The federal government has an uncanny knack for subsidizing inefficiency, and the latest data on federal energy subsidies prove this trend. According to the Texas Public Policy Foundation, policymakers are throwing vast sums of taxpayer dollars at unreliable sources like wind and solar while undermining America’s long-term energy security. The passage of the Inflation Reduction Act in 2022 is set to drive federal energy subsidies into the hundreds of billions each year. This massive intervention threatens to disrupt energy markets, making it harder to deliver the affordable and reliable energy Americans depend on. So, while politicians peddle green energy dreams and virtue-signaling press releases, taxpayers must bear the cost of an energy policy that resembles a dystopian novel rather than a national strategy.
Imagine a football team focusing all its resources on kickers while ignoring quarterbacks, wideouts, running backs, offensive linemen—and the entire defense. Federal subsidies are doing exactly that to America’s energy grid. Wind and solar might have a place in a balanced energy mix, but pretending these sources alone can power the nation without substantial infrastructure changes is like insisting that the punter be the starting quarterback.
Here’s the kicker—pun intended—wind and solar do not even enhance America’s competitiveness. Quite the opposite. While the federal government focuses on expanding unreliable energy sources that depend on sunny days and breezy afternoons, global adversaries are doubling down on fossil fuels. China and Russia, for instance, are not rushing to install solar panels on the Siberian tundra. They are securing control over rare earth minerals crucial to the very technologies needed for wind and solar storage.
These critical dependencies already manifest in America’s supply chains. Does this sound like a strategy for American competitiveness? No, it is a losing, short-sighted approach that endangers long-term energy security. If China, which dominates the rare earth market, decides to restrict access to these essential materials, it would leave the United States vulnerable. The government cannot simply print more wind turbines or grow new lithium deposits in California.
Yet, the Biden-Harris administration’s approach resembles rushing out to buy more batteries for a flashlight while ignoring that the house wiring is 70 years old and overloaded. This reflects the current state of America’s electric grid. The nation’s infrastructure struggles under increasing demands, outdated technology, and political neglect. However, instead of modernizing the grid to support a balanced energy strategy—including nuclear, clean coal, and natural gas—federal policies prioritize the intermittent and unreliable.
Meanwhile, actors like China, which emit more pollution annually than the United States could hope to cut over the next decade, escape accountability. The irony is palpable. China continues firing up coal plants at an impressive rate while America subsidizes energy sources that cannot keep the lights on during a cold snap in Texas or a heatwave in California. In essence, America plays checkers while global adversaries play chess, and they show no hesitation in flipping the board.
China accounts for as much as 95% of global rare earth production, making the United States dangerously dependent on an adversary for critical materials essential to wind, solar, and battery technologies. China controls the supply of the critical materials needed to manufacture everything from iPhones to batteries for those shiny new electric vehicles that the government wants everyone to drive. Yet, China has no intention of giving up its reliable energy sources like coal and natural gas. While the United States chases after renewable energy goals, China and other geopolitical rivals move in the opposite direction, securing energy dominance through traditional sources.
The Biden-Harris administration’s obsession with wind and solar is driving up costs for the average consumer. Despite heavy subsidies, electricity prices continue to climb, and utility bills soar in states pushing aggressive renewable mandates. When the sun does not shine and the wind fails to blow, who will keep the lights on?
Forcing the entire country to bet its energy future on technologies that are neither reliable nor economically competitive is not a recipe for success. It is a recipe for rolling blackouts and increased dependence on foreign adversaries for critical resources.
The bottom line remains this: federal subsidies for unreliable energy sources are not only costly and inefficient, but they also pose a danger to America’s long-term competitiveness and security. While the rest of the world leverages fossil fuels to strengthen their economies, the United States lags behind with a strategy as flimsy as the paper those press releases are written on.
Americans are paying more for less reliable energy, ignoring the urgent need to modernize the electric grid, and inadvertently playing into the designs of our global adversaries. It is time to recognize the real-world consequences of these misguided subsidies and pursue an energy policy that prioritizes both reliability and national security.
Dreaming big about a green utopia is not enough. We need a reality check—and fast.
Charlton Allen is the founder and editor-in-chief of The American Salient and the founder of the Madison Center for Law & Liberty, Inc. Learn more about him at charltonallen.org.
