Rick Perry will bring progress to our nation’s energy sector
This week, President-elect Donald Trump chose former Gov. Rick Perry (R-Texas) to be secretary of the Department of Energy in his administration.
The choice may seem odd to some Americans. But based on his time spent as governor of Texas, it is clear how he fits into Trump’s previously described plans for the energy sector.
Under Perry’s leadership in Texas, retail energy market deregulation continued. Many believe consumers in Texas now have the best energy prices and options in the country.
{mosads}It is important to note that the deregulatory actions were not Perry’s doing while he was governor. Initial actions to deregulate Texas stemmed from George W. Bush’s time as governor, when Pat Wood was head of the Texas Utility Commission. Once Perry came into office, retail deregulation flourished and Texas consumers cited significant benefits.
Perry’s reputation is that he is not a fan of renewable energy. But based on his decisions in Texas, this seems to be a misconception. Texas has the highest number of wind turbines and wind energy supply of any state in the country.
Additionally, based on precedent, nuclear power has always been a key responsibility of the U.S. energy secretary. Texas has two operating nuclear power plants. There is no question that the federal government’s position on nuclear waste disposal must be advanced soon.
The popular destination for disposal is the Yucca Mountain in Nevada. But until now, Sen. Harry Reid (D-Nev.) has successfully blocked expansion of that site. With Reid out and Perry in under the next administration, we can expect to see a change in legislation regarding our national nuclear waste disposal plan.
It is interesting to note that Texas was in the news a few years ago when a new nuclear plant was proposed in the state. It was hailed at the time as an example of the resurgence of the nuclear industry, but obviously, it didn’t succeed.
Beyond nuclear, the other significant near-term issue is the construction of oil and gas pipelines. Perry sits on the board of the company building the Dakota Access pipeline, which been making headlines over the last few weeks. Just last week, the Obama administration halted construction of pipeline altogether.
It is probably safe to assume that a Trump administration with Perry leading energy policy will issue the permits that are necessary to complete the project. That being said, how Trump and Perry navigate the obvious conflicts of interest will be an issue to watch. We can be sure that the outcome will set the tone for other discussions on this recurring topic.
We can also expect hydraulic fracturing, commonly known as fracking, to come up as an issue. Both Perry and Trump have been vocal on their support for continued and expanded oil and gas production in the United States. Coming from Texas, Perry is very familiar with the technology and benefits to both national security and consumers.
There are many sides to take in regards to Perry’s role as U.S. energy secretary. But based on his history in the industry, naysayers might very well be surprised by his support of renewable energy and his ability to bring progress to our country’s energy sector. Either way, it is safe to say we can expect to see multiple changes to our country’s energy infrastructure.
Philip Van Horne is chairman and chief executive officer of Blue Rock Energy, an energy solutions company based in Syracuse, New York.
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