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A Boone for California?

July 23, 2008 | 12:47 pm

T. Boone Pickens has given to California Proposition 10, a measure on the Nov. 4 ballot that would authorize the sale of $5 billion in bonds to provide rebates to buyers of hybrids and other alternative-fuel cars. What do you get the Texas oilman who has everything? Why, a $5 billion ballot measure, of course.

Perhaps that’s unfair. Knowing that it’s better to give than to receive, T. Boone Pickens has given to California Proposition 10, a measure on the Nov. 4 ballot that would authorize the sale of $5 billion in bonds to provide rebates to buyers of hybrids and other alternative-fuel cars. I mean, he spent $3.25 million of his own money just to get this clean-energy measure on the ballot. He’s now on a nationwide campaign to get Americans to give up their gasoline habit and to get their government to invest in alternative energy. You may have seen his TV commercials, or his Pickens Plan website.

But back to Proposition 10, and what to do with all that bond money. Hey, how about handing out rebates to cities and counties to buy fleets of -- oh, I don’t know, I'm just thinking out loud here -- natural-gas vehicles? I mean, Clean Energy Fuels Corp. has a huge network of natural gas fuel stations around the country, so there’s already a refueling infrastructure in place. Gee, I wonder who owns Clean Energy Fuels. Let's look that up…. Why, look here! It's owned by T. Boone Pickens! What a coincidence!

The Contra Costa Times' Steve Harmon has the story. He reports on critics angry over Pickens' "brazen attempt to get Californians to foot the bill" for a measure that will cost them and their descendants $9.8 million billion dollars, including interest, over the next 30 years. Harmon also notes that Proposition 10's campaign manager, Marty Wilson, is was* Gov. Arnold Schwarzenegger’s chief fundraiser. Another amazing coincidence.

Oh, did I forget to mention that Pickens has been in the ballot measure biz before? As The Times' David Zahniser detailed in this Feb. 1 story, Pickens threw in $150,000 to help Mayor Antonio Villaraigosa pass his successful ballot measure to broaden (and shrink) the city telephone tax. At the same time, Clean Energy Fuels was backing Villaraigosa's plan to convert all trucks at the Port of Los Angeles to natural gas.

So is it all a horrible idea? Californians may be OK with paying to get more alternative energy vehicles off the road and more poison and carbon out of the air. The Times' David Lazarus picked apart the Pickens Plan in a column earlier this month, and although Proposition 10 is not discussed, Lazarus correctly points out that what's good for America does not become suddenly bad merely because a rich guy might profit from it.

But people already are back-ordering Priuses, and I wouldn’t be surprised if there’s a line forming for the Chevy Volt longer than the one I waited in for Zeppelin tickets outside the Ticketron at the Boyle Heights Sears in 1977. Do taxpayers really have to underwrite alt-vehicle sales?

A mighty tip of the hat to Joe Mathews and his Blockbuster Democracy blog – an indispensable resource for those who follow the world of ballot measures.

*Marty Wilson was Schwarzenegger's chief fundraiser until about a year ago.

*Photo: Chip Somodevilla /Getty Images


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Comments
1.

The gas part of Picken's plan is just to line his pockets faster. There's no shortage of markets now for natural gas, and it's more sensible to use gas in stationary applications displacing heating oil and coal. The only vehicles for which it makes some sense belong to fleet operators who can use centralized refueling. The rest of us should start buying more fuel efficient cars now rather than waiting years and spending tens of billions on new distribution and retailing infrastructure.

In any case, follow the money. We can't trust anything Pickens says until he makes good on his $1,000,000 Swift Boat ads challenge.

2.

After reading Anthony Rubenstein’s editorial on “T. Boone Picken’s Clean Secret” I just had to ask the following question: What does $30,000 a month and a 7% fee on every dollar raised to support Prop. 10 and Anthony Rubenstein have in common??? Yep, you guessed it. It would be Rubenstein’s proposal to work on the Prop. 10 campaign submitted in March of 2008. I guess when prospective clients of Rubenstein say “no” to him, he bad mouths them and distorts the goodness of their work to every newspaper that chooses not to fact check an article. No, no, the LA Times was not alone in printing Rubenstein’s loaded twist of the facts. The Mercury News got duped too later this week.

What omissions or twists does Rubenstein make specifically, you ask? First, Rubenstein fails to mention that Prop. 10 substantially funds solar, wind and other renewable energy projects. Clearly, the ballot measure is not just about bringing clean vehicles that achieve high mileage or run on affordable alternatives to oil. Further, it doesn't give a penny to liquefied natural gas terminals as Rubenstein claims. I had to re-read the Proposition just to confirm that Rubenstein cannot read. Turns out he can’t add either based on other bogus arguments that he makes in his editorial. I think UCLA should demand their diploma back and, truthfully, it’s Rubenstein’s lack of ethics that I find appalling, not Prop. 10. Finally, Rubenstein claims that anyone from out of state can receive Prop. 10 funds to purchase a hybrid, plug-in hybrid, battery-electric vehicle, natural gas vehicle, or a fuel cell vehicle but he fails to tell you that the applicant must submit proof of California residency and vehicle registration. This purchase requirement is under Section 26420 (a)(4) of Prop. 10, but maybe the details bore Rubenstein?

Oh, and last time I checked, Boone Pickens is a shareholder, not the owner, of publicly traded Clean Energy. Rubenstein is such an ego-maniac that if I followed his logic on Boone and subsequently learned he owned a single share of some green company, he’d probably tell you that he was its owner and founder. After all, Rubenstein claims that he was the champion and the force behind Prop. 87. I wonder what Steve Bing thinks about this claim after expending tens of millions of his own personal money to pass the measure. If I were Steve, I would not be amused. To conclude, Rubenstein steals Kermit the Frog’s quote on his self-glorified website that “it isn’t easy being green”. After reading Rubenstein’s attacks on Prop. 10, it isn’t easy for Rubenstein to be honest either. Look out Pinocchio! You have new competition and he might even borrow some of your lines for his website if it will make him a buck.

3.

So the man wants to help improve our energy infrastructure for the generation of tomorrow with the resources we have today... should he really be condemned for it? T. Boone has a rough past, we all know that. But he has been able to do something nobody before him has been able to do. Make energy independence relevant to conservatives and republicans through the ramifications our energy policy has on our economy and our foreign policy. Imagine what that $700 billion we spend on foreign oil could be doing every year here at home. For our schools, first responders, health care systems, national security, name your pet issue here. This must be an American revolution for energy independence led not by one political force but all of them united in tandem to truly make sure America isn't accountable to anything but America!

4.

While T Boone may have some flaws in his plan, and profit is definitely one of his motives, the movement that he is creating is something that the environmental community and all efforts to become a "greener" society has been missing is undeniable: a solid plan. We need to use this plan and the momentum gathering around it as a springboard to further the debate and the ACTION towards implementation of alternative energy. He is proposing to build one of the world's biggest wind farms- when did that last happen? When was the last time anyone put their money where their mouth was for this kind of thing?

5.

Obviously, as any savvy business man, T Boone will make a nice profit. Not all legislation pushed through congress is 100% perfect... we can't have both perfect legislation outcomes and no financial impact on voters. T boone is putting his money where his mouth is.....something our country needs to spark the fire so to speak on alternative energy. We need private investors to help initiate a serious change in the way our country views and uses energy. Thanks and kudos to T boone for leading this movement.

6.

The author of the editorial (Anthony) is dead wrong on natural gas vehicles (NGVs), but that is to be expected from a neophyte pushing ethanol. There is only one public ethanol station in all of CA compared to a few hundred public CNG stations. Anthony is a relative newcomer/outsider and unknown in the world of alternative fuel vehicles in CA and the LA Times is doing a major disservice to its readership by allowing him to spew his misinformation on NGVs. Having him discount NGVs in comparison to gasoline-electric hybrids and petroleum diesel doesn't even pass the laugh test. Natural gas is the pathway to hydrogen and by the way even the State of CA and industry "professionals" realize that biogas/biomethane is renewable natural gas from agricultural operations, wastewater treatment plants, and closed landfills. I voted for Prop 87 and would vote for anything to keep the U.S. from its economic hemorraging. Anthony should be driving the Civic GX if he wants to get completely off oil TODAY: http://www.civicgx.com

7.

There are two issues here, one is "green business" the other is profiteering by influencing the legislative process.

Green business (clean industry, environmentally responsible industry) is a smart option for anyone with money, period.

It is the unholy influence that big money has on the legislative process in this country that has the economy on the brink of collapse.

The next generation of "green pillage" will be no less devastating than the last generation of "greed pillage". It is still plunder of the public purse by the captains of industry at the expense of "we the people".

It is a conundrum in the current capitalist model that the place from which big companies seek to generate sufficient revenue to make a splash is through plunder of the public purse, and inordinate influence over the legislative process.

I thought industry subsidized by the public purse was a socialist notion?

I thought government that operated a the behest of industry was a facist notion?

Whatever happened to "of the people, by the people, for the people"?

Or do we make a constitutional amendment to read "We, the captains of industry..."

The way ahead is greener. Both Gore and Pickens know that. It is up to "We the people" to keep them honest about how much of our purse we are prepared to let them plunder in the name of securing our future.

8.

Natural gas is THE alternative fuel of choice for heavy vehicles…i.e. those that suck down the diesel fuel and are responsible for our poor air quality. From Redding to Tijuana, we have natural gas buses, refuse trucks, and delivery trucks operating on a daily basis. Why natural gas and why not hybrids or biodiesel? Because that’s what the market has demanded. It’s as simple as that. In case we missed it, diesel is selling for $5.00 per gallon right now, and there are no major disruptions in the market today. We need to act, and begin to act quickly and aggressively; while times are still good. Boone Pickens has not only put forward ideas, but is putting forward his dollars. There are no other plans on the table and none likely to soon appear. If someone comes up with better ideas, great, let’s do those too. Boone’s plan is only a small part of the progress we need to see if we are going to see real change in this state and in this nation. Let’s not vilify a fellow American for putting forward ideas and money on how to move aggressively on carbon-friendly and domestically produced alternative fuels and energy for this country. Just because he wants to see an ROI means that he’s up to no good? Isn’t that what this “clean tech revolution” is all about? For less than $40 a year, a half tank of unleaded, sign me up.

9.

The only thing I can say about this article, is... So?

I never heard these complaints about Al Gore, who would profit mightily selling carbon credits. He also has large investments in "clean" companies.

Is the LA Times just now realizing that someone will profit from all of these subsidies and tax breaks? What took so long?

If it's OK for Gore, why is it wrong for Pickens?

10.

Thanks for the enlightenment on Prop 10. I was having trouble imagining any billionaire have an epiphany about anything that didn't enrich their pocketbooks.

A friend of mine tells me that creating, transporting, and re-gasifying LNG, leaves an enormous carbon footprint.

11.

Since we could not find a vehicle registered for T. Boone Pickens, the oil man on television, see what vehicle his wife drives

http://webofdeception.com/#pickensauto

12.

It is amazing the negativity towards someone who has the financial power and intellect to make an incredible much needed change. We import 70% of oil in this country from foreign oil companies that are terrorists, dictators and generally terrible people that hate Americans. Now we have a billionaire oil tycoon with a very sound plan that can drastically lower our dependency on foreign oil and help introduce a plan that would allow for clean natural gas and wind energy.

Does it really matter if he makes billions more doing it, who cares, would you not want to help a plan along that is for the good of the country and make millions if not billions doing it.

The cost to the taxpayer is so minuscule that it is irrelevant. We must look to the positive and the good about the plan rather than look to the negatives of the plan and that is the bottom line.

13.

Whine whine whine bitch moan complain.

At least Pickens is doing something other than lecturing me about my carbon footprint and telling me if it's brown, flush it down.

Like it or not, we aren't a communist state. America has rarely had a problem doing the right thing for a profit. It's in our national DNA.

Further, 9.8 million over 10 years? What is California's population now... just over 36 million? It doesn't take a Masters Degree to figure out the price tag.

We need infrastructure and solutions. If it's a conservative oil tycoon who leads the way to a cleaner, less dependent tomorrow - I'll gladly follow.

You may go back to being a cynic now, oh, and enjoy your stop at the pump.



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