Of course, the Dear Leader will say the prices of natural gas for the northeast jumped unexpectedly.Political stances have consequences: “Natural gas is so abundant and cheap in much of the U.S. that producers want to export it overseas. Except in New England, where gas is so hard to get that companies are importing it from as far away as Yemen.” In this particular case, the stance was we do not want any of those dirty, dirty fossil fuel pipelines in our backyards; and the consequences are soaring natural gas prices (2/3rds higher than the rest of the country) according to the WSJ, with the price probably continuing to skyrocket because of increased demand from consumers and what may be a really, really cold winter*. There’s also apparently the consequence that New England air pollution levels have been rising in the last year due to the need to burn stuff that’s less efficient than natural gas, but that’s a whole different issue**.But who could have seen this coming? Actually lots of people – including Nick Schulz, my editor back in the day at Tech Central Station, who warned:
…Well. Loathe as I am to see a bunch of Americans pay through the nose for electric – and more importantly, heat – many, many people are going to not-really-nicely note that New Englanders have largely brought this fate down upon themselves by voting in Democrats. And it’s true! New Englanders did, and they have.For example, energy market analysts predict this winter will see steep rises in home heating bills as the demand for natural gas grows and supply remains tight. And yet, for years politicians have known of the need to bolster supply and yet obstructed efforts to help do so.
Consider the Bay State, where politicians are considering energy price controls. Massachusetts Sens. Kerry and Kennedy have opposed siting LNG terminals in their region. They also recently voted against an energy bill that would help get more natural gas to market. The Bay State political class has been blocking the surest way to decrease energy costs for their constituents by opposing measures to ease supply. And now it wants price controls? This makes no sense.
In the past 30 years, most people have learned critical lessons. The knee-jerk reaction of capping prices is seen as deeply imprudent by nearly every serious economist and by most political leaders. The basics of free-market dynamics are now pretty well engrained in the culture… but there are holdouts in bell bottoms.
A conservative leaning Libertarian stuck in the land of Nuts, Fruits, and Flakes, or as it's affectionately known, by regular people, Kalifornia
Day by Day Cartoon by Chris Muir
Saturday, October 3, 2015
New England to shiver from the lack of those natural gas pipelines the Democrats so hate.
From Moe Lane via H/T at Instapundit:
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