The US War Machine

SUBHEAD: Securing global resources is vital for the USA and it has designed its military accordingly.

 By S G Vombatkere on 19 April 2010 in Mainstream Weekly - (http://www.mainstreamweekly.net/article1979.html)

  Image above: Senior enlisted leaders representing the seven United States Unified Combatant Commands pose in front of 9/11 memorial plaque at Peterson Air Force Base in Colorado in 2005. From (http://www.jfcom.mil/newslink/storyarchive/2005/no061005.htm).

The Tone of the Third Millennium
The reprehensible Al-Qaeda attack on New York (WTC) and Washington (Pentagon) in the USA on Tuesday, September 11, 2001, set the stage for the Third Millennium in its very first year. This audacious attack on the economic and military nerve-centres of the world’s greatest power shook the then US President G.W. Bush and his administration such that nobody paused to think what might be the true cause.

As expected, the attacks drew retaliatory action, later named by US President George W. Bush as the global war on terror (GWOT). This was mainly to retrieve American pride and prop up the USA’s international image, since the intelligence services of the military and security agencies of the most powerful nation on earth were effectively deceived by a terrorist outfit.

George Bush reckoned that civilization was under threat and, typical of any mighty power, used USA’s military sledgehammer to swat the Al-Qaeda mosquito. The mosquito easily escaped even as the hammer descended, but Afghanistan was broken, and the destruction continues nine years later to this day, while all manner of costs all round keep mounting. The sledgehammer-mosquito analogy is offered to highlight the need for appropriate tools for the task in hand. A screw can be driven home with a hammer but it will not perform its function as a screw, while it may not at all be possible to hammer a nail with a screwdriver.

The Military’s Nexus with Commercial Interests
Any thinking person would wonder why the USA continues to use its military in Afghanistan when everybody knows that Osama bin Laden is not in Afghanistan and is suspected to be in Pakistan. The fact is that the USA cannot stop its own military juggernaut, because the GWOT brings huge, steady profits to industrial and business corporations that are engaged in profiteering from the bloody business of armed conflicts and wars.

Known earlier as the Military Industrial Complex, as coined by US President Dwight Eisenhower, it has since incorporated the media, with professional journalists being embedded with military units as in the US invasion of Iraq post-9/11, to bring news that is vetted or controlled by the military-political commanders in the field, to the TV screens of viewers across the globe. This is referred to as the military-industrial-media-information complex or MIMIC.

It is well understood that armed conflicts of various types and intensities the world over are supplied with arms, ammunition, weapon systems and equipment from the arms industries of various countries, and that corporate profit usually overrides national feeling because there is no God more demanding than Mammon. [Note 1] It is also well known that the USA is the world’s largest arms exporter and that arms export is vital for its economy. Right from the end of World War II, the stoking of existing armed conflicts, even their creation, with or without the direct involvement of the US military, has been and remains in the corporate interests of MIMIC.

General Dwight Eisenhower, the victorious soldier freshly home from World War II, had declared:
"Every gun that is made, every warship launched, every rocket fired signifies in a final sense, a theft from those who hunger and are cold and are not clothed. This world in arms is not spending money alone. It is spending the sweat of its laborers, the genius of its scientists, the hopes of its children. This is not a way of life at all in any true sense. Under the clouds of war, it is humanity hanging on an iron cross... I hate war as only a soldier who has lived it can, only as one who has seen its brutality, its futility, its stupidity."
However, as the US President later, he was powerless to stop the Military Industrial Complex juggernaut. An earlier, revealing account of the influence of commercial and banking corporations on the US Government to send US troops abroad to acquire, protect or consolidate corporate interests is contained in a book titled War is a Racket by Major General Smedley Butler of the US Marine Corps. [Note 2]

Technology for War by Remote Control
Famous World War II US General George Patton was credited with having advised his troops that a good soldier does not die for his country, but makes the enemy soldier die for his own country. Of course, he said it in much more colorful, unprintable language, but it is impeccable advice in a purely military-versus-military context.

However in present times, the USA uses hi-tech weapons and weapon systems to save its troops on the ground at the cost of indiscriminately inflicting disproportionate, horrendous casualties upon the opponent’s civilians. In Afghanistan, targeting the Al-Qaeda or Taliban fighters most often results in killing large numbers of innocent civilians. The loss of a single US soldier to the Al-Qaeda or Taliban action draws immediate and harsh retribution on civilians on mere suspicion of harboring the fighters.

Military action against civilian populations using state-of-the-art technology of the times was started by Britain and the USA during World War II against Germany and Japan. Even though these attacks have been justified by the winning side, the fact remains that indiscriminate and even deliberate targeting of civilians was ordered by the Allied Forces during World War II. The Examples are the firebombing of German cities by British and US air forces, and US firebomb attacks on Japanese cities culminating in nuclear weapons dropped on Hiroshima and Nagasaki.

But this continued even after World War II. The US military used napalm and Agent Orange (gas) in Vietnam, and carpet-bombed Cambodia with over 2.75 million tons of explosive to disrupt the North Vietnamese People’s Liberation Army’s logistics, killing around 150,000 Cambodian civilians (1969-1973). More recently, in 1991 the US military used depleted uranium artillery projectiles in Iraq, and in 2001 in Afghanistan, dropped “Daisy-cutter” bombs and BLU-82 bombs (explosive equivalent to tactical nuclear weapons) on civilians with devastating effect.

The use of hi-tech by the US military is making killing increasingly easy from remote, safe, comfortable locations, disconnecting soldiers from the harsh realities of death and destruction. The deployment of remotely-controlled unmanned aircraft (drones) in Afghanistan for surveillance and missile attack is enabling the USA to project power without vulnerability, killing without risk. Which is all very well, except that General George Patton may not approve were he still alive, because those being killed are civilians unconnected with the conflict.

The young soldier remote-controlling a drone mission in Afghanistan may be sitting in a bunker half way across the globe in Nevada, USA, chewing gum as he punches a button on a joystick that launches a missile, much as he did in violent video games a few years earlier. He would go home to a hot dinner and a comfortable bed after having carried out a missile attack on a suspected safe haven that killed innocent civilians in a marriage party. [Ref 1]

The US military plans to have 50 drones operating at a time in 2011 against 38 in 2009, and is said to be currently training more drone pilots, than pilots for manned combat aircraft. [Ref 1, 2] This is aimed at minimizing physical casualties to troops on the ground, by waging an electronic, troop-less war in Afghanistan. No nation would like its soldiers to die or be maimed. But such remote-controlled killing [which also includes remote-controlled or pre-programmed robotic infantry (Note 3)] raises moral, ethical and legal questions especially concerning command and control responsibility for civilian casualties and property destruction, and the need to redefine collateral damage and friendly fire.

Besides, such attacks are increasingly turning civilian populations against the USA’s invading military. Whatever the intention of James Cameron’s award-winning movie Avatar, it was possibly inspired by presently available and on-the-drawing-board hi-tech weaponry, and shows the worms-eye view of the inhabitants of Pandora resisting occupation by a US corporate-owned military.

Need for a Military
From militias of frontiersmen used against native Americans and competing European powers like the French, to a regular Army and Navy to dominate Central and South America, the 20th Century saw US military presence on every continent. The USA did not own territory outside North America until 1898, but the US military as an extension of US diplomacy was deployed to secure the USA’s economic interests abroad. The current US military global presence on land, on and under the sea, in air and in space, is seen as a beneficial by some countries, as strong-arm politics by some others, as a threat or an enemy by yet others.

In the contemporary world, every country needs a defensive military to secure its territorial integrity, national sovereignty and economic interests. But even though the US military is administered by the USA’s Department of Defense, there are those who argue that it has more of an offensive role, while the USA justifies its global military presence as the obvious measure to protect its national interests which have spread across the globe. This is viewed as hubris in many quarters.

US President Harry Truman had approved the formation of seven Unified Combatant Commands (UCCs) way back in 1946 soon after the end of World War II, and created the Alaskan, Atlantic Fleet, Carribean, European, Far East, Northeast and Pacific Commands.

USA’s War Machine
The USA is widely acknowledged as the world’s premier democracy. In spite of its past of slavery and massacre of native Americans, and its short-comings of color, racial and gender discrimination, and the power of wealth over voice, successive US Administrations since 1776 have been democratically elected.

And the US military is under civilian control, as it should be in a democracy. Thus, successive US administrations have been responsible for the USA’s global military operations. Presently the USA has about 700 military bases, stations and installations (for combat or communications-surveillance-intelligence functions) in 63 countries around the globe, with about 250,000 military personnel deployed abroad out of a 1.4 million-strong military. The total land occupied by US military bases within and outside the USA is estimated at about 2.5 million hectares, making it one of the largest land owners in the world.

 
Image above: Predator drone weapon operating over Pakistan are controlled at a distance by US military. From (http://dprogram.net/2009/03/27/us-predators-provoke-pakistan).


The US military divides the world into six regions, each under a UCC with military command and control responsibility. Each of these six UCCs spans large swathes of global longitude and latitude:
• Africa Command or AFRICOM (HQ in Germany);
• Central Command or USCENTCOM (HQ in Florida, USA);
• European Command or USEUCOM (HQ in Germany);
• Pacific Command or USPACOM (HQ in Honolulu, USA);
• Northern Command or USNORTHCOM (HQ in Colorado, USA);
• Southern Command or USSOUTHCOM (HQ in Florida, USA).
Besides these six UCCs, there are four more UCCs with functional responsibilities, headquartered in USA:
• Joint Forces Command (USJFCOM); • Special Operations Command (USSOCOM); • Strategic Command (USSTRATCOM); • Transportation Command (USTRANSCOM).
Each UCC commander maintains contact with all national governments and their militaries in his region of responsibility, under orders of the US President to whom he is directly answerable, and his Secretary of Defense. For example, the area of responsibility of the USPACOM includes India and China, extending from around 40 degrees north latitude to include Australia and Antartica, while the USEUCOM includes not only all of Europe but extends to the eastern end of Russia at Vladivostok, spanning 180 degrees of longitude, and the AFRICOM covers the whole African continent.

The USCENTCOM is possibly the most busy command right now since it includes the Middle East and parts of Central Asia and Africa, and includes Afghanistan, Iraq and Pakistan, prosecuting USA’s much-vaunted global war on terror (GWOT). This integrated network of military bases, stations and installations covers not only the global landmass, oceans and air space but also outer space.

With such global responsibility to maintain liaison and project the USA’s unmatched military power to enforce its economic and political interests, the UCC’s Commanding General or Admiral is in effect a US political entity in addition to being a military commander responsible for operations, intelligence and logistics. All military operations do not necessarily include hostilities; the UCC commander is well placed to prosecute USA’s GWOT, which is as much a political war as it is military in character.

MIMIC holds economic, social and political control at a global level, and the extremely powerful and unmatched US military is its enforcer. Virtually every US President after World War II, has been under the influence or even control of MIMIC, and orders direct or indirect military interventions to further US interests, which are inextricably linked with MIMIC interests.

Strategy may be largely based on periodic assessment of threat levels from people and organizations at various points on the globe that adversely affect US interests. Thus, even democratically elected political leaders in nations across the globe, who may have been thwarting US strategic plans, have been overthrown by the US military or CIA intervention; there are abundant examples in the open literature.

The coup d’etat in Iran (1953) was to support the corporate interests of British-owned Anglo-Iranian Oil Company, demonstrating how corporate interests can be congruent with national strategic interests. The Plan for the New American Century (PNAC) formulated by a think-tank during US President Clinton’s tenure is possibly the global strategy which is now playing out.

The USA’s war machine has been growing in lethality since World War II (the war-to-end-all-wars, a pious aim that has been belied several times over), and is increasingly being deployed worldwide, at enormous financial and economic cost to the USA itself, and enormous human, social and economic cost to all other countries worldwide, especially those which are at the focus of the USA’s military attentions. The tangible and intangible, irreversible or irretrievable global ecological costs of warfare and armed conflict need to be addressed elsewhere.

USA’s Wars over the Centuries
The USA’s military history begins with its independence from the British crown, declared in July 1776. At that time, there was no regular military in North America apart from the British and French. The US military started in 1775 as a volunteer, non-professional body called the Continental Army under George Washington, fired by the idea of independence, taking to arms against the British. But soon enough, the USA created its own professional military paid for from taxes, to consolidate expansion into the lands of the Native American tribes and establish dominance within North America. The US military came under civilian control when the Continental Army was disbanded soon after the American revolution and its Commander-in-Chief, George Washington, resigned in deference to the wishes of elected officials.

In the late 19th Century, the US military was engaged in the Spanish-American War (1898) and the Philippines-American War (1899-1902), both for territory and economic control. It also joined an international force to suppress a movement among the Chinese people in mainland China (the so-called Boxer Rebellion) protesting commercial, religious and political interference by the Western trading nations in China.

The US military had regular engagements of varying scale in Central America from the end of the 19th Century right up to the middle of the 20th Century. It entered World War I (1914-1918) in Europe in 1917 and played a decisive role starting December 1941, in World War II (1939-1945) in Europe, Africa, Asia and the Pacific—around 16 million American soldiers (13 per cent of the US population at the time) served, with around 400,000 killed.

World War II was a turning point for the US military, which had proved itself as second to none in the dangerous and difficult situations of pitched battles. But it was not just the performance of the US military, but the USA’s industrial might that supplied the US military and the militaries of its allies, the precursor of the Military Industrial Complex, which made the USA an undisputed military power. The USA’s material supply for the war effort was made on condition of gold bullion payment by its European allies and, with nearly 80 per cent of the world’s gold possessed by USA, it also became an undisputed economic power. The USA’s superpower status was the combination of undisputed economic and military power.

This superpower status saw the US military getting involved in engagements principally to contain the spread of communism emanating from the USSR and China, but also to secure US resource bases (mainly oil, but also mineral and other raw materials) and its market interests.

The strategy was one of military and economic encirclement of the USSR and China. A lot of science and technology research, much of it by funding universities, and enormous military expenditures were justified to the people of the USA by quoting the communist threat. But after the collapse of the USSR in 1989, instead of reducing its military, the military actually expanded to press home the USA’s economic and political agendas on a global scale.

Two major engagements of the US military in the Cold War period (1945-1991) were the Korean War and the Vietnam War. The Korean War, starting in 1950, was fought to a stalemate in 1953, and US troops are even today stationed in South Korea. The Vietnam War (1957-1975) saw major US military involvement starting 1964 in South Vietnam, but went on to include adjoining Cambodia and Laos. Other engagements in the same period in which the US military has taken part with few troops but with huge political effect because of political pressure and intelligence, are Lebanon (1958), Dominican Republic (1975), Teheran hostage rescue (1980), Grenada (1983), Beirut (1983) and Panama (1989).

In the post-Cold War period (1991-2001), the US military was committed in Iraq for what is known as the Gulf War starting January 1991. The actual fighting was over in just 100 days, but the US military has remained on the ground and at sea and in the air around Iraq. There was also US military presence in Somalia (1992) and Yugoslavia (1999).

The year 2001 was a military watershed for the whole world because of the 9/11 attack, and the period 2001 to date concerns the on-going Global War On Terror. The US military invaded Afghanistan to topple the Taliban government in retaliation for the 9/11 attack, and continues as an occupation force even today. In Iraq (1994), the USA fielded 250,000 troops on the ground. The USA sent 2000 troops to the Philippines (2002) to assist in quelling the Al-Qaeda-linked terrorists, and made a show of power in Liberia (2003), deploying the US Navy off-shore. The internet yields a staggering list of dozens of US military engagements on every continent over the decades starting 1898. [Ref 3]

The late Chinese leader Mao Tse Tung (Mao Zedong) of the Long March fame had said, among many other quotable quotes, that "political power grows out of the barrel of a gun" and "war is the continuation of politics by other means". These may be interpreted to mean that politics is war without bloodshed and war is politics with bloodshed. Had Mao been alive today, he would be gratified to learn that the USA has wholeheartedly adopted his dictum.

Costs of USA’s Global Military Operations
The prosecution of war needs huge financial support. The USA’s annual expenditure on its military now nears $1 trillion (about four per cent of its GDP), up from $ 360 billion in 1998. That works out to around $ 2.5 billion per day. This is about 50 per cent of the entire world’s military expenditure and 2.5 per cent of world GDP. Needless to say, this expenditure benefits the manufacturers of weapons and armaments; corporations that supply materials, real-time intelligence and logistics to US forces at home and in the field, and corporations that conduct research to produce, test, advertise and deliver ever more destructive weapons and weapon systems—in short, the USA’s MIMIC.

The costs are internally borne by the US soldiery and their families through death and permanent physical and psychological disabilities, and by the people of the USA by taxes and reduced welfare and social expenditure. The USA’s mounting debt burden due to military spending cannot but fall on the shoulders of its future generations.

It is interesting that US legislators staunchly oppose cuts in defense spending that affect their constituencies. Of the costs in the countries where war is waged, the less said the better, because it exceeds the USA’s internal costs by orders of magnitude in every conceivable manner.

In terms of affordability to the USA, Chalmers Johnson, Professor Emeritus of the University of California at San Diego, went so far as to say in 2008, still using US President Eisenhower’s term of the Military Industrial Complex:
"Congress has been corrupted by the Military-Industrial Complex into believing that, by voting for more defense spending, they are supplying jobs for the economy. In fact they are only diverting scarce resources from the desperately needed rebuilding of the American infrastructure and other crucial spending necessities into utterly wasteful munitions. If we cannot cut back our longstanding, ever increasing military spending in a major way, then the bankruptcy of the United States is inevitable. As the current Wall Street meltdown has demonstrated, that is no longer an abstract possibility but a growing likelihood."
Conclusion
The USA is a society that needs enormous resources to keep it going at its present very high levels of consumption. (It is estimated that the USA’s has about six per cent of the global population, but consumes around 40 per cent of global resources). Securing these resources is vital for the USA, and because resources are spread all over the globe, USA has global interests, and has designed its military accordingly, to literally keep an eye on all social, economic and political activities around the globe.

Any real or perceived threat or attack on US interests will be spotted immediately and economic, political or military action taken to eliminate the threat or destroy the attacker—US President G.W. Bush’s pre-emptive war. Of course, whether this policy succeeds or not, MIMIC laughs all the way to the bank. And the world has seen how Osama bin Laden and other Al-Qaeda and Taliban leaders continue plotting against USA.

With depleting oil reserves and Peak Oil production already past, and an anticipated shortage of water, food, and biological resources especially with on-going global warming and climate change, competition for resources will only intensify. In that scenario, the more powerful will snatch and grab resources by economic or military force. The USA is militarily well poised for such a situation, but whether it (and indeed the international community, which lends money to the USA, the world’s biggest debtor nation) can sustain such an expensive military in view of its declining economic status, and if so for how long, is debatable.

Without a doubt, USA has the most powerful military ever, which cannot be defeated by any other military of the world today; a veritable Goliath, straddling the globe like a colossus. [Note 4] But all man-made institutions, like living beings, are created, grow, mature, decline and fall, according to the remorseless law of entropy—the US military cannot be an exception. It is only a matter of when and how the mighty fall and what will fall with it. Will this Goliath fall under the weight of domestic economic burden or serious mistakes committed due to arrogance? Or will some David fell it with a stone from a slingshot? And what else may be hurt by the fall?  
Image above: A soldier is comforted on 11/5/09 at Fort Hood Army Base immediately after shootout with one of their own, Major Nidal Malik Hasan, who killed twelve people. Major Hasan did not want to be assigned to Iraq. From (http://www.ndtv.com/news/world/shootout_at_largest_us_army_base_12_killed.php)
 
References
1. David Zucchino, “Drone Pilots Have a Front-Row Seat on War, from Half a World Away”, Los Angeles Times, February 21, 2010.

2. Marc W. Herold, Technology spectacles mask weaknesses,

3. http://en.wikipedia.org/wiki/Milita... United_States and http://www.reedandwright.net/RnWchr...

Notes
Note 1. For example, the USA’s IBM Corporation did business with Hitler’s Germany during World War II while US and German troops were locked in combat, to prepare hardware and software to categorise Jewish prisoners in extermination camps like Dachau and Buchenwald.



Note 2. Maj Gen Smedley Butler of the US Marine Corps was a war hero, twice awarded the USA’s Congressional Medal of Honour for gallantry in 1914 and again in 1917, and for Distinguished Service in 1919. A battle-experienced soldier, two of the most quoted passages of his book are: War is a racket. It always has been. It is possibly the oldest, easily the most profitable, surely the most vicious. It is the only one international in scope. It is the only one in which the profits are reckoned in dollars and the losses in lives. A racket is best described, I believe, as something that is not what it seems to the majority of the people. Only a small ‘inside’ group knows what it is about. It is conducted for the benefit of the very few, at the expense of the very many. Out of war a few people make huge fortunes.” In another often cited quote from the book, Butler says: “I spent 33 years and four months in active military service and during that period I spent most of my time as a high class muscle man for Big Business, for Wall Street and the bankers. In short, I was a racketeer, a gangster for capitalism. I helped make Mexico and especially Tampico safe for American oil interests in 1914. I helped make Haiti and Cuba a decent place for the National City Bank boys to collect revenues in. I helped in the raping of half a dozen Central American republics for the benefit of Wall Street. I helped purify Nicaragua for the International Banking House of Brown Brothers in 1902-1912. I brought light to the Dominican Republic for the American sugar interests in 1916. I helped make Honduras right for the American fruit companies in 1903. In China in 1927 I helped see to it that Standard Oil went on its way unmolested. Looking back on it, I might have given Al Capone a few hints. The best he could do was to operate his racket in three districts. I operated on three continents.”

Note 3. According to a news item on BBC Radio on July 29, 2007 at 1200 hrs GMT, the US Army proposes to replace one-third of its humans in the battlefield by robot soldiers.

Note 4. Why, man, he doth bestride the narrow world / Like a Colossus; and we petty men / Walk under his huge legs, and peep about / To find ourselves dishonourable graves. / Men at some time are masters of their fates; / The fault, dear Brutus, is not in our stars, / But in ourselves, that we are underlings. [W. Shakespeare, Julius Caesar-I. ii. 134]

Major General S.G.Vombatkere retired as the Additional Director General Discipline and Vigilance in Army HQ, New Delhi, in 1996 after 35 years in the Indian Army with combat, staff and technical experience. He holds a PhD degree in Structural Dynamics from IIT, Madras, and the President of India awarded him Visishta Seva Medal in 1993 for distinguished service rendered in Ladakh. Since retirement, he is engaged in voluntary work with Mysore Grahakara Parishat, and is a member of the National Alliance of People’s Movements (NAPM) and People’s Union for Civil Liberties (PUCL). He coordinates and lectures a Course on Science, Technology and Sustainable Development for undergraduate students of University of Iowa, USA, and two universities of Canada, who spend a semester at Mysore as part of their Studies Abroad in South India. He is an Adjunct Associate Professor of the University of Iowa, USA..

Minor Volcano a Major Problem

SUBHEAD: Every time in recorded history that Eyjafjallajokull volcano has erupted, the much larger Katla volcano has also erupted. Scientists are watching Katla carefully. Image above: Photo by Rakel Osk Sigurda of horses escaping Iceland's Eyjnafjallajökull volcanic dust cloud. From (http://www.time.com/time/photogallery/0,29307,1982747_2126706,00.html). By Bryan Walsh on 16 April 2010 in Time - (http://www.time.com/time/health/article/0,8599,1982787,00.html)

HI LEG Abysmal Energy Failure

SUBHEAD: Right now wholesale changes need to take place with energy issues in Hawaii, but they are not happening. Image above: Lights out on Ohau. Photo of grid shutdown on 12/8/08 on front page of the Honolulu Advertiser. From (http://philuhl.com/news2.html)

By Brad Parsons on 19 April 2010 in Aloha Analytics - (http://alohaanalytics.blogspot.com/2010/04/as-it-stands-right-now-hawaii.html) There were many good bills on energy issues that were introduced in the current Hawaii Legislative Session, but almost all of them fell by the wayside for one lame reason or another. Hawaii, the most isolated land in the world, with one of the most tenuous energy situations, is miserably failing to make the transition to a sustainable, economically viable energy environment. Only a handful of energy related bills are still alive in this Legislative Session. They include HB2421 HD2 SD2 CD1 the Barrel Tax who's efficacy is questionable; HB2450 HD1 SD2 exemption from subdivision requirements for renewable energy facilities; HB2239 SD2 related to the Deposit Beverage Container Program; and a few others. Frankly, this is a pathetically short list compared to what the Session began with. Maybe one of the best policy initiatives introduced this Session, HB2643 HD2 SD1 a Property Assessed Clean Energy bond financing bill (PACE), is on the verge of dying an ignoble death, murdered by narrow-minded politicians not wanting the Governor's party to get credit for it's implementation, and a Speaker getting revenge for bills killed in the other chamber on unrelated subject matter near and dear to family member's prior employment. Besides, he can help a bank that doesn't want the competition from PACE. Such is the state of Hawaii's pathetic, self-defeating politics. All of this to maintain an arbitrarily short Legislative Schedule clearly inadequate to solve the problems before the State. One would think that Leadership in the Legislature would have long sense come up with a more realistic Legislative schedule conducive to actually solving problems. But no, it hasn't happened. And as a result, Hawaii is on a path to abysmal failure in the changing energy and economic environment going forward. .

Earth Day into Earth Lives

SUBHEAD: We don't really want to make any changes that would make us uncomfortable. Earth Day is about making the planet comfortable, not us. We must really embrace Earth Life. Image above: The original, official, Earth Week logo designed in 1970 by Earth Week Committee of Philadelphia. From (http://en.wikipedia.org/wiki/Earth_day#Earth_Week) By Juan Wilson on 19 April 2010 - Wisconsin U.S. Senator Gaylord Nelson announced his idea for a nationwide teach-in on the environment in a speech to a fledgling conservation group in Seattle on 20 September 1969. The resulting Earth Week started well. It was centered in Philadelphia (4/16/70 to 4/22/70) and culminated in a day widespread events across the country. That first Earth Week was an astounding success. Media coverage of the final day's events included a one-hour special report on CBS News, with correspondents reporting from a dozen major cities and narrated by Walter Cronkite. It was titled "Earth Day: A Question of Survival". But Earth Week was soon reduced in most of America to Earth Day. Yet it was still effective. According to the "History of Earth Day" at (http://www.earthday.net/node/77):
"Americans were slurping leaded gas through massive V8 sedans. Industry belched out smoke and sludge with little fear of legal consequences or bad press. Air pollution was commonly accepted as the smell of prosperity. Environment was a word that appeared more often in spelling bees than on the evening news. Earth Day 1970 turned that all around.

On 22 April 1970, 20 million Americans took to the streets, parks, and auditoriums to demonstrate for a healthy, sustainable environment. Denis Hayes, the national coordinator, and his youthful staff organized massive coast-to-coast rallies. Thousands of colleges and universities organized protests against the deterioration of the environment. Groups that had been fighting against oil spills, polluting factories and power plants, raw sewage, toxic dumps, pesticides, freeways, the loss of wilderness, and the extinction of wildlife suddenly realized they shared common values.

Earth Day 1970 achieved a rare political alignment, enlisting support from Republicans and Democrats, rich and poor, city slickers and farmers, tycoons and labor leaders. The first Earth Day led to the creation of the United States Environmental Protection Agency and the passage of the Clean Air, Clean Water, and Endangered Species acts."

But, after 40 years I am sad to say that the overall results of the ensuing Earth Day efforts are a resounding failure. The event has faded into an inconsequential, politically correct, fiasco, even as the Earth's environmental problems have mounted. Before Earth Week and the Clean Air Act and Clean Water Act, I lived in the Lower East Side of Manhattan, famous for the many immigrant generations had passed through it. The place looked like Dante's Inferno. NYC had no waste management or recycling then. High-sulphur coal was burned for electricity and the unfiltered smoke was spread over surrounding residential neighborhoods. Household trash was burned in incinerators in apartment buildings. Any left over garbage was taken by barge, out past New York harbor, and dumped into the sea. Raw sewage from toilets was simply piped into the Hudson and East Rivers. Yes, things have improved in many ways. With EPA efforts most US cities are clean and breathable today. This has been enabled by the collapse of America's manufacturing economy and its transition to service industries. Unfortunately, service industries will not feed, or cloth or warm us. And that's the nub of the rub. Americans have a voracious appetite for stuff that requires the consumption of a quarter of the world's resources... they have to traded for dollars or taken at end of a gun muzzle. Keep in mind, 1970 was not entirely a political love-in. Just days after Earth Week the Nixon administration ordered the Ohio National Guard onto the campus of Kent State University, resulting in the slaughter of innocent students protesting the raging war in Vietnam. We were a nation divided and those divisions seem to have deepened. In the mid 1970's, after we withdrew from Vietnam, the OPEC oil crisis gave us a foretaste of what we face now. President Carter understood the problem of our energy crisis but was essentially laughed out of office for reducing federal highway speed to 55mph and suggesting turning down the nation's thermostats. Since 1980, with Ronald Reagan's "Morning in America" pitch, we've have been in massive self-denial. Whatever national consensus we had on conserving the planet has dissolved into the partisan bickering of vested political/corporate interests. I believe this self-denial is why Earth Day has come to what it is today... A curriculum excuse for grade schoolers to make "Earth Day" art projects to be affixed to our 25-cubic-foot refrigerators that are stuffed with corn-syrup cola and frozen factory chicken-nuggets. We don't really want to make any changes that would make us uncomfortable. But Earth Day is about making the planet comfortable, not ourselves. That means transforming Earth Day into what I would call Earth Life. .

Spending now to have a future

SUBHEAD: Hawaii's green efforts not cheap, but will pay off, advocates say.

By Greg Wiles on 18 April 2010 in the Honolulu Advertiser -
  (http://www.honoluluadvertiser.com/article/20100418/NEWS01/4180361)




Image above: Illustration for "The Grasshopper and the Ant" parable by Joanne Stanbridge.  

[Publisher's note: The parable of the greasshopper and ant was that the grasshopper played and sang all through the summer, while the ant toiled and collected food for winter. When autumn came and the fields were bare the ant had a cozy home and plenty of food. The grasshopper had nothing. The debate about renewables is not whether we will have a cheaper alternative to fossil fuels, it's whether we'll have any. According to the U.S. Department of Energy’s Energy Information Administration (EIA) the world passed Peak Oil in May 2005.] 

A 10-megawatt solar power project that would have boosted the amount of renewable energy on Kauai isn't moving ahead at this time.

The reason? The Kauai Island Utility Cooperative wouldn't agree to pay what the developer wanted for the electricity.

The stalled project provides a glimpse into a not-so-often discussed portion of green energy as the state drives toward adoption of sustainable power projects: Going green could translate into higher electricity prices in the short run for Hawaii residents.

Utilities are being offered and, in some cases, agreeing to wholesale power purchase contracts that could translate into people paying slightly more for power than they do now. Proponents say it will help stabilize energy costs and lower energy bills in the long run.

"The prices that they're agreeing to are higher than what they might pay if it were fossil fuel," said Dean Nishina, who as head of the state Division of Consumer Advocacy regularly spars with utilities on proposed rate increases.

"Initially you'll see that bumping of costs. But in the long run the hope and vision is that we will be thinking 'it's great we have these renewable energy projects.'"

That's because most people see crude oil costs continuing to escalate as the world's oil supply declines. No state is so vulnerable to oil market fluctuations as Hawaii, which gets most of its energy from petroleum.

About 90 percent of the state's electricity comes from power plants using either fuel oil or diesel fuel. That's one reason Hawaii's electricity prices are the highest in the nation.

The drive to add more renewable electricity generation now will more than pay off in the future as oil prices creep higher, said Carl Caliboso, chairman of the state Public Utilities Commission.

"We have to be careful that we don't unnecessarily pay more than we should pay," Caliboso said.
But "what we don't want to do is get down the road 10 or 20 years from now and have people ask why didn't you do something."

Lingle's position

The shift toward renewable energy is one of the major policy initiatives of Gov. Linda Lingle's administration, which estimates as much as $7 billion flows out of the state annually to pay for oil and other fuel imported for Hawaii's energy needs.

Under the Hawaii Clean Energy Initiative, Lingle wants the state to get 40 percent of its energy needs by tapping wind, solar, ocean, biofuel and geothermal resources, while another 30 percent would come from efficiency and conservation programs.

Both Hawaiian Electric Co., which operates utilities on all islands except Kauai, and the Kauai Island Utility Cooperative, have committed to obtaining 40 percent of their energy generation from renewable sources by 2030.

As such, the two have started exploring agreements to buy energy from independent producers who propose a variety of projects, ranging from large wind farms to acres of solar devices and people seeking to turn biomass into energy.

But adding renewables is more than a policy choice — and deciding when and where to add power from sustainable sources involves a complex set of variables.

The utilities usually look to negotiate 20-year agreements to purchase power at fixed prices adjusted for inflation. The rates can be based on a variety of factors, including cost of the project plus a rate of return and how much people will have to pay.

"It's a very complex problem about how you shift to renewables and what costs you pay up front," said Henry Curtis, a longtime PUC watcher and executive director of the Life of the Land (www.lifeofthelandhawaii.org) environmental group.

A partial answer can be seen in contracts that HECO signed in the past year with two Oahu power projects, one a 30-kilowatt windfarm in Kahuku and the other a 6-megawatt operation that will turn biomass into synthetic gas to power generators.

Wholesale rates in both contracts before the PUC work out to higher rates than are being paid by HECO's customers once overhead costs — expenses for transmission lines, equipment, facilities and service costs — are added in.

For example, a 20.4 cent-per-kilowatt-hour peak rate (between 7 a.m. and 9 a.m.) has been negotiated with the wind project, which includes costs for a battery storage system.

When the 9.88 cents-per-kilowatt-hour overhead costs are added, the rate would be well above the 23.5 cents-per-kilowatt-hour effective rate paid by Oahu residential customers this month.

The above example is a gross simplification of HECO rates and doesn't take into account that the electricity generation costs for fuel and purchased energy are just that — a blend of what the utility pays for generation with fuel oil, diesel fuel and other outside sources such as garbage-to-energy.
But it does indicate that the addition of renewables may result in higher prices in the short term versus the status quo that relies heavily on oil as a fuel.

It also doesn't take into account other investments that are coming, such as an about $1 billion undersea cable that would hook up enormous windfarms being proposed on Molokai and Lānai with Oahu, and perhaps hundreds of millions of dollars of grid upgrades that will be needed as renewable energy use increases.

But Nishina and others say the switch to renewables, even if the initial cost may be higher, is a no-brainer. Advocates say a generation from now people will praise the vision and efforts made today to get the state off oil.

"There will be a tipping point where fossil fuel will continue to increase and renewable energy will be more competitive in price," Nishina said.

'Peak Oil' point

HECO hopes contracts it is negotiating now prove to be more favorable over the long run, given the expected increases in crude prices as the world approaches "Peak Oil," or the point at which maximum oil production is reached and it begins to decline, and as China's and India's economies demand more and more petroleum.
 
The U.S. Energy Information Agency recently issued a short-term energy price probability report putting the chance of oil continuing to increase and ending the year at more than $90 a barrel at just under 40 percent. A number of other estimates exist, including an October report from Deutsche Bank that projected oil would peak at $175 a barrel in 2016.

The uncertainty surrounding oil pricing means that a spike could render worries about the possibility of higher short-term electricity prices moot.

"We've said costs are likely to get more attractive as the cost of oil goes up," said Peter Rosegg, HECO spokesman. He said the contracts being signed will help make rates more predictable as oil prices fluctuate.
"We think these longer-term contracts are going to pay off."
That vision calls for Hawaii consumers to pay less when oil crosses a certain price point. No one is willing to say what that figure is, just that they are certain it will happen some day. At that point, any complaints about the costs incurred in switching to a renewable regime will disappear.

"We don't have cheap sources of new oil," said Michael Hamnett, co-chairman of the Hawai'i Energy Policy Forum.
"So that means renewables are going to look more and more attractive."
Ted Peck, who guides Hawaii's energy policy as state Energy Administrator, said he thinks people won't see any effects of renewable project costs in their electricity bills as the sustainable sources come online. The big issue for him is freeing the state from its dependency on imported oil.
"If you do the harder path of clean energy, at the end of 20 years you own that energy free and clear. It's yours."


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HI LEG must embrace PACE

SUBHEAD: PACE HB 2643 needs your help on Monday. We can make the difference! Image above: Bobby Bunda & Calvin Say (center) about to get paddled by Barack Obama if don't support PACE. From (http://www.hawaiiforobama.org/img/obama-imua-bunda.html) By Brad Parsons on 18 April 2010 in Aloha Analytics - (http://alohaanalytics.blogspot.com/2010/04/review-of-what-pace-should-be.html) Call Speaker Calvin Say's office at 1 (808) 586-6100. Call him Monday. A bank in Hawaii worried about the effect on the lending process, has recently mounted a stealth campaign against HB 2643 (the PACE bill) for Property Assessed Clean Energy bond financing. This is not a problem for the mortgage lending industry in California where PACE has been enacted in a number of local municipalities. The bank's concerns have been addressed in private meetings between the bank, DBEDT, a Senator, and public interest reps. But, as of Friday, the bill's sponsors did not appear to be willing to go to the mat for this bill. This bill has come a long way, too far to let it just die over who gets credit for a great policy initiative. Speaker Say needs to hear from people that Hawaii wants Property Assessed Clean Energy Bond Financing Now! and to convene Conference Committee on this bill. The Senate Conferees have already been appointed and are waiting. The bill will die if Say does not appoint House Conferees on Monday. Spread the word. Be polite but assertive. A Review of What PACE Should Be...Set Aside Your Fears It has come to our attention that one bank is putting a stranglehold on PACE in the Hawaii Legislature. That same bank's parent company actually deals effectively with PACE liens in California. So that prospective policy makers here in Hawaii can have reliable information, we repost the following links to information from the U.S. DOE on PACE, which is working with banks in at least 16 other jurisdictions. It's time for Hawaii Legislators to set aside plantation era fears, join the 21st Century and enact PACE enabling legislation this year. We don't have time to waste, Legislators.
Past DOE PACE Webcast Presentations (http://www.eecbg.energy.gov/solutioncenter/webcasts/default.html)

Below are presentations from previous Webcasts. The presentations are available as Adobe Acrobat PDFs. Download Adobe Reader. The audio files are available as MP3 files. Download Windows Media Player.

Webcast Date Presentation Audio Transcript
Creating Liquidity for Energy Efficiency Loans in Secondary Markets 01/22/10 (PDF 359 KB) (PDF 279 KB) (MP3 64.4 MB) (Text)
Legal Issues Regarding PACE Financing Programs 12/15/09 (PDF 265 KB) (MP3 62.3 MB) (Text)
Getting Started: Legal Authority & Administering PACE Financing Programs 12/11/09 (PDF 1.81 MB) (MP3 68.6 MB) (Text)
Revolving Loan Funds Webcast 12/10/09 (PDF 1.25 MB) (MP3 62.3 MB) (Text)
Introduction to Property-Assessed Clean Energy (PACE) Financing Programs 11/18/09 (PDF 16 MB) (Q&A PDF 63 KB) (MP3 70.4 MB) (Text)
Property  Assessed  Clean Energy PACE Bonds:     Innovative Funding  to Accelerate  the Retrofitting of America's Buildings  for Energy  Independence
A PACE bond is a bond where the proceeds are lent to commercial and residential property owners to finance energy retrofits (efficiency measures and small renewable energy systems) and who then repay their loans over 20 years via an annual assessment on their property tax bill. PACE bonds can be issued by municipal financing districts or finance companies and the proceeds can be typically used to retrofit both commercial and residential properties. The PACE bond market, in combination with federal loan guarantees, has the potential to dramatically accelerate the energy retrofitting of America's building stock due to the below advantages. It is estimated that the potential for PACE bonds could exceed $500 billion. PACE Impact: Property tax lien oriented financing that dramatically improves the economics of energy retrofits (efficiency measures and micro renewable energy) To see who supports PACE please click on our PACE Legislation Endorser List.
Advantages of    PACE Finance
Our Nation:
  • Significant job creation
  • Accelerates movement toward energy independence & reduces GHG emissions
  • Very low fiscal cost & high probability of success
Property Owner:
  • Lower energy bills and substantially reduced upfront costs for energy retrofits
  • Improved return on investment/positive cash flow on retrofits (annual savings > cost)
States, Cities & Municipalities:
  • Immediate job creation
  • No credit or general obligation risk
  • Obligation is liability of real estate owner
  • Greenhouse gas reductions/energy independence
  • Opt in: Only those real estate owners who opt in pay for it
Existing Mortgage Lenders:
  • Borrowers cash flow/credit profile improves (energy savings > annual tax cost)
  • Property/collateral value increases
Lender:
  • 97% of property taxes are current & losses are less than 1%
1. History: The ability for our nation to finance energy retrofits with PACE bonds emerged in 2008 with the passage of enabling legislation in California. In recognition of the large benefits of PACE finance, the following states have recently passed enabling legislation: Colorado, Illinois, Louisiana, Maryland, Nevada, New Mexico, Ohio, Oklahoma, Oregon, Texas, Vermont, Virginia, and Wisconsin, and legislation is pending in Arizona and New York. Florida and Hawaii have existing ability to launch PACE programs. The first PACE bond was issued by Berkeley, CA in January, 2009. 2. Introduction to PACE finance: A. Slide Introduction to PACE - Washington D.C. Presentation (10-6-09) B. 2009 Milken Institute PACE Finance Panel (Audio) (4-29-09) C. Details of PACE Programs D. PACE Market Sizing (Commercial) - Johnson Controls Estimate E. PACE Explained in Simple Terms 3. PACE State Legislation Battle Toolkit A. PACE Concerns & White House Solutions B. PACE Programs: Historical Precedent, Seniority and Benefits to Existing Lenders C. PACE Lien Seniority in Foreclosure is Immaterial D. Existing State Legislation (See 14 below) E. Template for PACE Letter to State Legislator F. PACE Letter Template to Legislator Which Addresses Lender/Consumer Concerns G. Template for State Legislation Coalition Petition H. The 10 Must Haves for PACE State Enabling Legislation I. Barclays Capital Memo – PACE Seniority is Mandatory 4. PACE in the News A. Harvard Business Review - Energy Alternatives: A Market Solution for Achieving "Green" by Jack Hidary (Jan/Feb 2010) B. Scientific American - World Changing Ideas: 20 Ways to Build a Cleaner, Healthier, Smarter World (11/03/09) C. New York State Passes PACE Finance Enabling Legislation (11-17-09) D. Vice President Biden/Secretary Chu/Secretary Donovan’s PACE Announcement at “Recovery Through Retrofit” Conference (10-19-09) · YouTube Link to Announcement Highlights · C-SPAN Link to Full Announcement E. "Recovery Through Retrofit” Report (Released 10-19-09) · Policy Framework for PACE Programs (10-18-09) · White House DOE Grants F. Senator PACE Letter to President Obama (11-10-09) G. President Clinton's Clinton Global Initiative Announcement · YouTube Link to CGI Announcement H. Governor Schwarzenegger’s Announcement (9-24-09) I. Mayor Jerry Sanders (R), San Diego (9-24-09) J. Board of Boulder County Commissioners (9-24-09) K. America’s First Major PACE Commercial Project: Santa Rosa Plaza Mall Installs “Cool Roof” L. Congressman Israel PACE Op-Ed (10-19-09) 5. PACENOW Working Group Meetings: A. Consortium Letter to Congress (6-16-09) B. PACE Language in Waxman Markey Bill – H.R. 2454: American Clean Energy Security Act of 2009 C. PACE Washington D.C. Meeting (5-28-09) · Washington D.C. Program Agenda (5-28-09) · Washington D.C. Participant List (5-28-09) D. PACE Commercial Real Estate Meeting (12-10-09) · New York CRE Meeting Agenda (12-10-09) · New York CRE Meeting Transcript (12-10-09) 6. Municipal Administration of PACE Bond Program: A. Simple Steps: How to Implement a PACE Program B. PACE Local Government Guide (9-2009) 7. PACE Federal Correspondence with Federal Housing Finance Authority ("FHFA") A. FHFA Letter Expressing Concerns with PACE (6-18-09) B. PACE Program Information: Response to Regulatory Agency Questions C. Governor Richardson’s FHFA Pro PACE Response to President Obama (10-13-09) D. CA Attorney General FHFA Response (10-12-09) · FHFA Response Letter (10-29-09) E. Board of County Commissioners FHFA Pro PACE Response to President Obama (10-13-09) F. Barclays Capital Opinion on Need for PACE Seniority (9-14-09) G. Pro PACE Senator Response Letter (8-3-09) H. Pro PACE Mayor/Municipality Response Letter (7-30-09) I. Fannie Mae PACE Guidelines (9-18-09) 8. Potential Federal Government/Department of Energy Scaling of Nationwide PACE Program: A. EPA Finance Advisory Board Recommends PACE Programs/Presidential Task Force (6-15-09) B. PACE Distribution Model C. Sample DOE PACE Guarantee "Reservation" Form D. Two Different Bond Financing Routes E. PACE Bond Tax-exemption Cost/Benefit Analysis 9. Additional PACE Support Letters: A. AIA (10-15-09) B. LIUNA (10-29-09) 10. PACE Financing: A. Boulder County PACE Bond Prospectus (5-20-09) B. Barclays Capital PACE Capital Markets Memo (5-15-09) 11. PACE and Existing Mortgage Lender: Legal Analyses A. PACE Programs: Historical Precedent, Seniority and Benefits to Existing Lenders B. PACE Bloomberg Law Article (Jan 2010) C. Jones Hall Memo: Consent Legal Analysis (5-14-09) D. Commercial Mortgages: Legal Consent Issues & Solutions (5-2009) 12. Property Tax Credit History - California & Washington: A. 2006-2007 (CA) B. 2007-2008 (CA) C. 2008 Property Tax Statistics (WA) 13. Federal PACE Related Legislation: A. Waxman Markey (HR 2454) Dingell Amendment B. PACE Bond Tax-exempt Status Bill - Rep. Thompson C. Israel (HR 3836) 14. PACE Programs by State: A. Current Clean Energy Municipal Financing Bills – State by State · Database of State Incentives for Renewables & Efficiency · PACE Legislation Table (2-10-10) Passed: B. California: PACE State Enabling Legislation (AB 811); (AB 474); (SB 279) · City of Berkeley PACE Program · City of San Francisco "GreenFinanceSF": "GreenFinanceSF Project List" · City of Yucaipa's Energy Independence Program · Palm Desert PACE Program · San Diego County PACE Program · Sonoma County PACE Program · Western Riverside County - Energy Efficiency and Water Conservation Program C. Colorado: PACE State Enabling Legislation (HB 08-1350) · Boulder County PACE Program D. Illinois: PACE State Enabling Legislation (SB 583) E. Louisiana: PACE State Enabling Legislation (SB 224) F. Maryland: PACE State Enabling Legislation (HB 1567) · Annapolis PACE Program · Montgomery County PACE Program G. Nevada: PACE State Enabling Legislation (SB 358) H. New Mexico: PACE State Enabling Legislation (HB 572) I. New York: PACE State Enabling Legislation · NYS PACE LAW (S66004) · Town of Babylon: Long Island Green Homes · Bedford, NY: PACE State Legislative Exemption Specific to Town of Bedford · City of Binghamton PACE Program (5867-A); (A08890) J. North Carolina (Note: Law needs to be ammended as it requires revolving loan) (HB 1389) K. Ohio: (HB 1) L. Oklahoma: (SB 668) M. Oregon: PACE State Enabling Legislation (HB 2181); (HB 2626) N. Texas: PACE State Enabling Legislation (HB 1391); (HB 1937) O. Vermont: PACE State Enabling Legislation (H 446) P. Virginia: PACE State Enabling Legislation (SB 1212) Q. Wisconsin: AB 255 In Process: R. Arizona: PACE State Enabling Legislation (HB 2335) S. Connecticut: (Raised Bill 5465 - Section 5) T. Florida: Proposed PACE State Enabling Legislation (Precourt/Hasner Press Release) U. New York: (A 7611); (A 2672) 15. Articles/Studies on the Value of Energy Retrofits A. Appraisal Journal. Evidence of Rational Market Valuations for Home Energy Efficiency (1998) B. Assessing the Market Impacts of Third Party Certification on Residential Properties (5-29-09) C. Doing Well by Doing Good? Green Office Buildings (8-12-09) 16. Related Articles/Links: A. University of California, Berkeley PACE Website B. Article on San Diego, Palm Desert, etc (1-26-09) C. Environment Magazine PACE Finance Article (Jan/Feb 2009) D. Homeowner Presentation E. Historical State by State Analysis of Housing Units By Structure F. Commercial/residential Real Estate Default History For more information, please email us at info@PACENOW.org