Opinion: SB207 Creates Jobs, Reliable Power Grid, Protects Consumers

By Senator Mike Kehoe

As I travel my Senate district, my constituents want to talk about jobs. They want to know what the state is doing to attract more jobs and what we are doing to keep the jobs we have. I tell them the best way to create jobs is for government to get out of their way as much as possible. That's why I've sponsored Senate Bill 207, Infrastructure Strengthening and Regulatory Streamlining (ISRS).

Major employers looking to bring jobs to Missouri always have questions that speak to core business functions. Do you have the workforce I need? Are your tax rates competitive? Is your infrastructure up-to-date and reliable?  Finally, one of the most basic questions for any business: can you provide me with reliable, long-term, low cost electricity?

I'm worried that in the near future, Missouri will not be able to answer "yes" on the question of low-cost, long-term, reliable power.  Although our electric rates are below the national average, our power plants are aging. We have substations that are decades old and in need of upgrading and even replacement. We need to modernize our infrastructure to a smart grid that meets the energy demands of the future.

Our neighboring states are moving aggressively to invest in their infrastructure so they can attract high-tech manufacturing and industry. In fact, a recent study by the Edison Electric Institute reveals that 44 of 50 states have a more supportive regulatory climate than Missouri.  If Missouri wants to compete, we cannot fall behind on our infrastructure investments.

In Missouri, investor-owned utilities and the rates they charge consumers are fully regulated - despite scare tactics to the contrary.  The purpose of those regulations is to protect consumer interests while also making sure we have reliable, affordable power. From what I've seen, those 100-year-old regulations need to be modernized to best support the high-tech demands of modern residences and businesses.  Our antiquated regulations mean that instead of predictable electric rates, businesses and consumers are subjected to unpredictable and unnecessary rate spikes.  Good policies and streamlined regulatory processes will lead to Missouri families being able to plan for their household utility expenses, not get shell-shocked by them.

The benefits for Missourians from ISRS legislation are significant. Much-needed upgrades will improve reliability, increase efficiency, and harden our system against storm-related outages. It is always cheaper to replace power lines in a strategic manner rather than waiting to do so until after the ice-storm or severe thunderstorm decimates them.  In addition, rate increases will become more predictable, with fewer large rate spikes that harm families and businesses.  Perhaps most importantly, increased infrastructure investment will immediately create good-paying, boots-on-the-ground jobs for Missouri's workers. These are jobs we need right now, but our outdated regulations stand in the way of capital investments that will make them a reality.

I, and over 100 House and Senate bi-partisan co-sponsors of SB207, believe that ISRS legislation provides Missouri with opportunities to attract industry and create jobs. For example, the Small Modular Reactors (SMR) industry alone represents a potentially $25 billion opportunity for the state. But we must have the infrastructure that can handle this kind of major manufacturing.

Ten years ago, Missouri passed similar regulatory reform for the water and gas utilities, and we've seen the benefits. Now is the time to make sure we are attracting jobs with a 21st century infrastructure.

ISRS provides Missouri with the opportunity to make more prudent decisions on how we can turn million dollar investments in our energy infrastructure into billions of dollars in economic returns, all while preserving our existing consumer protections. I hope that you'll join me in supporting this common sense reform.

Senator Mike Kehoe represents District 6, including the counties of Cole, Gasconade, Maries, Miller, Moniteau, Morgan and Osage.

Brad Lager's Capitol Report: Missouri’s Energy Future

This past session, Missouri’s energy challenges and the public policy surrounding these challenges were once again at the forefront. The cost and availability of energy impacts nearly every aspect of our lives, therefore we must work to develop solutions today so that we are able to meet the growing demands of the future. If we fail to develop a comprehensive plan for affordable energy, emerging trends in both production and consumption may lead to detrimental impacts on our state’s economic health and prosperity.

The global demand for energy has exploded. As Asia and other parts of the world continue to become more industrialized, their energy consumption continues to increase dramatically. As this worldwide demand grows, the price of energy generation grows which underscores the need for Americans to achieve greater energy independence. Currently, we meet the majority of our energy needs through the burning of fossil fuels. This traditional source of power has been highly reliable at relatively affordable prices. As we move forward, these traditional methods are expected to become more costly, thereby motivating us to utilize a more balanced energy portfolio.

In northwest Missouri, these emerging technologies have become a new source of jobs and revenue to our local economies. While wind and solar-generated power are currently more expensive to produce than traditional sources of energy, continued development and innovation in these areas will allow them to meet a larger portion of our energy demand in the future. At the same time, we must continue working to be more efficient with our energy consumption thereby making it easier to meet our base load demand.

As we move forward, we must continue working to lessen our independence on outside sources while fully utilizing the production resources that maintain the lowest rates possible. There is no quick or easy solution to this complex problem. However, with careful planning and a firm commitment, we will develop a strategy that ensures reliable and affordable energy for Missouri’s homes, businesses and future.

As always, please feel free to call, email, or write with your ideas or concerns. The Capitol number is (573) 751-1415, my email is brad.lager@senate.mo.gov and my mailing address is Room 422, State Capitol Building, Jefferson City, MO 65101.

Obama Officials Outline Plan to Fight Gas Prices, End Foreign Oil Dependency

The House Oversight Committee conducted a hearing on the high gas prices last Tuesday with Chairman Darrell Issa claiming that President Obama was seeking to impose $8 per gallon gas and EPA Secretary Lisa Jackson and Deputy Secretary of the Interior David Hayes saying that the Obama Administration was doing all they could do bring down gas prices.

Issa said that the problem was that Obama was trying to regulate what he was unable to legislate and trying to impose his environmental agenda. He said that the problem was that the country would be stuck trying to import fuel from hostile governments and impeding job creation. Ranking Member Elijah Cummings, on the other hand, said that we have a duty to leave a better planet to future generations. Recalling the devastating BP spill last year, he said that "there was nothing we could do but wait and pray for 87 days" until the spill was finally contained. He said that the spill in question devastated a Gulf economy that was already hit hard by Katrina and that it cost the region $100 billion per year. On top of that, he said that the high gas prices were making it harder for people to get to work. Quoting various sources including the American Petroleum Institute and Moody's, he said that it was not fair for Issa to blame Obama and that it was simply "a blatant attempt to score political points."

Cummings said that the Obama Administration was doing all it could to address the problem of high gas prices and that the one thing that they could do that would provide the most immediate benefits would be to crack down on what he said was rampant speculation that was driving up oil prices. Obama has already appointed a task force that is in the process of investigating that.

EPA Chief Lisa Jackson said that Americans were suffering at the pump and that, quoting Exxon, said that it was a product of high oil prices worldwide. Addressing calls to increase oil production, Ms. Jackson said that there was only so much that the country could do to address oil prices since they could never control more than a fraction of the world's oil reserves but that it was still better to buy American oil than it was to buy foreign oil.

Jackson said that oil production levels in the US are at their highest since 2003. She described the permitting process as a fast one that rarely got appealed or overruled and that the White House was doing all they could do expedite new oil permits. She said that another solution would be "Fracking," which she said would lead to a 50% increase in natural gas production. She said that natural gas production would be cleaner than current methods.

Despite the current high gas prices and the current state of the economy, Ms. Jackson said that the EPA still had a core mission to protect the environment as mandated by Congress; therefore, she said that the EPA would continue to step in and act if there was drilling that was a threat to residents. But she said that another thing that the EPA was doing was tightening up fuel mileage standards, which Jackson said would save billions of gallons of oil and thousands of dollars of savings to the American people in gas costs. She said that biofuels would further reduce consumptions.

David Hayes of the Department of Interior said that there was no quick fix to the present high gas prices and that it was better to follow a long-term energy plan than to panic when gas prices go up and then "hit the snooze button" when they go back down again. He said that the US has already done much to address high gas prices, including for the first time in US history, approve permits for utility-scale renewable energy projects around the country and offshore. He said that the US has already started making progress in getting the country off foreign oil; for instance, the amount of oil that the US has imported has gone from 57% in 2007 to under 50% now. Domestic offshore production has gone up by one third and onshore oil production has gone up 5%. He said that the US was committed to cutting back on foreign oil even more over the next few years.

Hayes said that there was ample opportunities to make even more headway because there were millions of acres both onshore and offshore that were available for development but that have not been used yet. He said that the government was continuing to schedule new lease sales and that they were looking at ways of creating more incentives for oil companies to participate. He said that the US was back in business in the gulf, saying that the permitting process was moving along just as fast as it was before the BP spill.

House Passes Legislation to Increase American Energy

The House of Representatives voted to increase domestic energy production, create jobs and lower prices this week. H.R. 1229 and 1231 both received bi-partisan support as lawmakers recognized the need to end our dependence on foreign oil and create jobs.

“We can create American jobs and break our dependence on foreign oil by using our own resources,” said Graves. “Its common sense legislation that will address two of the biggest problems we face today- unemployment and high gas prices.”

In 2008, Congress lifted the moratorium on energy exploration on the Outer Continental Shelf. However, since then the Obama administration has maintained a de facto moratorium by decreasing the available area and slow-walking permits. The legislation passed by the House would expedite permits and open up more areas for energy exploration.

According to the Energy Information Agency, production in the Gulf is expected to drop by 220,000 barrels per day. The slow down of permits has caused at least 13 drilling rigs to leave the Gulf of Mexico. Each rig can employ up to 200 people directly and hundreds more indirectly.

“We are at the mercy of other countries and the world market for our energy needs,” said Graves. “These bills will put Americans back to work, producing American energy.”

Both pieces of legislation will now go to the Senate where their prospects are uncertain.

Opinion: The Global Energy Superpower

By Dr. Mark W. Hendrickson

Saudi Arabia has long been the dominant producer of petroleum on the planet. Nature endowed the Arabian Peninsula with gigantic deposits of this vital source of energy. Many of us have lamented the quirk of nature that placed much-needed oil in the most geopolitically unstable region in the world.

Although Saudi Arabia is the king of oil producers at present, there is another country that has far more extensive deposits of fossil fuels. Because fossil fuels are the most economical and reliable energy sources known to man, the country that has the largest share of them is fortunate indeed. What is this richly endowed country? It is none other than the United States of America.

Perhaps you have heard the United States described as “the Saudi Arabia of coal.” Actually, that may be an understatement, for while the U.S. Department of Energy estimates that the Saudis have 20 percent of the world’s known petroleum reserves, the United States has an even larger share—27 percent—of the world’s known deposits of coal. As engineers continue to develop more and more “clean coal” technologies, this abundant resource will continue to serve our energy needs for as long as we need it.

In addition to our immense coal deposits, the United States contains gigantic natural gas deposits. Currently, the United States ranks fourth in natural gas production, but domestic reserves are soaring as horizontal drilling and “fracking” tap the mind-boggling dimensions of the natural gas fields located here in Pennsylvania (the Marcellus formation), Louisiana (the Haynesville formations), and elsewhere across the lower 48. If fracking can be done without contaminating precious water supplies, it is possible that the United States may also become “the Saudi Arabia of natural gas.”

There is even more good news: Besides being the Saudi Arabia of coal and potentially natural gas, we may become the next “Saudi Arabia” of oil. This won’t be the light, sweet crude that the Saudis pump at little cost and with relative ease, but it’s oil nonetheless. The Green River shale rock formation under just three of our states—Colorado, Wyoming, and Utah—is estimated to hold 1.8 trillion barrels of oil, about seven times as large as the Saudis’ crude oil reserves.

Beyond the vast petroleum deposits in the Green River formation, we have the Bakken field in North Dakota and Montana, where ever-more reserves are being found, the untapped deposits in Alaska, the continental shelf, and other existing fields in the lower 48 states. Add to those immense reserves yet-to-be-discovered petroleum deposits and technological improvements, such as those that improved recovery rates from 20 percent to 35 percent of oil deposits in recent years (yes, that means that most of the oil is still there), and you can see that the prospects for domestic oil production are mind-boggling.

Ours is a case of geological good news and political bad news. We have under our feet the world’s greatest treasure trove of energy supplies. The bad news is, we have a president and a party that have made it their full-time policy to obstruct, thwart, and forbid extraction of those immense resources, while encouraging other countries to drill, drill, drill.

We have all that we need, friends. We just need the freedom to go get it.

— Dr. Mark W. Hendrickson is an adjunct faculty member, economist, and fellow for economic and social policy with The Center for Vision & Values at Grove City College.

Brad Lager's Capitol Report -- Powering Missouri’s Future

Although the 2011 legislative session has come to an end, the issues and challenges facing Missouri’s lawmakers have not. One of the important issues left unresolved: how does Missouri plan on meeting its energy demands of the future? More specifically, are we going to produce enough energy within our state’s borders to power our homes and businesses or will Missouri follow the path of states like California and become beholden on others to meet its energy generation needs?

Although other areas of the country have experienced energy shortages, Missouri’s fleet of coal-fired power plants have provided a reliable and relatively affordable source of electricity. As the demand for electricity within our state continues to grow, most projections estimate that energy demand will outpace our supply capabilities by the year 2020. Because many of the coal plants currently meeting our energy needs were built in the 1970’s, costly upgrades will be required to meet the new environmental restrictions and regulations be imposed by the EPA.

For the last two years, the General Assembly has grappled with the future of nuclear power and whether or not we should be expanding additional nuclear production facilities in our state. When managed effectively, nuclear power can generate large amounts of energy in a clean, safe, and reliable manner. It can be a central component of a comprehensive energy plan that incorporates both fossil fuels and emerging renewable sources. The process to build nuclear generation is lengthy and complex. The upfront costs are enormous, but must be incurred in order to continue moving the process along.

While there is no easy solution to this issue, we can certainly all agree that reliable and affordable energy is essential to the economic viability of our state. Through reason and cooperation, I believe we can find the appropriate balance between protecting Missouri’s ratepayers from unnecessary costs, while continuing to advance a reasonable and responsible energy plan. Most importantly, I hope everyone will understand that it is time to stop debating and start advancing a comprehensive energy plan that supports a robust, dynamic and growing economy.

As always, please feel free to call, email, or write with your ideas or concerns. The Capitol number is (573) 751-1415, my email is brad.lager@senate.mo.gov and my mailing address is Room 422, State Capitol Building, Jefferson City, MO 65101.

Editorial: Natural Gas Drilling Increase Could Affect Worth County

We are being told by the Obama administration that natural gas is one of the pieces of the puzzle as far as energy is concerned. We are being told that there is an abundant 100 year supply of cheap natural gas just waiting to be drilled. But the problem with that is that even if what supporters say is true, that is not a viable long-term solution for our country. Pushing for natural gas would be a typically American solution -- kick the can down the road for 90 years like we did with slavery, or kick the can down the road with immigration like Ronald Reagan did when he was in office. But the problem with that is that 100 years down the road, we will be right back in the same boat that we started out in -- dependent on foreign oil, vulnerable to terrorist attacks or the whims of a foreign dictator.

The Post Carbon Institute is a think tank which provides alternatives to the present energy policy. For more information, please visit http://www.postcarbon.org/. They state:

The Post Carbon Institute's report concludes that we face serious, and heretofore unacknowledged, production constraints with shale gas that mean the following three things are very unlikely to happen:

1. Meeting the Energy Information Agency’s projections for natural gas to 2035.
2. Replacing significant amounts of coal-fired electricity with natural gas (not included in EIA projections).
3. Transitioning significant % of the vehicle fleet to burn natural gas (also not included in EIA projections).

All of three of these would require much higher levels of drilling and higher prices than projected by the EIA. At least 35,000 new wells will need to be drilled each and every year to meet EIA projections. More still to provide more natural gas-fired electricity and far more than this number to transition the vehicle fleet.

Source:http://www.dailykos.com/story/2011/05/16/976634/-Will-Natural-Gas-Fuel-America-Online-QA-Tomorrow?via=blog_491253

The fact that they would have to drill 35,000 new wells each year would directly affect Worth County -- Natural Gas interests would seek to locate here similar to what CAFO interests did in the region back in the 1980's and 1990's following the Farm Crisis. Where would they find all the land to drill all this natural gas? Our hunting, our fishing, and our farmlands are still our three most valuable assets here. Bring in the natural gas interests into the equation and you would take away our chief economic assets. And then what would we do once the natural gas runs out?

We have a much more sustainable path to an energy future free of foreign oil and free from the threat of terrorism -- put solar power on every rooftop and a wind farm in every town and we'll see how much we can shed our dependence on foreign oil. And while we're at it, let's invest in math and science so we can do it cheaper.

Editorial: Coal -- Not a Viable Long-Term Solution

Right now, our politicians are dragging our feet when it comes to creating energy independence and creating a strong economy that is not dependent on the whims of world leaders and foreign dictators. Case in point -- Chicago, where certain politicians there are dragging their feet on shutting down one of the dirtiest coal plants in the country, the Fisk & Crawford Plants. Located right in the middle of Chicago, the Fisk & Crawford plant emits so much pollution that patio furniture in the neighborhood is literally covered with soot. These plants were put in place with the promise of jobs and economic development, then the property values went down -- after all, who wants to live near a coal plant? Consequently, the only people who live near these places are people who can't afford to live anywhere else.

Mike Huckabee, who recently decided not to run for President, had a good idea which he put into action as Governor of Arkansas -- he put in a plan for preventative health, which saved taxpayers millions of dollars worth of healthcare costs. Herewith my suggestion -- focus on preventative health by phasing out dirty power sources such as coal and retrain the workers to do cleaner sources such as solar and wind. According to the University of Harvard, that would save $1 trillion in taxpayer money -- no more need for Obamacare or the need for us to purchase a private product in order to keep the IRS from assessing thousands of dollars against our taxes. The Fisk and Crawford plant alone caused 41 premature deaths and 550 visits to the emergency room for allergies such as asthma. In addition, there are 500,000 premature deaths in the US and 750,000 (at least) in China due to coal.

Now that Bin Laden is dead, we can start thinking about cutting funds for Afghanistan and how and when to get out. We can free up some funds so that we can put a wind farm or a solar plant in every town in the country -- our towns could sell the electricity to customers or to utilities and create a new source of income, as could the county. We can invest in math and science so that we can find ways of doing it cheaper so that we can reach the tipping point at which it would be cheaper to produce than conventional sources -- that would benefit our local schools. And we can put hybrid plants in every town the size of Maryville or bigger so that we can starve the Arabs before the next Bin Laden comes along. Yet certain politicians would rather be happy going the same tired old politics as usual. If we go that route, then the next 9/11 is an accident waiting to happen.

Brad Lager's Capitol Report -- The 2011 Legislative Session Comes to a Close

The First Regular Session of Missouri’s 96th General Assembly has come to a close. When the session convened in January, we all knew that a great deal of work was before us. The national economic downturn had severely impacted our state budget which left many difficult decisions ahead. Education funding was at risk due to unaccountable spending in other areas of state government, our statewide energy policy stood at a crossroads, and a series of legal and regulatory problems were obstacles to future economic growth. Now that the final gavel has fallen, I’m pleased to report we were successful in addressing several of the crucial issues facing our state.

The top priority this session was improving Missouri’s economic climate. The goal was to remove the unnecessary governmental roadblocks thereby fostering an environment that attracts good companies and encourages them to create new economic opportunities in our state. We were successful in reducing the number of burdens on those who create jobs by updating our tax policy, reforming our regulatory climate, and improving the way in which state agencies interact with businesses. We took decisive action to create a level playing field for Missouri’s agricultural producers by limiting their exposure to the predatory lawsuits that threaten Missouri’s farmers. These important reforms will help Missouri’s businesses be competitive in an evolving global economy.

Unfortunately, the session ended with a few important issues unresolved. Although the demand for reliable and affordable energy will continue to grow and the need for a comprehensive plan to produce that energy within our state exists, we were not able to advance legislation addressing Missouri’s long term energy policy. We also failed to overcome the influence of special interests as they prevented the much-needed reform to our state’s economic development incentive programs. Now more than ever, we must ensure job incentives are directed toward industries that provide the greatest economic growth, have verifiable job creation, and provide a good return on the taxpayer’s investment.

The legislative action of 2011 will force our state government to live within its means, be more transparent in its actions, and be more accountable to the people it serves. Missouri’s taxpayers will keep more of their hard earned money, and our agricultural producers will receive fair and equitable treatment in our state courts. Overall, it was a good year for northwest Missouri and the accomplishments of this session will help to move our state forward, fuel our economy, and foster a more prosperous Missouri.

As always, please feel free to call, email, or write with your ideas or concerns. The Capitol number is (573) 751-1415, my email is brad.lager@senate.mo.gov and my mailing address is Room 422, State Capitol Building, Jefferson City, MO 65101.

Brad Lager's Capitol Report: Strengthening Missouri’s Future

Since the opening day of the 2011 legislative session, creating an economic climate that facilitates job creation has been our number one priority. We are blessed that our great state continues to be a place where people want to live and raise their families. However, this cannot occur without high quality good paying jobs. While we have made many great strides already this session, we still have work to do in order to build the healthiest and most prosperous economy.

Every day, companies evaluate a number of factors when making decisions about where to locate their businesses. One of the most important factors is a state’s tax structure. For nearly 100 years, Missouri has levied a franchise tax on many businesses. We are one of the few states in the nation to still impose this additional tax. In order to make our tax structure more competitive, the General Assembly has passed a phase out of this tax over the next five years with it being completely eliminated in 2016. This will allow those businesses to keep more of their money to hire employees and reinvest in their companies.

The price and the reliability of energy are also major considerations when companies are looking to expand. Missouri’s energy generators do a great job of producing reliable power at a relatively affordable level. Although we have all seen increases in our monthly utility bills, the fact remains that Missouri has the 4th lowest rates in the nation. This makes Missouri an excellent choice for manufacturing companies and other businesses that have large energy needs. To ensure we retain this advantage in the future, Missouri will need a balanced energy portfolio which underscores why it is so important to have numerous energy generation options available to meet our future energy needs.

While taxes and utility rates are not the only concerns of business owners, they are significant costs that impact the growth and development of any venture. I believe that fair litigation, reasonable regulation and limited taxation is a formula that will encourage economic investment in our state. If successful, businesses will locate here and grow here, thereby creating new opportunities for the communities and people who live here.

As always, please feel free to call, email, or write with your ideas or concerns. The Capitol number is (573) 751-1415, my email is brad.lager@senate.mo.gov and my mailing address is Room 422, State Capitol Building, Jefferson City, MO 65101.

Cut to the Chase: National Agriculture Week

JUST BE GLAD THEY DO NOT CONTROL OUR FOOD SUPPLY

By Denny Banister

Even for the Middle East, a region of the globe where unrest seems to be an everyday fact of life, the unrest of recent weeks is extraordinary. Regimes are crumbling, and no one really knows how the revolts and revolutions will play out in the end. As a result, oil prices are skyrocketing since much of the world’s oil supply is dependent upon this unstable region.

The timing of crude oil hitting record highs could not be worse. The United States is trying to pull out of the deep recession. During this time of stressed budgets, government is looking for ways to slash spending, and agriculture is in the path as the time for rewriting the Farm Bill approaches.

We could totally eliminate farm programs that benefit farmers and still only put a very small dent in the real cost of the Farm Bill which pays for food stamps and other food assistance programs. With so many people out of work, eliminating food assistance programs is unthinkable.

We do not know what we are facing with regard to our future fuel supply, but consider what we could be facing if we were dependent upon the Middle East countries not for our fuel, but for our food. Imagine the inflation we would witness right now for every speck of food we eat if an organization similar to OPEC had a monopoly on the world’s food supply. Thank goodness they do not, and we must keep it that way.

March 13-19 is National Agriculture Week, a time Americans should be thankful we have the world’s best food production system. No matter how many community gardens there are or how many cities follow the lead of others to allow people to raise chickens in their backyard, these efforts are not going to feed the population of the entire United States.

In general, what benefits agriculture in America benefits all Americans. Our nation’s farmers and ranchers need and deserve the support of the American public. To me, that is the most important message of this National Agriculture Week and every other week of the year.

(Denny Banister, of Jefferson City, Mo., is the assistant director of public affairs for the Missouri Farm Bureau, the state’s largest farm organization.)

Blackouts a serious national security issue.

We need to find answers to why there were blackouts in Texas during the recent blizzard and find out fast. This is a serious national security issue, as the Defense Department recognized as early as 2008.

http://www.dailykos.com/story/2011/2/5/941435/-RWSM-Deception-on-Texas-Blackouts-Threatens-American-Prosperity-and-Security

NRCS Offers Headquarters Agricultural Energy Management Plan

The USDA Natural Resources Conservation Service (NRCS) will offer the Headquarters Agricultural Energy Management Plan (Headquarters AgEMP) to Missouri farmers and ranchers to help them conduct energy audits and improve their overall energy efficiency. The initiative offers Environmental Quality Incentives Program (EQIP) participants a one-time payment to obtain an energy management plan for their headquarters operations.
"By offering this initiative, we are encouraging our producers to review how they use energy in their operations," NRCS State Conservationist J.R. Flores said. "We want to assist our farmers and ranchers in becoming more energy efficient, while also helping reduce their impact on the environment."
On-farm energy audits are tailored to each agricultural operation's primary energy uses. The audits help producers determine the amount of energy used by the entire operation and also identify short-and long-term measures producers can implement to conserve energy and achieve greater energy efficiencies. At a minimum, Headquarters AgEMP must identify baseline usage for non-residential structures and all stationary equipment used in farming operations. Vehicles and the farmstead are excluded.
The headquarters energy audit will cover the primary energy users such as irrigation pumping, heating and cooling of livestock production facilities, manure collection and transfer, grain drying and similar common on-farm activities. Missouri policy for the Headquarters AgEMP can be found online at http://www.mo.nrcs.usda.gov/.
Payment for Headquarters AgEMP requires the use of a registered Technical Service Provider (TSP).
Missouri will distribute $50,000 through the Headquarters AgEMP. Applications will be accepted through Friday, Feb. 18. Interested producers should contact their local NRCS office to apply for the Energy Management Plan. To locate the NRCS office nearest you, look in the phone book under U.S. Government, Department of Agriculture, or visit the Missouri NRCS website at http://www.mo.nrcs.usda.gov/.

New program to help Missouri farmers with home, farm energy costs

Missouri small farmers who want to reduce energy costs at their homes and farms are getting help from a new $5 million grant program, Gov. Jay Nixon said. The Governor announced the launch of the Missouri Agricultural Energy Saving Team – a Revolutionary Opportunity (MAESTRO) from the Missouri Department of Agriculture and the University of Missouri Extension today in Jefferson City.

MAESTRO will provide low-interest loans and rebates for farmers taking steps to implement best practices for energy efficiency on their farms. Between now and May 2013, the program is expected to help Missouri farmers who have livestock operations identify and implement the best practices at approximately 300 farms and 100 farm homes.

“Agriculture is a key cog in our state’s economic engine, and we continue to look for new ways to help Missouri’s farmers become more energy efficient and more profitable,” Gov. Nixon said. “The assistance that MAESTRO will provide can play a large role as producers seek innovative ways to grow their farm operations and improve their energy efficiency.”

MAESTRO will offer several financial incentives to farmers:

n Audit cost share – For qualified farmers, MAESTRO will pay up to two-thirds of the cost of a farm audit, up to $1,000; and up to one-half of the cost of a home audit, up to $250. Farm audits booked through MAESTRO cost $1,500, so the cost to the farmer would be only $500; home audits cost $500, so the cost to the farmer would be only $250.

n Audit rebate – Farmers would be eligible for a rebate of a portion of their audit costs when their energy savings from completed audit recommendations are greater than the costs of the audit and the cost of the improvements combined. Examples of upgrades include retrofitting of fans and energy efficient lighting.

n Grants for interest buy-down or down payment – MAESTRO will pay part of the customer’s interest on loans to install audit recommendations, so that that customer only pays three percent interest on loans to install audit recommendations. Farmers can choose to use the savings they would have realized from the lower interest rate to be applied as a down payment on their loans instead. The maximum amount of the loan that would qualify is $50,000.

n Loan loss reserve – Lenders making an approved eligible energy efficient loan may receive a 75 percent loan guarantee on loans not to exceed $50,000.

“I am proud to see the work between the Department and its partners to realize such a unique opportunity on behalf of Missouri farmers,” said Director of Agriculture Dr. Jon Hagler. “Missouri farmers have continuously shown great interest in both efficiency and innovation, cornerstones of this program.”

Missouri received the opportunity to launch MAESTRO through a competitive grant process, and was the only state to receive funding for this type of program. The grant comes from the U.S. Department of Energy, and was made possible by the American Recovery and Reinvestment Act.

The University of Missouri Extension has hired four auditors for the energy audit process. Farmers participating in the program will receive thorough energy audits of their farms and farm houses and guidance on energy saving devices and practices that are likely to be most effective to reduce usage within their individual operations.

“Our preliminary estimates suggest per-farm savings will be between $500 and $600 per month after the energy savings devices are installed or new procedures implemented,” said Leon Schumacher, University of Missouri professor of agricultural systems management. “Our aim is to provide farm operations with affordable ways to reduce their energy usage.”

Program loans and rebates will be administered by the Missouri Agricultural and Small Business Development Authority. Training for auditors will be overseen by EnSave, Inc., a private firm specializing in agricultural energy efficiency.

Farmers wanting more information about MAESTRO can call 1-800-732-1399.

Low Cost Home Energy Savings Tips and Tools Workshops

Has the cost of heating your home this winter put a crimp in your budget? Do the utility bills seem to constantly spiral upwards? Would you like to reduce your monthly utility bills? If you answered yes to any of these questions you should make plans to attend the Low Cost Home Energy Savings Tips and Tools Workshops February 15 and 22nd at the Worth County Fair Association Building in Grant City.

The sessions are designed to feature low cost practices that can have a large impact on the home energy bill but are still simple enough that most homeowners can implement them on their own. “Most people are amazed at how inexpensive and easy some of these techniques are and how much they can save on their energy bills” says Jim Crawford, Natural Resource Engineer with University of Missouri Extension, who will be conducting the workshops.

Each of the workshops will focus around a different aspect of home energy conservation. Session 1 titled Energy Saving Practices will demonstrate how to use a home energy checklist. Weatherization of your home to keep the cold/hot outside air from coming into your home will also be a focus of this workshop. Different types of weather-stripping and caulking materials will be discussed as well as some hands on exercises to show how to choose and install the proper material for each situation. Insulation is an important item for your home and what the proper levels and the different types of insulation that can be used will be covered. There is a variety of tax incentives from the federal government available for home energy conservation practices. Current information on what is covered and how to apply for these tax credits will be discussed. The session will also include information on the Energy Star program and a series of five minute energy saving tips.

Session 2 will look at some alternative or renewable energy technologies available for the homeowner. This will include solar water heating, photovoltaic panels, wind power, as well as at home production of ethanol and biodiesel. Information will be distributed on obtaining state and federal tax incentives that are available to help offset the installation costs for these systems. There is a fee of $ $10 per individual session to cover the cost of the notebooks and resource material each attendee with receive. Pre-registration is required by February 11, 2011 so that enough notebooks can be prepared. For more information or to register call the Atchison County Extension Center at 660-744-6231 or email Jim Crawford at CrawfordJ@missouri.edu.

Capitol Report for April 8th, 2009

State Senator Brad Lager
Becoming Energy Efficient
Last week, the Senate Committee for Commerce, Energy, and the Environment, passed out legislation aimed at addressing Missouri’s future energy needs. The legislative package works to balance future energy demands, fluctuating costs, the availability of energy, and the environmental impacts of energy generation. Although there is no silver bullet that will fully address these complex challenges, we must keep working to head off this potential crisis. Regardless of the final energy generation solution, one agreed upon fact is that energy efficiency programs are a vital component of any future energy policy.
There is little doubt that without an increase in energy production we will not be able to meet the energy demands of the future. However, it takes time to design, develop, and build new energy production facilities. As a result, we must be smarter, more efficient and more effective in how we utilize the energy we currently generate. We must cultivate, facilitate and encourage energy efficiency programs. If done correctly, these programs will build partnerships between a utility company and its consumers so that they can work together to better utilized current energy supplies.
If passed, Senate Bill 376 will allow Missouri utility companies to make financial contributions in energy efficiency programs and then recover them in their rate base. The Missouri Public Service Commission will oversee this process by evaluating these programs to ensure that these investments are resulting in significant energy savings that are in the best interest of the ratepayers.
I believe this is a reasonable and responsible approach to becoming more efficient in our energy consumption. This legislation has received broad-based support from consumer groups, energy companies, industrial energy users, economic development groups, and environmentalist. By working together, these groups have helped us craft a legislative package that will encourage energy companies to work with their customers to better utilize the energy we currently generate. Until a low cost, long term energy solution is found, we as consumers must manage our energy use so that we utilize these precious resources in the smartest manner possible.
As always, please feel free to call, email, or write with your ideas or concerns. The Capitol number is (573) 751-1415, my email is brad.lager@senate.mo.gov and my mailing address is Room 429, State Capitol Building, Jefferson City, MO 65101.

Captiol Report for 1-28-09

The Future of Missouri Energy

In recent years, we have felt the pinch in our pocketbooks as energy prices have skyrocketed. Although there is no silver bullet to resolving this crisis, it has become very clear that ensuring reliable and affordable energy is critical to Missouri’s future. Therefore, the Missouri Legislature is working to craft an energy policy that is good for Missouri’s businesses, consumers and energy providers.

Missouri currently stands at the crossroads of how to best meet our future energy needs. While northwest Missouri has been a leader in wind energy production, the fact still remains that the current renewable energy technologies do not generate enough capacity to replace conventional energy production. As a result, Missouri must explore additional energy sources that when implemented responsibly can be reliable, cost effective, and environmentally friendly.

It is imperative that every level of government works towards establishing secure energy production that takes advantage of our domestic resources while promoting conservation, renewable and alternative sources. Responsible public policy that is source neutral combined with the innovation and creativity of our domestic entrepreneurs will create an environment that will lead us to energy independence. From a greater adoption of renewable energy to the cultivation of traditional domestic energy supplies, there are a number of options that when used together will meet our future energy needs.

Missouri has the opportunity to be a leader in crafting energy policy that ensures long term energy stability while promoting economic growth. One thing is certain, if we do nothing, energy costs will rise dramatically. If we are going to be successful in stabilizing future energy prices, we must increase supply while becoming more efficient and effective with our consumption. As the chairman of the committee responsible for tackling these issues, I am committed to crafting an energy policy that is good for Missouri’s citizens and that will ensure reliable and affordable energy for future generations.

As always, please feel free to call, email, or write with your ideas or concerns. The Capitol number is (573) 751-1415, my email is brad.lager@senate.mo.gov and my mailing address is Room 429, State Capitol Building, Jefferson City, MO 65101.

Straight Talk with Sam Graves for June 30th to July 21st, 2008

Remembering the Founders
Two hundred and thirty-two years ago, our Founding Fathers declared their independence from King George and the British Empire. As we celebrate the 4th of July with family and friends we should all take a moment to remember the price paid for the freedoms that we enjoy today.
We live in the greatest country on earth. It is up to us to live up to the ideals of freedom and democracy for which our founding fathers pledged their lives, their fortunes and their sacred honor. We must continue their work and strive to make our nation "a more perfect union."
Although our country is facing challenges today, it is nothing that we cannot overcome. Out of control energy prices, a slowing economy, and the threat of radical terrorism can all be conquered through American commonsense, hard work and commitment to freedom.
When our founding fathers faced unimaginable hardships back in 1776 they stood up to the challenge and gave the world its first democracy. While the challenges we face today are different, it is still required of us as Americans to stand up to the challenges of our time and make our nation more prosperous and peaceful.
By committing our selves to ending our dependence on foreign oil, making it easier for small businesses to keep their doors open and by standing resolute against the forces of tyranny, we can continue to keep the promise of our great nation alive for future generations.

Strengthen our Economy by Ending Dependence on Foreign Oil
With Missourians facing $4 gas, Congress needs to get its act together and address energy prices. Not only are high gas prices affecting every family who has to drive to work or get their kids to school, it is harming our economy.
Just a few weeks ago I was at a small business in Liberty. Because of out-of-control gas prices, they are now spending more on fuel than they are on wages and benefits for their employees. Something is seriously wrong when a small business is spending more on gas than they are on their employees.
This is not the only business that is threatened by high gas prices. Employees and small businesses across Missouri, from the local pizza shop to the local factory, are feeling the pinch.
Unless we address the problem now, and end our dependence on foreign oil, we face the potential of an even bigger energy crisis. If there is one terrorist attack or one country decides to turn off the spigot we could face an energy crisis as bad as or worse than the 1970s.
When OPEC shut off oil to our country in the 1970s, it devastated the U.S. economy. There were lines at gas stations, rationing of fuel, and runaway inflation. Our dependence on foreign oil has left our country virtually defenseless in the event we are cut off from foreign oil.
We must act now to end our dependence on foreign oil. Opening up American drilling and investing in alternative fuels will increase our domestic supply and ensure that our economy is never again at the mercy of foreign oil.

Fighting Inflation
Count inflation as another problem that Washington is ignoring. Washington bureaucrats will tell you that inflation is low and our economy is in good shape. But all you have to do is go the grocery story or fill up your car with gas to see that Washington bureaucrats are out of touch.
While there may not be inflation in the 17 square miles of Washington D.C., if you talk to anyone living out in the real world they will tell you that the cost for everything is going up. We need to get inflation under control and that starts with getting our energy prices under control.
Everything in this country is dependent on energy to move. Workers depends on energy to get to their jobs, farmers depend on energy to get their goods to the market, and small businesses depend on energy to keep the lights on in their stores. Like it or not, we need to face the fact that out-of-control fuel prices are causing the price of everything to rise. We need to get serious and Americanize our energy supply to preserve the purchasing power of Missouri's families.
We also need to get tough on countries who manipulate their currency at the expense of the American dollar. China is manipulating their currency to make their exports artificially cheap, which is undermining our exports and devaluing the dollar. It is putting Americans out of work, threatening American industry and inflating the cost of food and fuel.
I have introduced legislation to get tough on China and impose retaliatory tariffs if they continue to manipulate their currency. This is a common sense approach to strengthen the dollar and fight inflation.

Getting our Economy Back on Track
With out of control gas pricing hurting our economy, it is more important than ever to help families make ends meet and small businesses keep their doors open. We need to make it easier for families and small businesses by lowering taxes, reducing burdensome regulations, and ending frivolous litigation.
Missourians are not overtaxed, but you would not know that if you look at the actions of Congressional Leadership. In this Congress alone, House Leadership has pushed for tax increases on small business, energy production, married couples, and families with children. At this rate, they are going to run out of people to foot the bill for their out-of-control spending.
This is the wrong thing to be doing at a time when our economy is struggling. By keeping taxes low we make it easier for families to save for retirement, their children's college education or pursue the dream of home-ownership. By keeping taxes low on small businesses we encourage investment in our economy, promote entrepreneurship, and help create jobs.
We also need to make it easier for small businesses to stay in business and that means cutting excessive red tape and federal bureaucracy. Excessive regulations cost American businesses an estimated $1.1 trillion a year, making it more expensive for small businesses to do business. We need to cut the red tape. Our small businesses need an environment where they are creating jobs, not more federally required paperwork.
Lastly, frivolous lawsuits are making it more expensive for small businesses to operate. We need to end the jackpot justice mentality of the trial lawyers. We need to stop abusive and frivolous lawsuits that drive up costs for small businesses.

Letter to the Editor -- Electric Cars about to take over.

The best solution to high gas prices is electric cars. We need to find ways to make more of them. There are several reasons for the continuing interest in these vehicles:
1. Electric cars create less pollution than gasoline-powered cars, so they are environmentally friendly.
2. An electric car is a car powered by an electric motor rather than a gasoline engine. From the outside, you would probably have no idea that a car is electric.
3. When you drive an electric car, often the only thing that clues you in to its true nature is the fact that it is nearly silent.
There is great interest in electric cars. According to VentureBeats, thirty companies are ready to take over the road with different models of electric cars. VentureBeat’s mission is to provide news and information about private companies and the venture capital that fuels them. These companies all recognize that there is a market big enough for them all to be pursuing making electric cars.
Walmart supermarket chain has a couple of all-electric 7.5 ton delivery trucks on trial. Modec produces and sell all-electric 5.5 ton delivery vehicles. There are 500 electric Minis coming to California.
Companies like Smith Electric Vehicles already have hundreds of all-electric trucks and vans. They are now commencing production of a 12 ton US-specification truck at their factory in Fresno, California, where they are making around 800-900 this year and are building a new 300,000 sq.ft US factory to produce 10,000 vehicles a year by 2010. That's in addition to 5000 a year for Europe by the same date.

Gloria Abercrombie
Kansas City, MO

Setting in a Mousetrap, Pondering my Fate for June 25th, 2008

Somebody over there must actually be able to think.
The news this week? The Saudis feel that the price of oil in to high.
Yes, the Saudis look to the future and see Americans not buying oil from them. They had heard us. If they don’t quit ripping us off, they are going to find they have no customers for their oil. Didn’t take long for them to put two and two together, and you want to know the real truth of the matter? They are right. The Saudis are going to start pumping more oil in hope that other countries will do the same and the price will come down.
Here is where they are wrong. Americans have seen the future and I hope we will end that quote by saying, "it is ours." The Saudis also think we will slow down in our quest for alternative fuels. I wish I could live long enough to see the day when oil is an alternative fuel. It is not hard to believe that the world is controlled by oil interests and we made one of them the most powerful men in the world. We now hold our breath in anticipation of the day coming soon that Bush will not be president anymore.
(Please do not send me that tired joke about the man who calls Bush and asks to speak with the president and Bush finally says, "I am not president anymore," to which the caller replies, "I just needed to hear that." I have heard that one applied to several other candidates and it is not funny to me. I have lost a few friends over such "humor." Although I do look forward to that day, January, 2009, I don’t want to hear any jokes making fun of politicians.)
Back to my story: The oil barons have actually done us some favors. We will become used to driving less and maybe more responsibly. Not driving hurts the economy, but in reality it saves us a lot of money to pay off our other debts. Don’t tell me you don’t have any. An automobile is the second biggest investment we make, how much money do we save if we are so tired of high oil prices that our cars last longer. How much money would you save it you bought a new car every seven years instead of every five years? That is just an example. High oil has cured this boy of new car fever.
Less driving of course means lessens pollution. I wonder how long it will be before people in Los Angeles will be able to see the sun? Think of how driving less will help the environment and maybe prolong the danger of global warming; that is to you who believe in such a thing.
High oil prices could even in fact to be the savior of the small town. I drive; as my second car a 1998 GMC Somona. I bought it about three years ago, it gets 22 mpg on the road. I now think at least twice about going to Bedford to the grocery or have supper.
So now what do we do? Alternative fuels are right around the corner. I believe the spike in fuel prices is the proof of that. "They are getting it while they can," my best friend says. They know the day will soon upon us we don’t need them anymore. As I said, I hope to see it.
The Arabs have forced us to be better. That is how we got through the oil problems of the 1970’s; boy do I miss those land yachts. We did it before and we will do it again. God bless America, the people have spoken.