Archive for the ‘oil’ Category

Offshore Drilling. Maybe Later?

Tuesday, February 10th, 2009

Before the economy collapsed in the fall, Republicans were planning on using offshore drilling as a political issue against the Democrats. It was going to be the perfect issue for the Republicans where they would have an actionable policy that the Democrats refused to go along with despite the wishes of the majority of the American people. The Republicans went so far as to choose Alaska Governor Sarah Palin based almost entirely on her support of oil drilling culminating in her catchphrase of “Drill Baby Drill.”

But the Democrats did not extend the offshore drilling ban. I am still not sure if the ban was not extended because the Democrats were not organized enough to renew the ban or if they realized it was bad politics and policy.

Now it appears that Barack Obama is at least putting into practice a delay of offshore drilling for 6 months. Interior Secretary Ken Salazar put out a statement saying that the administration wanted to extend the time for “review” on offshore drilling which is just a Washington D.C. of saying delay. Ken Salazar does give legitimate reasons which he may be sincere about including studying the uses of other forms of alternative energy and reconsidering the royalty rates on offshore drilling.

Obama should be prepared for the Republicans to use this against him. The Republicans will not turn down a political issue artificially causing oil prices to be higher.

Drill Now! Or in 7 Years

Friday, July 11th, 2008

From the latest article from The Hill it sounds as if some Democrats are moving towards expanding the areas where drilling is allowed. Quote:

The House is going to have its own “gang” of Republicans and Democrats who want to push for more drilling to relieve gas prices.

The Democrats in the group, led by Rep. Neil Abercrombie (D-Hawaii), will be bucking Speaker Nancy Pelosi (D-Calif.), who earlier Thursday called efforts to open up new areas to drilling “a hoax.”

Abercrombie announced late Thursday that he and Rep. John Peterson (R-Pa.), one of the loudest voices for more drilling, will form a bipartisan working group to discuss energy issues.

In an interview this week about his work with Peterson, Abercrombie said the Democratic message on energy is not working.

“Simply standing up and saying, you can’t drill your way out of this doesn’t work,” Abercrombie said. “The people are standing up and saying, ‘Yes, we can.’”

There are to be 20 members of the working group – 10 Democrats and 10 Republicans. The members will be announced Tuesday.

“In order for us to remain competitive and rescue ourselves from a second ‘great depression’, Washington needs to put the politics aside and address the crisis,” Peterson said in a statement announcing the working group.

Drilling is politically popular and will probably result in lowering the price of oil down the road. The federal government should allow states to have some say in whether or not drilling occurs in an area.

I understand the concern for the environmental damage that drilling would do but I would say that is a problem with the government owning such a large amount of land.

Drivin’ Down The Block

Monday, July 7th, 2008

Kevin Drum has a post pointing out that for the first time since 1983 the number of vehicle miles driven is down as compared to the previous year. This is a sign of how Americans have changed their behavior as a result of high gas prices.

offshore oil, come on bubble and boil

Tuesday, June 17th, 2008

Senator John McCain has proposed ending the federal ban on offshore drilling. This measure would then allow coastal states to decide whether or not to allow drilling for oil offshore. Offshore drilling has not been allowed since 1981.

John McCain told a conference cal
l:

Asked about the offshore drilling, McCain responded, “Right now there’s a moratorium, and they have to be lifted. I’m not dictating to the states that they drill for oil. I’m saying the moratorium should be lifted so states can choose that option if they want to.” He added that the situation might require “additional incentives… in terms of tangible financial rewards” to states that permit drilling. He said he didn’t have a particular position at this point on an appropriate distance from the coast for offshore drilling.

Oil prices are due almost entirely to supply and demand. One sure way to lower the price of oil would be to increase the supply through measures such as offshore drilling. At the very least decisions on whether or not to drill should be made by the states that will be most directly affected by offshore drilling.

This is a positive policy proposal by Senator McCain.