Power Subsidies Through The Eyes Of Carbon Credit

China has doubled the surcharge for renewable energy producers, so they get more per kWh they feed into the grid. What does that mean? For the shallow analist that means the renewable sources like wind turbines can be payed of quicker, that banks may extend bigger loans, and that renewable installations can be more expensive per kWh. The only reason for the chinese government to do this may be to support it’s banks (although they don’t need as much support as banks in the West).

But there is something else going on with money and energy. Suppose the renewable energy source is payed off. The owner will then recieve money without having a reason to spend it. But suppose this energy producer is the only one on an island. After a while he will have all the money on the island in his bank account. But if he then starts spending it because noone has money anymore, the people that get the money come back for more energy. So the monopolist energy supplier (carbon or reneable) both basically owns the place and has to give the energy away to not stall the economy. This is (if I may say so) a very puzzeling quality of modern society in it’s energy dependence.

We have to day around the world a system which I call the carbon/credit system. It is an alliance between carbon producers and banks. Banks extend credit that derives it’s value from the fact it can be used to buy carbon. Carbon makes the world go around, no carbon, nothing moves. The banks hide the fact there needs to be a strategic power projection to guarantee this system is operational. The carbon/credit relationship is the binding force between banks around the world, they all protect it, it is their bread and butter.

The renewable/credit system would work exactly the same as the carbon/credit system with one major difference, there would be no need for power projection in order to control the primary source of carbon. Renewable power can be found everywhere. There are deserts full of terrawatts solar power, and nobody cares. As a result there would also be no reason for creditors (banks) to unify and have one purpose (the distructive one they seem to have now, to tip the climate over the edge as quickly as possible). 

China probabably doesn’t have the objective to shift the power to the renewable/credit system, it perhaps prefers the control the centralized carbon/credit system affords. But it is helping the process. It would be nice if more people discovered the major benefits of renewables, in terms of autonomy and peace brought on by having what you need where you happen to be. The new economy I call the Robo(eco)nomy. Now we remain toys for carbon sadists, people that ultimately do not even care for life on earth.  

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