Cheap energy is good for the poor

The difference between rich and poor, between developed and developing, is the availability of inexpensive energy. We’re rich because we have (or at least had) access to the hardworking servants of inexpensive energy. We have inexpensive electrical and mechanical slaves to do our work for us.

This is particularly important for the poor. The poorer you are, the larger a percentage of your budget goes to energy-intensive things like transportation and heat and electricity. If you double the price of energy, everyone is poorer, but the poor take it the hardest. Causing an increase in energy prices for any reason is the most regressive tax imaginable.

Watts Up With That

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