Energy concerns Economics more than environment at work

Americans have been demonstrating a growing environmental consciousness, as seen by recent demands for smaller cars, more "green" products and alternative energy sources, but they may be motivated more by the economics of the time than ecological concerns.

The evidence comes from past behavior. American habits have followed the cyclic rise and fall of oil prices. When gas prices soar, as after past oil crises, sales of more fuel-efficient, smaller model cars also go up. Once the crisis passes and prices go down or Americans adapt to the higher costs, consumer habits change. It is happening again with car buyers showing a renewed interest in smaller vehicles rather than the large, gas-guzzling sport utility vehicles.

The per-mile cost of driving almost doubled between 2002 and 2007, according to Lee Schipper, a visiting scholar at the University of California at Berkley who has studied energy consumption for decades. The increase is greater than in any six-year period since 1960. Last year, 5.7 per cent of the average household spending went to buy gasoline, a rate not seen in 25 years, he told the Wall Street Journal.

The impetus to conserve is not always environmental, he said: "Sadly, it's economics. No pain. No gain."

The impact is also seen in American interest in alternative energy sources, such as wind and solar power, over reliance on fossil-fuel power plants with higher emissions of carbon and greenhouse gases.

However, some data suggest that economics plays a role there as well, but in deterring some people from what can be more costly alternative energy. Utility surveys find widespread support for buying more expensive "green" power from renewable sources, but just 2 percent of Americans choose to do so.

"Everybody calls themselves environmentalists," said Jeffrey Swenerton of the Center for Resources Solutions, which encourages renewable-energy use. "But when it comes down to spending a bit more for these things, people just don't do it."

But advocates of alternative energy seize on the economic interests as well to build support for environmental policies such as expanded ethanol and biofuel by citing their role in creating new industries and jobs.

Economics may be the motive even in the short-term for making changes, but once in place environmental practices and polices can change habits and lifestyles.