DV Journal

For an alternate viewpoint see: GUINEY: Your Freedom is on the Ballot This November

Nearly a year ago in December 2021, President Joe Biden declared inflation had peaked at 6.8 percent and predicted it would decline shortly and “rapidly.” In June, seven months later, we saw inflation surge by 9.1 percent. September was not much better, with prices rising 8.2 percent over the prior year. The state of our economy has had far-reaching impacts on working families and our seniors on fixed incomes.

The average 401k has lost 25 percent of its value due to the economic downturn. Since Biden took office, Americans’ monthly savings have fallen 83 percent. Mortgage rates are at 20-year highs, placing the dream of homeownership out of reach for too many individuals. Meanwhile, more than half of workers are seeing their real wages lag behind inflation by 9 percent, the equivalent of losing a full month’s pay.  Economists at the Dallas Federal Reserve have labeled it the “most severe” pay cut in 25 years. With income falling behind the rising cost of goods and services, it’s no wonder that so many Pennsylvanians are struggling.

In the Philadelphia region, electricity costs are up more than 20 percent compared to just one year ago.  The cost to fill up your car or truck at the gas station is nearly 60 percent higher than it was two years ago.  And consumers can expect more bad news in the coming months as home-heating bills are projected to reach a 25-year high. A trip to the grocery store is not much better. Since Biden took office, the price of eggs is up 98 percent, chicken breasts are up 46 percent, bacon is up 27 percent, flour is up 25 percent, and sugar is up 23 percent.

When asked just a couple of weeks ago if he is worried about rising inflation and its impact on families and seniors, Biden dismissed concerns, saying “our economy is strong as hell.” That denial of basic facts, the stubborn blindness to what Americans are seeing and experiencing for ourselves, shows the president and his Democratic allies are truly out of touch.

Rather than put forward real solutions to the problem, Democrats helped fuel the increase in inflation by injecting billions of additional funds into the economy. When that bungled plan did what many economists predicted it would – further fuel inflation increases – the Democrats decided to push through a bill funding a range of pet initiatives under the guise of legislation called the “Inflation Reduction Act.” Even before the bill was signed into law, Democrats were already backpedaling from the bill’s name, admitting that it would do nothing to curb inflation.

To be clear, it’s not just national problems that are causing issues. Amid the pandemic, Gov. Tom Wolf capriciously mandated the closure of tens of thousands of Pennsylvania’s small businesses but allowed big box stores like Kohl’s and Walmart to remain open. Many never fully recovered. Earlier this year, CNN reported that nearly 32 percent of small businesses in Pennsylvania were permanently or temporarily closed compared to January 2020.

Rising inflation, lost 401k savings, and declining real wages aren’t the only challenges Pennsylvanians are facing.  Activist prosecutors who care more about violent criminals than the rights of victims have created a culture where criminals are not being held accountable for their crimes. In Philadelphia, the homicide rate so far this year is 57 percent higher than the same point just three years ago. And we are increasingly seeing the violent crime spill out into suburban communities with carjackings and armed robberies of small businesses. The problem is only further compounded by the lingering impacts of the defund the police movement and the demoralizing effect it had on law enforcement. The result is that many police departments are struggling to fill vacancies. It could not come at a worse time.

The list goes on and on. Parents who were concerned about the failure of schools to return to in-person learning were dismissed and told there would be no impact on the education of children. New federal testing results say otherwise, showing between 2019 and 2021 the largest ever decrease in math scores and significant decreases in reading scores. And at the same time that schools are failing to provide these basic education skills, progressives are continuing to push political ideology in the classroom while refusing to provide parents with transparency on curriculum so that parents know what their children are actually being taught.

A lot has changed in the past two years, and not for the better. It is time for voters to send a clear message to the Democrats at the national, state, and local level. The Democrats claimed that the last presidential and federal elections, which provided them with narrow control of Congress, were a voter “mandate” to implement their radical ideas and increase the control that government exerted over citizens. If Democrats truly want a mandate, now is the time to give them one. Voters need to turn out and make their voices heard, letting Democrats know that enough is enough.

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Progressive Democrats in Delaware and Chester Counties were swept into office in 2018 over incumbent Republicans, thanks in part to pipeline politics. Issues with the construction of the Mariner East Two pipeline and the political potency of climate change combined to elect Rep. Danielle Friel Otten in Chester County and Sen. Katie Muth in Chester/Montgomery.

Following the trend, Democrat Gov. Tom Wolf pushed past the GOP-controlled legislature in 2019 to add Pennsylvania to the Regional Greenhouse Gas Initiative (RGGI), insisting it was necessary “given the urgency of the climate crisis facing Pennsylvania and the entire planet.”

In 2022, however, pipeline politics have shifted. Soaring energy costs, rising inflation, and Russia’s invasion of Ukraine have Democrats talking very differently about energy policy – when they talk about it at all.

Attorney General Josh Shapiro, for example, has repeatedly refused to say if he would support keeping Pennsylvania in the RGGI. And instead of denouncing fossil fuels, the Democratic candidate for governor is taking a broader approach on energy policy.

“I will be an all-of-the-above energy governor who will take advantage of the unique position we have in Pennsylvania to create more jobs, while also utilizing our natural resources and protecting the jobs we already have,” Shapiro told DVJournal.

That may be one reason the Boilermakers Local 154 union endorsed Shapiro over pro-fossil-fuel Republican state Sen. Doug Mastriano.

Mastriano tells DVJournal he favors oil and natural gas production and would like to see a liquid natural gas (LNG) plant built in Philadelphia, creating jobs with its construction and operation.

“Europe relies heavily on Russia for its oil and gas. An LNG export terminal will allow Pennsylvania to export our valuable natural gas to this crucial market,” Mastriano said. “Thousands of new jobs will be created in the Philadelphia area, especially for those in the building trades. Additionally, new revenue from the exports will be reinvested into the Pennsylvania economy. It’s a win-win for everyone.”

It is hardly a surprise that a conservative Republican like Mastriano supports more energy infrastructure. What is interesting is the shift among Democrats, including those on the progressive left.

President Joe Biden may be restricting access to federal oil and gas leases and shutting down major pipelines, but in Pennsylvania, even a progressive like U.S. Senate candidate John Fetterman has abandoned his previous calls for a ban on fracking. Nor does he still talk about implementing a “carbon cap” tax policy that could have raised gas prices to about $7 a gallon.

At a more local level, anti-pipeline warriors like Muth and Friel Otten appear to have moved on. Friel Otten famously made comments about local pipeline workers, comparing them to Nazis, a statement denounced by the Anti-Defamation League and her own Chester County Democratic Party. Friel Otten eventually apologized, albeit reluctantly.

As recently as this year, Friel Otten joined with Muth in an effort to shut down the completed Mariner East 2 pipeline, making complaints that turned out to be unfounded. But as the election has approached, those Democrats have been largely silent on pipeline and energy infrastructure issues.

Today, the word “pipeline” doesn’t appear anywhere on Muth’s campaign website. There are only vague references “corporate polluters.”

What happened? Muth and Friel Otten declined to respond to requests for comment. But Muth’s GOP opponent, Jessica Florio, was more than happy to talk about her support for expanding the state’s energy economy. And she has won the endorsement of the Philadelphia Building Trades.

“Actions speak louder than words,” said Jim Snell, Business Manager, Steamfitters Local Union 420. “Sen. Muth talks about her support for working men and women, but then she turns around and votes repeatedly against jobs for union workers. We want someone we can trust. Florio will defend the rights of working men and women and push policies that will create jobs and help union workers.”

Republican strategist Charlie O’Neill said Democrats’ energy policy sounds good in speeches to green activists, but it fails the real-world test for voters who want reliable, affordable power.

“The concerns raised by Democrats on pipelines aren’t based in reality,” said O’Neill. “Fossil fuels are and will remain the main source of energy in Pennsylvania, the United States, and the world. At a time when energy prices continue to rise, voters believe Democrats and Republicans should be working to make the transportation and production of energy as easy as possible.”

Snell puts it more bluntly. “People who oppose pipelines should turn off their gas furnaces this winter. They won’t, of course. But they’ll still try to have it both ways, complaining about infrastructure development while benefiting from the energy it delivers. It’s the height of hypocrisy.”

Shapiro said he believes there is a third way between the “leave it in the ground” absolutism of the far left and the “Drill, baby, drill” mantra of some on the right.

“I refuse to accept the false choice between protecting jobs or protecting our planet – we can, and we must, do both. And my priority will be ensuring that Pennsylvania has a comprehensive climate and energy policy that moves us all forward. As governor, I will bring everyone around the table to implement an energy strategy that does just that.”

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About 200 enthusiastic supporters packed Gatsby’s Bar and Restaurant in Aston Wednesday to listen to state Sen. Doug Mastriano, the Republican gubernatorial candidate.

Before addressing the crowd, Mastriano shook hands and posed for pictures, along with his wife, Rebecca. Dave White, a Delaware County businessman and former Delaware County councilman who also ran for governor, introduced Mastriano.

Rebecca and Doug Mastriano talk with supporters

“We came out of a contentious primary but in that primary, you had nine people that had nine great ideas and the people spoke,” said White, who has traveled the state supporting Mastriano. “And this is the time to come together. If you believe in economic development and tapping our resources and making Pennsylvania the energy capital of the United States, join this team. If you believe in school choice…we need Gov. Mastriano.”

Mastriano spoke for about 40 minutes, touching on various issues and getting in a few jabs at his Democrat opponent Attorney General Josh Shapiro as well as the press, which has not been kind to him. Every few sentences, the crowd cheered, applauded, or called out encouragement.

Dave White introduces Doug Mastriano.

Mastriano mentioned that Florida Gov. Ron DeSantis came to rally with him last Friday.

“The irony of coming to a state where our governor got it all wrong,” said Mastriano. “Ron DeSantis is showing us the way ahead for Pennsylvania. Our goal is to make Pennsylvania the Florida of the north.”

“My opponent spent $12 million and has nothing to show for it. He had no primary…He’s going to lose bad.”

“Sadly, Josh’s message is one of darkness and hate and division,” said Mastriano. “Of name calling, which Democrats are good at. And media, he has a six-year record as attorney general, won’t you even talk about that? No, because you like him.”

“He can’t run on his record because he’s a failure,” said Mastriano. “He’s been the attorney general for six years and crime has gone up 37 percent on his watch. Now Pennsylvania is the 12th highest in homicide, the senior law enforcement official…This guy’s incompetent. We ought to throw the bum out.”

“On his watch, we’re the 8th highest in overdoses,” he said.  “The fourth highest in Fentanyl. Sex trafficking is through the roof. He looks the other way with illegals.”

Instead of fighting crime, Shapiro sued the Little Sisters of the Poor, he said.

“Yes, he’s running lots of ads,” said Mastriano. “If anyone believes those ads I’ve got a bridge to sell you in Brooklyn, cheap. As my Afghan friends said, ‘best friend price.’”

Mastriano served in the Army for 30 years and retired as a colonel before winning a seat in the state Senate to represent Franklin County. He also holds a Ph.D. in history.

He called the Biden administration’s botched withdrawal from Afghanistan “disgusting,” and asked for a show of hands for Afghan veterans. “That just tore my heart out and I’m sure it’s a similar feeling to what the Vietnam veterans saw in 1975 with the fall of Saigon. Sheer incompetence. That incompetence emboldened tyrants like Putin. And I will note that Vladimir Putin behaved under Donald Trump, so we need old 45 to come rolling back.”

Trump endorsed Mastriano and plans to rally with him and Senate candidate Dr. Mehmet Oz in Wilkes-Barre on Sept. 3.

The Shapiro campaign has attacked Mastriano’s pro-life stand and, with the demise of Roe v. Wade, it has become an election issue.

About 20 demonstrators with pro-choice signs stood outside Gatsby’s before the Mastriano event and listened to remarks by Delaware County Party Chairwoman Colleen Guiney and state Sen. John Kane (D-Delaware/Chester).

“We believe that women have bodily autonomy,” she said, saying that they stand with Shapiro on women’s rights. Mastriano “has said, ‘Abortion should end right now and we should have no exceptions.’ That 11-year-old child has been victimized by a family member and is pregnant, she should carry that child to term. We don’t believe that is his choice. That is the choice of the child and their family and their doctor…I don’t believe doctors should do and I don’t believe women should go to jail for having healthcare in the United States of America.”

Kane said, “Yo, Doug Mastriano, you come into Delco with your no-comment express press conference. Delaware County does not want an extremist like you here.”

Asked by Delaware Valley Journal why Shapiro funded commercials that boosted Mastriano’s campaign during the GOP primary if he is such a ‘dangerous extremist,’ Kane said, “He wanted to make sure everybody knows what Doug Mastriano is all about. Doug Mastriano…when you’re taking rights away from women when you’re still talking about the election being stolen. When I got sworn in, I got sworn in with an awful lot of Republicans at the same time. Nobody ended up saying their election was stolen.”

During the rally, Mastriano introduced his wife, Rebecca, to talk about women’s rights.

“We believe in a women’s right to be born,” she said, and listed other rights such as safety, children’s education, and a “right to access baby formula and affordable groceries.”

“We believe in a woman’s right to raise a child where the government is enforcing the law and prosecuting crime,” she said. “We believe in a woman’s right to live in a nation with a secure border. We believe in a woman’s right to the First Amendment and after all, we are Pennsylvanians, we believe in a woman’s right to the Second Amendment. We believe in a woman’s right to compete in sports not dominated by men.”

“They don’t want to talk about inflation,” said Mastriano. “It’s so bad that even Jimmy Carter is looking decent now.”

“They don’t want to talk about the cities being burned to the ground just down the road from here, the Summer of Love,” he said.

Mastriano promised he would end Pennsylvania as a “sanctuary state.”

“When those ghost flights come into our airports, I’ll have the beautiful Pennsylvania State Police meeting those flights and…escorting those buses down to Joe Biden’s house in Delaware.” He praised law enforcement and mentioned that he’d gotten the state FOP’s endorsement.

Delaware County Democratic chair Colleen Guiney with protesters.

Mastriano also promised to take the state out of the Regional Greenhouse Gas Initiative that is driving up the cost of electricity and to bring energy jobs back to Pennsylvania.

“Pennsylvania, we are truly at a crossroads between (Gov.) Wolf and Shapiro tyranny or under Mastriano freedom and liberty. I don’t know about you, but I chose freedom and liberty,” he said.

Several supporters told DVJournal why they support Mastriano.

“Our country is falling apart. I need to stick up for my children. I need to be able to tell my children I fought for our country,” said Maureen Willis of Landenberg, a former Democrat.

And Drexel Hill resident Richard Pruett said, “I support Doug, just like Donald Trump is supporting Doug. He believes in freedom. He believes in American first, energy independence. I love the fact he fought for us in battle, that he’s a colonel and on Day One he’ll open up the pipeline.”

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Most Americans know the “Inflation Reduction Act” President Joe Biden signed will have little impact on inflation. CBS News ran the headline, “One thing the Inflation Reduction Act may not do: Lower inflation” even before the bill had been signed.

And a new Morning Consult poll found just 15 percent of independent voters believe the legislation will live up to its name.

Which may explain why Democrats have suddenly shifted their language about the legislation to a “climate” bill, touting savings on energy costs it will bring American consumers. But will this new measure, with its $739 billion price tag, actually lower the cost of electricity, heating oil, or gas?

Sen. Bob Casey says yes. “This bill is going to lower… energy costs for American families while creating clean energy manufacturing jobs and tackling the climate crisis.”

Rep. Mary Gay Scanlon (D-Pa) agrees. The Inflation Reduction Act will “lower energy costs, saving Pennsylvania families an average of $1000 per year on their energy bills.”

(Interestingly, the same study Scanlon cites also says these savings won’t arrive until 2030, and just $16 to $125 of that $1,000 will come from the new law.)

While the League of Conservation Voters may be right that the Inflation Reduction Act “is the largest investment ever to fight the climate crisis,” relatively little of the $369 billion in climate spending will lower energy costs in the short term.

That is because, energy experts say, the spending is mostly in the form of tax breaks on money businesses spend building green energy production or switching to green energy sources. Some of the money also goes to homeowners and residential customers; but once again, only after they spend their own money weatherproofing their homes, switching to heat pumps, or buying electric vehicles.

In other words, there are no savings until ratepayers do some spending.

Rep. Chrissy Houlahan (D-Chester) acknowledged that fact earlier this week. “The Inflation Reduction Act lowers energy costs for families by providing rebates and tax credits to make homes and vehicles more energy efficient.” [emphasis added].

The largest share of the money goes “to subsidize supply, specifically for low-carbon and zero-carbon energy sources,” said Nick Loris of the Conservative Coalition for Climate Solutions (C3 Solutions). “All else being equal, increased supply will lower prices. But for that to happen, the energy sector needs the ability to build the necessary infrastructure in a timely fashion.”

Without the necessary regulatory modernizations, Loris says policymakers are failing to address the systemic problem that has frustrated investors and energy producers across the board.

“That’s particularly true in places like the northeast where heating oil has doubled in price since last year, but regulatory bottlenecks and NIMBYism has blocked the infrastructure for cost-effective alternatives,” Loris said. “Secondly, it’s important to remember that this isn’t $369 billion isn’t free money. Americans will have to pay for subsidies through more borrowing or higher taxes.”

However, if they spend part of that money buying new energy-efficient washing machines or heat pumps, won’t that reduce demand and, over time, lower prices? Not according to Kenny Stein, policy director for the Institute for Energy Research, a free-market think tank.

“For the heat pump or appliance example, the alleged cost savings are based on modeling that says renewables make electricity cheaper, therefore a new heat pump will save money,” Stein says. “But if renewables increase electricity prices (which they tend to do), then the modeled savings vanish.”

Why would renewables increase electric rates? Because moving large numbers of businesses and households from heating oil or natural gas to electricity (not to mention electric vehicles) means a massive increase in demand.

“Another wrinkle to the modeling is that supporters of the new law count improved efficiency from a new, greener appliance as savings. It’s true that a brand new heat pump is likely to run more efficiently than a 30-year-old furnace. But a brand new furnace would also run more efficiently. So a lot of the ‘heat pump efficiency’ savings are actually just ‘new appliance efficiency’ savings,” Stein said.

That may sound like common sense to some, but Anthony Watts of the Heartland Institute said many policy markers lack a basic understanding of basic math, physics, engineering, etc.

“Our electric grid was built by engineers, not by politicians,” says Watts, a senior fellow for environment and climate at Heartland. “These politicians are pushing a green agenda, insisting ‘this will be better, it will be cheaper, it will be economically feasible, it will save people money.’ They may or may not be sincere, but they are completely ignorant of the scientific reality behind these things.”

In the coming years, Watts predicted legislators who support the Inflation Reduction Act will try to fix its failures by making a push to nationalize energy.

“They will claim the government could manage it better and we’re not going to be hit with all these price increases, but it’s not going to be helpful,” said Watts. “Government can’t do anything better than private industry.”

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Pennsylvania’s tax on natural gas development generated $234 million in 2021, marking the second-largest amount ever returned to communities across the commonwealth, the Pennsylvania Public Utility Commission (PUC) said Friday.

The natural gas impact fee has generated $2.2 billion in the last decade.

Most of the money goes to county and local governments, however some state agencies also receive funds. The money funds infrastructure, emergency response and environmental programs.

“Generating $2.3 billion in essential funding for state and local governments across all 67 counties, Pennsylvania’s unique natural gas tax is an effective policy that yields impactful results,” Marcellus Shale Coalition president David Callahan said.

Some $234.4 million will be distributed to the state and counties in 2022, with all 67 counties receiving an allotment.

“The nearly 60 percent increase in this year’s distribution is directly related to heightened activity levels and the commodity price environment, underscoring the importance of policies that encourage domestic natural gas development, transportation and use. Our members continue to be focused on responsibly developing clean, abundant Pennsylvania natural gas, which is even more important today in keeping America and our allies’ energy secure,” Callahan said.

American Petroleum Institute Pennsylvania (API PA) Executive Director Stephanie Catarino Wissman said, “Every corner of the commonwealth has directly benefitted from Pennsylvania’s impact fee. This tax on natural gas wells has generated new revenue – totaling more than $2.2 billion over the past decade – for a wide variety of environmental, conservation, infrastructure, public safety and recreation projects. The report shows how natural gas production in Pennsylvania provides hundreds of millions annually in essential revenue while strengthening our economy.”

The impact fee revenue depends on the average annual price of natural gas on the New York Mercantile Exchange (NYMEX), which increased in 2021 compared to 2020, when the demand for natural gas declined due to the COVID-19 pandemic and a mild winter. Impact tax revenue reached $234 million in 2021, nearly 60 percent more than 2020, one of the highest collections since the impact tax was imposed ten years ago.

“As the demand for energy rebounds, policy certainty and long-term energy solutions are needed to help ensure that Americans have access to affordable and reliable energy,” said Wissman. “Pennsylvania’s abundant shale gas presents a unique opportunity to bolster domestic supply while funding critical infrastructure and environmental programs across the state, even in areas without natural gas development.”

This announcement comes when energy companies are under attack by the Biden administration over “excess” profits, a charge that economists dismiss.

Biden took steps to hamstring the energy companies at the onset of his administration, blocking the Keystone XL pipeline and signed executive orders to halt new oil and gas leases on public land, favoring green energy alternatives.

“Getting on a plane right now to go meet with a murderer to talk about the Saudis picking up their production, or writing a letter to the CEOs of Chevron and Exxon to say ‘super-duper large profits won’t be tolerated’ is simply inexcusable,” said economist David L. Bahnsen about Biden’s energy policy.

And while Biden has blamed high gasoline prices on Russian President Putin and the war in Ukraine, he recently pivoted to blame oil companies. But gasoline prices were at an average of $2.27 a gallon nationwide on Jan. 20, 2021 when Biden took office. On Jan. 3, a month before Putin invaded Ukraine, the national average gas price stood at $3.28 a gallon and as of Friday, the average price was $5 a gallon.

And it’s not just Biden.

Congresswoman Madeleine Dean (D-Montgomery) tweeted in March: “The price of crude oil is falling, and that should be reflected at the pump. We must be certain that energy companies are not using an unjust war to profit and price gouge.”

And in a let them eat cake moment, Transportation Secretary Pete Buttigieg said families who buy electric vehicles “never have to worry about gas prices again.”

Meanwhile, the sale price for an EV, on average, was $60,054 in February. That compared to $45,596 on average for all new vehicles, including electric ones, according to data from Edmonds.

Also, there’s the convenience factor. On a recent road trip, a Wall Street Journal reporter said she spent more time charging her rented EV than sleeping.

In a tweet that sums the situation up, Rep. Jim Jordan (R-Ohio) said, “The United States is blowing through its strategic oil reserves faster than expected. Gas is $5 a gallon nationally. And Joe Biden STILL refuses to drill domestically.”

The National Republican Senatorial Committee is making political hay for the 2022 midterms out of the high gas prices. They’re airing a new commercial targeting Democratic Nevada Sen. Catherine Cortez Masto and Democrat John Fetterman, who is running for the Senate, linking them to Biden and the high gas prices.

The ad says Fetterman backs Biden and the Green New Deal.

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Pennslyvania State Treasurer Stacy Garrity joined 26 fellow state financial officers in a letter to President Joe Biden urging him to “implement policies to promote American energy production.”

The letter was organized by the State Financial Officer Foundation (SFOF), a group of Republican state auditors and treasurers whose mission is to “drive sound fiscal policy.”

The missive, signed by financial officers from Alaska to Florida, calls energy “a critical component of every business and service provided in our economy as well as foundational to every American’s quality of life. As energy costs rise, its impact is felt throughout society. Businesses experience increased costs, which must often be passed onto consumers, while many Americans are forced to decide between various necessities of life, simply to keep the lights on and their vehicles powered.”

Energy production and its fiscal impact are particularly important in Pennsylvania, the nation’s second-largest producer of natural gas. Revenue from Pennsylvania’s natural gas tax is expected to hit $233 million this year, a near-record level.

“The current economic climate, amplified by the Russian invasion of Ukraine, requires immediate action at the national level,” Garrity said in a statement. “Hardworking families everywhere are paying more to keep food on the table and paying too much at the gas pumps. Our current federal policies are making the problem even worse.”

The SFOF letter pushed back on the Biden administration’s suggestion that electric vehicles are the solution to high energy prices.

“Instead of asking Americans to purchase electric vehicles—which is simply not an option for a great number of American families—government leaders should eliminate barriers to and expand development of these critical resources, bringing down the price of gas at the pump,” they wrote. “SFOF state leaders urge you to support traditional energy industries in their desire to ramp up production in the U.S. by providing certainty on oil and natural gas leasing by compelling the Department of Interior (DOI) to meet deadlines and honor its obligation to lease on federal lands and waters.”

Garrity agreed.

“America has abundant natural resources right under our own feet,” she said. “The Biden administration should be doing all it can to support efforts to harness these materials to achieve energy independence, instead of backing policies that make us more dependent on other nations. Investing in our own reliable energy sources is an investment in American families, and imperative to our national security.”

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Access to affordable, clean and reliable energy is at the center of the crises unfolding across Europe and the events leading up to Russia’s unprovoked invasion of Ukraine.

For far too long, Russia’s leadership has weaponized their energy resources, inflicting pain on regional nations to gain political and economic influence. These vulnerabilities have been exacerbated by unrealistic policies focused on a rapid transition to renewable energy.

Given the urgency to support our European allies and the brave people of Ukraine, we must act swiftly to put in place mechanisms to combat Russia’s aggression – including leveraging America’s abundant natural gas resources.

Our European allies, who have become reliant on Russia for more than 40 percent of their natural gas due to short-sighted policy decisions, are facing supply shortages and reliability challenges which, together, are causing deep economic pain to the region. In fact, natural gas prices in Europe broke record highs this week. This dependency not only de-stabilizes Europe, but it directly funds Russia’s the war machine.

As the world’s largest producer and exporter of natural gas, America – and Pennsylvania in particular – is uniquely positioned to do even more to support our allies and their efforts to counter Russia’s hostility. We are fortunate to have such abundant resources that can meet domestic consumer demand and aid European allies.

Some progress is starting to take place in earnest. Germany, for example, is advancing infrastructure investments to enhance natural gas trade and imports from allied nations in order to weaken Russia’s grip on their energy and economic security – yet much more can and must be done, and the U.S. is well-positioned to lead.

Here at home, export facilities along the East and Gulf Coasts are shipping record levels of LNG to Europe, helping our allies access the world’s most responsibly produced natural gas. Currently, more than half of American LNG exports are Europe-bound – but we can do more.

The strength of America’s shale revolution has created the ability for us to act swiftly to help our European allies while improving the global environment and our overall energy security. This is a proven fact. Consider, other strategic U.S. allies with few natural resources of their own – such as Japan and South Korea – have been top recipients of clean U.S. LNG for the past several years. Our support has helped these countries shore up their own energy security while advancing our own national security here at home.

From a policy perspective, elected officials must prioritize solutions that boost the security of our allies as well as the climate benefits inherent to domestic natural gas. This means de-bottlenecking approvals for necessary infrastructure and working collaboratively to reduce obstacles to maximizing the development and deployment of our natural gas resources. With the right level of commitment from policymakers, we’ll make certain Russia’s ability to inflict pain is short-lived.

In fact, recent polling shows nearly three-quarters of Americans – on both sides of the political spectrum –believe natural gas should be part of our country’s energy policies.

And there’s no debate that American natural gas is the world’s cleanest and most strongly regulated. As an example, the Clean Air Task Force notes that Russian natural gas has a 65 percent higher methane intensity rate compared to ours. Furthermore, Appalachia-produced natural gas has lowest methane intensity across the entire U.S.

Some question whether America has the political will to make the right policy decisions to prioritize modern energy infrastructure. We don’t need to look to Europe as an example of how short-sighted policy has negative consequences, we need only look to New England, where state politicians have banned critical pipeline infrastructure, resulting in significant economic hardship for consumers. Their policies have directly led to a growing dependence on importing foreign natural gas – including, just a few years ago, from Russia.

Pennsylvania’s clean, abundant natural gas resources cannot alone solve Europe’s energy crisis or Russia’s malicious aggression toward allies. However, our energy resources can assist the long-term needs of Americans and our allies, providing stability to global energy markets all while improving our global environment.

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Russian President Vladimir Putin has plunged Europe into crisis with his invasion of Ukraine. His stated goals are to destabilize the country to bring the nation back under Russia’s control. In response, it’s time we hit Putin where he knows it will hurt – through the energy sector. Unfortunately, there’s been a raft of bad policy decisions at the state and federal levels that need to be reversed to make this happen.

The United States and the European Union are discussing economic sanctions against Russia for its violations of international order. But at the same time, due to a lack of pipeline infrastructure and regulatory pressure to reduce domestic production from the Biden administration, the U.S. has dramatically increased the volume of imported Russian oil. Federal energy regulators note that in 2021, imports of Russian oil doubled year-over-yearto the highest level in a decade. Russia is now, unfathomably, the second-highest exporter of oil to the United States. Oil is by far Russia’s biggest and most profitable export – and it’s time to shut that off. In the meantime, America and its neighbors in Canada and Mexico have abundant supplies of oil to replace this resource. But we need leadership in Washington.

Instead, due to litigation from environmental groups, exploration of new resources on federal lands has stalled. Just days ago, the Biden administration announced it was pausing any new drilling on federal lands. At the same time, federal officials have revoked the permit for the Keystone XL pipeline, which would have brought in much-needed energy from our biggest trading partner, Canada. The Biden administration has also waffled on whether or not to oppose Michigan Governor Gretchen Whitmer’s attempts to vacate another critical pipeline, Line 5, which brings in oil that supplies the Great Lakes region, including to the Pittsburgh Airport.

Shutting down Russian imports in exchange for North American energy wouldn’t just hurt Russia – it would be a net win for the environment. Russian energy production is notoriously lax on environmental standards, with Biden’s Energy Secretary Jennifer Granholm going so far to say their production is “the dirtiest on earth,” with fugitive emission rates orders of magnitude above US standards. Despite this, Russia has been granted permission under the Paris climate accords to increase its greenhouse gas emissions by a whopping 34% by the end of the decade. In contrast, America and Canada have among the most stringent production standards globally – not to mention that the United States has led the developed world in reducing greenhouse gas emissions over the past two decades.

Pennsylvania has helped the United States achieve those reductions through its competitive markets and leadership production in shale gas. Our state is now the number two producer of natural gas and the leader in energy exports to other states. Unfortunately, neighboring states like New York and New Jersey have blocked new pipeline construction, to the applause of environmental groups. The result? Power prices and emissions have skyrocketed, and New England has infamously imported Russian gas into its terminal near Boston to keep the lights on in the winter. New England has also had to turn to fuel oil to prevent blackouts, resulting in a 44% increase in greenhouse gas emissions this past winter.

There are economic consequences to shutting down pipelines. Look no further than Germany announcing this week it is suspending the operating permit for the Nord Stream 2 pipeline that would have imported Russian gas into Europe, in response to Putin’s aggression. As European foreign policy analyst Bruno Macaes once said, pipelines are the continuation of war by other means. Yet Pennsylvania has been hamstrung in its ability to deliver reliable energy to its neighbors and abroad. We have enough natural gas to grow markets here (and reduce emissions) while also exporting more clean-burning fuel to allies in Europe, India and Asia. But the Biden administration has not greenlit any new LNG export or pipeline infrastructure. Domestic LNG cargoes are also forbidden, by the perverse consequences of the protectionist Jones Act, from being delivered to other domestic ports – meaning we can export LNG from Houston and the Gulf for $4.50 per million cubic feet but New England has to import it from much more emissions-intensive locales – like Russia – for seven times more.

Let there be no doubt – private industry in the United States is deploying billions of dollars into low- and zero-carbon energy technologies every year as they execute sustainability plans. In the meantime, there is a great and growing international demand for fossil fuels. Putin knows responsibly produced North American energy reduce revenues for his war machine. That’s why he said in 2013 that shale is a danger and must be stopped, and why NATO Secretary General Rasmussen announced in 2014the defense consortium had intelligence Putin was funding anti-fossil fuel environmental groups (which Hillary Clinton herself confirmed in the run-up to the 2016 election).

Putin’s aggression cannot be left unchecked. To help keep the peace and to build a more sustainable global future, America’s prolific energy resources must be leveraged to the maximum. We can no longer afford state and federal energy policy that accommodates and enriches Russia.

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David McCormick, Carla Sands, and Dr. Mehmet Oz may have been gone during the Republican U.S. Senate debate Monday evening, but they were not forgotten.

The three candidates skipped the event, and their opponents called them out for it again and again.

“We have political tourists running in this race. Mehmet Oz and Dave McCormick do not know this state, they couldn’t be bothered to show up tonight and they don’t care about you,” said Montgomery County developer Jeff Bartos.

“I didn’t parachute into Pennsylvania to run for office,” said Bartos. “I’m a lifelong resident with a deep love for our commonwealth. You cannot save Main Street if you can’t find Main Street. And as we saw tonight, my out-of-state opponents don’t even care to try to find it.”

Kathy Barnette, George Bochetto, Everett Stern, and Jeff Bartos. (photo by Maria Andraos)

Huntington Valley resident Kathy Barnette, an author, and Fox News commentator said it was the second debate Oz and McCormick spurned.

“Jeff has thrown out a lot of punches on Dave McCormick and Mehmet Oz, and it is warranted. It is such an insult that this is the second debate and they refuse to come before the American people, and specifically Pennsylvanians.”

On a different topic, Barnette said, “We need to focus on the economy and not just welfare checks or stimulus checks to keep people floating by.”

Along with cutting taxes and deregulating, “We need to begin to stabilize the U.S. dollar. That creates job growth and a rising tide lifts all boats,” she said.

“Students follow jobs,” said candidate George Bochetto, a Philadelphia lawyer. “And in order to keep students in this area, we need to provide good jobs, attract good jobs, provide the environment that businesses want to invest in. Right now the current leadership we have in Pittsburgh and Philadelphia, with Democrat-run cities that are chasing away our businesses, the students will (go) away with them. So if we want these students here, we have to get them the best jobs imaginable and we have to invest in our communities and our businesses that will provide those jobs.”

And then there was relatively unknown candidate Everett Stern, who attacked his fellow Republicans — particularly Barnette — for supporting former President Donald Trump. He said Barnette should personally apologize for the January 6 riot at the U.S. Capitol.

The audience booed Stern, an investigator and Chester County resident.

Jeff Bartos greets people after the debate.

“My mission is to absolutely make sure that a right-wing candidate backed by either Trump or Gen. [Michael] Flynn, does not get into office. And that means if I have to take down any of these candidates, to make sure I bring the moderates with me and a Democrat wins, so be it,” Stern said.

A hot topic for the Republicans on stage was inflation hitting gas prices and grocery store shelves.

Bochetto said inflation does not hurt rich people or those who are not paying taxes but takes a toll on the middle and working classes.

“But the handling of the COVID pandemic, the giveaways and the printing of money that has taken place, that is the terrible policy President Biden implemented on day one when he took office, which was to close down our development of natural gas in the United States of America…to force this country to start begging OPEC for oil and oil supplies, and they’re driving up the prices,” Bochetto said.  “And what’s driving up inflation? Go to the gas station. Fill your car up. See how much more it takes. That’s what’s driving inflation.”

Bartos said that during the pandemic he started a nonprofit and raised $3.5 million to help small businesses after he saw people “being crushed by a government that did not care.”

George Bochetto

“Then Biden administration comes in and put in policies that raise inflation…that have crushed, crushed the restaurants and small businesses that already operate on a razor-thin margin. We need to go back to the policies that were working just two short years ago,” said Bartos.

Asked about the state’s energy sector, Bartos said he would be a senator who “fights for Pennsylvania’s energy industry.”

“What we’re seeing today in Ukraine and Russia is the direct result of the Biden administration’s terribly flawed, failed policies from day one to enable Russia to finish the Nord Stream pipeline that will allow Putin to ship his natural gas and resources to Germany. Tomorrow, Pennsylvania gas should be on LNG tankers on its way to ship to Europe to help America’s allies. We need to shut off all pipelines and all energy transfers outside of Russian borders and we should cut Russia off. And we should put Putin right back where he belongs, which is in his a country, a gas station with an army.”

“Pennsylvania’s natural resources are a key national security asset of the United States,” Bartos added.

Barnette would write legislation to remove the Biden administration’s restrictions on drilling and to reopen the Keystone pipeline. Having a strong domestic oil and gas production “allows us to remain strong and put a check on bullies all across the world,” she said.

Kathy Barnette talks to students after the debate.

“There’s no question we’re sitting on a Saudi Arabia of natural gas, Marcellus Shale,” said Bochetto. “Developing that and fracking is key…But what really has to happen to turn it around is to invest…get it to Philadelphia, get it to New Jersey, get it to the coastline where we can then export. And the only one meaningful way to get it there and that’s through pipelines.”

Broad and Liberty, the Pennsylvania Chamber of Business and Industry, the Keystone Free Enterprise Fund and GOP SuperPAC LV Strong sponsored the debate.

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Earlier this month, Peco’s parent Exelon Corp. completed its split into two companies, putting the Limerick nuclear power plant under its new Constellation brand while keeping Peco and its other utility companies part of Exelon.

Other than a new logo, which Peco rolled out a few weeks ago with a flashy video presentation, what will the changes mean to local ratepayers in the Delaware Valley?

Industry experts say to expect few changes.

“While Peco’s appearance will change over time, we want to ensure our customers know that we are committed to being the trusted energy partner they’ve known for years, and our dedication to the communities we serve will only grow stronger,” said president and CEO Mike Innocenzo. “Our purpose of powering a cleaner and brighter future for our customers and communities remains unchanged, and we’ll continue our efforts to enhance reliability and the customer experience and further our commitment to our communities and to a cleaner energy future.”

Founded in 1881, PECO is Pennsylvania’s largest electric and natural gas utility. With headquarters in Philadelphia, Peco delivers energy to more than 1.6 million electric customers and more than half a million natural gas customers in southeastern Pennsylvania.

According to Terrance J. Fitzpatrick, President and CEO of the Energy Association of Pennsylvania, Exelon’s move is part of a “trend in the industry for 20 years to separate the transmission and distribution business from the generation business into separate companies. In fact, Peco/Exelon is the last electric utility in Pennsylvania to do so.”

And what about rates?

“Separating our companies will not change rates for customers,” Peco said in a statement. Fitzpatrick agrees.

“It doesn’t seem to me that the corporate separation should raise concern for consumers,” Fitzpatrick said. “Customers can choose to purchase supplies of electricity or gas from competitive suppliers or they can choose the supply option of the utilities. The manner that electric and gas utilities buy supplies in wholesale markets for their customers who choose to buy from them is overseen by the Pennsylvania Public Utility Commission (PUC). The utilities do not make a profit on these sales—they simply pass along the cost to customers.”

David N. Taylor, President and CEO of the Pennsylvania Manufacturers’ Association, says it’s up to the PUC to ensure ratepayers are protected.

“One of the great accomplishments of the [Republican Gov. Tom] Ridge administration was transitioning Pennsylvania from being a regulated market for electricity to being a competitive market,” Taylor said. “As part of that, Pennsylvania went through a long and very expensive transition process. Part of that was you had nuclear power plants that were governed as utilities to say, ‘Look, our business model is predicated on the PUC approving future rate increases which made all these capital investments that we need to be able to recoup, that it’s not right for the commonwealth to go and pull the rug out from under us.'”

The people who were proposing the shift to competitive markets agreed, and during the transition, nuclear power generators were allowed to impose a surcharge on customers totaling $9 billion.

“That was a price that Pennsylvanians paid to get competitive markets,” says Taylor. “The nukes wanted competitive markets, they lobbied for it because they thought they were going to inherit the earth as the low-cost baseload provider, but this was before the Marcellus Shale was discovered and developed. And so the nuclear companies took all that money and apparently just pocketed it or gave it to the shareholders. They didn’t do anything to prepare for competition, and then market conditions changed.”

As a result, Exelon reversed its position, Taylor said.

“You had Exelon, which is the owner of several nuclear power plants, working against competitive markets, and by the way, they were going to keep the $9 billion.”

As someone representing the manufacturing sector and large industrial energy consumers, Taylor says they were “deeply displeased.”

Today, competitive markets will continue to protect consumers by applying downward pressure on prices.

“Any changes to Peco rates will follow the standard process for regulatory rate reviews, which follow PUC guidelines, and include comprehensive input from customers and stakeholders,” the company said.

“This is an important milestone in Exelon’s history,” Christopher M. Crane, president and CEO of Exelon, said in a statement. “With the successful completion of our separation, we step forward in a strong position to serve customer needs, drive growth and social equity in the communities we serve and deliver sustainable value as our industry continues to evolve.”

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