Remember all those forecasts of the last 40 years that renewable energy will replace fossil fuels as our primary energy source? Well you can forget them, says Stephen Moore, a distinguished visiting fellow at The Heritage Foundation.
"The green energy movement in America is dead, may it rest in peace," he writes in The Washington Times
"No, a majority of American energy over the next 20 years is not going to come from windmills and solar panels. One important lesson to be learned from the green energy fad’s rapid and expensive demise is that central planning doesn’t work."
The shale oil and gas revolution pushed prices way down over the last few years, and that "crushed green energy," Moore says.
Oil prices have plunged
45 percent since late June, and gasoline prices have dropped 27 percent over the last year.
"The shale revolution is a classic disruptive technology advance that has priced the green movement out of the competitive market," Moore explains.
"We don’t know if renewables will ever play a significant role in America’s energy mix. But if it does happen, it will be a result of market forces, not central planning."
Meanwhile, Michael McDonald of Oilprice.com is concerned about the impact of falling oil prices on the economy.
"Damage to the economy from the fall in oil has been pretty minimal so far," he writes
. "Indeed, the price cut in home heating oil and gasoline has probably outweighed the damage from lower oil prices, so far. Unfortunately, this situation may not last."
And why is that?
"Analysts are starting to look beyond the boost to the economy from low oil prices and see the damage that is being done by worker layoffs, slowing business and falling home prices in oil-producing states," McDonald says.
"Indeed, one recent estimate suggested that up to four jobs could ultimately disappear for every one job lost in the oil sector."
To be sure, U.S. oil prices already U.S. oil prices already have rebounded 41 percent from March's six-year low.
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