Treasury Sec. Yellen says only way to fix energy crisis is to 'move to renewables'
By: Jessica Chasmar (Fox Business)
Okay, what's the plan? These neoliberal intellectuals spend a lot of time and effort avoiding any and all responsibility for economic conditions. And when excuses don't work, neoliberal intellectuals fall back onto blue-sky promises without any mention of how to get to that bright future. The track record for free market monetary policy has been abysmal and throwing more public money at it won't fix it.
Bottom line, the only plan is to dump the sacrifices and hardships onto the American people while protecting the rich. You know, the captains of capital could speed the transition away from fossil fuels by simply investing in alternatives. But that's not likely to happen because it would require a lot more than passive investments and the payback would be far longer than a three month quarter. And these neoliberal intellectuals certainly won't require the rich to work for their profits.
Our neoliberal monetary and fiscal policies can dump tons of money into subsidizing any blue-sky alternative for the benefit of the wealthy. But nothing can be done to maintain nuclear generation that doesn't contribute to climate change? And absolutely nothing can be done to bolster energy security in the short term because there's too much money at stake for blue-sky alternatives?
Treasury Secretary Janet Yellen said Sunday that the Biden administration's policies are not responsible for record-high gas prices, and the only way to fix the energy crisis in the "medium-term" is to move towards "renewables to address climate change."
During an appearance on ABC's "This Week," Yellen was asked to respond to a statement Wednesday by the American Petroleum Institute, which said the Biden administration's "misguided policy agenda shifting away from domestic oil and natural gas has compounded inflationary pressures and added headwinds to companies' daily efforts to meet growing energy needs while reducing emissions."
Yellen fired back that the historically high gas prices have nothing to do with policies and are reflective of low-producing oil companies.
"Well, I don't think that policies are responsible for what's happening in the oil market," she said. "Actually, consumption of gas and fuels are currently at lower levels than pre-pandemic, and what's happened is the production has gone down. Refinery capacity is declined in the United States and oil production has declined. I think that producers were partly caught unaware by the strength of the recovery in the economy and weren't ready to meet the needs of the economy. High prices should induce them to increase supplies over time."
Yellen argued that the best way to address the energy crisis in the "medium-term" is to transition the country off of fossil fuels.
"And look, as a medium-term matter, the way in which we can assure reasonable energy expenses for households is to move to renewables to address climate change, as a medium-term matter," she said. "That's the way to free us from geopolitical movements in oil prices."
Yellen added that President Biden is considering a range of options to help bring down gas prices, including a federal gas tax holiday.
"President Biden wants to do anything he possibly can to help consumers," she said. "Gas prices have risen a great deal, and it's clearly burdening households, so he stands ready to work with Congress, and that's an idea that certainly worth considering."
President Joe Biden and the White House COVID-19 Response Team participate in a virtual call with the National Governors Association from the South Court Auditorium of the Eisenhower Executive Office Building of the White House Complex on Monday, Dec (Kent Nishimura / Los Angeles Times via Getty Images / Getty Images)
The national average of a gallon of unleaded gas hit $4.99 on Sunday after hitting an all-time high of $5 for a solid week earlier this month. Biden has blamed the Russian war in Ukraine and the COVID-19 pandemic for fueling the price rise and record inflation, while Republicans blame exorbitant government spending and U.S. dependence on foreign oil markets.
In its statement last week, the American Petroleum Institute called on the administration to "prioritize unlocking U.S. energy resources - that are the envy of the world - instead of increasing reliance on foreign sources."