Jan. 24 (Bloomberg) — President Barack Obama, seeking to sell his stimulus package to the public, promoted plans to build up clean-energy industries, expand health-insurance coverage and boost security at U.S. ports as part of the broader effort to jump-start the sputtering U.S. economy.
“If we do not act boldly and swiftly, a bad situation could become dramatically worse,” Obama said today in his first weekly radio and video address as president.
The administration released a report today outlining some of Obama’s priorities for the two-year recovery package. They include loan guarantees and other support to open up credit for renewable-energy investors, providing health insurance coverage to almost 8.5 million people who’ve lost jobs and enhancing security at 90 ports.
The president is trying to keep up momentum for his plan to boost the economy so that he can sign legislation by mid- February. House Democrats already have begun work on an $825 billion package of spending and tax cuts and House Speaker Nancy Pelosi has said she will bring the package to the House by Jan. 28. The Senate released portions of its proposal yesterday.
Senate Minority Leader Mitch McConnell and other Republican congressional leaders, while expressing disagreement with some of the details, said yesterday they expect to reach an agreement on the legislation by the deadline Obama has set.
Meeting Today
Obama is scheduled to meet with his economic advisers today at the White House. He and lawmakers are confronting signs of a weakening economy: Housing starts fell 16 percent last month, the number of Americans filing first-time claims for jobless benefits climbed to a 26-year high, and the Standard & Poor’s 500 Index has lost more than 7.9 percent since the start of the year.
Obama stressed that he’s seeking long-term economic growth with the spending portion of his plan and not just a quick boost to create jobs.
“It’s one that will invest in our most important priorities like energy and education; health care and a new infrastructure that are necessary to keep us strong and competitive in the 21st century,” he said.
According to the report released along with Obama’s address, the administration has set a goal of doubling renewable energy generating capacity in three years and accelerating an overhaul of the nation’s power transmission system.
“We’ll begin to build a new electricity grid that lay down more than 3,000 miles of transmission lines to convey this new energy from coast to coast,” he said.
Electricity Grid
Obama says his plan would provide Americans who lose their jobs a new tax credit to keep their health insurance under a 1986 law known as Cobra, which allows many unemployed workers to pay to keep their health benefits. It also would increase Medicaid help to low-income people who don’t have access to insurance. Obama also says he would expand the child tax credit.
In a bid to make the country less vulnerable to attacks, Obama said he will boost security at 90 U.S. ports and create a better communications network for local law enforcement and public safety officials in the event of an emergency.
The report also promotes Obama’s push to modernize 10,000 schools and provide a higher education tax break to almost 4 million students.
Obama said transparency and the avoidance of needless government spending will be crucial to his plan’s success. He said taxpayers will be able to see how their money is being used on a new website, http://www.recovery.gov .
‘Veil of Secrecy’
“Instead of politicians doling out money behind a veil of secrecy, decisions about where we invest will be made public, and informed by independent experts whenever possible,” he said.
Obama’s advisers have said at least 75 percent of the money will be spent in the first 18 months after passage.
The legislation crafted by House Democrats includes $358 billion for public works projects, $192 billion in other spending and $275 billion worth of tax cuts. The Senate has begun work on part of its version of the stimulus plan, which includes $275 billion in tax provisions, including cuts for businesses and producers of renewable energy that differ from the House package.
House Minority Leader John Boehner, an Ohio Republican, said yesterday that he remains concerned about the size of the spending portion of the stimulus plan.
“We believe spending nearly $1 trillion is more than we ought to be putting on the backs of our kids and their kids,” he said.
To contact the reporter on this story: Kim Chipman in Washington at kchipman@bloomberg.net ; Julianna Goldman in Washington at jgoldman6@bloomberg.net
Please post your comments on how we can expedite this conversion to green energy. As you can see, the oil companies are already reeling from the economic downturn. Imagine if we didn’t need them at all! Gasoline prices would be a nickel a gallon and still nowbody would need it.
Now is the time, not when we are backed into a corner and paying 10 dollars a gallon of gas. Act now.
WASHINGTON (CNNMoney.com) — President Bush said the United States should “get off oil” Wednesday as crude prices hit record highs and renewed his support for ethanol use despite concerns the corn-based fuel is driving up food prices and isn’t more environmentally friendly than gasoline.
“We gotta get off oil, American has got to change its habits,” Bush told a crowd at the Washington International Renewable Energy Conference, a meeting of global energy officials and an adjoining trade show that’s the largest all-renewables show ever held in the United States. “It should be obvious to all, demand has outstripped supply, which makes prices go up.”
As the conference got into its second day, crude oil on the New York mercantile exchange jumped nearly $4 on falling oil inventories, trading over $104 a barrel and setting a new all-time record.
Part of Bush’s plan to wean the country off oil includes big investments in ethanol.
The energy bill passed by Congress and signed by Bush in December calls for refiners to replace 36 billion gallons of gasoline with ethanol by 2020, up from about 7 billion gallons today. About half of that will come from ethanol made with corn.
“That’s good if you’re a corn farmer, and it’s good if you’re concerned with national security,” Bush said.
Bush acknowledged some of the problems with ethanol, particularly its role in pushing up the price of corn. The price of corn has doubled since 2006 which has pushed up the price of chicken, beef and poultry - livestock fed with corn.
Also, crops like wheat and soybeans are becoming more expensive as farmers devote more acreage to grow corn as they rush to satisfy the demand for ethanol.
“I’m beginning to hear complaints from cattleman about the price of corn,” he said. “We’re going to do something about it.”
Bush said his administration has spent over $1 billion to make cellulosic ethanol - which can be made from non-food plants like grasses or wood chips - cost competitive. He also highlighted the use of biodiesel, which is diesel fuel made from agricultural and food waste.
“I’m confident the United States can meet those goals, for the sake of national security and the environment,” he said.
Ethanol’s impact on the environment is also up for debate. The U.S. government has previously said ethanol is about 20 to 30% cleaner than gasoline, even factoring in that it is less efficient than gasoline. But recent studies have called that into question, suggesting ethanol is no better than conventional fuel.
In the renewable field overall, Bush said his administration has spent $12 billion on research and development since he’s been in office, all part of an effort to wean the nation off big oil and increase investment in solar and wind power.
Bush said wind capacity has increased 300% since he’s been in office, and solar has grown as well.
But critics say Bush can hardly take credit for promoting renewables when he has held up incentives like production tax credits and refuses to cap carbon dioxide emissions.
“It’s like Jamie Lynne Spears giving a talk on abstinence,” said Daniel Weiss, director of climate strategy at the Center for American Progress, a liberal think tank referring to a teenaged TV star who recently disclosed she was pregnant.
Bush reiterated his call for a global cap on carbon dioxide - the main gas behind global warming - but said the United States should not act until nations like China and India do as well.
“These agreements must include solid agreements by every major economy,” said Bush. “No country should get a free ride.”
Bush also called for greater investments in nuclear power to combat global warming while meeting the world’s growing energy needs, a call that was met by applause from the audience.
And, in his trademark humorist style, applauded the participants at the conference.
“I appreciate your commitment to renewable energy,” he said. “It probably didn’t help today when I rode over in a 20 car motorcade.”
Stop buying Gas vehicles now. Before you know it oil companies will be dropping the price to 10 cents a gallon to discourage this change. We don’t need oil. Make your next purchase electric or hybrid and we will beging to squeeze the oil companies out!
We are open to any and all ideas on converting our energy sources from green house gas causing to clean, green, and renewable. Please express your thoughts and opinions on how we can move forward quickly to stop our destruction of the planet. All of these comments will be put into letter format and submitted to our new President in July of 2009. If you leave your email, we will send you a copy of the final version of this letter when we send it.
“If we continue down the energy path of least resistance, it will lead us to extinction.”
—Aaron Hirsch, 2008
Please post your comments on how we can expedite this conversion to green energy. As you can see, the oil companies are already reeling from the economic downturn. Imagine if we didn’t need them at all! Gasoline prices would be a nickel a gallon and still nowbody would need it.
Now is the time, not when we are backed into a corner and paying 10 dollars a gallon of gas. Act now.
Stop buying Gas vehicles now. Before you know it oil companies will be dropping the price to 10 cents a gallon to discourage this change. We don’t need oil. Make your next purchase electric or hybrid and we will beging to squeeze the oil companies out!
We are open to any and all ideas on converting our energy sources from green house gas causing to clean, green, and renewable. Please express your thoughts and opinions on how we can move forward quickly to stop our destruction of the planet. All of these comments will be put into letter format and submitted to our new President in July of 2009. If you leave your email, we will send you a copy of the final version of this letter when we send it.
“If we continue down the energy path of least resistance, it will lead us to extinction.”
—Aaron Hirsch, 2008
This site is here to collect information from the world on how we can accomplish converting to renewable energy over the next 5 years, rather than wait until it’s too late. The economy, credit, etc., etc., will mean nothing when this planet is uninhabitable from accelerated global warming.