by Brother James

Created on: July 29, 2008

Brief review of government subsidies

Due to current government support of renewable energy sources through tax incentives and appropriations,the debate amounts to whether it should cease, decrease, or increase subsidies for the alternatives to fossil fuels. The federal government provides tax credits that encourage the production of electricity by renewable resources, residential use of, and investment in energy efficient technologies. The Department of Energy (DOE) recently released a funding opportunity announcement for $200 million set aside for biorefineries to aid in developing bio fuels. Some states, particularly California, offer similar incentives and financing but not on the same scale. These inducements embody a sample of government endeavors to promote renewable energy. The question remains; are the government's efforts too little, substantial, or excessive?

Evaluation of fossil fuels and renewable sources

The answer to the renewable energy subsidy riddle begins with a comparison between traditional energy sources and the natural alternatives. Oil, gas, and coal are derived from plant and animal remains that according to scientist decayed over millions of years and for this reason are referred to as fossil fuels. These resources have proven effective at meeting industrial age energy needs. However, fossil fuels are limited. One estimate puts the world's coal supply to last another forty to eighty years. The outlook for oil is another sixty to one hundred years. The long gestation process together with growing energy demand make fossil fuels a very finite resource.

Organic matter (i.e. plants, bio), solar, wind, and water are the main renewable energy elements. The ready availability of the natural energy sources allowed early civilizations to flourish. These resources effectively satisfied energy needs throughout pre-industrial history. However, the former methods used to harness renewable energy could not keep up with the demands of an industrial world. Oil, gas, and coal supply 85% of America's energy. Current circumstances not withstanding, renewable energy sources do possess an advantage; longevity.

The natural alternatives have a greater shelf life then fossil fuels. Astronomers estimate that the sun has a potential life span of 13 billion years. The hydrologic cycle whereby water circulates between the earth and atmosphere has remained in tact throughout the world's existence. Plants die but new ones grow in their place. Switch grass is particularly

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