"A government big enough to give you everything you want, is big enough to take away everything you have"
Thomas Jefferson

Monday, June 30, 2008

More On Energy, Opposing Viewpoints, & McHugh Has It Right

Gas prices and energy cost is the most important topic on the minds of voters. It is affecting every aspect of the lives of people, from food cost to getting to and from work to looking ahead at heating their homes.

A energy proposal by Congressman McHugh was posted a few posts back, click here for a review.

Karen Harbert, executive vice president and managing director, Institute for 21st Century Energy, writes a piece titled "Dear 44: Taking Back Our Energy Future" to read it, click here.

Here is a highlight.
What most Americans do not realize is that many of our nation’s energy troubles are self-inflicted and that they can responsibly be remedied right here at home. A substantial amount of our nation’s resources lie beneath federal lands and off the coasts of the United States. Recent estimates indicate that approximately 116 billion barrels of undiscovered recoverable oil resources and more than 650 trillion cubic feet of recoverable natural gas resources lie in these areas. To put these figures in perspective, that's enough oil to replace U.S. oil imports for 40 years and enough natural gas to warm all American households, heated with natural gas, for well over a century. 

Daniel J. Weiss, a senior fellow and director of climate strategy at the Center for American Progress Action Fund puts out an opposing viewpoint on an energy plan title "Dear 44:  Drilling only benefits Big Oil" to read it, click here.

Here is a highlight.
With only 2 percent of the world’s oil reserves, and one-quarter of its consumption, we cannot drill our way to lower prices. Instead we must reduce demand to reduce costs. Mass transit can reduce gasoline use. But transit remains inaccessible or too costly to many people. The Highway Trust Fund provides only 16 cents of every gas tax dollar for transit while the rest goes for highways. Congress should significantly increase the transit share. These funds could expand rail and bus availability and reduce costs.
Weiss points out
What’s more, big oil companies have failed to develop their existing offshore leases. The Natural Resources Committee found that they produce oil or gas from only one-quarter of the 44 million acres of leases held in the western Gulf of Mexico. Before giving Big Oil access to our shining seas, they ought to develop what they already have.


One note to clarify this point made in his article.

It is existing law that a company forfeits their lease within 10 years if they fail to produce and imposes mandatory penalties if they do not start drilling. There is a price to pay for Big Oil companies failures.

Further exploring and surveying needs to be done in order to determine if sufficient quantities exist to drill for, this combined with paying billions to lease the land from the federal government is enough prompt oil companies to act in a timely manner before the lease expires.

Leasing the land and spending billions for a defensive posture in order to drive consumer prices higher, would be an irrational position.

Most of the energy rich areas are currently off limits for exploration, that is what needs to change.

McHugh is on track with his proposal!

13 comments:

Anonymous said...

Hell yeah! I want some of that undiscovered recoverable oil.

Anonymous said...

Sure! After 7 years of sitting on his butt while he supported Bush and his boys with record subsidies and free reign to screw you over and allowed Big Oil executives to testify without taking an oath, you think McHugh now has it right. You had better stick to selling flowers, Scott.

Anonymous said...

Republicans have been tolerating Ted Ford and his misaligned views being splashed across the internet for a few years and now there is another point of view and the Democrats can't handle it.

I agree McHugh is on the mark with his proposal.

Dan Francis said...

I disagree totally: John McHugh's energy proposal falls short and flat with looked deeply, which I have.

1. He wants to take "new" revenues from "new" drilling like in ANWR to help develop "new" energy sources, but, McHugh doesn't want the giant oil companies like Exxon-Mobil to use any money from their quarterly profits ($36 BILLION) to date and have it put into the kitty for new sources, why not?

BECAUSE IT WOULD TAKE AWAY FROM THEIR PROFIT MARGIN. THEY'D RATHER HAVE THE CONSUMERS PICK UP THE TAB.

2. His $500 (for taxable year), but onlyn good for 6 month heating season = gimmick: what, maybe $20 a month during the harsh winter (savings/credit)?

* McHugh introduces this now: JUST IN TIME TO SEEK REELECTION/CAMPAIGN ADs ... nice try, John, close, but no cigar.

* * I call for a longterm total gas tax moratorium (all levels) until the price of gas gets back to or below $2.00. That's not a gimmick - it's real and it would help now!

Dan Francis said...

I disagree totally: John McHugh's energy proposal falls short and flat with looked deeply, which I have.

1. He wants to take "new" revenues from "new" drilling like in ANWR to help develop "new" energy sources, but, McHugh doesn't want the giant oil companies like Exxon-Mobil to use any money from their quarterly profits ($36 BILLION) to date and have it put into the kitty for new sources, why not?

BECAUSE IT WOULD TAKE AWAY FROM THEIR PROFIT MARGIN. THEY'D RATHER HAVE THE CONSUMERS PICK UP THE TAB.

2. His $500 (for taxable year), but onlyn good for 6 month heating season = gimmick: what, maybe $20 a month during the harsh winter (savings/credit)?

* McHugh introduces this now: JUST IN TIME TO SEEK REELECTION/CAMPAIGN ADs ... nice try, John, close, but no cigar.

* * I call for a longterm total gas tax moratorium (all levels) until the price of gas gets back to or below $2.00. That's not a gimmick - it's real and it would help now!

Dan Francis said...

Sorry about the double post - the P/C froze, then posted. Ooops...

Anonymous said...

It's good that you agree with yourself, Scott.

Anonymous said...

Oil and natural gas are finite products. In fact, OPEC (who has a clear interest in it) says "they will likely run out within decades."

It does not matter where we drill, or how many holes we put in the earth....WE NEED A LONG TERM PLAN. A REAL VISION!

McHugh's proposal is nothing visionary. It is the most obvious choice that comes to mind.

Anonymous said...

Drive less, demand more efficient vehicles, and change your energy lifestyle. Get used to the idea of $7.00 gasoline. You elected Bush and supporters like John McHugh. Quit whining about the results. Get used to it! The Republicans screwed you! It took 7 years to set up the foundation for this scam and it is not going to change one damn bit with McHugh. He helped us get to this point in the first place.

John McHugh is one of the least powerful members of Congress. The only reason why he is talking energy now is that it is a safe topic that he thinks he can get votes with. He can't do anything about it, either. He helped Big Oil get its way with the invasion of Iraq and "a price raise and big subsidy policy". If he is elected again, he will crawl back under his rock in Virginia and you will not see or hear from him again.

Anonymous said...

Who is in office? McHugh. He has it right? If he has it right, why is it so screwed up? You are a typical republican that will stand up for a republican even when they are way off base. Look at the last seven years Mr. Flower Boy. This country is close to the thirty's. Must be Trumans fault.

Anonymous said...

Oh Scotty Boy:

McHugh has it right? When did he get it right, in the middle of election season?

First, I don't think that anyone at any time in his 8 terms in the Congress has ever signed on to one of McH's proposed pieces of legislation in the Congress. I wonder if there is a single solitary bill that he has ever introduced that has been passed.
Andi I'm not talking about bridge names etc.

Second, won't a tax credit feel good and warm to you in the spring time following your bankruptcy from trying to pay your fuel bills in the dead of winter, health insurance bills and your AR mortgages?

Oh, he's got it right alright, try to phony up some legislation that's dead on arrival so he can look as though he actually cares. What are his heat bills in VA anyway?

Anonymous said...

Scott? Has the Board come to a conclusion about eliminating the tax cap on our share of revenues at the pump. The higher the gas goes, the more our county loses. Your stupid move had no effect on what we pay at the pump and what should belong to Jefferson County now goes into the pocket of the oil companies.

Anonymous said...

Hey Danny Francis:

For someone who is a candidate running for Congress, you spend a a lot of time posting on DD and Political IV...how many petition signatures do you have? When is your next fundraiser? I'm glad you are treating running for political office as a hobby.....

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