The implications of the US government annually investing 90% less than the Chinese have in developing and manufacturing alternative energy technology has doomed America to lose the battle for the energy future.
While we bemoan the loss of a $527 million federal loan guarantee, China is eating our lunch when it comes to developing solar, wind and energy storage technologies. While the circumstance Solyndra may warrant investigation, the amount is insignificant to the overall million federal loan guarantee program.
In the private sector, China drew 22 percent of the $243 billion in clean energy investments in 2010, or $54.4 billion — up from $39.1 billion in 2009. Coming in second place, and nudging the United States down a rung over last year, was Germany, which drew $41.2 billion, up from $20.6 billion in 2009. (Source: The New York Times)
Now, the Chinese are set to dominate another critical industry – sea water desalinization. While analysts predict coming wars over fresh water, the Chinese are waging a preemptive battle to dominate the world with critical another critical technology.
Recently, The New York Times reported:
“At the government’s order, China is rapidly becoming one of the world’s biggest growth markets for desalted water. The latest goal is to quadruple production by 2020, from the current 680,000 cubic meters, or 180 million gallons, a day to as many as three million cubic meters, about 800 million gallons, equivalent to nearly a dozen more 200,000-ton-a-day plants like the one being expanded in Beijiang.”
“The National Development and Reform Commission, China’s top-level state planning agency, is drafting plans to give preferential treatment to domestic companies that build desalting equipment or patent desalting technologies. There is talk of tax breaks and low-interest loans to encourage domestic production. The government’s plans could mean an investment of as much as 200 billion renminbi, or about $31 billion, by state-owned companies, government agencies and private partners. Nationally, less than 60 percent of desalination equipment and technology is domestic. China’s goal is to raise that to 90 percent by 2020.”
(Source: The New York Times)
What America needs is an economic growth strategy that addresses job creation and tackles the challenges and opportunities surrounding sustainable business. We need to be willing to make long-term investments. Subsidizing the oil industry with billions of dollars, investing in military equipment we don’t need, and allowing our largest companies to escape paying their fair share of corporate taxes is the road to ruin.
Let’s take the fork in the road – and work together toward a better future.
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