I appreciate that kind introduction. I don't know about the highly respected part, but I will take it for now. I appreciate what the two gentlemen have been talking about in this particular cap-and-tax plan that is out there. I think it's…
I appreciate that kind introduction. I don't know about the highly respected part, but I will take it for now.
I appreciate what the two gentlemen have been talking about in this particular cap-and-tax plan that is out there. I think it's important to realize that this is not the only issue, the only plan on the table.
The Republican Study Committee in conjunction with the Western Caucus have both come together and have introduced H.R. 2300 last week, which is the American Energy Innovation Act. The goal is to present another idea, another alternative to what is on the table right now coming from this particular administration.
You see, what we really have are two distinct visions of the future. One vision, which is the cap-and-tax policy, is the one that deals with creating everything done by increasing taxes on all. Our vision is not to increase taxes.
The administration wants us to have everyone pay disproportionately, as you have shown on that other map. Different areas of this country will pay higher.
What we realized is that energy and equal access to energy has been the great equalizer in allowing people to escape from poverty in this country. We need to incentivize and create more energy and solve our problems, not less.
The other side does not have a path to an alternative energy source. We do have a path to energy independence and a recognition of other alternative sources.
I appreciate the insight and that perfect analogy of what we are talking about here.
The problem the government has when it becomes involved in mandates is we pick winners and losers in the system. What we're trying to do with this act is give another alternative, another vision that empowers people to solve these particular problems.
I would like to, if I could only, just spend 1 minute on only one aspect, one part. I mean, this is a 200-plus-page bill with lots of ideas. Just one that deals with technology innovation because we all know technology is going to be one of the keys of creating this innovation in the future, and both the public and the private sector have a role to play. But the government, when it gets involved with mandates and massive programs, picks winners and losers. There's a role, but that's not going to be the key role. The real way of solving our problem is to tap the greatest potential this country has, which is the American people, and to do it in an innovative way.
Since 1790, this country has granted 6 million patents. We've got everything from 1784 with bifocals, 1805 with refrigerators. And 1867 is still the best year because we did the typewriter, the motorcycle, and barbed wire and toilet paper all in the same year, all of them important.
In 1896 was the zipper; Scotch tape goes back to 1930; 1945 was microwave ovens; 1960 was the laser; 1982 was the artificial heart. These were not done by government mandates. These were done by Americans responding to the challenges of the day. This country that is smart enough to come up with bifocals and blue jeans and crayons in 1903, along with airlines and lasers and computers, can come up with a source of better and alternative energy for our future.
I need to piggyback on what you just said. Last week Dr. Calzada from King Juan Carlos University in Spain was here telling us the specific problems that Spain is having with their approach of government mandates. So for every new green job created, many of them are administrative.
You've got it right there. They lost 2.2. They're having a difficult time with their economy simply because they decided to do the top-down approach to it.
Now, what America has always been able to do is have Americans come up with these creative ideas if there is an incentive to do it, which is one of the things in the American Energy Innovation Act that I want to emphasize right now, which is the incentive with prizes. That is something that we have always used in the history of this world.
When Britain was trying to control the seas, they didn't know how to map them; so they offered a prize of 20,000 pounds to somebody who could solve the problem. A clock-maker in London got it by coming up with latitude and longitude elements we use today. Napoleon wanted a way to feed his troops, a
12,000 franc prize, and they came up with vacuum packing technology we still use today. When Lindbergh flew across the ocean, it was to claim a prize. The British Spitfire, which won the Battle of Britain, was the result of a technological development price. NASA has used prizes. We use this all the time.
This is the time for us not simply to say come to us and the government will solve all your problems and we will fund all the research and we will decide what's good and we will decide who wins and who loses. Simply put the money out there, and the first person that can actually produce what we want, privately produce it, privately make sure that it's sustainable, give them a decent prize. That has driven America. That has driven the world in the past. It can happen today.
We have got several other guests down here; and before I turn it over to them, let me just give a conclusion to this concept because the cap-and-tax plan is a government mandate that's telling people what they will do, how they will live. What we're talking about is empowering people.
Now, I hate to say this because it's somewhat harmful, but one of the problems I have with our session of Congress is there basically are two approaches we have to everything: we have an administration that truly believes government is the solution to our problems and wants to harken back to the progressive era, the New Deal era, the Great Society era, and build upon that. The other side of Congress thinks that empowering people is the solution. So I don't want to sound cynical, but to be very honest, it doesn't really matter what the issue is; we're always talking about the same thing.
So the Democrat solution to energy is to dictate and regulate, to have bigger government and have higher taxes. And I apologize, but for the Republican side, pick your topic. Today it's energy. Our solution is choices and options, empowering people, and reducing taxes.
Now, what I have been talking about with the prize concept is to simply empower people to come up with solutions that dictate their own lives and their own futures, as opposed to simply having bigger government telling people what they will do, when they will do it, and charging them $600 billion for the opportunity of being told what to do.
I hate to add another wrinkle to this, because there is another problem. We have 6.5 billion people on the Earth today. Two billion people do not have electricity today. They have never flipped a light switch, and they want the same standard of living that we have. We are going to need more energy in the future, if only to be fair to the rest of the world, than what we are talking about today.
In 1977, we tried a national energy plan. It was passed, it was implemented, and the result of that was the government told you how high to put your thermostat, how fast to drive your car, and which day you could actually fill up. Except I think we talked about the one family Newt Gingrich found out about that had two different license plates, one ending in odd and one in even so they could get gas whenever they wanted to.
I should have given him a prize for that.
But we cannot go back to this place, this effort in which the government tells you how to live your life. We need to empower Americans to solve our problems, and we have the capacity to do that.
The gentleman from Ohio (Mr. Latta) was talking about all sorts of different types of programs.
I just came back from a meeting in California where they have closed a lumber mill down there. We talk about lumber mills, but one of the processes you have of trying to thin the forest, to save the forest from burning, is to take all what they call the slash, the extra stuff off the land or the byproduct from the lumber mill, and turning that into a biomass energy source.
They are already funding 30 percent of their energy source from that particular area. Unfortunately, the mills closed down because we have this idea that we can't use our forests for anything other than to look at and watch them burn in California.
This is the part we are talking about. This is the brilliance America has to solving these problems. This is the kind of alternative. And one of the things that's sad is there is no source of energy that doesn't have somebody opposed to it. People are opposed to wind power because of the massive footprint it will take to build those generators. People are opposed to solar power because of the massive amount of land it will take to build those. People are opposed to nuclear because they are afraid of the term. People are opposed to biomass because they don't think it is right to clean out the forests, so they would rather see it burn.
All of these things have to be there. It has to be part of the proposal. We have to unlock the potential of Americans. That's our future. That's what we are talking about. That's not cap-and-tax.
Well, I am doing this from the top of my head, so you can help in here when I forget about what Dr. Calzada actually told us. But in Spain they basically have the government saying this is way we will move forward in the future. This is the energy we will use, even though the wind power and the solar power is not enough to meet the needs of Spain.
So they are having what we call brownouts and what they call blackouts. They are having business move away from Spain because they don't have a reliable source of energy, which is why they are actually losing two jobs for every one they gain in coming up with the government-picked winners and losers.
And, unfortunately in Spain, it's the entire country that becomes the loser. Not only do they not have enough energy to meet the needs of the people, they don't have enough jobs to meet the needs of the people, and they have found a negative loss in their energy output and a negative loss in their economic output.
And it's not them alone. There are other countries in the EU that decided to sign on to the Kyoto agreement, but they were wise enough to pick a very
bad base year. So it didn't matter what they did, they were going to come under the standards of the Kyoto agreement.
Now they are facing the problem that they are going to the EU asking for exemptions for certain of their industries because they can't even meet those same base standards, which always happens when the government says, We know what's best for you; we are going to tell you what to do.
If I could add just another element to this as well, because what we're talking about when we talk about cap-and-tax on certain elements and certain industries is, once again, the government picking winners and losers. And we're trying to sell it--or somebody is trying to sell it to the American people on the idea that this is going to move us into a new generation of ``green'' energy.
What we need to realize is back in the seventies--and I'm going to quote a few lines, if I could, from Keith Rattie's address he gave to Utah Valley University. He happens to be the chairman of Questar Corporation.
He said, ``Back in the seventies, we were told that wind and solar power are alternatives to fossil fuels. In reality, the honest description is they're supplements to fossil fuels. Taken together, wind and solar power accounts for one-sixth of 1 percent of Americans' energy use,'' which means when he asked Power Point to do a pie chart for him, they couldn't come up with a wedge that small. It was a thin line.
After 30 years, we have pumped $20 billion into subsidies for wind and solar power--and we have a thin line. The Obama administration is hoping to double that, which is a great goal. I think that's perfectly advisable. We should try and double wind and solar energy.
You should know that the last 3 years of the Bush administration, we doubled the amount of wind and solar energy we produce. But what comes in that----
No.
Which is why we're coming back here, because all we're doing if we double is making a thicker thin line--going from one- sixth to one-third of 1 percent, which is why this cap-and-tax approach is so insidious because, once again, there are winners and losers in industry; also, winners and losers in the American people.
Mr. Latta's constituents in Ohio are going to be hit very, very hard. If you lived on the West Coast, which is more hydropower than coal- fired power, you don't have that much, do you? It also makes a difference in the economic level of individuals.
If you're rich, this cap-and-tax policy is going to be an annoyance. If you're poor, as I have said on this floor before, if you're poor, this approach makes the difference on whether you can have a luxury like tuna casserole at night. It's going to hit the poor people harder.
In different areas of the country it's going to hit them harder. And that's why it is such an unfair and such a dangerous proposal, especially when you have been talking about other countries which have gone down that path--and it has not worked.