In the immediate future, the transition away from oil will no longer be a question of if (yes) or even when (asap) – the big question soon will be how. There are many energy alternatives that are clean, green, and economically viable: some forms of plug-in hybrids and electric vehicles, efficiency (and fuel economy) improvements, public transit, and solar, wind and other renewable energy for electricity generation.
Moving forward, all consumers – in the United States in particular – will need to do more to use much less energy. But we believe that in the short term, setting up the proper incentives in government is key to changing our collective course.
Subsidies to the Fossil Fuel Industry
In the United States and most industrialized countries, the federal government still strongly favors the oil industry with subsidies that block clean energy alternatives.
Estimates of the value of U.S. federal subsidies to the domestic oil industry alone (not coal) range from roughly $6 billion a year, to an amazing $39 billion annually. Internationally, subsidies are even more difficult to estimate but they are likely more than $600 billion annually, of which at least $100 billion are production subsidies – going straight to fossil fuel corporations.
In the United States, these dirty energy subsidies are completely out of step with a nation that now broadly accepts the need to end our collective “oil addiction.” A 2010 poll by Stanford University found public support for government action to increase clean energy and energy efficiency. The poll found that 84 percent are in favor of giving companies tax breaks to produce more electricity from water, wind, and solar power; 81 percent want more fuel efficient cars that use less gasoline; 80 percent want more appliances that use less electricity; and 80 percent want more home and office buildings that require less energy to heat and cool.
Vision for a Clean Energy Future
What if all the money currently being handed out to Big Oil was put into alternative energy instead? What would our new energy economy look like? We’d have clean, renewable energy like wind and solar to power our homes and businesses, a green grid to power our plug-in hybrid or fully electric vehicles, and efficient technologies to help us stop paying at the pump and in our homes.
Skeptics continue to say that renewable energy is not capable of meeting our energy needs, but this simply isn’t true. Renewable energy can generate as much energy as fossil fuels. We’ve simply been given false choices. Fossil fuels have gotten big financial boosts while renewable energy sources have gotten much less help and faced regulatory challenges.
Making a Change
One way to start changing this is to make a Subsidy Shift. Having subsidies go to Big Oil and Coal means that there is not enough funding for renewable energy – nor is there enough for climate-related needs or to increase energy access for the poor. We also need a Separation of Oil & State to reduce the fossil fuel industry’s influence on government.