Latest Update (08/17/08):
New images added which update
the breakdown of the price paid at the pump.
Click here for the primary post on this topic.
By far, the most fundamental cause of recent price spikes is nothing but demand for crude oil rising faster than the supply of crude oil.
If you want real and sustainable lower gasoline prices (and natural gas prices), the only thing required is approval from Congressional Democrats to allow us to recover the tremendous energy resources in ANWR and, better yet, The Outer Continental Shelf.
No, relief will not come overnight. It will take years. But, anybody who alleges there is any other “solution” that would come any sooner is blowing smoke up your ass for the sole purpose of getting your vote.
If Democrats had not spent the last 30 years blocking every effort to produce more domestic energy of any sort (including nuclear), energy prices would not be nearly as high as they are today.
Actually, in 1995, the Congress approved drilling in ANWR, but President Clinton vetoed it. So, if you want to blame an American President for today’s gasoline prices. Blame Clinton!
We have the domestic resources. We have the means to extract and utilize those resources without any meaningful harm to the environment. The only thing we lack is the political will on the part of the Congressional Democrats to “get ‘er done”:
1) In the Outer Continental Shelf alone, MMS estimates:
"the quantity of undiscovered technically recoverable resources ranges from 66.6 to 115.3 billion barrels of oil and 326.4 to 565.9 trillion cubic feet of natural gas"
The following chart breaks down the mean estimates for the various areas of the Outer Continental Shelf. Estimates are broken out for Oil, Natural Gas and BOE (a way to measure the energy potential of the oil and gas combined):
Click the image to view the source
2) We import from the Persian Gulf about 70 million barrels per month, or 840 million barrels per year.
Thus, at present levels of consumption, the Outer Continental Shelf alone could allow us to import zero oil from the Persian Gulf for as much as 137 years! Actually, our imports from The Persian Gulf have been steadily declining since 2001. Therefore, these potentials could likely last more than 137 years.
3) Furthermore, there is essentially no damage done to the environment by offshore drilling!
In fact, anyone who has ever gone diving on an offshore rig can tell you that marine life love offshore rigs.
4) Need we mention ANWR? Has CNN informed you that the area proposed for development totals "1/100th of one percent" of the total ANWR area:
Has CNN informed you that the “pristine wildlife plain” which Environmental Extremists seek to “preserve” actually looks like this:
Click this image & learn even more
Now, ANWR critics often refer to the following quote:
"Only the 1.5 million acre or 8% on the northern coast of ANWR is being considered for development. The remaining 17.5 million acres or 92% of ANWR will remain permanently closed to any kind of development. If oil is discovered, less than 2000 acres of the over 1.5 million acres of the Coastal Plain would be affected."
Yes, 1.5 million acres could be subject to initial exploration. But, once oil is discovered, only 2,000 acres would be subject to development. The entire ANWR reserve is 19.6 million acres. Therefore:
A) Less than 8% would be opened for initial exploration.
B) 1/100th of 1% would be opened for development.
5) In the near term, which is more likely to preserve our National Security during a crisis in the Middle East?
A) As yet unproven (and counterproductive) "Alternative Fuels"?
B) Tapping tremendous domestic potentials?
Sometime down the road we will no longer rely on petroleum as a principal energy source. But, in the near term, environmental extremism is a tremendous threat to National Security which offers no benefit to anybody (except, of course, those who profit by marketing Environmental Extremism).