Another Green Energy Fiasco

Conn Carroll / April 17, 2009

Earlier this month, The Nation’s Chris Hayes reported on how the federal government’s alternative fuel subsidies are paying paper companies $8 billion a year to add diesel to a paper-production process that never needed it before the subsidy became available. The Wall Street Journal’s Kimbery Strassel picks up the story again today:

Back in 2005, Congress passed a highway bill. In its wisdom, it created a subsidy that gave some entities a 50-cents-a-gallon tax credit for blending “alternative” fuels with traditional fossil fuels. The law restricted which businesses could apply and limited the credit to use of fuel in motor vehicles.
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