17.906 The Geopolitics and Geoeconomics of Global Energy, Spring 2007

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17.906 The Geopolitics and Geoeconomics of Global Energy, Spring 2007
Prof. Flynt Leverett
Discussion 13: The Future for American Energy Policy
An Energy Policy for America
• Domestic
• International
Domestic Ways to Deal with Oil Dependence
• Reduce consumption (Hydrocarbons)
o Impose taxes on oil
ƒ Gas tax
o Public Transportation
• Invest in alternative fuels
o Ethanol
o Solar
o Wind
o Biomass
o Electric
ƒ Could be effective transportation fuel
o Coal
ƒ Domestically available
ƒ “cleaner” now
o Nuclear
ƒ Terrorism
à Facilities protection
ƒ Dealing with waste
à Yucca Mountain issue
ƒ Meltdowns
o Many of these only affect energy generation for household use, etc
and don’t have a large effect on transportation, etc.
• R & D and Innovation
o Ways for the government it encourage innovation
ƒ MIT Biodesiel competition
ƒ National government agency
• Government Regulation
• State versus Federal Involvement
o States have been getting involved at varying levels
ƒ Not necessarily a good thing because companies might just
move to a state where regulation is less strict
ƒ Delaware effect
à Race to the bottom
ƒ California Effect
à The area is so desirable that it is worth it to conform
to the standards
• The most innovative companies want higher
standards because they know they can
surmount them
International problems in oil dependence
• Diversification of Supply
o Expand number of suppliers
• Cooperate with China
o Energy/climate
o Climate
Cite as: Paul Staniland, course materials for 17.906 Reading Seminar in Social Science: The Geopolitics and
Geoeconomics of Global Energy, Spring 2007. MIT OpenCourseWare (http://ocw.mit.edu), Massachusetts
Institute of Technology. Downloaded on [DD Month YYYY].
•
Issues with the Middle Eastern Oil Supply
o Stabilization
ƒ Get out of the region or stay
ƒ Trade relationships as incentives
ƒ Military deterrents
o Israel Support
Cite as: Paul Staniland, course materials for 17.906 Reading Seminar in Social Science: The Geopolitics and
Geoeconomics of Global Energy, Spring 2007. MIT OpenCourseWare (http://ocw.mit.edu), Massachusetts
Institute of Technology. Downloaded on [DD Month YYYY].
17.906 The Geopolitics and Geoeconomics of Global Energy
Prof. Flynt Leverett
Discussion 13
Page 2
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