The Oil Problem (Editorial)

by Talk Business & Politics ([email protected]) 60 views 

In a supposed effort to bring down high gasoline prices, President Bush lifted a White House ban on offshore drilling.

It was, of course, primarily political maneuvering, as it would take a decade before any oil would come from new fields, and it would have absolutely no effect on today’s price of oil. But it allows Republicans, what some are calling the Grand Oil Party, to attack Congress for failing to allow offshore fields.

Two bans on offshore drilling have been in effect for decades – one by executive order from the White House in 1990 (an order issued by Bush I) and one by Congress in 1982 (during the Reagan administration). By itself, Bush’s symbolic move will not do a thing unless Congress acts.

Obviously, there is tremendous pressure to take some sort of action to deal with high gas prices. The GOP would like to place all the blame on Democrats who have opposed offshore drilling because of environmental concerns, despite the fact that both offshore-drilling bans came during Republican administrations.

During Bush’s radio talk in July, he said, “One of the factors driving up high gas prices is that many of our oil deposits here in the United States have been put off limits for exploration and production. Past efforts to meet the demand for oil by expanding domestic resources have been repeatedly rejected by Democrats in Congress.”

Bush proposes increased access to offshore exploration on the Outer Continental Shelf, tapping into the potential of oil shale, permitting exploration in northern Alaska, and expanding and enhancing refining capacity.

It makes sense to get started on that broad agenda now even if it will do nothing to alleviate current high fuel prices.

The Energy Department said opening the Pacific, Atlantic and eastern Gulf of Mexico regions to drilling would not have a significant impact on domestic crude oil and natural gas production or prices before 2030 – and who can predict what gasoline prices may be then? Gas could be an even more precious commodity, and even if the United States opens the new fields, the price likely would still be high.

Some claim that America cannot drill its way to energy independence. Conservation, alternative energy sources and technological advances are cheaper, faster, cleaner ways to meet energy needs.

We still believe it behooves Congress to lift the ban. Undoubtedly, the oil companies operating offshore rigs in the Gulf of Mexico have learned plenty from the storms they’ve survived. We’re hopeful they would seek to avoid any missteps that would force them to pay the cost of cleaning up huge oil slicks. We would like to think that during the past 25 to 30 years they’ve learned how to make those rigs less harmful to the environment.

Nothing done today will have an immediate impact on gasoline prices. Delaying the start of efforts to add to the oil supply, however, isn’t the answer.