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Down at the Corner Gas Station: New Refineries and Environuts

If you are a regular reader of my blog,  you may have noticed the entries on BP's plan to expand the oil refinery  here in Northwest Indiana.     Its a 3 billion dollar plan to expand the plant to refine Canadian crude (oil that is,  not their socialists).    Well,,, the plant has got its permits from the state to emit a little more pollution,  (since it is getting bigger,, duh),    and the envirocrazes go nuts over it.  

Never mind that the pollution would be still well below state and federal rules doesn't  matter.   They say that BP is going to kill Lake Michigan.   Never mind that BP has its own water treatment plant and would spend $300 million more on added pollution controls in the expansion.    No that still not good enough!   They want bigger spending on things that in reality wouldn't lower pollution much but would be expensive.   Haven't they heard the rule of not enough return for the money?   I guess not.    Or maybe they do!  

If that wasn't enough Illinois Democrat politicians are getting in on it.   Like Illinois doesn't ever pollute the lake! Governor Blagojevich of Illinois sent Governor Daniels a letter telling him to stop the expansion.    So far Daniels is ignoring it,  saying the expansion will go forward.   Governor Blagojevich is sticking his nose where it doesn't belong.     Illinois  politicians stick their noses into Northwest Indiana plans for economic growth all too often.   Last time I checked it still Indiana here.  So go home Governor Blagojevich,  you wouldn't be against this refinery had BP put it in Illinois.    But they didn't because of the anti-business climate there today.

But I am getting away from the point of this post.    The environmentalist doesn't really want this refinery here.   Or any refinery anywhere for that matter.   There is a reason why there hasn't been a totally new refinery built in the US since that early 1970's.   Or all that many expansions of existing plants either (lots of old ones closed though).   Environmentalists aren't all that interested in pollution control devices (even though they say they are).     They aren't all that interested in making alternative fuels really work either.   

There isn't a shortage of crude oil like you would think either (the media does a great job messing that up).     There is a shortage of refinery space!    Environmentalists have been very successful at blocking refineries.   After taxes this is the second reason for the high cost of gas today.    They cannot refine enough to meet demand!   Add the rules for  summer  blends  to the mix as well  its amazing the price isn't even higher! 

What the environmentalist movement  really wants is America to get out of its cars.   They just don't say it because like many other lefty causes,  its unpopular  and unrealistic.    It would ruin the economy of the United States to do that.   Plus public transit is impractical for the suburbs, rural areas and even many areas of major cities  where most Americans live and work today.    But  they work at ending the economic freedom of most of us.   

Cars are a big part of why America is as wealthy as it is today.   It is still one of the biggest business' in the US today.    Cars give us the freedom to live and work just about anywhere.   It makes the suburbs possible,  where most of the economic growth and  most of the affordable homes are today.   If we were limited to only the cities there would be more poor and less economic growth overall for all Americans.   We would be a nation of renters instead of homeowners.  

Pollution is easy to attack.    Nobody likes pollution,   but it is a reality of modern life.     We should do things to reduce it,   but it need to be practical and affordable.    A wealthy nation can be interested in reducing pollution,  a poor one cannot afford it.     Let the market do it,   it works better then government rules and controls.   BP knows all too well that it cannot pollute without people knowing.   Big companies are very afraid of bad press nowadays,  almost to the point of too much.   They don't defend themselves very well either,  but the press is always going to be against them too.   But media reform is a different problem today.    

There aren't any good reasons for the refinery not to go forward.   It just needs to be seen in the right light.  

UPDATE:   BP blinks on plan to boost pollution.    I guess it remains to be seen if Northwest Indiana loses this investment due to meddling from mostly out of state opposition.     


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