The Washington Post’s recent article on the “The rise and fall of the U.S. wind industry, in one chart” showed the correlation between the federal wind production tax credit (PTC) and annual installations of wind. When the credit is allowed to expire, installations plummet. When it is renewed, a boom period ensues. This has resulted in an uneven, “saw-tooth” pattern of wind growth that among other things generates anxiety about the future of the market. How, might you ask, does this compare to China – where wind capacity doubled for four of the last six years? Here’s one chart:
This week, MIT will host a presidential energy debate with senior advisors for the two candidates — Joseph Aldy (Obama) and Oren Cass (Romney). This post is part of a ScienceWonks series to raise awareness of the debate and critical issues facing our nation’s energy future.
Rhetoric about “getting tough” with China on trade is heating up during this election season as both parties try to articulate credible strategies for kick-starting the struggling U.S. economy. Not surprisingly, some of the most prominent recent examples of U.S. administration trade actions against China have been in the increasingly profitable clean energy sector, which totaled $263 billion globally in 2011. The U.S. is right to watch what China is doing on energy policy – and should continue to advocate for a level playing field – but perhaps in China’s impressive support for this industry there are also some lessons for a comprehensive U.S. national energy strategy. In this post, I will debunk some of the myths and miracles of China’s energy policy, making a case for U.S.-China cooperation (and healthy competition).