Every time the price of gas spikes, the U.S. is confronted with the same dilemma, yet we never seem to learn from it.
Rising oil prices, which cause us to pay more at the pump for gas, inevitably lead to a public outcry for more drilling and energy production. But each time the response from those who oppose any drilling, or most drilling, is that increased production now will do nothing for gas prices in the short term. In fact, they argue, it won’t do anything for at least five years or 10 years.
The problem is we’ve been hearing this same argument for 30 years.
We understand the fungible nature of commodities and that increasing drilling for fossil fuels is only a long-term solution because a meaningful increase will take some time. But the common-sense easing of restrictions on drilling now is not an effort to deal with today’s crisis but a way to deal with the next crisis.
Crude oil prices have surged lately, going over a $100 a barrel due in part to the turmoil unfolding in Libya. The volatility in the market has the potential to sink our tepid recovery. After all, the cost of energy is embedded in nearly all the things we do.
Some Democratic lawmakers have asked President Barack Obama to start dipping into the United States Strategic Petroleum Reserve, which now has 727 million barrels of crude. We believe this is a mistake. Prices are not yet at emergency levels and uncertainty in the region may mean things get worse before they get better. In addition, OPEC has begun to increase production and eased some of the pressure.
But we should not have to even discuss emergency reserves or rely on OPEC’s decisions.
We should be reliant on our own resource-rich country.
The Energy Information Administration, though, estimates that domestic oil production will dip in 2011 and 2012 due in part to the overzealous moratorium placed on deepwater drilling and the needlessly slow issuance of new permits. Only one new permit has been issued since the BP disaster.
Interior Secretary Ken Salazar offered disappointing answers as he was grilled by Colorado representatives regarding the administration’s lack of movement on this front at a recent House hearing.
We have long supported alternative energy and clean fuel efforts, but we also live in reality. Oil is the lifeblood of our economy and fossil fuels are still our predominant source of power and will be for the foreseeable future. Though most of our oil is imported from relatively stable nations such as Mexico and Canada, the volatility in the Middle East will continue to be a factor in price if we don’t become more energy independent.
We can’t allow politics and wishful thinking to threaten the prosperity and economic well being of the nation. It’s time to start creating the energy we need here at home, including development of nuclear energy.
