From New York Times Op Ed Columnist, Thomas L. Friedman, this weekend came his comparison to energy policy creation after the ’73 oil embargo between Denmark and the U.S, and the results of each countries policies:
Frankly, when you compare how America has responded to the 1973 oil shock and how Denmark has responded, we look pathetic.
“I have observed that in all other countries, including in America, people are complaining about how prices of [gasoline] are going up,” Denmark’s prime minister, Anders Fogh Rasmussen, told me. “The cure is not to reduce the price, but, on the contrary, to raise it even higher to break our addiction to oil. We are going to introduce a new tax reform in the direction of even higher taxation on energy and the revenue generated on that will be used to cut taxes on personal income — so we will improve incentives to work and improve incentives to save energy and develop renewable energy.”
Because it was smart taxes and incentives that spurred Danish energy companies to innovate, Ditlev Engel, the president of Vestas — Denmark’s and the world’s biggest wind turbine company — told me that he simply can’t understand how the U.S. Congress could have just failed to extend the production tax credits for wind development in America.
Why should you care?
“We’ve had 35 new competitors coming out of China in the last 18 months,” said Engel, “and not one out of the U.S.”
For the complete article, published August 9, click here.