For close to a year, the companies that provide California with gasoline and diesel have warned that the state’s Low Carbon Fuel Standard is infeasible. A failure to recognize the implications of this warning risks potential fuel shortages and market disruptions in a few short years.
In response to these concerns, supporters of the standard argue the only thing making this regulation infeasible is the refusal of oil companies to invest sufficient dollars in the emerging fuels and technologies needed to make it work. This view was expressed with great clarity recently by venture capitalist Vinod Khosla who, perhaps inadvertently offered a compelling explanation why the low carbon standard cannot succeed.
Large oil companies like to tell the public “We Agree” when it comes to clean energy.
But in Sacramento and Washington, their motto seems to be “It Can’t Be Done.”
A Jan. 31 article in the San Jose Mercury News,“Chevron and its allies take aim at California’s low carbon fuel standard,” demonstrates how theoil industry has once again banded together to oppose groundbreaking environmental initiatives.