Some industry observers like to indicate there is a natural regulatory cycle: the perception of market failures results in to regulation, and the impression of regulatory failures guides us to deregulation. Although the 1990s were ruled by free trade principles and economic deregulation, some political observers see broader tolerance of regulation now, in light of investor malfeasance and our latest financial downturn.

It is plausibly fair to suppose that the anti-regulatory excitement of the 90s preceded the great concern about the hardships of climate change. From an environmental viewpoint, however, are independent markets more part of the trouble, or part of the solution?

When driving for electrical laxity in regulation, some indicated that contention on the propagation side would allow eco-friendly utility providers to seize a stronger marketplace share, and that rivalry for retail service would allow consumers to vote with their pocketbooks and choose ecologically friendly energy sources. Nonetheless, the increase of eco-friendly energy sources has been driven by political mandates, not consumer selection.

Now, what about any of the free trade guidelines? While shipping materials to China to be returned to the U.S. as packaged goods may encourage financial efficiency, the trade-offs are poor from a carbon emissions standpoint.

The facts may be less clear, however, when it comes to encouraging the utilization of clean energy sources. As E&E Daily reports, many professionals have told a U.S. House Energy and Commerce subcommittee that tariffs and other political boundaries would harm the nations ability to reach its eco-friendly energy goals.

Production of most important new energy technologies has moved international, pulled by abundant funding for green energy sources. As a result, buying eco-friendly in the short-to-medium term requires importing expensive commodities.

More experts contributed that the means to get production back to the United States is to encourage innovation through domestic eco-friendly energy programs and grant funded research and development.

Current government programs seem to be providing investing and manufacturing bonuses. Legislation could show the required commitment by introducing a strong national renewable energy goal.

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