California has long been considered one of the greatest states in the nation. However, over the past year, the Golden State has been making headlines, not for its beautiful beaches and magnificent cities, but for its overspending, aggressive policy changes, and almost unbelievable cost of living.
Now, it seems California lawmakers have made yet another controversial decision that many people say will further exacerbate the state’s ongoing problems. Businessman Steve Forbes weighed in on the new legislation, and he didn’t hold back.
California’s Latest Green Energy Initiative
Over the past several years, since it became glaringly apparent that the climate on Earth is being drastically affected by humans, California has passed a wide variety of environmental-friendly initiatives to help protect the state and the planet as a whole.
Included within these new initiatives is the California Air Resources Board’s (CARB) legislation called the In-Use Locomotive Regulation, which applies to all trains operating within state borders.
California’s In-Use Locomotive Regulation
The regulation, adopted in April 2023, states that all trains must be zero-emission by 2035, and all diesel-powered trains must be completely banned by 2030.
The idea is that the diesel-powered trains, which significantly pollute the environment, will be replaced with fully electric trains. However, as Steve Forbes points out, this plan presents several big problems.
Electric Trains May Not Be Ready to Replace the Current Models
Technically, the first electric train ran through Germany in 1895, but it took another forty years before they became common. Today, electric trains are used in several countries, including China, Italy, Switzerland, France, the UK, and the United States.
However, the majority of these trains use a kind of hybrid engine, so they still use some diesel fuel. In fact, as of July 2024, there are only a few fully-electric battery-operated trains on the planet, and many say the technology is nowhere near advanced enough for what California is planning.
Replacing Diesel Trains With Electric Ones Would Cost Billions of Dollars
Even if the technology could advance enough in the coming months or even years to make long-distance, fully electric trains a viable option for California, replacing their existing trains and stations with electric models and charging stations would literally cost billions of dollars.
Which many say is an absolutely unnecessary expense, especially because the Golden State is already wildly in debt.
California’s Government Has a $45 Billion Deficit
It may be hard to believe, but the state of California is currently more than $45 billion in debt. While there are several reasons for this incredible deficit, many argue that the state government, and more specifically Governor Newsom, is to blame.
The controversial Democratic leader has already spent a fortune on his new initiatives for the state, and many financial experts argue that if he doesn’t cut back on spending immediately, the entire economy could collapse.
California’s Electric Train Plan Would Be a Nightmare for the Supply Chain
Additionally, the electric train plan would wreak absolute havoc on the nation’s locomotive industry. The proposed restriction would ban more than two-thirds of the nation’s trains from the state of California, which could immediately disrupt the supply chain.
As of July 2024, 28% of the total US freight products are transported by trains, and 52% of those products are necessities such as food products, metals, and minerals. Because California is both the first and last stop for many trains, by requiring all trains in the state to be electric, the entire United States locomotive system would have to change.
California Also Wants All Electric Semi-Trucks
Meanwhile, California is simultaneously pushing for all semi-trucks that ship the remainder of consumer products to and from the state to be fully electric by 2035. However, study after study shows that electric semi-trucks are too expensive and far less practical than their diesel-powered counterparts.
By trying to change the entire transportation system in California from diesel to electric at the same time, the system will become far less efficient, costing Californians and even the rest of America far more money for their products.
What Does Steve Forbes Have to Say?
Steve Forbes reported all of these problems, as well as a few others, in a video he posted on the Forbes Breaking News YouTube channel.
The famous and wildly successful businessman explained that the regulation to transition all trains from diesel to batteries over the next decade is unquestionably a mistake. He even went so far as to call the California government mismanaged and over-regulated.
Banning Fossil Fuels Will Wreck the California Economy
Forbes also noted that California’s politicians are ignoring the current technological capabilities and the economic realities they face and that California’s attempt to ban fossil fuels will actually do more harm to the state than good.
It’s important to note that Forbes is known for his controversial stance on the banning of fossil fuels. He argues that banning these energy sources will be extremely detrimental to the economy. While he doesn’t deny climate change, Forbes clearly believes that the economy is more important than environmentalism.
The California Economy Can’t Get Any Worse
Even those who disagree with Forbes’ stance and believe that saving our planet from climate change is worth the money can’t argue that California’s economy is in trouble.
Aside from the billions of dollars in deficit the state is facing, Californians are struggling to remain in the increasingly expensive state. Hundreds of thousands of people have already fled the state for a more affordable life, and experts argue the California exodus is far from over.
What’s Next for California?
If California can’t stabilize its economy, get out of debt, and start making money again, all of these green energy initiatives will be in vain, as the state won’t be able to afford any new projects.
So, will all trains in California be fully eclectic by 2035? With the presidential election right around the corner, it’s too soon to say. If Biden wins, he may bail the Golden State out of its slump and help it reach its zero-emission goals, but if Trump takes back the White House, he will do no such thing.
