The Hidden Subsidy for Renewable Energy

 Norman Rogers discusses the challenges and costs associated with renewable energy sources like solar and wind. It argues that the true price of renewable energy is often obscured by subsidies and political mandates, leading to higher electricity costs for consumers.

1. Definition of Renewable Energy:

• Renewable energy refers to electricity derived from "natural" sources, predominantly solar and wind.

• The article emphasizes that hydroelectric energy, despite being renewable, is often dismissed due to its reliance on dams.

2. Cost Comparison:

• Solar energy costs approximately seven times more than electricity generated from coal or natural gas.

• Most of this expense is hidden in various subsidies aimed at promoting renewable sources.

3. Political Mandates:

• Many U. S. states have laws requiring a specific percentage of electricity to be from renewable sources, which raises electricity prices—California mandates that 60% of its electricity be renewable by 2030.

• The push for renewable energy is often justified by addressing issues like climate change, though the article refers to these problems as "imaginary. "

4. Intermittent Nature of Renewable Sources:

• Solar and wind energy are not consistently available; solar power is unavailable at night and during cloudy days, while wind is unpredictable.

• This intermittency necessitates maintaining traditional energy plants as backup, which keeps costs high.

5. Cost Analysis of Energy Production:

• The true cost of solar and wind energy is calculated against fossil fuels when traditional plants are still necessary for backup.

• The article notes that while alternative energy costs about $150 per megawatt-hour, traditional plants only save about $20 per megawatt-hour in fuel when renewable sources are operational.

6. Market Demand and Investment Returns:

• Legal mandates increase the demand for solar and wind energy, but the existing costs often make these sources less viable without government support.

• Companies involved in renewable projects require significant returns on investment, though these requirements lower when the market expands.

7. Subsidies and Market Expansion:

• Additional federal subsidies accompany state mandates, creating a lucrative market for renewable energy developers.

• The article asserts that without political support, the solar and wind industries would likely fail due to their high costs.

Rogers concludes that renewable energy has substantial hidden costs primarily supported by subsidies and legal mandates. He argues that the promotion of these energy sources often relies on inflated benefits and downplayed risks of traditional fossil fuels. If these mandates were removed, the renewable energy sector would struggle to survive. 

https://www.americanthinker.com/articles/2025/12/the_hidden_subsidy_for_renewable_energy.html