Consumer Energy Alliance

offshore

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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Don’t wait! Your help is needed on a new campaign!

Friday, October 9th, 2009

The battle to achieve a balanced energy policy for the U.S. recently got a lot more complicated. Thus far, much of the debate over where we can drill for oil has focused on the country’s coastal waters. But in light of a June 12 memorandum from President Obama establishing an Ocean Policy Task Force, it appears that all the world’s waters will come under closer scrutiny.

In a letter explaining the formation of this new task force, President Obama says we have a stewardship responsibility to maintain healthy oceans, coasts and Great Lakes, and to protect them from the environmental challenges they face.

CEA, of course, supports this goal of developing policies that help the world’s oceans thrive. But we are concerned by the urgency with which the task force was instructed to, essentially, fix all the ills of the world’s oceans – especially considering this matter is barely on the public’s radar screen.

Recently this new task force produced its first interim report, proposing policies that could significantly impact all sorts of activity, including oil exploration and production and possibly bar them.

Now, this new Ocean Policy Task Force is weighing a multitude of issues, not just oil, and certainly not just offshore drilling. But with serious talk so early in this process of setting up a governance system with little to no input from commercial industry, there is a big danger the American energy industry could emerge as one of the big losers of any new ocean policies. This system of ocean governance the task force has drafted could, in fact, limit the country’s ability to develop its own offshore energy, including oil, natural gas, and renewable energy.

Recently, CEA successfully organized a massive letter writing campaign in support of responsible drilling in our coastal waters. Today, we’re asking all our members and supporters once again to start writing. The public comment period on the recommendations outlined in the task force’s interim report closes on October 17.

Like we said earlier, topics such as ocean governance and ocean ecology are as vast as the ocean itself. Likewise, the formation of a system that will enable our oceans, our people and our industries to all thrive is a lot more complicated than we can cover in this post. Check this blog for future updates and details on the Ocean Policy Task Force’s proposals, and all the different groups of people and business who might be impacted.

Our parting message for the moment, though, is Don’t Wait. Make sure your voice is heard now. A draft letter to the U.S. Council on Environmental Quality is available on our web site, along with the mailing address and other contact information. You can also submit your comments and concerns electronically here.

Remind our policy makers about all the ways that a robust domestic energy industry supports the country. And remember that your voices are heard.

Tags: balanced energy policy, CEA, Consumer Energy Alliance, domestic energy, energy, gas, ocs, offshore, oil
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CEA Marks One-Year Anniversary of Lifting of Offshore Energy Exploration Ban

Thursday, October 1st, 2009

WASHINGTON – October 1, 2009   One year ago today, a 27-year old federal ban on offshore energy exploration and production in the Atlantic and Pacific Oceans was formally retired following an extraordinary outpouring of public support for expanded domestic energy production and relief from sky-high fuel prices. But while there is reason to celebrate the end of a policy that kept billions of barrels of American oil and trillions of cubic feet of natural gas under lock-and-key, it is clear that much more must be done to bring those resources to American consumers, which will create thousands of new jobs and help end our dangerous dependency on foreign energy.

Once the outer continental shelf (OCS) moratorium expired, the U.S. Interior Department began developing a new, significantly expanded offshore leasing program – with strong public support from the American people. In commemoration of the first anniversary of the lifting of the OCS moratorium, and in support of a new, robust 5-year plan, Consumer Energy Alliance (CEA) president David Holt issued the following statement:

“The overwhelming public support for a new and expanded OCS leasing program – as shown by the more than 350,000 comments supporting an expanded OCS program that have been delivered to the Interior Department over the last eight months – demonstrates that the American people have not forgotten the record energy price spikes of 2008 and remain committed to responsible domestic energy production. Opening new offshore areas for energy exploration and production will create thousands of new jobs, provide substantial benefits for the American economy and strengthen our national energy security.”

“On behalf of the 200,000 grassroots members and 125 affiliates of Consumer Energy Alliance, I am calling on Secretary Salazar to listen to the hundreds of thousands of American citizens that have asked for expanded offshore access and to request that he move forward as expeditiously as possible with an expanded OCS leasing program for 2010-2015. A clear majority of the American public has spoken on this issue in support of a new, expanded program.”

CEA has participated in more than 100 events over the past three months calling for increased American energy production – and delivered approximately 150,000 comments last month to Interior Secretary Salazar supporting a new OCS leasing program.

Over the past several years, public comments to the Interior Department have overwhelmingly favored increased offshore energy production. During the 2006 period, 72 percent of comments received during four separate comment periods favored increased energy production offshore. In 2008, 53 percent backed domestic OCS energy exploration. And, although MMS has yet to release any numbers publicly, early indications are that favorable comments will once again lead groups who are opposed to sensible offshore development by a sizeable margin. American consumers once again voiced clear support for increased energy production.

NOTE: Bloomberg reported in April that:

“The U.S. may have as many as 115 billion barrels of ‘technically recoverable’ oil in federal waters, a report today from the Interior Department found.  The report, prepared by Interior’s Minerals Management Service and the U.S. Geological Survey, also said the Outer Continental Shelf contains as much as 565 trillion cubic feet of natural gas and that the Pacific and Atlantic coasts hold more than 1,900 gigawatts of potential wind energy.”

READ MORE:

North Carolina Offshore Energy Production Study: Click HERE.

South Carolina Offshore Energy Production Study: Click HERE.

Tags: CEA, Consumer Energy Alliance, energy, exploration, federal ban, Interior, MMS, moratorium, ocs, offshore
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Newspapers Call for Increased Energy Exploration off the Carolinas, Highlight Huge Economic Benefits, Safety

Wednesday, September 30th, 2009

• “According to a report released on Sept. 16 by the Southeast Energy Alliance, offshore oil exploration and production could generate up to $250 million in annual revenue for South Carolina. That’s a significant addition to the state’s coffers if the results can be achieved in a way that doesn’t disrupt the $17 billion-a-year tourism industry”

• “Studies and recent history have shown that it’s safe to drill offshore for oil and natural gas. It’s safe for the workers. It’s safe for the economy. And it’s safe for the environment”

• “To be against the exploration and development of every viable form of energy in the United States isn’t a meaningful political stance”

• “Conservation, alternative energy and offshore drilling all offer potential pieces to the energy puzzle. All three should be pursued”

The Greenville News, Editorial. “Gas exploration would help state … South Carolina would benefit if the federal government includes this state among those that will be allowed to conduct exploratory natural gas and oil drilling off the Atlantic Coast. … If harvestable natural gas is found off the coast of South Carolina, it would mark a further step toward energy independence for the United States. Second, such work could provide much-needed revenue to the state and create jobs for some state residents. … The reality is that current technology significantly reduces the risks of drilling for natural gas or oil offshore. … Certainly such an influx of oil and gas could help the nation’s short-term energy independence, until cleaner, renewable energy sources become more economically feasible on a large-scale basis. … According to a report released on Sept. 16 by the Southeast Energy Alliance, offshore oil exploration and production could generate up to $250 million in annual revenue for South Carolina. That’s a significant addition to the state’s coffers if the results can be achieved in a way that doesn’t disrupt the $17 billion-a-year tourism industry. Further, the alliance projects that such efforts would create 2,250 jobs in South Carolina. That’s significant in a state that has consistently lagged behind the nation in job creation in the recent past. Certainly the prospect of energy production off the coast would provide yet another economic development engine in South Carolina, and the idea deserves to be explored. The federal government should allow this pilot exploration program, and it should include South Carolina in these efforts to determine if at least some of America’s short-term energy needs can be met by safely harvesting much-needed energy resources from the Atlantic Coast.” (9/28/09)

Jackson Daily News, Editorial. “Offshore drilling now a necessity … Studies and recent history have shown that it’s safe to drill offshore for oil and natural gas. It’s safe for the workers. It’s safe for the economy. And it’s safe for the environment. … Both industry and some federal government officials have said that modern technology has made the chances of offshore exploration causing significant ecological or environmental damage quite remote. … Industry officials also note that the site for drilling for natural gas is about 40 miles off the North Carolina coast, putting it well beyond the horizon from the shore. That means that the breathtaking beauty of the Atlantic Ocean wouldn’t be disturbed by drilling. … There is no reason why ramping up power production from alternate energy sources should exclude offshore drilling. Conservation, alternative energy (including nuclear) and offshore drilling all offer potential pieces to the energy puzzle. All energy options, including some we haven’t even thought of yet, should be supported if the United States is to grow and prosper in the years ahead.” (9/27/09)

Star-News, Editorial: “Looking out to sea … It is difficult to ignore the estimate by a group representing electric cooperatives that North Carolina could reap $577 million annually from oil and natural gas royalties.” (9/24/09)

Gaston Gazette, Editorial: “Introductory exploration … Studies and recent history have shown that it’s safe to drill offshore for oil and natural gas. It’s safe for the workers. It’s safe for the environment. And it’s good for the economy. … Both industry representatives and federal government officials have said that modern technology has made the chances of offshore exploration causing significant ecological or environmental damage quite remote. … Industry officials also note that the proposed natural gas site is about 40 miles off the North Carolina coast, putting it well beyond the horizon from the shore. That means that the breathtaking beauty of the Atlantic Ocean wouldn’t be disturbed by drilling. … Opponents of offshore drilling say that we should focus on conservation and alternative energy sources, such as wind and solar energy. We have no objection to using wind and solar energy and hope that entrepreneurs will soon make those sources economically feasible. But we see no reason why doing so should exclude offshore drilling. Conservation, alternative energy and offshore drilling all offer potential pieces to the energy puzzle. All three should be pursued.” (9/25/09)

Spartanburg Herald-Journal, Editorial. “Environmental activists are protesting development of every viable energy source … Unless we increase our own exploration and generation, we will become increasingly dependent on rogue states like Iran, Venezuela, Libya and Russia for our energy needs. … But today, right now, to be against the exploration and development of every viable form of energy in the United States isn’t a meaningful political stance. One might ask the Alaska Wilderness League members protesting drilling Monday, while dressed as salmon and polar bears, how they got to Washington. Unless they swam, they need to realize that opposing all domestic energy development doesn’t make much sense.” (9/24/09)

Charlotte Observer, Editorial: “’I believe that North Carolina has the capacity to position herself as a global leader in green energy,’ Gov. Bev Perdue said at a coastal area gathering last week to hear about the proposal. Perdue hasn’t endorsed the wind project. She has authorized a study of potential offshore energy resources, including exploratory drilling. That’s appropriate.” (9/29/09)

READ MORE

• SEA North Carolina Offshore Energy Production Study: Click HERE.

• SEA South Carolina Offshore Energy Production Study: Click HERE.

The Southeast Energy Alliance is a non-partisan organization of businesses, trade associations and non-profit organizations – including Farm Bureaus, Electric Cooperative Associations, Chambers of Commerce and Manufacturing Associations – across the Southeastern United States that understand the importance of the development of sound energy policies to ensure the economic viability of their organization. Utilizing grassroots, grass-tops, public advocacy and education at both the state and federal levels, SEA is dedicated to projects and activities that will ensure access to affordable and reliable energy for families, farms and businesses across the Southeast. SEA is the Southeastern regional affiliate of the Consumer Energy Alliance.

Tags: Carolinas, CEA, Consumer Energy Alliance, exploration, ocs, offshore, oil, SEA, Southeast Energy Alliance
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CEA October 2009 Newsletter

Friday, September 25th, 2009

CEA Newsletter
Issue 31

Message from CEA President David Holt
September 21^st marked the close of a nationwide public comment period by the Federal Government that allowed Americans to have their voices heard in the vital debate regarding development of U.S. offshore resources, including oil, natural gas and wind projects.

Though naysayers have received prominent placement in recent media reports, the real winners here are the overwhelming numbers of Americans who stood tall in favor of reasonable and responsible development of America’s offshore areas.

More than 360,000 positive comments were received by the government supporting a new 5-Year Plan for the development of resources off of America’s coastlines. This number, which accounts for more than 60 percent of the total comments received, sends a strong message to elected officials in Washington: Americans want more American energy.

Throughout the comment period, CEA stood strong in our support of offshore oil & gas drilling, as well as offshore alternative energy development. Working with our valued affiliates and individual consumers like you, CEA implemented a major campaign to get the word out about the importance of this effort and encourage Americans to comment and contribute to the discussion.

The tremendous results in favor of offshore development speak volumes. Washington has heard what you have to say. Your voice has made a difference in shaping American energy policy and will assist in leading the United States on a path of domestic energy development that will be good for the economy, Americans and the country.

CEA recognizes your hard work and we thank you for being part of our efforts to empower America! We consider you an essential part of our alliance and look forward to continuing to work with you to do what’s right for America and its citizens.

Yet, the work is not over. As we move forward from this great victory, CEA remains dedicated to working toward a national energy policy that fully leverages America’s abundant energy resources into new jobs, revenue and security for American energy consumers.

As part of this effort, please take part in our nationwide educational campaign – Secure Our Fuels, which highlights the damaging economic effects associated with the national Low Carbon Fuel Standard (LCFS) currently being considered by Congress. For more information on the Secure Our Fuels campaign, click here.

Again, thank you and congratulations! With your help, the tides are turning.

David Holt
President

Help Defeat Efforts to Ban North American Energy and Increase Prices at the Pump!
The Low-Carbon Fuel Standard (LCFS) is being sold to the American public as a way to blend transportation fuels with low-carbon alternatives so that tailpipe CO2 emissions can be reduced. But the fact is that affordable and reliable lower-carbon fuel options are not yet available. As a result, an LCFS simply will increase the cost of diesel fuel and gasoline and will place certain domestic supplies of transportation fuels off limits. Increasing the cost of transportation fuel and U.S. dependence upon foreign sources of petroleum is simply unsound energy policy.

Join our effort to defeat these measures, which would put an economic stranglehold on America and leave U.S. consumers stuck with higher prices at the pump. Send in your comments today!

Support Development of Alaska’s Offshore Oil & Gas Resources!
At a time when the American public is crying out for more domestic energy, Alaska has enormous untapped oil and gas potential, especially in its offshore areas. The waters off Alaska’s coasts hold about 27 billion barrels of oil and 132 trillion cubic feet of natural gas, according to federal government estimates.

To begin producing energy from these resource basins, the federal government must take action. Join us in our effort as we build public support for offshore minerals exploration and development in Alaska. Send in your comments today!

CEA Welcomes New Affiliate Members
CEA is proud to announce the addition of the many new affiliate members who have joined our alliance in recent months: Amway, Applied Fiber Manufacturing, LLC, EarthQuest Institute, Entergy Arkansas, Entergy Mississippi, The Fertilizer Institute, New England Fuel Institute and Santa Barbara County Energy Coalition. For a complete list of CEA’s valued affiliates, click here.

CEA Blog: Silent majorities and dressing for success
Check out CEA’s recent blog entry about the overwhelming amount of public support for developing America’s offshore energy resources, recently brought to light by the federal government’s collection of public comments on the issue.  Join the conversation at CEA’s website. Read blog…

Consumer Corner: Tell Us How Energy Affects YOU!
Energy issues are important to all Americans – and they should be – because they affect all aspects of everyday life, including your businesses, your household costs and your free-time expenditures!

When you drive your kids to school in the morning or board an airplane for a vacation flight, you are affected by the energy policies that government officials in Washington put in place. Access to American energy resources affects your weekly grocery bill, how much you pay at the gas pump, your heating and cooling costs, the business decisions you make – every part of your life!

CEA wants to know your thoughts about how energy affects you. Share your energy story with CEA by sending an e-mail to info@consumerenergyalliance.org. We want to hear from YOU!

Wind Energy Could Cut Emissions in China By 30 Percent, Study Asserts
Switching to wind power for electricity needs could cut China’s emissions by 30 percent over the next 20 years, according to a recent study. Read article…

Venezuela and Russia Develop As “Comrades-In-Arms-And-Oil”
Ties between Russia and Venezuela are steadily growing stronger with increased economic development schemes, including energy and weaponry deals, between the two countries. Read article…

Affiliate Spotlight: Agriculture Energy Alliance
As farmers and agribusinesses face a looming crisis because of public policies that create demand for natural gas while restricting access to supply sources, the Agriculture Energy Alliance, which represents more than 100 growers and agriculture-related business, works to inform and educate Congress, the Administration and state-elected officials about the energy challenges facing the agricultural sector.

“The U.S. farm sector is being weakened by constraints on onshore and offshore natural gas development, even as global demand for food is growing every year,” says Coordinator for the Agriculture Energy Alliance Rosemary O’Brien, who also serves as Vice President of Public Affairs at CF Industries.

To address these concerns, AEA encourages elected and appointed officials to continue the good work begun in the Energy Policy Act of 2005 and take further measures to reduce natural gas demand and increase natural gas supply.

“By increasing domestic natural gas production, we increase our food security,” explains O’Brien.

Ensuring the stable development of American natural gas resources is essential to maintaining a successful agricultural economy, according to O’Brien, because the farm sector depends on significant use of natural gas for food processing, irrigation, crop drying, heating farm buildings and homes, crop protection chemicals and nitrogen fertilizer production.

“With wise development and utilization of our own national energy resources, Congress can help ensure that farming remains an economically viable occupation,” she emphasizes.

As a member of Consumer Energy Alliance, AEA’s goal is to join with other like-minded groups to work on energy policy, specifically access to U.S. offshore production.

“CEA presented opportunities to work with a larger coalition and to enhance our policy goals in a very positive way,” O’Brien notes. “We have been excited to work with CEA since their leadership has shown creativity, enthusiasm and focus on complex energy policy issues.

“CEA is the type of group AEA likes to associate itself with as perseverance and working on shared goals is the only way to accomplish results. In short, CEA is solution-oriented. We work well with CEA, and we appreciate the quality of advice and input we receive from them and their collaborative efforts on behalf of their coalition.”

For more information on the Agriculture Energy Alliance, visit www.agenergyalliance.com.

Affiliate News: National Oilheat Summit Sees Bright Future For Industry
NEFI joined nearly every national, regional and state oilheat industry association, along with various industry leaders, for a national oilheat industry policy summit in Baltimore, MD on Tuesday, September 15^th.  The big news coming out of the summit – these various oilheat stakeholders are joining together to pursue a brave new future for the industry and its consumers.

Those attending the summit overwhelmingly approved a statement encouraging Congress and appropriate state bodies to help the industry move towards a “leaner, greener and cleaner” new product through adoption of an ultra low sulfur standard and expanded use of bio components.  The group also embraced solar technology as a key component of the overall industry effort to lower the carbon intensity of heating oil applications.

The summit also heard many presentations on the benefits of pursuing a lower sulfur bio-blended product, supplemented with solar technology, as well as how best to “tell the story” nationwide.  “It is an exciting time for the industry,” said Peter Carini (NEFI-member) of Champion Energy, New York, which was echoed by Robert Boltz of Pennsylvania, NEFI member Jim Townsend of Townsend Oil, and  Don Allen of E.T. Lawson of Virginia, the moderator for the summit.  He added: “As an industry, we face many challenges, but most of them can be met if we embrace this exciting opportunity to create a new product that will be environmentally responsible and competitive, ensuring that our industry is part of the solution to the energy, security and climate change challenges that face our Nation.”

Over 80 industry representatives participated in the Summit.

Affiliate News: NSBA Report Shows On-Bill Financing Improves Energy Efficiency
On September 16, 2009, the National Small Business Association released a report showing that small business collectively could reduce greenhouse gas emissions by 259 million tons each year if they improved their energy efficiency by just 25 percent. The report, “On-Bill Financing:  Helping Small Business Reduce Emissions and Energy Use While Improving Profitability,” goes on to highlight the significant savings small businesses stand to achieve through on-bill financing.

“This report obliterates that old paradigm that environmental conservation is anathema to economic growth,” said NSBA President Todd McCracken. “Quite simply, small businesses can increase their profitability while reducing their carbon footprint.”

On-bill financing is a mechanism that enables small businesses to work with their utility company to improve their energy efficiency. In practice, a local utility company identifies a small business with potential savings and evaluates their energy use and the company’s financial stability. The utility company then extends a low- or no-interest loan to the small business to make energy-efficient upgrades. The small-business owner repays the loan by continuing to pay the average monthly bill and any money paid in excess of what their actual costs are will go directly to pay down the loan.

Currently implemented in several states, on-bill financing programs have made thousands of loans to small businesses with unparalleled success. According to the report, energy-efficiency programs such as on-bill financing can help the average small business save $4,932—and oftentimes more—every year on its energy bills. The report also makes recommendations on how the federal government can help facilitate additional on-bill financing programs.

“The number one reason small-business owners cite for their inability to make their firms more energy efficient is cash-flow,” stated Keith Ashmus, NSBA chair and co-founding partner at Frantz Ward LLP, Cleveland, Ohio. “Programs such as on-bill financing can eliminate this very significant barrier many small businesses simply can’t overcome.”

NSBA has long held the belief that energy efficiency and entrepreneurial growth can and do go hand-in-hand. The current state of the U.S. economy makes it absolutely crucial to have government policies that foster, not hinder, entrepreneurial growth. With 29.6 million small firms—comprising 99.7 percent of all U.S. employer firms—small businesses stand to make significant, positive and lasting improvements to both the economy and the environment.

This report was sponsored by NSBA with funding from the Bipartisan Policy Center. Please click here to access the full report.

Since 1937, NSBA has advocated on behalf of America’s entrepreneurs. A staunchly nonpartisan organization, NSBA reaches more than 150,000 small businesses nationwide and is proud to be the nation’s first small-business advocacy organization. For more information, please visit www.nsba.biz

Tags: 5-Year plan, Agriculture Energy Alliance, American energy, CEA, CEA Monthly, CEABlog, Consumer Energy Alliance, David Holt, energy, gasoline, Minerals Management Service, MMS, natural gas, newsletter, ocs, October 2009, offshore, oil, Outer Continental Shelf, resource development, Russia, Venezuela, wind
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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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CEA Urges Senate to Adopt Commonsense Offshore Energy Exploration Provision

Tuesday, September 22nd, 2009

Amendment would streamline domestic energy development, help stabilize costs for American consumers

WASHINGTON – September 22, 2009   As the US Senate considers an appropriations measure setting aside funds for the US Department of the Interior, Sens. David Vitter (La.), Jim DeMint (S.C.) and John Barrasso (Wyo.) are working to include an amendment in the bill that would streamline and advance energy development along our nation’s outer continental shelf (OCS). Consumer Energy Alliance, which has played a leading role in generating over 150,000 of the more than 350,000 favorable public comments to Secretary Ken Salazar in support of expanded offshore energy production, has urged the Senate to adopt this commonsense provision that would increase domestic energy production, helping to drive down and stabilize prices for American consumers.

CEA president David Holt issued the following statement:

“Our energy security, the price American consumers pay at the pump, and the much-needed jobs and revenues created through environmentally-sound, 21^st century offshore energy development must be addressed head-on. This commonsense amendment helps do that, and it deserves strong bipartisan support in the US Senate.

“This amendment, coupled with the overwhelming support that the American people delivered to the Interior Department for expanded offshore energy production yesterday as the 5-year comment period came to an end, should continue to send a strong message to the policymakers that decisive action is needed to help meet our growing energy needs, put Americans back to work, raise revenues for the local, state and federal governments and help get the US economy rolling again.”

CEA has participated in over 100 events over past three months focused on responsibly increasing American energy production, while ensuring environmental safeguards. Early indications suggest that favorable comments to the Interior Department handily surpass those in opposition to American energy production, which would be in line with virtually all public opinion polling.

Over the past several years, public comments to the Interior Department have overwhelmingly favored increased offshore energy production. During the 2006 period, 72 percent of comments received during four separate comment periods favored increased energy production offshore. In 2008, 53 percent backed domestic OCS energy exploration. And, early indications from yesterday’s close of the public comment period, favorable comments will once again lead groups who are opposed to sensible offshore development by a sizeable margin. American consumers once again voiced clear support for increased energy production.

Tags: amendment, American energy, Barrasso, CEA, Consumer Energy Alliance, David Holt, DeMint, domestic, drilling, energy, gas, ocs, offshore, oil, outercontinental shelf, Salazar, senate, US Department of the Interior, Vitter
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CEA Praises Bipartisan, Bicameral Congressional Efforts on Expanding Domestic Offshore Energy Production

Tuesday, September 22nd, 2009

WASHINGTON – September 21, 2009   Following a letter from nearly 100 House Republicans, led by Reps. Doc Hastings (R-WA), Rob Bishop (R-UT), and Tom Price (R-GA), urging Interior Secretary Ken Salazar to move forward with a 5-Year offshore energy production plan that would expand safe American energy exploration, Rep. Dan Boren (D-OK), along with 15 other House Democrats, wrote the secretary recommending that his agency open the outer continental shelf (OCS) for responsible offshore energy development. Today, a bipartisan group of senators, led by Sens. Kay Bailey Hutchison (R-TX) and Byron Dorgan (D-ND), penned a similar letter to Secretary Salazar.

David Holt, president of Consumer Energy Alliance (CEA), a non-profit, non-partisan organization that advocates an “all of the above” approach to securing, reliable energy, issued this statement:

“Thanks to many of CEA’s thousands of grassroots supporters and a clear majority of the American public, a year ago, the federal government made positive, and long overdue, steps toward balancing the nation’s long-term energy policy through lifting decade-old bans on safe and effective offshore energy production here at home.

“CEA praises the strong bipartisan, bicameral commitment from the congressmen and senators who have taken the concerns of their constituents about affordable energy and access to American resources directly to Secretary Salazar. The groundswell of support for increased domestic energy production continues to grow, and, as an organization, we’re grateful for the steadfastness on this issues that so many members of Congress and senators continue to demonstrate.

“As the Interior Department’s public comment period on the 5-year OCS plan came to a close today, we are hopeful and encouraged that these congressional letters, as well as the hundreds of thousands of supportive comments from every day Americans, will resonate with Secretary Salazar as he and his agency move forward in crafting a blueprint for our offshore energy production goals over the next several years.

“Thousands of good-paying jobs, stable energy prices for small businesses, working-families and retirees and less dependence on unstable regions of the world to fuel our economy will result from the developing domestic oil and gas, and renewable energy offshore. At the same time, we must focus on harnessing more wind, solar, coal, hydro, nuclear, biofuels and other alternatives and renewable energy forms, while using what we have more wisely, too.”

Tags: 5-Year, American energy, bipartisan, Bishop, CEA, Consumer Energy Alliance, David Holt, domestic energy, Dorgan, drilling, energy, Five Year Plan, gas, Hastings, house, Hutchison, Minerals Management Service, MMS, offshore, oil, republicans, Salazar
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CEA: More Than 325,000 Americans Tell Secretary Salazar to “Show Us the Energy”

Tuesday, September 22nd, 2009

Holt: “What we need now, and what these letters demand, is decisive action from this administration.”

WASHINGTON – September 22, 2009   More than 325,000 American people sent letters to Interior secretary Ken Salazar over the past six months urging his agency to expand responsible access to critical energy resources offshore, and Consumer Energy Alliance (CEA) helped deliver more than 150,000 of them. As the public comment period on Interior’s Draft Proposed five-year energy plan came to a close this week, CEA president David Holt issued the following statement:

“The unified voices of Americans concerned with rising, unstable and increasingly unaffordable energy costs cannot be ignored. Thanks to the hard work of so many CEA supporters – as well as other organizations committed to advancing policies that help put our nation on a path toward energy security and affordability – Secretary Salazar will have overwhelming public support on his side if his agency and the administration decide to move forward with a commonsense plan that allows the American people to access more of the energy resources they need, demand and rightfully own.

“While the closure of this comment period marks a very early step in what is designed to be a long, deliberative process, the volume and intensity of public response on whether responsible offshore energy exploration should be part of our energy future suggests the status quo energy policies of the past will no longer be an option in the future. What we need now, and what these letters demand, is decisive action from this administration – not an effort to pocket veto these critical offshore energy resources.

“As the process of developing a forward-looking, supply-oriented five-year plan continues to move forward, CEA will remain active in leading the charge for an ‘all of the above’ approach to securing our energy future – a future that includes renewable energy, conventional energy, and a renewed focus on conservation. CEA and its broad-based membership including transportation, agriculture, manufacturing, small business, chemistry, restaurants, retirees and energy providers will continue to provide a platform for the American people to make their views and voices heard in Washington.”

NOTE: Click HERE to view CEA’s official comment letter to MMS.

Tags: 5-Year plan, CEA, Consumer Energy Alliance, drilling, energy, Five Year Plan, gas, Minerals Management Service, MMS, offshore, oil, Salazar
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CEA Praises House Panel’s Efforts to Address Offshore Energy Production as Part of Balanced Strategy

Thursday, September 10th, 2009

WASHINGTON – September 9, 2009   Earlier today, the U.S. House Natural Resources panel with primary jurisdiction over federal offshore energy policy met to discuss pending bipartisan legislation that aims to increase domestic offshore energy exploration and production. David Holt, president of Consumer Energy Alliance (CEA), a non-profit, non-partisan organization that advocates an “all of the above” approach to securing, reliable energy, issued this statement:

“Today’s hearing focusing on strong bipartisan legislation that aims to ease decades-old restrictions on American energy production offshore was particularly timely. In less than two weeks, the Interior Department’s public comment period regarding the upcoming 5-year outer continental shelf (OCS) plan will close, and the fate of domestic energy production for the next several years, and possibly well beyond that, will in part be determined.

“American consumers are facing difficult economic times right now – and many are being forced to make choices that no one should have to make. At minimum, they should be able to depend on their government for access to the energy resources they own – energy that, if harnessed, could create millions of new jobs, billions in local revenue, and the prospect of long-term energy affordability.

“Of course, offshore energy development is only one leg of our energy policy stool – but it’s an important one if we have any expectation of making our way back to prosperity. Along with it, we must work to increase the availability of energy in all forms – wind, solar, oil, natural gas, biofuels, nuclear – and use what we have more wisely at the same time.

“The dialogue during today’s hearing generally echoed this approach. CEA is optimistic that Secretary Salazar takes today’s hearing into mind, as well as the overwhelming support of the American people for increased offshore energy production, as his department prepares to release its new 5-year plan.”

For more information, visit www.consumerenergyalliance.org.

Tags: CEA, Consumer Energy Alliance, David Holt, energy production, gas, natural resources, offshore, oil
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Alaska by numbers

Tuesday, August 18th, 2009

Advocates of increased domestic drilling have enough important battles brewing in the country’s lower 48 states to keep them busy. But it is important that we don’t inadvertently overlook Alaska, or dismiss it as a region where drilling is alive and well.

In some respects, drilling is alive and well in Alaska. The state accounts for almost 15% of total U.S. production and the Alaska Pipeline Service Company says it transports some 730,000 barrels per day.

But production is way down from its peak and the current capacity on the Trans-Alaska Pipeline System is less than half the 2.1 million barrels per day shipped in 1988. This diminished capacity flies in the face of abundant reserves. The U.S. Minerals Management Service (MMS), which tends to err on the conservative side, estimates that there are some 27 billion barrels of oil and 132 trillion cubic feet of natural gas in the waters off the coast of Alaska. That’s just about a third of all the oil estimated to lie beneath all the country’s offshore waters.

Oil producers in the Gulf of Mexico got some good news last month when a U.S. appeals court clarified an earlier decision and ruled that oil and gas projects initiated under the Bush Administration could go forward as planned. But that ruling left projects in Alaska’s Beaufort, Chukchi and Bering Seas in limbo. Although the federal government last year awarded $2.6 billion in leases in Alaska, those projects remain on hold, pending the resolution of some frivolous lawsuits.

Some of the country’s contested oil production sites would add incrementally to the domestic energy supply, and these incremental improvements are definitely worth pursuing, both for conventional and alternative sources of power. However the reserves in Alaska are so vast, they hold the collective potential to be a real game changer, helping the U.S. significantly reduce the oil it imports from overseas. The Chukchi Sea is considered the most underdeveloped source of offshore petroleum in the U.S.

One study by the University of Alaska estimated that Alaska’s outer continental shelf could produce nearly 1.8 million barrels a day, or 300,000 thousands barrels per day more than what we currently import from Saudi Arabia. The same study estimates there is enough natural gas in those waters to produce 13% of total U.S. demand.

It goes without saying that increased oil and natural gas production would create thousands of new jobs. Another important wrinkle in the case for more exploration and drilling in Alaska is that the Trans Alaska Pipeline System depends on it. Without the addition of new oil from Alaska’s coastal waters TAPS’ capacity could decline to the point that, by the year 2046, it could no longer be viable.

There may not be a quick resolution to the disputed leases in Alaska, but it is critical that we remain focused on this oil-rich region and continue a grassroots campaign to put pressure on lawmakers to make the decision that is right for the country’s energy security and its economy. The recent favorable rulings covering Gulf drilling show that these efforts do not go unnoticed. The Call to Action section of CEA’s Web site details why a strong domestic oil sector is critical. When writing to your Congressional representatives, feel free to use any of the attached text, or make the case in our own words. And thank you for all your help so far. It has made all the difference.

Tags: Alaska, alternative energy development, Consumer Energy Alliance, jobs, MMS, natural gas, ocs, offshore, oil, pipeline, revenue, TAPS
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CEA August 2009 Newsletter

Wednesday, August 5th, 2009

CEA Newsletter
Issue 29

Message from CEA President David Holt
Last month marked the first anniversary of the withdrawal from the 18-year old presidential moratorium on domestic offshore energy production by President Bush. Though the lifting of the offshore oil & gas drilling ban was a momentous decision, we are still no closer to accessing our vital offshore energy reserves than we were last July. We must continue to work toward a national energy policy that fully leverages America’s abundant offshore energy resources into new jobs, revenue and security for American energy consumers.

As we have often said before – while expanding the use of alternative energy through greater development of wind, solar, nuclear and other energy sources is the ultimate goal, we need to ensure that access to our abundant oil and natural gas resources is achieved as we continue to build that bridge to the future. Further, we have to guarantee that these energy resources are secure and affordable if we have any hope of seeing the national economy rebound.

By curbing our demand, increasing our supplies, especially from conventional energy resources along our coasts, we can reduce our dependence on foreign and unstable regions of the world to keep our economy moving. American families and small businesses deserve policies from the federal government that will actually deliver affordable, efficient and reliable energy. Opening up our offshore areas for responsible energy development is a step in that direction, and Consumer Energy Alliance is proud to tell our federal government that we support offshore oil & gas drilling, as well as offshore alternative energy development.

Please join our efforts and tell the Administration that you support sensible energy production off of our coasts too (click here to send in a letter).

David Holt
President

Support U.S. Offshore Oil & Gas Development!
A significant domestic supply of energy can be safely and efficiently found right here off of America’s shores. The federal government currently administers the considerable energy resources contained in our offshore waters and wants to hear from you about offshore oil & gas and alternative energy development.

Opposition to offshore energy development is mounting. We need you to let Washington know you support reasonable access to America’s offshore energy resources. Send in your comments today!

Support Development of Alaska’s Offshore Oil & Gas Resources!
At a time when the American public is crying out for more domestic energy, Alaska has enormous untapped oil and gas potential, especially in its offshore areas. The waters off Alaska’s coasts hold about 27 billion barrels of oil and 132 trillion cubic feet of natural gas, estimates the federal government.

To begin producing energy from these resource basins, the federal government must take action. Join us in our effort as we build public support for offshore minerals exploration and development in Alaska. Send in your comments today!

CEA Blog: Good for the economy, good for the environment (and not a bad deal for consumers, either)
Check out CEA’s recent blog entry about the government’s cash for clunkers program. Join the conversation at CEA’s website. Read blog…

Consumer Corner: Standby Power
Did you know that many electrical products use energy when plugged in, even if turned off? As you read this, many of your own household appliances and conveniences are using “standby power” – the term for using energy when plugged in, yet not in use.

Standby Power is costly to consumers – about 10 percent of household electricity use is due to standby-powered electronics. At any time, the average home in the United States has 40 products constantly using power without the homeowner realizing it.

To save on home electricity bills and reduce wasteful standby power use, try these tips from the Lawrence Berkeley National Laboratory:

Unplug devices that aren’t being used
Use power strips to cut power to groups of electronics at one time
Purchase low-use standby products

Using tips such as these – and more found here – may save you up to 30 percent of the wasted energy being used in your home.

CEA being honored by Bering Omega Community Services
Consumer Energy Alliance is proud to act as the honorary chair for Bering Omega Community Services’ 15th annual SING FOR HOPE on September 19, 2009. The event will feature an intimate evening of classic opera arias and popular showstoppers from favorite musicals.

Proceeds raised by the event will help support Bering Omega’s efforts to provide compassionate healthcare and social services to people living with HIV/AIDS.

If you would like more information on Bering Omega and will be in the Houston area on September 19th, please visit Bering Omega’s website at www.beringomega.org.

Experts: Global Oil “Crunch” Possible Within Next Five Years
Chief Economist of the International Energy Agency Fatih Birol warned Monday that oil fields throughout the world have passed peak production and that an oil “crunch” could develop during upcoming years. Read article…

Asia Sets its Sights on Solar Power
India and China are pursuing aggressive plans to step up their solar energy programs. Read article…

Affiliate Spotlight: American Public Gas Association
Representing publicly- and community-owned gas utilities, the American Public Gas Association (APGA) has more than 700 members throughout 36 states.

“We advocate on issues that impact our members and the communities they serve. We also work across the nation to educate our members on best safety practices, legislative issues, effective business and operational strategies and host conferences promoting the benefits of natural gas as a responsible and efficient energy source,” says President and CEO Bert Kalisch.

APGA’s vision is to be the voice and choice of public gas. In conjunction, the non-profit’s mission is to be an advocate for publicly-owned natural gas systems and effectively educate and communicate with members to promote safety, awareness, performance and competitiveness.

“As an advocate for public natural gas systems we work on behalf of our members to fight for the issues that affect their businesses and customers. From, transparency issues to supply issues, from the affordability of natural gas to promoting its environmental benefits – energy affects all of us,” Kalisch maintains.

One energy issue that is currently top priority to APGA, according to Kalisch, is promoting immediate use and responsible development of renewable and clean burning fossil fuels such as natural gas.

“We have a plentiful supply of natural gas available in the U.S and it is our hope that future energy plans include this clean, responsible and comfortable choice of fuel.”

APGA’s number one goal is to bring natural gas prices back to a long-term affordable level, Kalisch emphasizes.

“Increasing supply is a critical component of the solution to obtaining this goal. The primary reason we have suffered the price increases we have experienced is a natural gas supply/demand imbalance, supply has not been able or allowed to keep pace with demand.”

The imbalance, in large part, is due to federal policies which restrict exploration and production of natural gas.

“This restriction is ironic in light of other federal policies which favor gas use because of its clean-burning properties,” Kalisch maintains, adding that APGA is extremely concerned that congressional efforts to enact climate change legislation will further exacerbate the demand/supply balance.

“Under climate change legislation, natural gas will most likely become the ‘fuel of choice’ for electricity generation and this will further drive up price unless there are equivalent increases in supply.”

As a member of Consumer Energy Alliance, APGA recognizes the need for a strong U.S. energy policy and responsible development of domestic energy.

“We believe in the power of strength in numbers. That belief is the heart of our association and we believe that being a part of a group like the CEA just strengthens our likeminded messages,” Kalisch notes. “All of the affiliates in CEA may not have identical agendas or platforms, but we all understand the country’s incredible need for a comprehensive energy solution. Together as a group we can work together to move our collective agendas forward and finally see a U.S. energy policy that works for America, its citizens, energy producers and our planet.”

For more information on the American Public Gas Association, visit www.apga.org.

Tags: blog, CEA, CEA Energy Grass Roots, congress, Consumer Energy Alliance, Department of the Interior, energy, energy policy, energy prices, energy security, exploration, gas, offshore, oil
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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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CEA Applauds New Bill Enlisting New States in Fight for Secure, Affordable Energy

Monday, July 27th, 2009

CEA president says revenue-sharing bill will give states ‘both the authority and the incentive’ to explore for energy off their shores

HOUSTON – July 27, 2009   All of the nation’s 23 coastal states would receive the same percentage of offshore energy revenue currently enjoyed by Louisiana, Mississippi, Texas and Alabama if legislation introduced today in the Senate were to become law. Under current law, Gulf Coast states are entitled to 37.5 percent of the energy royalties produced offshore. States that produce energy on federal onshore lands currently benefit from a 50-50 revenue split with the federal government.

The bill, authored by U.S. Sens. Lisa Murkowski (R-Alaska) and Mary Landrieu (D-La.), would end the current revenue-sharing legal inequity while encouraging new states to help advance key national goals related to energy security, accessibility and affordability.

Consumer Energy Alliance (CEA) president David Holt issued the following statement today applauding the legislation:

“While energy-producing states have always been among the national leaders in job creation, economic development and energy affordability, it’s not unreasonable for them to expect equal treatment with states that generate billions in annual revenues from onshore and offshore production royalties. This bill would end the current inequity, and in the process help deliver a future in which more states are given both the authority and the incentive to produce homegrown energy resources for themselves, their future, and the security and well-being of the American people.”

Added Holt: “CEA has long supported the equitable distribution of these energy-related royalties, and we stand ready and eager to work with Sens. Murkowski and Landrieu to help folks understand why this change in policy is so critical to America’s consumers and producers of energy.”

NOTE: Also today, the Southeast Energy Alliance, the southeastern chapter of CEA, formally released the findings of a recent 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. A copy of the report can be found here.

Tags: CEA, Consumer Energy Alliance, energy, gas, offshore, oil
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Report: Offshore Energy Development Could Create 6,700 Jobs and Bring North Carolina up to $577 Million Annually

Monday, July 27th, 2009

As state struggles to meet massive budget shortfall, report confirms huge amounts of revenue exist safely offshore

Raleigh, N.C. – July 27, 2009   North Carolina could receive up to $577 million annually in revenue sharing payments from offshore energy development, according to a report to be released today by the Southeast Energy Alliance (SEA).

The report, which will be distributed prior to a panel discussion on North Carolina’s available offshore energy resources and the potential for federal revenue sharing, discusses job creation, economic growth and revenues that could come to the state if it chooses to participate in offshore energy development along the Outer Continental Shelf (OCS) and if Congress extends a royalty revenue sharing program to the state. Monies received from potential revenue sharing could ease future budget gaps, helping to fund critical health care needs, infrastructure and educational projects, such as roads, bridges and new schools, while maintaining North Carolina’s pristine beaches. These funds could also ease the state tax burden for North Carolinians.

Currently, Alabama, Louisiana, Mississippi and Texas receive 37.5 percent of the revenues collected by the federal government for offshore energy production. Onshore states, such as Colorado, Montana, New Mexico, Utah and Wyoming, receive 50 percent of the royalties collected for energy development on federal lands. If the Gulf Coast revenue sharing program was extended to North Carolina, exploration and production off the state’s coast could generate up to $577 million annually to the state budget.

The panel discussion will be hosted by the North Carolina Farm Bureau, the North Carolina Chamber and SEA. In addition to the host organizations, other panelists will include representatives from the North Carolina Petroleum Council, North Carolina Manufacturers and Chemical Industry Council, North Carolina Utility Contractors Association, Piedmont Natural Gas and the National Ocean Industries Association. Participants will discuss the state’s pivotal role in developing a new federal OCS exploration and production program-determining whether the program will include areas in North Carolina’s adjacent waters-as well as how the revenues generated from participation in the program could be used to strengthen North Carolina’s economy and create jobs.

“This report highlights a tremendous opportunity to boost North Carolina’s economy,” said Michael Whatley, executive director of the Southeast Energy Alliance, and a panelist at the discussion. “In addition to creating thousands of high-paying jobs and providing substantial benefits to the state’s economy, offshore exploration and production will generate significant revenues for state and local governments.”

The report also indicates that OCS energy exploration and production in North Carolina would:

• Create more than 6,700 new jobs;
• Increase the state’s gross domestic product by $659 million annually by 2030; and
• Generate approximately $148 billion in federal, state and local revenues. This includes $9.68 billion in government revenues between 2010 and 2030, or $484 million per year.

Bill Weatherspoon, executive director of the North Carolina Petroleum Council, who is also a panelist, said, “not only does offshore energy development create much needed direct and indirect jobs, we now know that royalty payments from a potential revenue sharing program would bring in millions to help fund schools and other state initiatives.”

“Nearly 7 out of 10 North Carolinians support the search for needed energy supplies; this is the time for our leaders to listen to the strong majority that support offshore exploration,” added Weatherspoon.

According to the report, the Minerals Management Service (MMS) maps and OCS assessments show that North Carolina’s adjacent waters, which comprise approximately 23 percent of the total Atlantic resource base, are projected to contain as much as 1.74 billion barrels of oil and 15.29 trillion cubic feet of natural gas. However, because of current federal law, seismographic inventory has not been conducted in years.

NOTE: To view the executive summary, click HERE. To view the full report, click HERE.

Tags: CEA, Consumer Energy Alliance, gas, Minerals Management Service, MMS, North Carolina, offshore, oil, payments, revenue sharing, Southeast Energy Alliance
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CEA Applauds California’s Efforts to Expand American Energy Production, Reduce Consumer Cost

Wednesday, July 22nd, 2009

State budget deal expanding domestic energy access comes on the heels of one-year anniversary of presidential offshore ban lifting

WASHINGTON – July 22, 2009 The California state government has reached a budget deal to meet their state’s $26 billion financial shortfall, which includes expanded domestic energy exploration off Santa Barbara’s resource-rich coast. As the budget deal continues to be negotiated, David Holt, president of the Consumer Energy Alliance (CEA), a non-profit energy consumer advocacy group that supports fully leveraging America’s abundant offshore energy resources into new jobs, revenue and security for American energy consumers, issued the following statement:

“California’s leaders in Sacramento are making positive steps toward reducing the price at the pump for working families and small businesses in their state. With nearly 12 percent of their state’s residents unemployed, efforts to expand offshore energy production, while protecting the environment, will also help thousands get back to work, while generating much-needed government revenues to keep the schools and police forces operating at the same time.

“With today’s advanced, 21st century technologies, offshore energy exploration is safer and more reliable than ever. And while this is a positive step toward delivering affordable and reliable energy to American consumers, we must continue to invest in wind, solar, biomass, nuclear, coal and other sources of domestic energy. Importantly, we look forward to working with Secretary Salazar and others in the Obama Administration to craft a 5-year offshore plan that will thoughtfully open our Outer Continental Shelf, especially Alaska’s energy-rich seas, for exploration. American jobs, our energy security and place in the global market will depend on it.”

Read More:

• According to the Associated Press:

Schwarzenegger also succeeded in having a proposal to expand oil drilling off the Southern California coast included in the budget agreement. Under that plan, drilling would be allowed from an existing rig off the Santa Barbara coast, generating about $1.8 billion in revenue over time. The proposal, opposed by many conservation groups, would be the state’s first new offshore oil project in more than 40 years.

• San Francisco Chronicle columnist, Debra Saunders, wrote this:

As investor Gregor Macdonald recently blogged, “The mother lode of untapped capital remains in California’s offshore reserves of oil and gas. Speaking very generally, if California were able to quadruple offshore daily oil and gas production … starting in 2012 – that would represent gross oil sales of nearly $15 billion a year.” Bargain for royalties of 20 percent or more, and you fund a lot of teachers and parks.

Assemblyman Chuck DeVore, R-Irvine, had been pushing for legislation to approve slant-drilling before this year’s budget battle. “I can see rigs from my district,” DeVore noted – and the hotels by the beach are booked. What is more, local oil means good jobs for Californians, less opportunity for transportation spills and fewer American dollars sent to oil-rich countries with competing national interests.

Tags: CEA, Consumer Energy Alliance, energy, energy policy, gas, Governor Schwarzenegger, offshore, oil
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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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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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CEA June 2009 Newsletter

Monday, June 1st, 2009

CEA Newsletter
Issue 27

Message from CEA President David Holt
On May 13, CEA’s annual Energy Day was held on Capitol Hill in Washington, D.C., and successfully brought together consumers with Members of Congress and energy sector stakeholders. Through an open dialogue – stimulated by events such as Energy Day – every person in the country can play an essential role in shaping the country’s energy policy and aid in formulating common solutions to stabilize energy prices and secure resources for America.

In addition to working to shape American energy policy, by participation in initiatives like CEA’s Energy Day, consumers are working toward their own savings and security when it comes to the prices they pay at the pump. Last summer saw record-high prices, and though gasoline prices have reduced significantly in the midst of the worldwide recession, prices continue to fluctuate unexpectedly.

When gasoline and utility prices are volatile, consumers are the hardest hit – right in their pocket books. Americans need to be able to count on reasonable and responsible access to our nation’s resources to keep prices in line and ensure that energy security is a top priority.

As we reflect on the success of Energy Day, we here at CEA would like to say “Thank you” to all who came out and joined us in working to encourage open dialogue and teamwork to achieve an American energy policy that works for Americans. We could not accomplish the goals set before us without your strong and faithful support. You – American consumers – are truly CEA’s reason for being and the force that drives us onward.

If you were unable to join us at this year’s event, we hope that you can join us in the future. As plans for Energy Day 2010 come together, we will keep you informed so that you can mark your calendars! We look forward to working with you on initiatives to empower America by reducing the impact of volatile energy prices and developing a strong national energy policy.

Photographs of Energy Day 2009 may be viewed on CEA’s website here.

Thank you, also, to all of the Members of Congress, business owners, manufacturers, energy providers and other stakeholders who shared their expertise and ideas during CEA Energy Day 2009. We appreciate your hard work and involvement in continuing to bring this important event to the nation’s attention and we look forward to continuing to work with you to develop positive energy solutions for the benefit of all Americans.

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 energy resources contained in our offshore waters and wants to hear from you about offshore oil & gas and alternative energy development.

Opposition to offshore energy development is mounting. We need you to let Washington know you support reasonable access to America’s offshore energy resources. Send in your comments today!

Consumer Corner: Saving on Summer Energy Costs
Did you know that simply keeping your curtains or blinds closed will reduce your energy costs? Keeping window coverings closed this summer as outdoor temperatures rise will reduce the amount of solar heat gain in your home! Did you know that if you air conditioning unit is old and out-of-date, upgrading to a newer energy-efficient model will reduce your cooling bills by up to 50%?

Details on these tips and more can be found on the U.S. Department of Energy’s website.

Other energy and money-saving tips include:

• Install insulation and seal any air leaks.
• Plant a tree to shade your A/C unit – this will use as much as 10% less electricity in home cooling.
• Move appliances, such as T.V.s or lamps, away from your thermostat to prevent heat from these items causing your air conditioner to run for longer periods unnecessarily.
• An interior fan used along with your A/C will use cooler air more effectively throughout your home.

Find out more tips to save on summer energy costs…

Alaska Offshore: A Look Ahead
Shell hosted the May monthly meeting of Consumer Energy Alliance, presenting a look ahead at Alaskan offshore development.

In summary, key points of the presentation were that offshore resources in Alaska are significant, federal lease sales have been held, and that Shell has been “shovel ready” since 2007, but de facto moratoria has blocked drilling.

Shell has contributed significantly to offshore development in Alaska. Shell operated in Alaska for 50 years until 1998, was the first payer of royalties to the state, and has extensive experience and operations in Alaska’s Cook Inlet, as well as activities in the Gulf of Alaska, Bering and Beaufort Seas, and the Chukchi Sea.

Though the United States currently imports 60% of its oil needs and 20% of its natural gas needs, Alaskan offshore development has world class potential, according to Shell. The Minerals Management Service estimates that there are 25 billion barrels of oil and 120 trillion cubic feet of natural gas in Alaska’s offshore areas.

Currently, Shell holds 275 leases in the Chukchi Sea and 160 leases in the Beaufort Sea and has participated in government-held lease sales since 2005. The value of Shell’s Beaufort Sea lease holdings is $84 million and $2.1 billion in the Chukchi Sea.

Responsible development of offshore resources in Alaska is extremely valuable to the United States. Over the project life of the development, there would be 35,000 jobs created. In addition, the projects would extend the life of the Trans-Alaska Pipeline, gain gas reserves for the lower 48 states, and ensure domestic energy security.

Shell is ready and able to develop the resources in offshore Alaska. The company’s seismic program has proved highly successful and infrastructure to support the program is in place. Though Shell has been prepared to do exploratory drilling since 2007, drilling has been blocked by regulatory and litigation challenges.

To move forward with exploration and develop common solutions, Shell is working with key stakeholders in the region. The company is finding common ground with the people of Alaska and has held hundreds of meetings with stakeholders to gain feedback and revise development programs accordingly.

Though initially development plans were intended to encompass a broader area, Shell scaled back plans after taking input from stakeholders in the region. For instance, in the area of exploratory drilling, in 2007, Shell had planned to have two rigs operating simultaneously in the Beaufort Sea, but Shell’s 2010/2011 plan now utilizes one rig in the Beaufort and Chukchi Seas. The same rig will be used for both areas and operations will be timed to minimize conflict.

Plans had called for appraisal drilling to take place simultaneously with exploration, but now appraisal drilling has been delayed until after 2011. Additional seismic testing was also to be concurrent with drilling, but now no additional seismic testing will take place until after 2011 or 2012.

Challenges to offshore development in Alaska include the numerous regulations that must be followed and the gaining of 36 permits, including 15 major permits. Agencies that companies work with include: the National Marine Fisheries Service, Mineral Management Service, Environmental Protection Agency, Fish and Wildlife Service, Alaska Department of Environmental Conservation, North Slope Borough, Northwest Arctic Borough and Alaska Eskimo Whaling Commission.

Shell’s offshore exploration and development programs have been beset by several other challenges, including appeal of a decision for an EPA Air Permit for activity, which has been a 36-month effort and has cost $13 million and counting in legal and other fees. The impact of one rig is equivalent to 50 to 70 sports utility vehicles. The 9^th Circuit Court has also proved challenging as court opinion forced the Minerals Management Service to vacate Shell’s Plan of Exploration forcing the 2007-2009 drilling seasons to be cancelled. Due to these challenges, hundreds of jobs and millions in contracts have gone unrealized.

In moving forward, Shell will pursue permits for a 2010 drilling program in both the Beaufort and Chukchi Seas and will advocate permitting and litigation reform for Alaska and new outer continental shelf development areas.

Multi-Millions to be Invested in Biomass Production and Hazardous Fuel Reduction

Fifteen million dollars from the American Recovery and Reinvestment Act has been designated by the U.S. Department of Interior to fund numerous projects to develop biomass production on public lands and reduce hazardous fuels. Read article…

Geothermal and Solar Energy Projects to be Funded with over $467 Million

As part of the effort to “increase American economic competitiveness, while supporting jobs and moving toward a clean energy economy,” the U.S. Department of Energy has received over $467 million toward development of geothermal and solar energy projects, including innovative exploration techniques, a national geothermal data system, and photovoltaic technology development. Read article…

Affiliate Spotlight: Choice Energy Services
Founded in 1994 as an electric and national gas brokerage in Houston, Texas, Choice Energy Group is now proud to call itself one of the nation’s top energy brokerage and consulting firms.

Following deregulation of electricity in Texas in 2002, Choice Energy Services was formed to bring knowledge and expertise directly to electricity end users – consumers. Other components of Choice Energy Group include Choice Power, a wholesale electricity marketing group, and Choice Natural Gas, a marketing group for wholesale natural gas.

“Choice Energy Services is the oldest brokerage, consulting firm in the State of Texas. We are a total utility management company and help our clients with procurement of electricity, efficiency levels of buildings, purchase of Green Energy, Demand Response programs – another green component, Retrofit Lighting – green component – and energy bill audits,” says Managing Partner Kiki Dikmen.

The company is compensated directly by its suppliers, not its customers.

“Our goal is to continue to be the premier consulting company in the State and provide our customers the knowledge and education to make better purchasing decisions,” Dikmen notes.

As for environmentally-friendly initiatives, Choice Energy Services recently launched another branch of operation, Choice Environmental, to move forward in achieving its green goals.

“We continue to work very diligently in providing our customers with RECs, Green E logos, as well as technologically advanced energy generation and procurement options including methane from land fills,” says Dikmen.

When it comes to being green, Choice Energy Services would like to see a demand from states that at least a percentage of all energy used must be from renewable green sources.

“As the population rises and the demand increases, our current energy supply will at some point become inefficient and demand will be greater than the available supply,” says Dikmen, explaining the company’s green initiatives.

Energy issues are essential to the company’s mission, according to Dikmen.

“As an energy company, all energy-related issues have a direct impact on our business.”

To face energy issues and move toward responsible development of clean and affordable American energy resources, the company has taken several key steps.

“We have introduced new programs including Demand Response – this is a load-shedding program to help the states cope with increasing demands of electricity – and we have introduced our Choice Environmental division.”

The company also has other energy-related goals, according to Dikmen.

“Purchase of energy after the days of deregulation has become a very complex business. At some point, we would like for PUC to increase REP requirements, meaning it should be harder to become a supplier in this market – and this can only be accomplished by raising credit requirements. We also would like to see all suppliers in the marketplace using PUC-approved unified contracts so that the consumers can have a comfort zone.”

As a member of Consumer Energy Alliance, Choice Energy Services is working on bringing an open energy dialogue to the American consumer and policy-makers.

“CEA is the only organization we have seen that actively engages in a topic that everyone talks about but takes no action,” explains Dikmen. “We commend CEA’s actions. The growing interest in CEA is a positive sign that more and more people are getting to digest the message and seeing the issues that our environment faces.”

For more information on Choice Energy Services, visit www.choiceenergyservices.com.

Chad Deaton of Baker Hughes to speak at TiE-Houston at The Petroleum Club of Houston June 4th
The Indus Entrepreneurs (TiE) chapter of Houston has organized a talk with Chad C. Deaton of Baker Hughes on Thursday, June 4th, as part of its Keynote Speaker Series. Deaton will be discussing “The Future of Oil”. The event will be held at The Petroleum Club of Houston at 6pm. Please click here to register for the event.

Tags: CEA, choice energy services, development, energy, Energy Day, gas, newsletter, ocs, offshore, oil, Shell, solar, wind
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CEA: Alaskans Turn Out in Force to Support Offshore Energy Exploration; At Hearing in Anchorage, America’s Citizen Energy Experts Turn Out En Masse to Make Their Voices Heard

Wednesday, April 15th, 2009

ANCHORAGE— April 14, 2009 Consumer Energy Alliance (CEA) president David Holt issued the following statement today after Alaskan consumers, service providers, union members, producers and transporters of energy came out in large numbers to attend and participate in the Interior Department’s third public meeting on the future of American energy policy.

“Alaskans know what it takes to produce the energy that powers America – a contribution the rest of the nation continues to benefit from more than 40 years after the first commercial discovery at Prudhoe Bay. That’s why it’s appropriate Secretary Salazar would come out to Anchorage today, allowing him a chance to hear firsthand how responsible energy exploration can co-exist with, and even complement, sound stewardship of our environment – all while creating and sustaining thousands of good-paying, family-supporting jobs.”

A study released by the University of Alaska Anchorage’s Institute of Social and Economic Research (ISER) in December found that responsible energy exploration in Alaska accounts for more than 108,000 high-paying jobs in the state — jobs that are responsible for generating more than $7 billion in individual wages.

Dave Harbour, a member of CEA’s Board of Advisors and a former commissioner of the Regulatory Commission of Alaska, also testified at the hearing, saying: “America can properly produce its offshore wealth in a way that will directly and quickly begin benefiting consumers everywhere. Beginning to explore for, and then produce, America’s trillions of cubic feet of clean burning natural gas resources and billions of barrels of prospective oil resources will transform America.”

A recent report issued by the Interior Department shows that these undeveloped reserves of the OCS represent about four times the US proved reserves of oil and natural gas. The report also underscores the need for more analysis of what is actually available offshore — analysis that is likely to show a great deal more oil and gas offshore than currently projected. According to the federal government, more than 86 billion barrels of oil and 420 trillion cubic feet of natural gas lie undeveloped off our shores in the OCS. That amounts to enough energy to replace 50 years worth of OPEC oil.

Before any offshore resources can be explored, the Interior Department must include prospective areas in its “five year plan” for offshore energy development. Today’s hearing in Anchorage is the third in a series of four public meetings designed to provide a platform for the public to discuss and debate the agency’s plan. Previous hearings took place in Atlantic City and New Orleans. A final hearing is slated for Thursday in San Francisco.

Tags: Alaska, CEA, CEA Energy Grass Roots, Consumer Energy Alliance, consumer energy alliance grass roots, consumer energy alliance grassroots, energy, exploration, Interior Department, natural gas, offshore, oil, OPEC, Secretary Salazar
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