A period of extremely cold, windless weather has brought home to the British the drawbacks of relying on wind power and the need to keep a supply of natural gas in reserve. While the cold spell has strained natural gas supplies, leading in some cases to cutoffs to industrial users, it also has highlighted the unpredictability of wind power. Although Britain’s wind farms are supposed to provide 5 percent of the country’s electricity, they were in fact only providing 0.2 percent during the recent run of frigid, still days.

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Last month Thomas L. Friedman wrote in the New York Times an interesting op ed on why America should tax more gasoline. This occurs as the United States is the least forceful OECD country regarding gas tax. US drivers pay on average less than ten euro cents of tax per litre when their German, British, Italian, Turkish or French counterparts pay as much as 60 to 70 cents per litre. Even Australia does better with more than 20 cents per litre.

The situation varies from State to State with Alaska only taxing 26.4 cents per gallon of gasoline while California taxing up to 63.9 cents per gallon. Federal authorities already tax 18.4 cents per gallon for gasoline and 24.4 cents for diesel.

Since the United States’ addiction to oil is widely documented and recognized as a threat by both sides of the political spectrum, why shouldn’t it tax oil more to curb the consumption?

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The news out of New York was big. The New York Power Authority is working on rules for siting 120 megawatts of offshore wind turbines in Lakes Erie and Ontario.

But a bigger wind and water story was hatched this week in the Great Plains. President Barack Obama, in an Earth Day speech in Iowa, said his administration is clearing the red tape for siting windmills on the outer continental shelf.

Forbes.com reports that the Department of Interior’s Mineral and Management Service will grant wind developers leases and easements to erect wind farms on the shelf, along with rights of way to wire wind power from water to land. There’s been a moratorium on offshore wind development for about four years in the United States; all the offshore wind is in Europe for now.

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In the last few weeks both Shell and BP have pulled out of developing off-shore wind developments in the UK due to better incentives and support from the US government in the form of tax breaks and incentives.

The same is true for Spain where in the last few years the country has been unprecedented growth in wind farms along the majority of the eastern part of the country. Then just as the country was seeing clean and green as a way forward – they remove the tax break for further development. Almost overnight the work stops, new planned sites are abandoned and people are laid off.

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