Conservative New Jersey is proud to have guest poster Michael Whatley, Vice President Consumer Energy Alliance back again. This is the second of a series of posts that will explain LCFS (Low Carbon Fuel Standard) and the impact it will have on all of us.
I recently blogged on Conservative New Jersey about the possibility of proposed low-carbon fuel standards in New Jersey. Shortly after I posted, Greenwire (sub. req’d) released a leaked copy of NESCAUM’s (Northeast States Coordinated Air Use Management) economic analysis of “clean fuels standards.” These proposed standards would put a burden on consumers.

Consumers in New Jersey should take a step back when reading the economic analysis because it was based on flawed assumptions such as the lower cost of biodiesel or electric and natural gas vehicles.

A preliminary reading of NESCAUM’s analysis shows some breathtaking assumptions. For example:

- NESCAUM assumes that soy diesel will be widely available and cheaper than diesel
- NESCAUM assumes that all advanced low carbon fuels will be available in the quantities necessary and at prices lower than gasoline and diesel
- NESCAUM assumes that natural gas and electric vehicles will cost the same as traditional gasoline/diesel vehicles
It seems a real stretch to make assumptions like those and then put out an analysis that concludes that an LCFS program will have a small cost and net benefit for the economy. Although we need to meet with NESCAUM and go over the methodologies used in this analysis in order to completely understand their conclusions, it appears that the flaws in this analysis are big enough to drive an electric truck through.
New Jersey just left the ineffective Regional Greenhouse Gas Initiative. The state should avoid supporting standards that would have similar if not worse effects on New Jersey consumers and businesses.
To learn more about how a low carbon fuel standard would hurt New Jersey consumers you can visit http://www.secureourfuels.org/. Follow us on Twitter or like us on Facebook to be kept in the loop on how you can help defeat an LCFS in New Jersey.