Energy
Biden Admin Energy Policies Putting Americans Further At Risk In Potential War With China, Analysis Finds
From the Daily Caller News Foundation
By NICK POPE
The environmental, social and corporate governance (ESG) movement is undermining U.S. energy security by artificially sapping demand for new refining projects, even though demand for fossil fuels and petrochemicals remains strong and could grow stronger in the event of a prolonged military conflict.
America’s energy systems and infrastructure may be currently unprepared to sustain a wartime economy in the event of a hot war with China, thanks in part to the Biden administration’s green policies, according to a new report published by the Heritage Foundation.
The report, published Thursday and titled “Chinese Handcuffs: Don’t Allow the U.S. Military to Be Hooked on Green Energy from China,” examines the state of American energy security and resilience in a potential war with China, taking stock of markets at home and overseas. The paper emphasizes the need for American policymakers to get ahead of any possible conflict with China by ensuring that the U.S. military has a robust and secure supply of traditional energy available, rolling back certain environmental regulations and targets pushed by the Biden administration, building more strategic energy infrastructure and bolstering existing commercial relationships with friendly countries, all of which may heighten deterrence with an adversarial country considering escalation with the U.S.
“Due to a heavy reliance on foreign sources, poor policy choices, and constraints on the transport of fuels, the U.S. military could be vulnerable,” the report states. “The risk is for localized fuel shortages, global supply disruptions, and Chinese economic coercion during a conflict driving significantly increased energy demands.”
Brent Sadler, the report’s author and a 26-year U.S. Navy veteran who now works as a senior research fellow for naval warfare and advanced technology at the Heritage Foundation, further emphasized that while steps to heighten America’s energy security will be expensive and require political will, they are necessary measures to ensure that the U.S. can transition to and sustain a wartime footing against near-peer competitors like China. Numerous pundits and ex-military personnel have suggested that China is getting ready for a war to start in the coming years, whether in Taiwan or in the South China Sea.
“America’s energy network is brittle in some regions and unable to adjust easily to surges in demand,” the report states. “In wartime, the consequences of such weaknesses could be an inability to sustain military combat operations and the inability of wartime industry to keep America safe. On the other hand, readiness for this possibility could be a significant advantage, enabling the United States to deter China by confronting it with a foe that is able to wage a prolonged war backed by a resilient wartime economy.”
The insistence of some federal and state officials — particularly Democrats — on transitioning the American economy to reliance on green energy poses a major problem for American security, the report asserts. Additionally, the environmental, social and corporate governance (ESG) movement is undermining U.S. energy security by artificially sapping demand for new refining projects, even though demand for fossil fuels and petrochemicals remains strong and could grow stronger in the event of a prolonged military conflict.
The Biden administration has pledged to invest at least $1 trillion over the next decade to advance its massive climate agenda, and federal agencies have pushed stringent regulations and taken other bureaucratic actions targeting the broader American energy sector. The administration is also looking to make the military a more climate-friendly organization, including by seeking to have the Department of Defense (DOD) transition its non-tactical vehicle fleet to electric models by 2030.
Additionally, the supply chains for many of the green energy technologies favored by the Biden administration are dominated by China, the report points out. Numerous energy and national security experts have highlighted that retiring existing energy infrastructure in favor of products reliant on China-dominated supply chains is likely to make America more vulnerable, particularly in the event of an acute geopolitical crisis.
One specific element of the American energy system in need of change is the Strategic Petroleum Reserve (SPR), a de facto emergency supply of oil stored in underground caverns along the Gulf Coast established in the 1970s amid an energy crisis, according to the report. Sadler recommends that policymakers begin to treat the SPR as a key tool for the military to use in the event of war, given China’s rise, as well as improving energy transportation infrastructure to more easily get SPR supply to coastal regions where the military can use it expediently.
The Biden administration has used the SPR as a tool for manipulating markets, as officials decided to release approximately 180 million barrels from the stockpile to bring down spiking energy costs ahead of the 2022 midterm elections. Several million of those barrels were sold to Chinese entities, and the administration has subsequently floated the possibility of again tapping into the SPR ahead of the pivotal 2024 elections while the reserve remains at its lowest levels in about 40 years, according to the U.S. Energy Information Administration.
Stadler calculated that the SPR’s current inventory would need a boost of about 55 million more barrels in order to single-handedly supply the amount of oil that U.S. forces used in Operation Desert Storm in 1990.
Deliberate policy choices and infrastructure upgrades are needed to make sure that the U.S. is able to effectively fight China in a prolonged conflict, Stadler contends in the report. Making these adjustments would help to provide an advantage over potential adversaries like China that rely on energy imports, according to Stadler.
Beyond SPR-related adjustments, the report also identifies an urgent need to unleash refiners and build out more pipeline capacity in light of China’s possible ability to launch highly disruptive cyber attacks against key pipeline and shipping infrastructure.
Additionally, Stadler emphasizes the importance of strengthening relationships with energy-rich countries that could be key sources of energy for American forces around the world in the event of a hot war with China. While several memoranda of understanding are in place with such countries, Stadler suggests that U.S. officials should move to elevate these agreements to treaty status to enhance America’s standing with those countries and decrease China’s ability to pressure third-party countries against assisting American forces.
“This is especially true for scenarios in which a major war disrupts overseas energy markets and normal shipping methods. Under such conditions, the U.S. will need more diverse and reliable overseas suppliers for military operations,” the report states. “Given the global impact that a war with China would have, the U.S. urgently needs to ensure that it has enough fuel stocks and crude oil to allow it time to adjust to a wartime footing.”
Neither the White House nor DOD responded immediately to requests for comment.
Alberta
Ford and Trudeau are playing checkers. Trump and Smith are playing chess
By Dan McTeague
Ford’s calls for national unity – “We need to stand united as Canadians!” – in context feels like an endorsement of fellow Electric Vehicle fanatic Trudeau. And you do wonder if that issue has something to do with it. After all, the two have worked together to pump billions in taxpayer dollars into the EV industry.
There’s no doubt about it: Donald Trump’s threat of a blanket 25% tariff on Canadian goods (to be established if the Canadian government fails to take sufficient action to combat drug trafficking and illegal crossings over our southern border) would be catastrophic for our nation’s economy. More than $3 billion in goods move between the U.S. and Canada on a daily basis. If enacted, the Trump tariff would likely result in a full-blown recession.
It falls upon Canada’s leaders to prevent that from happening. That’s why Justin Trudeau flew to Florida two weeks ago to point out to the president-elect that the trade relationship between our countries is mutually beneficial.
This is true, but Trudeau isn’t the best person to make that case to Trump, since he has been trashing the once and future president, and his supporters, both in public and private, for years. He did so again at an appearance just the other day, in which he implied that American voters were sexist for once again failing to elect the nation’s first female president, and said that Trump’s election amounted to an assault on women’s rights.
Consequently, the meeting with Trump didn’t go well.
But Trudeau isn’t Canada’s only politician, and in recent days we’ve seen some contrasting approaches to this serious matter from our provincial leaders.
First up was Doug Ford, who followed up a phone call with Trudeau earlier this week by saying that Canadians have to prepare for a trade war. “Folks, this is coming, it’s not ‘if,’ it is — it’s coming… and we need to be prepared.”
Ford said that he’s working with Liberal Finance Minister Chrystia Freeland to put together a retaliatory tariff list. Spokesmen for his government floated the idea of banning the LCBO from buying American alcohol, and restricting the export of critical minerals needed for electric vehicle batteries (I’m sure Trump is terrified about that last one).
But Ford’s most dramatic threat was his announcement that Ontario is prepared to shut down energy exports to the U.S., specifically to Michigan, New York, Wisconsin, and Minnesota, if Trump follows through with his plan. “We’re sending a message to the U.S. You come and attack Ontario, you attack the livelihoods of Ontario and Canadians, we’re going to use every tool in our toolbox to defend Ontarians and Canadians across the border,” Ford said.
Now, unfortunately, all of this chest-thumping rings hollow. Ontario does almost $500 billion per year in trade with the U.S., and the province’s supply chains are highly integrated with America’s. The idea of just cutting off the power, as if you could just flip a switch, is actually impossible. It’s a bluff, and Trump has already called him on it. When told about Ford’s threat by a reporter this week, Trump replied “That’s okay if he does that. That’s fine.”
And Ford’s calls for national unity – “We need to stand united as Canadians!” – in context feels like an endorsement of fellow Electric Vehicle fanatic Trudeau. And you do wonder if that issue has something to do with it. After all, the two have worked together to pump billions in taxpayer dollars into the EV industry. Just over the past year Ford and Trudeau have been seen side by side announcing their $5 billion commitment to Honda, or their $28.2 billion in subsidies for new Stellantis and Volkswagen electric vehicle battery plants.
Their assumption was that the U.S. would be a major market for Canadian EVs. Remember that “vehicles are the second largest Canadian export by value, at $51 billion in 2023 of which 93% was exported to the U.S.,”according to the Canadian Vehicle Manufacturers Association, and “Auto is Ontario’s top export at 28.9% of all exports (2023).”
But Trump ran on abolishing the Biden administration’s de facto EV mandate. Now that he’s back in the White House, the market for those EVs that Trudeau and Ford invested in so heavily is going to be much softer. Perhaps they’d like to be able to blame Trump’s tariffs for the coming downturn rather than their own misjudgment.
In any event, Ford’s tactic stands in stark contrast to the response from Alberta, Canada’s true energy superpower. Premier Danielle Smith made it clear that her province “will not support cutting off our Alberta energy exports to the U.S., nor will we support a tariff war with our largest trading partner and closest ally.”
Smith spoke about this topic at length at an event announcing a new $29-million border patrol team charged with combatting drug trafficking, at which said that Trudeau’s criticisms of the president-elect were, “not helpful.” Her deputy premier Mike Ellis was quoted as saying, “The concerns that president-elect Trump has expressed regarding fentanyl are, quite frankly, the same concerns that I and the premier have had.” Smith and Ellis also criticized Ottawa’s progressively lenient approach to drug crimes.
(For what it’s worth, a recent Léger poll found that “Just 29 per cent of [Canadians] believe Trump’s concerns about illegal immigration and drug trafficking from Canada to the U.S. are unwarranted.” Perhaps that’s why some recent polls have found that Trudeau is currently less popular in Canada than Trump at the moment.)
Smith said that Trudeau’s criticisms of the president-elect were, “not helpful.” And on X/Twitter she said, “Now is the time to… reach out to our friends and allies in the U.S. to remind them just how much Americans and Canadians mutually benefit from our trade relationship – and what we can do to grow that partnership further,” adding, “Tariffs just hurt Americans and Canadians on both sides of the border. Let’s make sure they don’t happen.”
This is exactly the right approach. Smith knows there is a lot at stake in this fight, and is not willing to step into the ring in a fight that Canada simply can’t win, and will cause a great deal of hardship for all involved along the way.
While Trudeau indulges in virtue signaling and Ford in sabre rattling, Danielle Smith is engaging in true statesmanship. That’s something that is in short supply in our country these days.
As I’ve written before, Trump is playing chess while Justin Trudeau and Doug Ford are playing checkers. They should take note of Smith’s strategy. Honey will attract more than vinegar, and if the long history of our two countries tell us anything, it’s that diplomacy is more effective than idle threats.
Dan McTeague is President of Canadians for Affordable Energy.
Daily Caller
LNG Farce Sums Up Four Years Of Ridiculous Biden Energy Policy
From the Daily Caller News Foundation
By David Blackmon
That is what happens when “science” isn’t science at all and energy reality is ignored in favor of the prevailing narratives of the political left.
As Congress struggled with yet another chaotic episode of negotiations over another catastrophic continuing resolution, all I could think was how wonderful it would be for everyone if they just shut the government down and brought an end to the Biden administration and its incredibly braindead and destructive energy-policy farce a month early.
What a blessing it would be for the country if President Joe Biden’s Environmental Protection Agency (EPA) were forced to stop “throwing gold bars off the Titanic” 30 days ahead of schedule. What a merry Christmas we could have if we never had to hear silly talking points based on pseudoscience from the likes of Biden’s climate policy adviser John Podesta or Energy Secretary Jennifer Granholm or Biden himself (read, as always, from his ever-present TelePrompTer) again!
What a shame it has been that the rest of us have been forced to take such unserious people seriously for the last four years solely because they had assumed power over the rest of us. As Jerry Garcia and the Grateful Dead spent decades singing: “What a long, strange trip it’s been.”
Speaking of Granholm, she put the perfect coda to this administration’s seemingly endless series of policy scams this week by playing cynical political games with what was advertised as a serious study. It was ostensibly a study so vitally important that it mandated the suspension of permitting for one of the country’s great growth industries while we breathlessly awaited its publication for most of a year.
That, of course, was the Department of Energy’s (DOE) study related to the economic and environmental impacts of continued growth of the U.S. liquified natural gas (LNG) export industry. We were told in January by both Granholm and Biden that the need to conduct this study was so urgent, that it was entirely necessary to suspend permitting for new LNG export infrastructure until it was completed.
The grand plan was transparent: implement the “pause” based on a highly suspect LNG emissions draft study by researchers at Cornell University, and then publish an impactful DOE study that could be used by a President Kamala Harris to implement a permanent ban on new export facilities. It no doubt seemed foolproof at the Biden White House, but schemes like this never turn out to be anywhere near that.
First, the scientific basis for implementing the pause to begin with fell apart when the authors of the draft Cornell study were forced to radically lower their emissions estimates in the final product published in September.
And then, the DOE study findings turned out to be a mixed bag proving no real danger in allowing the industry to resume its growth path.
Faced with a completed study whose findings essentially amount to a big bag of nothing, Granholm decided she could not simply publish it and let it stand on its own merits. Instead, someone at DOE decided it would be a great idea to leak a three-page letter to the New York Times 24 hours before publication of the study in an obvious attempt to punch up the findings.
The problem with Granholm’s letter was, as the Wall Street Journal’s editorial board put it Thursday, “the study’s facts are at war with her conclusions.” After ticking off a list of ways in which Granholm’s letter exaggerates and misleads about the study’s actual findings, the Journal’s editorial added, “Our sources say the Biden National Security Council and career officials at Energy’s National Laboratories disagree with Ms. Granholm’s conclusions.”
There can be little doubt that this reality would have held little sway in a Kamala Harris presidency. Granholm’s and Podesta’s talking points would have almost certainly resulted in making the permitting “pause” a permanent feature of U.S. energy policy. That is what happens when “science” isn’t science at all and energy reality is ignored in favor of the prevailing narratives of the political left.
What a blessing it would have been to put an end to this form of policy madness a month ahead of time. January 20 surely cannot come soon enough.
David Blackmon is an energy writer and consultant based in Texas. He spent 40 years in the oil and gas business, where he specialized in public policy and communications.
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