GE's Krenicki Says Lack of Global Energy Policies Restrains Green Growth
Lack of U.S. and international energy policies is allowing trade barriers that curb the spread of so-called green technologies and make them more expensive, General Electric Co. Vice Chairman John Krenicki said.
“These are local content rules, buy local rules -- so non- tariff trade barriers is the new technology in terms of protectionism,” Krenicki, who runs the GE Energy Infrastructure segment, said at the World Energy Congress in Montreal. “What it’s going to lead to is higher costs for consumers, lots of redundancies, added costs in the system,” and slower use of environmentally friendly technologies, he said.
GE, whose equipment produces one-third of the world’s electricity, is also the world’s second-biggest maker of wind turbines behind Denmark’s Vestas Wind Systems A/S. Such equipment must be sold on a mass scale to lower costs, the company said.
Chief Executive Officer Jeffrey Immelt has pushed for laws limiting carbon emissions in the U.S., which Congress hasn’t passed.
“Given the recession that has occurred in the last two years, the headwinds are growing,” Krenicki said. “The lack of progress on climate legislation, the lack of pricing and value of carbon on a global scale, the non-tariff trade barriers that are surging and the surge of green industrial policy that is cloaked as climate policy is a real concern.”