energy supply
A season of paradox
Tuesday, December 22nd, 2009
Folks living within a vast swath of the eastern United States had their festive plans for caroling and last-minute holiday shopping disrupted over the weekend by the biggest snow storm in years. In many regions like the greater Washington D.C. area, the storm shattered old records for December snowfall … and winter hadn’t even officially begun yet.
The blizzard, combined with the sub-freezing temperatures, all but promises a white Christmas in regions hit by the storm.
Of course, snow days and sledding and cozy times together by an indoor fireplace come along with treacherous roads and driveways that need to be shoveled and the high heating bills required to keep everyone warm inside.
And this year, as people brace for those wintertime heating bills, they’ll be chagrined to discover that the soft economy has done little to lower the cost of keeping their homes warm. It’s an ongoing paradox we’ve discussed here before: how the normal rules of supply and demand don’t really apply when the product in question comes from overseas sources that have their own way of artificially controlling pricing.
Last summer, we discussed how oil prices were rising despite soft demand and swelling inventories. This winter, prepare for more of the same. We’re approaching our third straight year of economic downturn, and supplies of heating oil are overflowing, so much so that the early snowy cold spell isn’t expected to make much of a dent. Still, many forecasts show consumers paying more for their heating oil this year than they did in 2008 – when, by the way, it was hardly cheap.
Low demand and high prices: It’s a paradox indeed, but it’s not a mystery. Heating oil prices rise when crude oil prices rise. And here in the U.S., crude prices rise for all sorts of reasons, usually reasons that have little to do with supply or demand, or even the weather. Like so much of the oil we consume, the explanation for those persistently high winter heating prices is located far from home.
Wishing you a warm holiday.
Tags: CEA, Consumer Energy Alliance, domestic energy, energy prices, energy security, energy supply, natural gas, oil
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Old, but not over the hill
Thursday, November 19th, 2009
Here’s an important detail about the strength of our domestic oil industry that is often lost in the larger debate over opening more of the country to drilling and exploration: Yields are up at many existing oil fields.
The American Petroleum Institute reported this week that U.S. crude oil production reached a four-year high in October, due largely to the success of advanced drilling technologies that have helped improve yields in deep waters in the Gulf of Mexico and elsewhere.
It’s a milestone that is important for a number of reasons. It shows that the oil sector is inventive and enterprising, constantly adopting new techniques that will improve on the existing way of doing business.
These high yields, mind you, are coming from some not-so-young properties, at a time when critics maintain that oil is past its prime, and past its peak. And they beg the question, if oil producers can increase yields from existing properties, what might they be able to achieve on a spanking new field in one of the disputed sites around the country?
The 5.36 million barrels of crude oil per day that were produced during the month of October offer strong evidence in favor of additional drilling around the country. It’s a strong level of production that suggests that additional exploration has a high likelihood of success, and also that the producers overseeing the drilling would make the most of each project, just like they are doing at older fields. It flies in the face of the notion that the oil industry favors drilling with abandon, or only wants to break ground on new sites because all of the older ones have dried up. Rather, it reflects a long-term commitment to each and every project.
The debates over new drilling around the country may take a long time to resolve. But it’s nice to know that oil producers are keeping busy while they wait.
Tags: CEA, Consumer Energy Alliance, domestic energy, drilling, energy policy, energy prices, energy supply, natural gas, offshore, oil
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Silent majorities and dressing for success
Thursday, September 24th, 2009
You might have seen some news coverage lately about protesters dressed in cute salmon costumes and even cuter polar bear costumes, who delivered with much ceremony, bags of letters to the Interior Department in Washington D.C. that argued against new offshore drilling in the U.S. By the protesters’ own count, 250,000 letters, postcards, and whatnot were delivered.
There was another story that went largely unreported: The Interior Department received an even larger number of letters supporting responsible exploration and production. For the record, more than 360,000 Americans have sent letters of the pro-responsible drilling variety to Interior Secretary Ken Salazar over the past six months. To date, these letters account for more than 60 percent of the comments received by Interior.
That’s a significant margin, and all the more so when you consider the nature of the debate. Let’s face it: In the court of public opinion, oil often faces an uphill battle. It’s easy to call yourself an environmentalist and jump on an anti-oil bandwagon without really knowing all the facts. It can take more time and work to consider the country’s significant energy needs and develop an informed stance on how we meet them.
So first of all, Thank You! For months, CEA has been working on this blog and elsewhere to organize support for responsible offshore drilling. The matter has been in legal limbo since earlier this year, when lawmakers enacted a series of barriers that effectively reversed President Bush’s move to lift an 18-year ban on offshore drilling on most of the country’s outer continental shelf.
In recent months, supporters of producing oil domestically and reducing the country’s dependence on foreign oil have won a few battles, but a larger war on this matter wages. CEA is heartened by the volume of letters sent in support of our position. It underscores not just that there is a silent majority out there, but that a lot of people care deeply about energy independence.
So then, why is it that majority is so often a silent one to the media? Because polar bears do have a lot of appeal. No matter if polar bears are not really at the core of this debate. No matter if they were just polar bear costumes. No matter if those protesters enjoying an early Halloween drove all the way to Washington in cars that run on oil. They play well on TV.
You can entertain ways that our side might dress for comparable success, or comparable media attention, but we haven’t come up with anything really catchy yet. Perhaps this is because the image of responsible oil production and energy independence is really just the image of everyday people going about their business with a little more ease and a little less strain. It’s the image of the family that is not forced to cut back on food to pay for heating oil, of the worker who doesn’t pay excessive amounts of his paycheck on his commute, of the trucker who isn’t taken into the red by filling up at the pump.
If any readers out there can think of an image that might overshadow the salmon costume in Washington, please let us know. Until then, we hope you’ll continue the quiet battle for the attention of our lawmakers. Know that your voices are being heard, even if your attire goes unnoticed.
Tags: CEA, CEA Energy Grass Roots, Consumer Energy Alliance, Consumer Energy Issues, Department of the Interior, energy, energy policy, energy prices, energy security, energy supply, gas, Obama, ocs, offshore, oil, Secretary Salazar
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Saving energy in mid-air
Wednesday, September 23rd, 2009
The term “as the crow flies” is often used to explain why the actual distance between two spots is shorter than the driving distance. You might think that, unlike cars, airplanes do fly in the same way crows fly, taking the most direct route between Point A and Point B, but it turns out that they don’t. Outdated air traffic control technology doing its best to maintain order in crowded skies means that planes take quite circuitous routes, particularly during takeoff and landing, resulting in widespread delays, noise pollution and greater fuel emissions.
Now that you know this problem exists (it can be hard to follow the path you’re taking through cloud cover), know that a solution is on the way. The federal government has committed $865 million toward a Next Generation Air Transportation System and different companies are developing advanced GPS technologies that would make flight navigation a lot more efficient.
Most commercial planes today must be taken through a complex, sort of stair step landing process, in which they reduce their altitude in stages: slowing down and descending a bit and then accelerating again to maintain the new altitude before air traffic control guides them through another “step” down. That’s what pilots are describing when they say they are beginning their “initial descent.” Passengers may notice this choppy slow down/speed up cycle that begins long before touchdown. It’s a time-consuming and fuel-consuming system and when the air space is really congested, planes are often directed significantly off course as they line up for their turn at this elaborate descent to the runway.
New technology made by the Kent, Washington-based Naverus, and by a subsidiary of Boeing would help flights take more direct paths by using a satellite-guided descent that smoothly takes them from cruising altitude down to the ground with a precision that air traffic control rarely achieves.
This simulated video of a flight across America offers some sense of how so-called direct flights are repeatedly subject to a change of course, but really does not capture all the waste in time and fuel that may result. A recent story on some of the new technology now being tested at Seattle-Tacoma International Airport explains in more detail how flights are often taken significantly off course.
Alaska Airlines, which is already testing the new “Optimized Profile Descent” technology, estimates that it could save 2.1 million gallons of fuel per year, just on flights approaching Seattle from the west.
Factor in more airports using this technology on multiple flight paths, and the savings multiply. Thanks to both the government’s commitment and to some entrepreneurs’ ingenuity, the savings could be right on the horizon.
Tags: airlines, CEA, Consumer Energy Alliance, Consumer Energy Issues, emissions, energy, energy supply, fuel, gas, oil, savings
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CEA: Russian, Cuban Offshore Energy Production Agreement Must Send Strong Message to Washington
Tuesday, August 4th, 2009
WASHINGTON – August 4, 2009 Reports have surfaced that Russia and Cuba have struck a multi-million dollar deal that will, in part, expand energy production in Cuban waters. According to Reuters, “Russia and Cuba have signed contracts that “set the bases” for Russian oil company Zarubezhneft to search for oil in Cuba’s part of the Gulf of Mexico.” Michael Whatley, Vice President of Consumer Energy Alliance (CEA), issued this statement:
“As officials in Moscow and Havana work to expand energy production just miles from the Florida Keys, vast amounts of American energy resources – both on and offshore – remain padlocked by the federal government.
“Actions are underway, though, in Washington that may affect what domestic resources American consumers can access. Ken Salazar, secretary of the Interior, is readying a proposal that could ultimately determine where offshore energy production could occur. It is vital that Secretary Salazar’s five-year outer continental shelf development plan opens our waters for responsible, 21st century energy development, especially in Alaska’s resource-rich seas.
“As small businesses continue to struggle to make payroll and keep their doors open, and as families are forced to make difficult decisions and tighten their belts, we must move forward with policies that reduce energy costs across the board. What our economy, and our nation, desperately need from Washington is commonsense, supply-focused energy plans that ensure environmental safety, and that American consumers have access to affordable, reliable, and efficient energy.”
Read More:
- Under the headline “Global economy at risk from oil price rise,” the Financial Times report this yesterday: “The world economy cannot sustain any further rise in the oil price, the International Energy Agency’s chief economist warned as oil prices rose toward a record high for the year. Fatih Birol told the Financial Times that prices higher than about $70 could dampen a world economic recovery. “If we go one step further, if we see prices go much higher than that, we may see it slow down and strangle economic recovery,” he said of oil prices on Friday.”
- The Southeast Energy Alliance, the southeastern chapter of CEA, released a study on the economic impact that responsible offshore energy development could have on the state of North Carolina. Among its key findings, the report found that offshore oil and gas exploration could create more than 6,700 new jobs in the state, increase North Carolina’s GDP by $659 million a year, and generate approximately $148 billion in federal, state and local revenues. Click HERE to view the report.
Tags: Add new tag, Cuba, energy, energy policy, energy security, energy supply, government, ocs, offshore, oil, Russia, Southeast Energy Alliance
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One year later, a nation still waits for home-grown oil
Tuesday, July 14th, 2009
July 14, 2008 should have been an historic day. One year ago today, President Bush lifted an 18-year-old ban on offshore drilling in most of the country’s outer continental shelf (OCS). It was a milestone in the country’s longstanding desire to break its addiction to foreign oil by allowing more responsible production at home.
But today, July 14, 2009, not only is there no new drilling activity, but there are troubling signs that our country is moving in the opposite direction, restricting more land and offshore sites than ever before.
A couple of things have happened in the weeks and months since the OCS ban was lifted. First, a severe economic downturn resulted in the highest unemployment in a generation, diminished corporate profits, and widespread failures of small businesses that could no longer make ends meet. And then, at a time when everyone desperately needed a collective break just to get by, lawmakers put up a series of new barriers destined to put the country right back on the old, unsustainable path of buying increasing volumes of fuel from overseas.
This past February, Interior secretary Ken Salazar rescinded 77 leases that had already been awarded on energy-rich land in Utah and shut down an oil shale leasing program that had been focused on cleaner, more efficient ways to tap vast U.S. shale reserves.
A policy of restricting so much domestic oil production was never logical, but in the current environment it is downright foolhardy. The government is pumping hundreds of billions of stimulus dollars into the economy, but cutting off one of our most pervasive industries.
Today, House Ranking Member Doc Hastings along with former Speaker of the House Newt Gingrich and Tom Pyle, who heads the Institute for Energy Research will hold a press conference on Capitol Hill to call attention to this lack of progress over the past year.
The event begins at 11 a.m. For more information about this important event, contact Congressman Hastings’ office at (202) 226-2311.
Tags: CEA, CEA Energy Grass Roots, congress, Consumer Energy Alliance, Consumer Energy Issues, Department of the Interior, drilling ban, energy, energy policy, energy prices, energy supply, exploration, foreign oil, gas, natural gas, ocs, offshore drilling, Secretary Salazar
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Call to action: CEA needs your help in securing greater supplies of offshore oil & gas!
Friday, July 10th, 2009
The country’s extreme dependence on foreign fuel is all the more stunning when you consider the abundance of untapped oil and natural gas that lies within our borders and below our coastal waters.
The federal government estimates conservatively that there are 288 trillion cubic feet of natural gas and 52 billion barrels of oil in the Outer Continental Shelf (OCS). If those kinds of numbers make you glaze over, here’s a better visual: The estimated reserves would provide enough gasoline for 132 million cars and heating oil for 54 million homes for 15 years along with enough natural gas to heat 72 million homes for 60 years.
Alternatively, it could supply current industrial and commercial needs for 28 years, or all of the country’s electricity generating needs for 53 years. That’s a lot of fuel that wouldn’t have to be shipped here from somewhere else.
And none of that includes Alaska. The federal government estimates that the waters off Alaska hold about 27 billion barrels of oil and 132 trillion cubic feet of natural gas.
This is oil and gas the country badly needs. Even under the most aggressive projections for the development of alternative energy sources, U.S. demand for oil and natural gas is expected to continue to grow for at least 20 years.
The process of selling offshore leases is a complex matter with a complex history that is outlined in more detail on our home page. The key point to remember, however, is that this is a critical time for determining the country’s energy development policy for years to come, and potentially reversing a moratorium on new offshore leasing that has been in place since 1983.
CEA’s members understand that a strong and steady supply of domestic oil will not only help reduce oil price volatility; it will support jobs and all the multiple industries that run on oil, while providing relief to families and small businesses. Now we need your help in making sure that message is heard loud and clear.
The Call to Action on our Web site outlines why more oil friendly policies are critical to our economy, and explains how you can help by writing to the Obama administration. Feel free to use the attached text, or to write in your own words about what greater domestic energy production would mean to you, your business and your community.
And please write soon. The public comments period closes in September.
Tags: Add new tag, CEA, CEA Energy Grass Roots, congress, Consumer Energy Alliance, Department of the Interior, energy, energy independence, energy policy, energy prices, energy supply, exploration, gas, government, MMS, natural gas, Obama, ocs, offshore, oil, Secretary Salazar, the Consumer Energy Alliance
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Offshore drilling and pristine beaches: No reason you can’t have both
Wednesday, June 24th, 2009
Anyone unsure about how much oil drilling technology has improved in recent years need look no further than Santa Barbara, Calif.*
Environmental and oil interests in Santa Barbara aren’t always aligned, and yet day to day, they coexist extremely well. That is to say, that on just about any given day in Santa Barbara, you’ll find surfers riding waves, families playing in the sand, sunbathers basking in a climate so perfect it’s commonly called American Riviera … and off in the horizon, a series of oil platforms.
For first time visitors, these rigs are something of a curiosity, but soon enough they become part of the scenery. Far from the beach, there may be heated debates over whether those rigs should be there at all, but on the beach, no one seems bothered.
It’s important to keep Santa Barbara in mind now as many states around the country, including some popular tourist destinations like Florida, consider new offshore drilling projects as a way to breathe life into their economies.
Earlier this month, the Senate Energy and Natural Resource Committee approved expanded oil and gas drilling in the eastern Gulf of Mexico, a region near the coast of Florida which lawmakers had previously deemed an oil-free zone. It was a breakthrough in efforts to adopt a more reasonable offshore drilling policy that would protect the environment and the tourism industry, while stimulating the economy. And while certain groups are, as expected, strongly opposed to any loosening of restrictions in the eastern Gulf, Florida’s tourism industry was not one of them.
Florida’s beaches are a main destination for tourists from around the country and the world, so it’s reasonable to assume the state’s tourism sector would come down on the anti-drilling side, if for no other reason than a desire not to preserve the status quo.
Last year, however, the tourism industry in Florida realized that preventing change in its own backyard would not prevent change from coming.
That change careened into Florida last summer in the form of crippling oil prices that put the brakes on a lot of tourism. Suddenly, a few oil platforms on the horizon didn’t seem like the worst thing that could happen. Not even close, actually.
In a landmark meeting, the state’s tourism executives hosted a summit to consider whether beaches and oil rigs could successfully coexist and the state’s advertising tourism arm, Visit Florida, reversed a longstanding opposition to offshore drilling. Governor Charlie Crist noted that while Florida was obliged to protect its beautiful beaches, it also had to support policies that would enable people to travel to the state.
One year later, the debate is still raging. But the fact that there’s a debate at all — in a state whose beaches attract millions of tourists — is progress.
The oil industry, of course, understands that tourism on the coast and industry offshore can work well together, particularly given its steadily increased focus on cleaner drilling technologies. After years of trying to get the word out about these improvements, people are starting to listen.
*In 1969, there was a devastating spill off the coast of Santa Barbara, and while the oil that washed up on shore is long gone, the memories and the fears still linger. It’s hard to make a strong argument for the merits of offshore drilling without acknowledging that accident. That spill forty years ago set in motion a wave of environmental activism, as well as a drive within the oil industry to develop better, safer drilling practices and operate with heightened sensitivity to its surroundings.
Tags: Add new tag, CEA, CEA Energy Grass Roots, clean, congress, consumer energy alliance grass roots, consumer energy alliance grassroots, Department of the Interior, energy, energy policy, energy prices, energy supply, environment, exploration, Florida, gas, government, natural gas, offshore drilling, oil, tourism
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When the economy cools, debate over domestic drilling heats up
Monday, June 1st, 2009
California, with its vast oil reserves on the one hand and its extensive and scenic coastline on the other, has long been ground zero for the crusade against domestic drilling. Overnight, it seems to have become the site for some of the most levelheaded debating on the topic.
The San Francisco Chronicle recently published “Americans want it both ways,” in which Victor Davis Hanson, a historian at Stanford University’s Hoover Institution, highlighted the faulty logic of a community that wants to consume oil but does not want to produce it.
It is, of course, a very clear contradiction that should not even have to be spelled out in a serious editorial. The fact that many of our debates about energy policy seem to skip this basic reality underscores how the benefits of domestic drilling are like the proverbial pink elephant in a room, that everyone sees but no one acknowledges.
Hanson argues that the “not in my backyard” philosophy is not just narrow-minded but could be harmful. After all, where are people more likely to be able to ensure that the oil they consume is developed with respect for the environment: in their backyards or in some distant country that has barely a shadow of the conservation movement here at home?
“If we exploit our own energy carefully offshore and in Alaska, it will mean less sloppy foreign drilling off places like Nigeria or in the fragile Russian tundra to feed American cars and trucks,” writes Hanson. He also mentions all the jobs and money that could be saved if the U.S. produced more oil and imported less.
Anyone who has been following California state politics knows that Hanson’s remarks were prescient. Governor Arnold Schwarzenegger, seeking ways to close the state’s gaping budget deficit, is seeking to open California waters to new oil drilling projects for the first time in 40 years.
The proposal was immediately met with much resistance, but the opposition was not across the board. Many groups, including some local environmental groups in Santa Barbara, near the site of the proposed new project, expressed a willingness to negotiate.
It’s not entirely clear if Schwarzenegger’s proposal represents the best way to expand offshore drilling in California. What is highly encouraging is that the nature of the dialogue is more open and honest than we’ve seen in years. It focuses not just on the alternative sources of power we need to develop for the future, but on the conventional power that is absolutely essential today. And that sort of honestly that addresses our needs as well as our dreams is, in the long run, the best way to come up with real solutions for protecting our environment, along the California coast, and all around the world.
Tags: CEA Energy Grass Roots, consumer energy alliance grass roots, consumer energy alliance grassroots, domestic energy, drilling, energy supply, gasoline, natural gas, offshore, oil, the Consumer Energy Alliance, the Consumer Energy Alliance grassroots, U.S. wealth of energy resources
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Beyond Staycations
Tuesday, May 12th, 2009
Last summer, oil prices skyrocketed, and American consumers sat up and took notice. As the news media reported relentlessly about pain at the pump and staycations became all the rage among people who could not afford road trips, the topic of volatile oil prices made it to the forefront of the U.S. Presidential debates.
The furor, unfortunately, did not last.
Overall economic conditions have fallen so precipitously since then that today, people are more likely to be worried about having a job, than having the gas in their cars to get to work. Americans are now facing so many financial challenges that oil prices, which have for the time being come back down to earth, would seem by comparison to be almost inconsequential.
But energy continues to matter a lot, more than is often recognized in this time of bank bailouts and car company bankruptcies, lost jobs and postponed retirements. Energy is at the core of virtually every aspect of the economy, and of modern life itself.
Today, as we struggle to find ways to stabilize our fragile economy, we need to give at least as much attention to our domestic energy industry as give to Wall Street and Detroit. As U.S. workers bemoan the trend of outsourcing that has replaced so many of them with cheaper labor overseas, we need to consider the serious costs of importing more than half of all the oil we consume. And, as we cheer the long overdue focus on alternative sources of energy, we need to make a realistic assessment of what we have available today and how long it will take to transition to a new paradigm.
It’s understandable that consumers take interest in energy policy when prices rise, and then become more complacent when they drop. But it is the dramatic swing in prices in a short time frame that really captures how insecure our energy supply has become. Prices are bound to fluctuate, but when they become so volatile that manufacturers or truckers can not project costs from one month to the next, it becomes challenging to maintain a steady pace of business. By most estimates, millions of jobs were lost as a result of recent price volatility.
When the U.S. recognizes the wealth of energy resources contained within its borders, and works to develop them responsibly, it will be a more economically and politically secure country. A vital U.S. energy industry will not just provide steady employment for those who work in the sector, but will provide a secure supply of energy to support a multitude of other energy-dependent industries, from trucking to manufacturing, which ultimately supports the consumer.
The best ways to develop those resources is, and should be, the subject of debate. Yet, we need to reconsider some longstanding assumptions: Are sweeping moratoriums on offshore oil drilling, for instance, really in our national best interest?
If there was one good thing that came out of all the chaos of last year’s oil price, it was the renewed consumer interest in our country’s energy policy. Now we need to make sure that energy remains a key piece of our collective national agenda.
Tags: alternative sources of energy, Capitol Hill, Consumer Energy Alliance, consumer energy alliance grass roots, consumer energy alliance grassroots, Energy Day, Energy Day 2009, energy supply, offshore oil drilling, Staycations, U.S. wealth of energy resources
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CEA February 2009 Newsletter
Friday, February 6th, 2009
CEA Newsletter
Issue 23
Message from CEA President David Holt
As a new Congress and administration look to confront the historic and related challenges of an economy in peril and millions of Americans out of work, CEA continues to make the case that an “all of the above,” supply-oriented energy strategy remains the best and most immediate way to stimulate our economy, create new jobs, and generate billions in additional revenue.
Consistent with that message, I’m pleased to report that the New Year has started off well for CEA and its members. Just last week, CEA was interviewed by E&E TV, considered the pre-eminent energy trade publication in Washington, for an extended segment on the Administration’s economic stimulus plan and its potential impacts on energy prices for consumers (click here to see interview). We also recently placed a column in the Virginian-Pilot, a paper with broad circulation along the Atlantic coast, stressing the need to responsibly develop our offshore energy resources (click here to see op-ed).
These latest developments highlight the momentum CEA has gained and continues to gain in reaching out on a regional and national level to consumers, business and industry about relevant energy issues and ways on how we can secure our energy and economic future. With the new Administration in place and talk of the economic stimulus plan reaching a fevered pitch, it remains critical that we continue to push for open dialogue on energy policy and the need for a commonsense, long-term approach to resource development.
One of the best ways for us to do that is to keep educating consumers, businesses and Washington thought-leaders about energy – where it comes from, what it’s used for and how to keep it affordable. Starting this month, we will profile each of our more than 110 Affiliates every issue to show how energy impacts their individual members, in the process providing ours with a greater sense of whom we represent and what CEA is all about.
In turn, one of our Affiliates will provide a report every month on an energy topic related to its business. This month, IPAA has provided a brief report on hydraulic fracturing, a process used to extract oil and natural gas from tight rock formations. We will also begin a “Consumer Corner” feature in the next couple of months that will provide information to our members on specific energy consumer issues, including tips on ways to conserve energy and become more efficient.
Effective dialogue can only take place if we are all properly informed about the issues at hand. CEA strives to give you the information you need to take part in the debate, and we look forward to finding more and better ways to do this.
David Holt
President
Support the Five-Year Plan Draft Proposed Program to Develop Offshore Oil & Gas Resources!
A significant domestic supply of energy can be safely and efficiently found right here off of America’s shores. The U.S. Minerals Management Service (MMS) currently administers the considerable oil and natural gas resources contained in our offshore waters and wants to hear from you about offshore oil and gas development.
Opposition to offshore energy development is mounting. We need you to let Washington know you support reasonable accesss to America’s offshore energy resources.
Support Offshore Wind Power!
The Minerals Management Service is now accepting public comments on a final proposal to develop an offshore wind energy facility off of the Massachusetts coast.
The Cape Wind Energy Project has the potential to power more than 200,000 homes in Massachusetts.
U.S. Oil Reserves grew 2% in 2007 according to U.S. Energy Information Administration figures
In contrast to steep decreases in domestic crude reserves from the 1970’s on that became more moderate in the last ten years, the EIA reported in late January that proved U.S. oil reserves rose in 2007 by two percent, or 345 million bbl, reaching 21.32 million bbl by the end of that year. Due to the time required to develop final reports, the figures do not include the price volatility experienced during 2008, when crude oil prices ranged from a high of $150/bbl then dropped to $40/bbl. Read article…
Future holds solar-powered cars; Toyota offers solar panel option on 2010 Prius
Though cars powered solely by solar power are still in the distant future, automobile-makers are beginning to offer solar options on vehicles. The third generation Toyota Prius, coming this spring to a dealership near you, will feature an optional roof solar panel to power the car’s ventilation system. Read article…
Hydraulic Fracturing: What it means for the future of your business?
As consumers, we can tend to take for granted how much energy we use on a daily basis. Not only does oil and natural gas provide energy at home by giving us light when we flip on a switch, hot water for the shower, power stoves to cook meals, keep us warm in the winter and cool in the summer, but it also serves as a feedstock for the fertilizer used by corn growers and others in the agriculture industry, powers engines for the air and trucking industries, and makes the insulation and vinyl that home builders use to protect and preserve the home and make it more energy efficient.
At the Independent Petroleum Association of America (IPAA), we welcome the production of all energy sources because we will need it all as America moves forward. The fact is energy is the driving force of the American economy. Oil and natural gas supply about 65 percent of America’s energy needs. Even with additional energy resources such as wind, solar and other alternatives, oil and natural gas will continue to be the main driving force of our economy for the foreseeable future.
Hydraulic fracturing is a process that has successfully been used for more than 50 years to extract oil and natural gas from tight rock formations in the earth. This innovative technology has allowed improved recovery of valuable energy resources all across the United States, and the majority of natural gas produced in the last two years can be attributed to this process.
Right now hydraulic fracturing, an essential process for oil and natural gas production, is being challenged by a few groups and some political leaders as a harmful process in attempts to end its use. These allegations are unfounded. If you take away hydraulic fracturing from the oil and natural gas industry, it is like taking the robotic machines off of the assembly line at a car manufacturing facility. It would drastically reduce supply. The bottom line is if the supply of American oil and natural gas decrease because producers can no longer employ hydraulic fracturing, negative ramifications will ripple across every sector of the economy. That ripple effect will undoubtedly reach all consumers.
For more information on hydraulic fracturing, click here to view a fact sheet. If you have any questions or would like additional information, please contact IPAA Vice President of Government Relations Lee Fuller at lfuller@ipaa.org or 202.857.4722.
Affiliate Spotlight: 60 Plus Association
When it comes to fighting for the rights of senior citizens and advocating policies that watch out for their interests, 60 Plus Association, a 15-year old non-partisan, free enterprise seniors’ activist organization, is there to do the job.
The group’s outlook, according to founder and Chairman Jim Martin, is less government, less taxes and adhering to the rule of supply and demand in the forefront of free marketplace dynamics.
Tags: 60 Plus Association, Cape Wind Energy Project, CEA, CEA Energy Grass Roots, Consumer Energy Alliance, consumer energy alliance grass roots, consumer energy alliance grassroots, Consumer Energy Issues, Department of the Interior, E&E TV, energy, energy supply, exploration, Five-Year Plan Draft Proposed Program, gas, Hydraulic fracturing, Independent Petroleum Association of America, IPAA, Minerals Managemnet Services, MMS, natural gas, natural gas supply, offshore energy resources, offshore wind, oil, solar, solar panels, solar power, Virginian-Pilot
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Consumer Energy Alliance Hosts Energy Forum in Conjunction with Release of Energy Price Impact Publication
Monday, September 15th, 2008
WASHINGTON, DC – SEPTEMBER 15, 2008 Consumer Energy Alliance (CEA), a non-profit, non-partisan energy consumer advocacy group, hosted its inaugural CEA Energy Forum on Capitol Hill today in conjunction with the release of its energy price impact publication, “The Impact of High Energy Prices on Key Consumer Sectors of the U.S. Economy”.
“CEA was thrilled to host its first Energy Forum and showcase the release of our energy price impact publication. The forum was a great opportunity to bring together Members of the U.S. House of Representatives and their staffs with a unique collection of stakeholders, as well as representatives from both the Obama and McCain presidential campaigns, for a discussion on the impacts of high energy prices and possible solutions to improve U.S. energy policy,” said David Holt, president of CEA.
Holt continued, “Every sector of the U.S. economy is affected by high energy prices. Consumer Energy Alliance believes that our energy price impact publication provides a good summary of information from key consuming sectors on how energy prices are negatively impacting their respective markets — from airlines to trucking to retirees to small business — and the overall economy. In short, all the members of CEA agree: America needs long-term national energy security and reasonable prices for energy consumers.”
With almost 60 Members of Congress on its Host Committee, the forum featured key remarks from Representatives John Shimkus (R-IL), Tim Murphy (R-PA) and Adam Putnam (R-FL) who addressed Energy Forum attendees about the impacts that high energy costs are having on consumers and introduced the event’s consumer panel and publication discussion.
The forum also featured remarks by Jason Grumet from Sen. Barack Obama’s Presidential Campaign and Elizabeth Ames Jones from Sen. John McCain’s Presidential Campaign who both addressed the need for balanced energy policy.
‘Senator Obama understands that great nations take on great challenges – and that, with the right kind of leadership, we can reconcile a balanced comprehensive energy policy with significant reductions in carbon emissions,’ said Jason Grumet, executive director of the National Commission on Energy Policy and representative from Sen. Obama’s campaign, ‘We are pleased that Consumer Energy Alliance is helping to lead the effort in support of balanced energy policy. CEA’s members will bear the burden of helping to meet future energy and climate change challenges.’
‘We are proud of CEA’s role in helping to enact balanced energy policy. Sen. McCain understands that a balanced energy policy must include increased access to domestic oil and gas, a robust nuclear program and expanded use of alternative energy, like wind,’ said Elizabeth Ames Jones, Texas Railroad commissioner and representative from Sen. McCain’s campaign.
In addition to Congressional and campaign remarks, industry leaders participated in a panel discussion about consumers and discussed CEA’s publication, “The Impact of High Energy Prices on Key Consumer Sectors of the U.S. Economy”. The panel included: Greg Cohen, President, American Highway Users Alliance; Rich Moskowitz, Counselor, Regulatory Affairs, American Trucking Associations; and, Todd McCracken, President, National Small Business Association.
While the panelists each commented on the impact that high energy prices are having on their particular sectors, they also offered ways in which high energy costs could be alleviated. All of them agreed with the remarks given by the Members and presidential campaign representatives that called for balanced national energy policy approaches and recognized the need for continued dialogue among industry, consumer groups and Congress.
‘If we are going to meet the energy needs of a growing world, we need an energy policy that recognizes that we need it all – more domestic oil and gas, more renewables, more conservation and efficiency and less CO2,” said Jack Belcher, manager, Regulatory Affairs and Policy at Shell Exploration & Production Company, who attended the Energy Forum.
The Host Committee for the CEA Energy Forum included representatives John Barrow (D-GA); Joe Barton (R-TX); Tim Bishop (D-NY); Marsha Blackburn (R-TN); John Boehner (R-OH); Mary Bono (R-CA); Allen Boyd (D-FL); Kevin Brady (R-TX); Howard Coble (R-NC); Mike Conaway (R-TX); Jim Costa (D-CA); Henry Cuellar (D-TX); John Culberson (R-TX); Geoff Davis (R-KY); Philip English (R-PA); Mary Fallin (R-OK); Bill Foster (D-IL); Phil Gingrey (R-GA); Charles Gonzalez (D-TX); Bob Goodlatte (R-VA); Sam Graves (R- MO); Gene Green (D-TX); Ralph Hall (R-TX); Robin Hayes (R-NC); Bob Inglis (R-SC); Darrell Issa (R-CA); Jesse Jackson (D-IL); William Jefferson (D-LA); Sam Johnson (R-TX); Walter Jones (R-NC); Randy Kuhl (R-NY); Doug Lamborn (R-CO); Nick Lampson (D-TX); John Larson (D-CT); Tom Latham (R-IA); Robert Latta (R-OH); Connie Mack (R-FL); Carolyn Maloney (D-NY); Michael McCaul (R-TX); Louise McIntosh Slaughter (D-NY); John Mica (R-FL); Jeff Miller (R-FL); Timothy Murphy (R-PA); Sue Myrick (R-NC); Ed Pastor (D-AZ); Donald Payne (D-NJ); Mike Pence (R-IN); Ted Poe (R-TX); Adam Putnam (R-FL); George Radanovich (R-CA); Mike Ross (D-AR); John Shadegg (R-AZ); John Shimkus (R-IL); Thomas Tancredo (R-CO); Edolphus Towns (D-NY); and Mark Udall (D-CO).
Participating organizations included: 60 Plus Association; Agriculture Energy Alliance; Air Transport Association; American Association of Petroleum Geologists; American Chemistry Council; American Exploration & Production Council; American Gas Association; American Highway Users Alliance; American Iron & Steel Institute; American Petroleum Institute; American Public Gas Association; American Trucking Associations; Americans for American Energy; Association of Corporate Travel Executives; The Center for North American Energy Security; Environmentally Conscious Consumers for Oil Shale; Grocery Manufacturers Association; Independent Petroleum Association of America; National Association of Manufacturers; National Association of Neighborhoods; National Ocean Industries Association; National Petrochemical and Refiners Association; National Small Business Association; Nuclear Energy Institute; Southeast Energy Alliance; U.S. Oil & Gas Association.
CEA’s energy price impact publication, “The Impact of High Energy Prices on Key Consumer Sectors of the U.S. Economy”, is available on its website at www.consumerenergyalliance.org. Please click here to view publication.
In the coming months, CEA will provide additional reports outlining the impacts high energy prices have on the economy and possible solutions to meeting the U.S. energy challenge.
CEA’s mission is to expand the dialogue between the consuming and energy sectors to improve overall understanding of energy security and the thoughtful development and utilization of energy resources to help create sound energy policy and maintain stable energy prices for consumers.
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