Tuesday, November 03, 2009

The biggest climate story of the day

In my opinion, is not the psycho-drama being played out in Senator Boxer’s committee, but the decision by Warren Buffett’s Berkshire Hathaway Inc. to buy the coal-hauling Burlington Northern Santa Fe railroad.

http://dealbook.blogs.nytimes.com/2009/11/03/berkshire-to-buy-rest-of-burlington-northern-for-44-billion/

This is a $34 billion dollar bet that coal will remain the centerpiece of American energy policy in the future. Buffett clearly believes that coal use will remain strong -- and possibly grow.

So he is putting his money on a vision of America with no effective climate policy at all – or at least one that doesn’t slow coal growth.

Berkshire also owns MidAmerican Energy Holdings, which has taken perhaps the most relentlessly reactionary position of any power company in the nation.

2 comments:

John said...

I had a different take. This seems to me like fantastic news from an environmental standpoint. We are talking about one of the biggest rail companies in the U.S. here, they don't just haul coal. In fact a greener economy would be very good news for this companies future since rail is the greenest way to transport cargo between cities.

Joe Magee said...

Agreed rail is "green" and the economy needs $34 bil. However Berkshire owning BNSF and MidAmerican links the supply chain for their dirty energy empire. Frank you really put it best, "This is very ominous".