Liquid Coal – Flooding back to life!

See, it was only a matter of time before liquid coal made its egregious way back to front and center of the “energy security” debate.

Lawmakers Push for Big Subsidies for Coal Process – New York Times

Prodded by intense lobbying from the coal industry, lawmakers from coal states are proposing that taxpayers guarantee billions of dollars in construction loans for coal-to-liquid production plants, guarantee minimum prices for the new fuel, and guarantee big government purchases for the next 25 years.

Liquid coal produces more CO2 than gasoline, so, all the coal makers are claiming that they will sequester the CO2, and use renewable energy to produce the coal, it’s a lie, and an expensive one at that.

It is going to be more expensive, more polluting, and more profitable for big coal companies at tax payers expense than any other options available.

In addition to construction loan guarantees, Mr. Boucher would
protect the first six liquid plants from drops in energy prices. If oil
prices fell below about $40 a barrel, the government would
automatically grant loans to the first six plants that make coal-based
fuels. If oil prices climbed to $80 a barrel, companies would have to
pay a surcharge to the government.

But the most important guarantee, many coal producers said, is the prospect of signing 25-year purchase contracts with the Air Force.

Wow, why can’t solar or wind energy get these kinds of incentives?

“There is financial uncertainty, which is inhibiting the flow of
private capital into the construction of coal-to-liquid facilities,”
said Mr. Boucher, who supports most of the proposals and is drafting
portions of the energy bill.

Yes, there is “financial uncertainty” because without the taxation of the American public, there is no hope of making money with this thing. It’s just a giant boondoggle to transfer money from the public sphere into coal companies.

The US is losing its collective mind!

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1 comment for “Liquid Coal – Flooding back to life!

  1. June 2, 2007 at 12:51 pm

    I think that the way that this could be and should be handled is by requiring all those proposing renewable energy projects for funding to submit environmental impact statements within which the issue of sustainability is also an important factor.

    The use of sustainability as a yardstick, which includes whole life costs, greenhouse gas emissions, AND resource utilisation is a powerful tool.

    I would say that the technologies that come out top on those issues are that ones most deserving of government encouragement.

    I must say that as a UK Waste Management Professional I am partial to a techmology seldom given prominence. I am a fan of rewable energy from waste. There is a lot of it there for the taking, and there are many benefits.

    There is more about Anaerobic Digestion and is the benefits of Anaerobic Digestion – creating renewable energy from waste materials here.

    Like you, I say wouldn’t we just love some of the benefits for renewables which you have suggested may be given to liquid coal.