Here’s some analysis of Boone Pickens’ proposal by Geoffrey Styles, CEO of GSW Strategy Group:
T. Boone Pickens, well-known oilman and corporate raider, has a plan for reducing America’s reliance in imported oil by more than one-third within a decade or so. When I opened the morning paper, I found a full-page ad heralding the Pickens Plan and directing my attention to http://www.pickensplan.org/ for the details. The idea behind the plan is simple and appealing: ramp up wind power to displace natural gas from power generation, and then use the natural gas to fuel vehicles, backing out gasoline and diesel fuel. The net result of this shift would reduce US expenditures on imported petroleum by perhaps $250 billion per year at current prices. Although the plan appears feasible, its implementation would face serious obstacles. More importantly, its key provisions appear to conflict with other solutions that offer bigger efficiency improvements and greenhouse gas reductions. Perhaps its largest benefit is in laying out a clear set of choices for discussion, in contrast to the wonkish complexity of most energy policy proposals.
0 Responses to “The Pickens Plan”