IN THE NEWS
“Starting today, we must pick ourselves up, dust ourselves off, and begin again the work of remaking America. The state of our economy calls for action, bold and swift, and we will act — not only to create new jobs, but to lay a new foundation for growth … We will harness the sun and the winds and the soil to fuel our cars and run our factories. All this we can do. All this we will do.” – President Obama Inaugural Address, January 2009
“That’s why, as part of our Recovery and Reinvestment plan, we’re committing to double the production of renewable energy in the next three years … In the process, we’ll put nearly half a million people to work building wind turbines and solar panels; constructing fuel-efficient cars and buildings; and developing the new energy technologies that will lead to new jobs, more savings, and a cleaner, safer planet in the bargain.” – President Obama, January 2009
On September 12, 2011, the Washington Post reported that a $38.6 billion loan guarantee program that the Obama administration touted as necessary to “save” or “create” 65,000 jobs has created just a few thousand jobs two years after the program began. President Obama promised the program would produce an explosion of jobs in a new, green economy, but according to the Department of Energy (DOE), the program has “created” only 3,545 jobs, proving what most Americans already know: the government does not produce wealth and cannot create jobs. The government transfers wealth from the taxpayers to favored companies and calls it “job creation.”
The math here is simple: President Obama promised to “create” or “save” 65,000 jobs at a cost to taxpayers of $593,846 per job ($38.6 billion loan guarantee program divided equally by 65,000). Unfortunately, since there have only been 3,545 new jobs “created” with the $17.2 billion in loan guarantees already given out, the cost per job “created” is $4.853 million. Those costs, which are all borne by the taxpayers, don’t end there. The cost burden becomes even worse when considering the interest accrued on each $4.853 million over the next decade. Like other government guarantee programs (e.g. Fannie Mae and Freddie Mac) this green energy program is proving to be a complete failure and at the expense of America’s taxpayers.
President Obama has spent the majority of his first 32 months in office making the environment more difficult for job creation by imposing mountains of complex regulations, increasing taxes, and racking up record amounts of debt. The president signed a failed $1.2 trillion “stimulus” bill and promised that unemployment would not rise above eight percent. Unemployment has averaged 9.4 percent since then. The Obama administration has also publicly listed a total of 219 new job-destroying regulatory actions, each of which would have an estimated cost to our economy of $100 million or more. As a result of the president’s failed policies, the economy has shed 2.4 million jobs since February 2009.
President Obama insisted on making “green jobs” a focal point of this recovery plan—promising new jobs, economic growth, and more savings. Unfortunately, the president has delivered record unemployment, record poverty and a debt crisis. The DOE has already given out over $18.1 billion in federal “green” grants including $44,295 to a Swarthmore College science program, and approximately $1.5 billion to clean up waste at the government's Savannah River nuclear site. This federal grant money originated from a $33.7 billion appropriation that was given to the DOE as a part of the President’s failed economic stimulus.
WHAT REPUBLICANS ARE DOING
While President Obama’s economic policies have been failing, House Republicans have remained focused on removing government barriers to private sector job creation. House Republicans are committed to taking every possible step to improve conditions for private sector job creation and get our economy back on track so that America’s workers and business owners can do what they do best: create, innovate and lead. They have worked throughout the year to implement the Pledge to America, the House Republican governing agenda focused on removing government barriers to private-sector job creation, and built on the Pledge by putting forth an expanded jobs agenda, our Plan for America’s Job Creators. The House of Representatives has approved more than a dozen pro-growth measures to address the jobs crisis and we urge the Senate to consider these measures. Recently, House Republicans announced a legislative calendar for the Fall with a heavy focus on repealing excessive federal regulations. House Republicans will continue to work to repeal the most harmful job-destroying regulations imposed by the Obama Administration.
In mid-September, the House Natural Resources Committee held an oversight hearing to explore opportunities for job creation through new and expanded energy and mineral production. The Committee also reviewed the Obama Administration regulations and policies that have locked-up America’s vast natural resources and sent American jobs overseas. At a time when the American people are clamoring for jobs, one sector that President Obama seems to consistently overlook is domestic energy production. According to the Committee, increasing permitting efficiencies, rolling back burdensome federal regulations, or opening new areas up for responsible energy development all come at little cost to the Federal government. More importantly, the measures will have substantial impact on economic growth and job opportunities nationwide—while also decreasing our nation’s dependence on foreign energy resources. Energy and minerals are vital to our economy and increased production will be vital to getting the nation’s economy back on track.
During the hearing, in advance of the president’s “jobs” speech, House Natural Resources Committee Chairman Hastings (R-WA) offered the following 10 specific ideas to remove government barriers to private sector job creation in America’s domestic energy industry:
The House Natural Resources Committee has also scheduled a hearing this week on Alaska's Arctic National Wildlife Refuge (ANWR) and its potential for jobs, energy and deficit reduction. According to the Chairman, responsible energy production on less than three percent of ANWR's total land could create thousands of jobs and $150 billion or more in revenue over the life of production.
“Faced with record deficits, near double-digit unemployment and high gasoline prices, lawmakers should not take any job-creating options off the table,” said Chairman Hastings. “While this hearing will specifically examine the benefits of developing a small portion of ANWR, we must seize this opportunity to create new jobs and generate new revenue by carefully considering all options for new onshore and offshore energy production. The Joint Committee will consider a wide range of proposals on how to meet their goal of $1.5 trillion in savings, and I hope they recognize that increased American energy production will generate billions in new revenue, without raising taxes, at no cost to the government.”
More information on the House Committee on Natural Resources Energy & Jobs hearings:
"Creating American Jobs by Harnessing Our Resources: U.S. Offshore and Renewable Energy Production”
“Impacts to Onshore Jobs, Revenue and Energy: Review and Status of Sec 390 Categorical Exclusions of the Energy Policy Act of 2005”
"Creating American Jobs by Harnessing Our Resources: Domestic Mining Opportunities and Hurdles.”
**If you would like your Boss’s efforts on energy to be highlighted in the future, contact Sarah Makin**