continues to prop up alternative energy investment. “Our expectation is that China will be able to achieve its targets faster, but in a narrower field of technologies. While the United States may be slower in its development, its openness to new and disruptive technologies is more likely to generate a breakthrough solution,” Accenture said in its report.

The U.S. Department of Energy is putting more than $16 billion from the economic stimulus into the green technology sector, but at the same time the Commerce Department is pushing to relax rules that would allow U.S. businesses to invest in China’s green technology sector.

At its most recent meeting in December, the U.S.-China Joint Commission on Commerce and Trade, composed of trade representatives from both countries, agreed to make it easier for American companies to provide equipment for large-scale wind power projects in China. And American companies will find it easier to submit information on technical requirements for large Chinese wind-power projects.

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  • Jess81

    Oh! I saw that on the news. I thought it was a laugh line from his Gridiron speech.

    I LUV my new lightbulbs, BTW. They give you headaches, are expensive and if I break one I’m going to get a lot sicker than I’ll ever get from the nuclear power plant five miles down the road.

    How’s San Francisco’s sewers doing these days?

  • greenmonster

    Interesting article.. It reminds me that Obama recently appointed GE’s CEO Jeff Immelt to Chair the President’s Council on Jobs and Competitiveness. Obviously trying to send a signal on where he’d like to focus…Let’s hope it’s not just lip service and they come up with some creative ways to define a successful niche within the market– if there’s no hope in beating China’s attempts to saturate it. IP rights are definitely an important issue we need to resolve..

  • voted against carter

    the BIG LIE.
    by Steve McCann (Full article at americanthinker dot com)

    Yet the United States is sitting on the world’s largest untapped oil reserve.  A natural resource that would not only mitigate the over $400 Billion sent overseas to other countries but could create untold millions of jobs and put the country on a sound financial footing.

    The untapped reserves are estimated up to 2.3 Trillion barrels, nearly three times the reserves held by the OPEC countries and sufficient to meet 300 years of demand, at today’s levels — for auto, truck, aircraft, heating and industrial fuel, without importing a single barrel of oil. 

    The US could become the single largest exporter of oil and oil related products in the world, thus potentially eliminating its trade deficit, and increasing the national standard of living as well as making a massive dent in the national debt.  

    Here is a look at some of the largest untapped reserves:

    The Bakken Fields in North and South Dakota.  New drilling and oil recovery technology is making the capture of this oil feasible and some development is now underway.  It is estimated that there is at least 200 Billion barrels of oil in this region.  At a price of $100 per barrel the value of this find is $20 Trillion.

    The Outer Continental shelf.  It is estimated that around 90 billion barrels of oil sit beneath the ocean bed 50 to 100 miles off the shore of the Atlantic, Pacific and Gulf coasts.  The value: $9 Trillion.

    The Alaska National Wildlife Refuge.  About 10 billion barrels are locked up here with a current value of $1 Trillion.

    Tar Sands:  Around 75 Billion barrels of oil could come from these areas which are similar to the Canadian tar sand fields and which now produce about 2 million barrels per day.  The value:  $7.5 Trillion

    Oil Shale.  This is the most massive area of potential oil production in the world with an estimated 1.5 Trillion barrel potential.  The technology necessary to extract this oil is now in place and being operated on a pilot project basis.  The value of this resource:  $150 Trillion

    There also the very real potential that further finds will be discovered as technology continues to improve.

    In total the value of the potential oil reserves of the United States listed above exceeds $187 Trillion.  The current national debt is $14.2 Trillion or less than 8%.

    Despite the protestation of President Obama and the environmentalists the world and particularly the United States is not running out of oil.  Their foolish tilting at windmills and solar will never produce energy sufficient to operate a $14Trillion and hopefully growing economy.  It will be decades if not the rest of the 21st Century before any meaningful substitute for fossil fuels will be developed and additional time and investment will then be necessary to distribute the product.

    Just say’n.

    • virginiagentleman

      You forgot to mention all the swamp gas emenating from D.C.!

  • erick1740

    Bill powel from time is the the biggest moron I have ever heard

  • Jasmine Clark

    this article goess perfectly with obama’s anti-oil agenda. oil doesn’t fit into his green energy plan, so he’s purposely trying to make oil prices higher. he’s fine with it. you all have to see this- palin just blasted obama’s statements and actions on oil. here you can see the different ways obama is deliberately hurting the oil industry.

  • erick1740

    Obama is a liar and a clueless buffoon. He is crashing our economy.

  • emem

    China – really? That’s Obama’s benchmark? Without any doubt, China has developed more than any other nation the lasy 50 years. BUT – there are plenty of areas in China that are 3rd world. So to compare this entire nation with the progress of 3 or 4 new cities, and 3 or 4 evolving cities like Bejing is just short sighted and idiotic.

    • ladylove

      seems like a perfect comparison when you consider how many Mai Tse-tung kiving marxists Obama surrounds himself with.

      not that I agree, only pointing it out from Obama’s point of view.

      • ladylove

        thats loving not kiving,

      • emem

        Yes, people who have no first hand knowledge of CHina’s evolution since the 40’s, but “read” it in a book. A pack of fools to be sure!

        Obama is just so dishonest about energy policy. Compare us to the EU, or something with more similarities.

        He chose China because it’s an economic combatant and an easy target for most americans because of manufacturing, etc. That’s all. It’s just blatant dishonesty and I hope we don’t fall for it for a 2nd term.