17.906 The Geopolitics and Geoeconomics of Global Energy, Spring 2007 Prof. Flynt Leverett Discussion 13: The Future for American Energy Policy An Energy Policy for America • Domestic • International Domestic Ways to Deal with Oil Dependence • Reduce consumption (Hydrocarbons) o Impose taxes on oil  Gas tax o Public Transportation • Invest in alternative fuels o Ethanol o Solar o Wind o Biomass o Electric  Could be effective transportation fuel o Coal  Domestically available  “cleaner” now o Nuclear  Terrorism à Facilities protection  Dealing with waste à Yucca Mountain issue  Meltdowns o Many of these only affect energy generation for household use, etc and don’t have a large effect on transportation, etc. • R & D and Innovation o Ways for the government it encourage innovation  MIT Biodesiel competition  National government agency • Government Regulation • State versus Federal Involvement o States have been getting involved at varying levels  Not necessarily a good thing because companies might just move to a state where regulation is less strict  Delaware effect à Race to the bottom  California Effect à The area is so desirable that it is worth it to conform to the standards • The most innovative companies want higher standards because they know they can surmount them International problems in oil dependence • Diversification of Supply o Expand number of suppliers • Cooperate with China o Energy/climate o Climate Cite as: Paul Staniland, course materials for 17.906 Reading Seminar in Social Science: The Geopolitics andGeoeconomics of Global Energy, Spring 2007. MIT OpenCourseWare (http://ocw.mit.edu), MassachusettsInstitute of Technology. Downloaded on [DD Month YYYY].• Issues with the Middle Eastern Oil Supply o Stabilization  Get out of the region or stay  Trade relationships as incentives  Military deterrents o Israel Support Cite as: Paul Staniland, course materials for 17.906 Reading Seminar in Social Science: The Geopolitics andGeoeconomics of Global Energy, Spring 2007. MIT OpenCourseWare (http://ocw.mit.edu), MassachusettsInstitute of Technology. Downloaded on [DD Month YYYY].17.906 The Geopolitics and Geoeconomics of Global Energy Discussion 13 Prof. Flynt Leverett Page