It's almost impossible for new energy technologies to profitably compete in hyper-competitive commodity markets early in their life. They need decades to move down the cost curve through experience, scale, and innovation. This is too long for private capital to fund alone.
Government plays an important role to overcome this market failure and bring new tech to scale. This can be done in many ways: basic science funding, R&D grants to companies, funding pilot projects, tax credits, loan guarantees, purchase mandates on private industry, and others. These programs should not permanently subsidize an industry (looking at you, ethanol), but help promising technologies reach maturity.
This partnership between government and industry brought light-water nuclear reactors, horizontal shale drilling, solar, wind, lithium ion batteries, EVs, geothermal, and even ethanol to market. We'd have a less prosperous society without this range of energy technologies.
Here, the US is using government procurement to address one of the biggest barriers facing new energy tech: the first-of-a-kind plant is the most expensive, the riskiest, and the hardest to finance.
Next-gen nuclear, whether fusion or SMR, has enormous potential but is going to need significant time and money to see if it can become cost-competitive. It's great to see broad political support for giving the industry the opportunity to find out. If it can, the impact on humanity will be enormous.
Alright… I am in St. Andrews for the next 2 days. So let’s have some fun with a little giveaway…
I’m going to give one of these St. Andrews / Harris Tweed headcovers to a follower of mine. Winner’s choice which size.
To enter:
⛳️ Repost & Like this post
⛳️ Follow me and @AGTGolfBooks
That’s it!
I’ll randomly choose a winner on Wednesday at 1:00 pm BST (8:00 am EST).
"El socialismo es una religión política cuyo Dios es el Estado y cuyos sacerdotes son los burócratas... Es una filosofía del fracaso, el credo a la ignorancia y la prédica a la envidia; su virtud inherente es la distribución igualitaria de la miseria"
Winston Churchill
If you abolish the Senate, Presidency, and Supreme Court, you eliminate all checks and balances and concentrate power totally in the hands of one ruling party. But sure, I’m the authoritarian
House Majority Leader Steve Scalise indicates some solidary with House procedure nerds
He says reporters are always asking if Rs can pass a rule
"Nobody asks about the previous question. I felt bad for the previous question. We focus on that too."
attn: @ringwiss
Plane gets cozy with the Moon: Boeing 767-332 (N180DN) passes transits the 55% Moon over Florida's Space Coast Tuesday night.
@Delta flight 981 was traveling from Atlanta (ATL) to Bogota (BOG) at 36,025 feet & 485 knots.
📷:me, flight data: @flightradar24
The U.S. service member killed during a controlled detonation of an Iranian attack drone at Erbil Air Base on July 19 has been identified as Sgt. Michael Swinton, 30, of Fayetteville, North Carolina.
- Department of War