Clean Energy Victory Bonds – Invest In Our Future
Clean Energy Victory Bonds (CEVBs) are proposed U.S. Treasury bonds that will finance the production of innovative energy technologies in the US. At a time when we are facing record unemployment in the US and are falling behind other countries in the race to produce clean energy technologies, CEVBs will create 1.7 million jobs and position the US to be the leader in one of the fastest growing sectors in the world: clean energy. CEVBs will also create a secure energy future for all Americans, decreasing our reliance on foreign oil and utilizing energy sources that are free.
Why Victory Bonds?
During the First and Second World Wars, the US government sold bonds in order to finance the costs of war. These war bonds were dubbed “Victory Bonds” because of the crucial role they played in the war effort. In the spirit of patriotism and national sacrifice, Victory Bonds generated $185 billion during World War II (over $2 trillion in today’s dollars). They gave ordinary Americans ownership in the efforts of their military overseas and afforded individual and institutional investors access to a risk-free asset. We can learn from that experience.
From coal to nuclear to oil, no new energy source was ever developed without significant government funding. As the fossil-fuel driven economy falters, the need for an alternative path forward becomes ever more urgent.
Around the world countries are competing to develop and deploy the next generation of clean energy technologies at an astounding pace. China alone is investing up to $12 billion per month in its clean energy sector. Meanwhile American clean energy capacity languishes for lack of financing and companies are unable to develop cutting edge technologies or create employment for American citizens. Clean Energy Victory Bonds are designed to play a role akin to the Victory Bonds of wartime — to mobilize Americans towards the common goal of a globally competitive U.S. clean technology industry and, ultimately, a greener economy.
Wartime Victory Bonds often yielded interest rates lower than the going market rate, but Americans found them hugely popular as a way of investing in their collective future. Clean Energy Victory Bonds, however, will pay interest equal to or greater than the market interest rate on regular government bonds. Clean Energy Victory Bonds will provide a competitive government-backed investment vehicle that Americans will be excited to purchase, and a chance to invest in our collective future.
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