Resolutions for all of us

You probably would not be surprised to learn that the majority of New Year’s resolutions concern two topics: weight and finances. In the spirit of fresh starts as we kick off 2012, we offer some tips for smart energy consumption to live by, particularly if you are aiming for a thinner waistline or a fatter wallet. Some may seem obvious, but isn’t that usually the case with resolutions? We know what we ought to be doing; we just need to resolve to do it:

Walk more Walking is free, and it burns calories. Most of us cannot walk all the way to work but we can still incorporate walking into our lives through leisurely strolls or brisk trips to local spots like the dry cleaner … or maybe even the gym. Completing your errands on foot will also conserve the amount of fuel you may have used driving around town. Think about walking to a more distant bus stop in the morning, or parking your car a few blocks from the office. You can read more here about walking for weight loss.

Watch the thermostat Like the previous tip about walking, the idea here is not to be unrealistic about your need for heat, but to be mindful of the ways you can trim your expenses. (In the vast majority of the country you will need heat this winter just like you will need a car to travel long distances.) Consider that a practice known as dialing down can yield significant savings without compromising comfort: Turning down your thermostat a single degree can reduce you energy bill by as much as three percent. Now, consider how many degrees you might turn down the heat during those times you are out of the house, asleep under a warm comforter. Pay attention and the savings will add up.

Invest wisely Spending money to save money can be a hard concept to grasp, but when it comes to energy there are all sorts of investments you can make today that will save you tomorrow. Retrofitting your fireplace can help reduce heat loss, as can repairing broken window panes and adding insulation to your attic. Regular furnace inspections can keep it running efficiently. Replacing older appliances with newer models will also bring greater efficiencies. So consider spending a little now for savings over the next few cold months, and for years to come.

Get involved CEA works to help consumers in multiple ways. While we fully endorse all the little steps that the little guy can take to stretch a budget, we also understand that ordinary consumers can use a little help. National energy policy at its best can serve to support ordinary people, or it can make life difficult for them. We’re gearing up for another year of identifying the most important policies and fighting for them, from improved access to oil and gas resources onshore and off, to support for up-and-coming sources of renewable energy. Visit the Calls to Action section of our website to see the key issues we’re working on that will affect the price you pay for fuel, and learn how you can get involved. Your voice matters, particularly in an election year. Lawmakers are listening.

 

 

CEA: It’s Time to Build Keystone XL

CEA: It’s Time to Build Keystone XL
Legislation reflects Americans’ sense of urgency to create jobs and increase energy security

WASHINGTON, DC – Today Congress approved legislation expediting the approval process for the Keystone XL Pipeline. The legislation forces the State Department to approve or deny the Presidential Permit for the pipeline within 60 days.

In response, Consumer Energy Alliance (CEA) Executive Vice President Michael Whatley issued the following statement:

“We are pleased to see that Congress has a stronger sense of urgency than the Obama Administration regarding the national importance and great need for this critical project.  The fact of the matter is that Keystone XL will have immediate benefits to the national economy including the creation of over 20,000 construction and manufacturing jobs at a time when our Nation needs them most.  In addition, the project will generate more than $5 billion in new tax revenues for the corridor states alone.  On top of all this, the 700,000 barrels of oil that will flow through Keystone XL every day will significantly strengthen our energy security by reducing our reliance on OPEC and unstable foreign sources of energy. This project should have been an immediate priority from day one, but instead has been subject to countless unnecessary delays, the latest of which was the President’s decision last month to push the final decision on the project until after the 2012 election.

“Americans struggling to find work and meet high fuel costs deserve better than to be treated as collateral damage in a decision motivated by political opportunity over economic well being. After three years of comprehensive study – which concluded Keystone XL will be the safest pipeline ever built in the United States – it’s time for the Administration to stop playing games with American’s livelihoods and the nation’s energy security and approve Keystone XL.”

Earlier this year, CEA submitted more than 450,000 public comments from Americans across the country supporting construction of Keystone XL.

Encouraging news as long awaited lease sale goes forward

A long-awaited lease sale for oil production in the Gulf of Mexico was held last Tuesday, despite a last minute-lawsuit to block it, and interest in the sale was quite strong. The Interior Department says that some 20 companies submitted 241 bids.

The news is encouraging to a region that has for more than a year suffered reduced economic activity as a result of the drilling restrictions imposed after the Deepwater Horizon tragedy and for the country as a whole which suffers price volatility and overall price hikes when access to our own fuel is limited. The region where leases were put up for sale on Wednesday is expected to yield as much as 423 million barrels of oil and up to 2.65 trillion cubic feet of natural gas. But the significance of this sale goes beyond just the resources it will enable producers to tap. As the first sale to go forward since the oil spill in 2010, it leaves us cautiously optimistic for a return to more normal drilling activity in a region that is so central to our energy independence and economic stability.

In the weeks leading up to the sale, many, including CEA, expressed concern that the terms of the sale, including much higher minimum bids and shorter lease terms than in prior lease sales, were highly restrictive. The fact that so many interested producers turned out to bid despite these challenging terms tells us a couple things, most important that the oil industry continues to value energy development in the Gulf of Mexico and access to new areas.

Also, this week the Bureau of Ocean Energy Management issued a conditional approval for Shell’s 2012 Chukchi Sea Exploration Plan. The area, which is believed to contain billions of barrels of oil, has long been contested and delayed due to environmentalist groups claiming the area is too fragile for drilling. But the approval came after Shell demonstrated it had met a wide range of important and rigorous safety and environmental standards that would allow for Shell to drill up to six oil wells off Alaska’s northwest coast beginning next summer. The step is another important one to allow US consumers and businesses access to our domestic energy.

While we cannot forget the tragedy that occurred in the Gulf in 2010, or the need to commit to the highest safety standards no matter where or how we are pursuing new energy sources, we must ultimately move forward, ideally with terms that are fair and responsible. We hope that Tuesday’s sale will be followed by continued growth in economic activity in the Gulf in 2012.

 

CEA: PwC Study Confirms Abundance of Shale Gas Resources A “Game Changer” for America’s Energy Consumers

CEA: PwC Study Confirms Abundance of Shale Gas Resources A “Game Changer” for America’s Energy Consumers
Significant Benefits Include Addition of Approximately One Million Jobs, an Estimated $11.6 Billion in Energy Cost Savings and Greater Investments in U.S. Plants

PITTSBURGH, PA (December 14, 2011)— Following the National Association of Manufacturers releasing a study by PwC titled, “Shale gas: A renaissance in US manufacturing?”  today highlighting that shale gas development could be very beneficial to  the manufacturing industry, representatives from Consumer Energy Alliance (CEA) released the following statements in response to the reports’ findings that responsible shale gas development could add approximately one million jobs, encourage greater investments in U.S. plants and reduce U.S. manufacturers’ natural gas expenses by as much as $11.6 billion annually through 2025.

From CEA President David Holt:

“Today’s announcement underscores that the economics and resource base of shale gas are indeed a ‘game changer’ for domestic manufacturers of steel, petrochemicals, fertilizer, agricultural goods and other natural gas based products. During these challenging economic times, we are encouraged by the PwC report findings that responsible shale gas development will lead to a future renaissance of domestic manufacturing, as well as boosting economic output and creating one million much-needed jobs.

With the news that lower natural gas prices resulting from shale gas production have the potential to add over one million manufacturing jobs in the U.S. by 2025, it’s clear that by leveraging U.S.  resources – from the Midwest to the Northeast, and across the nation – we can create an economy-boosting energy plan for America.”

From CEA PA Director, Mike Mikus:

“Given the tremendous economic, manufacturing and employment benefits of responsible shale gas development in the Marcellus Shale and throughout the US, today’s report exemplifies the importance of consumers and businesses having a voice in the thoughtful development and utilization of our energy resources. To achieve these positive outcomes and ensure stable energy prices for business, agriculture, manufacturing and other energy consumers, we must continue to communicate to our local and national officials the value that clean-burning natural gas can create for U.S. workers and communities.”

About Consumer Energy Alliance Pennsylvania

Consumer Energy Alliance (CEA) Pennsylvania aims to provide a voice and motivate consumers of energy from every sector of the economy – large industrial natural gas users, small business, retail owners, hospitals, transportation, and local consumers – and to improve the overall understanding of energy security, operating and best practice issues, and price stability resulting from the thoughtful development and utilization of Pennsylvania’s energy resources.  With offices in both Pittsburgh and Philadelphia, CEA PA supports CEA’s national mission in Pennsylvania and serves as an advocate for energy consumers on various local and state, energy-related issues.

Consumer Energy Alliance Welcomes New Member Nebraskans for Jobs and Energy Independence

Consumer Energy Alliance Welcomes New Member Nebraskans for Jobs and Energy Independence

HOUSTON – Consumer Energy Alliance (CEA) is pleased to welcome Nebraskans for Jobs and Energy Independence (NJEI) as its newest affiliate member.

Nebraskans for Jobs & Energy Independence is a non-profit, non-partisan organization dedicated to the proposition to developing balanced energy policies and ensuring that Nebraska can play a key role in the future of U.S. energy policy.

“Nebraskans for Jobs & Energy Independence is proud to announce its new partnership with CEA.  Nebraskans have a unique opportunity to stand on the front lines of our nation’s battle for energy independence,” said Barry Rubin, Vice Chairman of NJEI. “It is imperative that we have an all-of-the-above approach to our energy policy in order to create family-supporting jobs and stop subsidizing antagonistic nations who oppose our freedoms and democracy,’ said Rubin.

“Consumer Energy Alliance is very pleased to have Nebraskans for Jobs and Energy Independence as a key partner in the national energy debate,” said CEA Executive-Vice President Michael Whatley. “The primary goal of CEA is to unite energy consumers and producers in order to develop and implement rational energy policies.  With more than 28,000 members, NJEI is a vital part of the energy policy dialogue in Nebraska and we look forward to working closely with them to address the key energy and environmental issues facing both the Cornhusker State and the nation as a whole.”

 

Simple logic in Alaska

There was a curious scene in oil-rich Alaska this week. When a massive winter storm blocked normal fuel deliveries, the city of Nome received an emergency delivery of fuel from Korea, brought in on a Russian tanker with ice breaking capabilities.

This week’s fuel delivery was most likely a one-time event resulting from an act of God and some good international teamwork. But the timing of the event and its location bring to mind that, at a time when U.S. regulators are moving forward with plans to open parts of Alaska’s Beaufort and Chukchi Seas to drilling, problems arise when we can’t access the abundant resources in our own backyard. The Interior Department is currently holding a series of public hearings on Outer Continental Shelf drilling, which now appears set to move forward, following years of delays.  And while we are optimistic for a long-awaited breakthrough that will create jobs and boost our domestic fuel supply, it’s important to also focus on the danger of further delays.

Failing to develop parts of Alaska’s Outer Continental Shelf would not only block us from accessing what is believed to be one of largest sources of crude oil in the world, but, as we’ve noted before, it could also threaten the viability of TAPS, the Trans Alaska Pipeline System. TAPS is vital infrastructure which provides a very efficient system for moving oil from production sites in northern Alaska. The 800-mile pipeline needs to maintain certain volumes of crude oil, and that has become increasingly challenging in recent years. Without TAPS, you have a whole lot of oil in Alaska and no cost-effective way to get it to consumers in the continental U.S.

We hope that we will avoid a situation where such a valuable piece of infrastructure is left idle. But under such a scenario, Alaskan producers would face real challenges over what to do with the oil coming out of the ground. Exporting it abroad could start to look more cost-efficient than moving it via tanker on the long trip to the lower 48 states. The thought of exporting our own Alaskan oil might sound absurd, but the fact is, we have to take proactive steps today to ensure the long-term viability of the pipeline as well as the development of one of our best sources of oil. Today, your support of oil and gas exploration and production in Alaska’s Beaufort and Chukchi Seas is critical.

 

 

CEA Submits Comments for New Offshore Oil and Gas Leasing Plan

CEA Submits Comments for New Offshore Oil and Gas Leasing Plan
Expanded access would create jobs, reduce energy prices

WASHINGTON, DC – Today Consumer Energy Alliance (CEA) submitted comments to the U.S. Department of Interior (DOI) for its Draft Programmatic Environment Impact Statement for the Proposed 2012-2017 OCS Oil and Gas Leasing Plan, also known as the “Five Year Plan.” CEA urges DOI to expand offshore lease sales and ensure timely approval for existing permit applications.

The proposed plan includes 15 potential lease sales: 12 in the Gulf of Mexico and three off the coast of Alaska, both of which currently have active leases and exploration. The plan, however, does not include lease sales in the Mid and South Atlantic states, and provides little or no assurance that current lease holders in the Gulf of Mexico and offshore Alaska will be issued the proper permits to explore for available oil and gas resources.

In response, CEA President David Holt issued the following statement:

“Although the decision to hold a lease sale for offshore energy development is a positive step on the part of the Administration, the proposed Five Year Plan simply leaves too much of America’s vast resources off the table. The fact that the proposed plan keeps off-limits the promising resources in the Atlantic OCS is particularly troubling, especially considering that Virginia’s delegation to the U.S. Senate – Senators Mark Warner (D) and Jim Webb (D) – have proposed legislation to move forward with responsible exploration and development of that state’s coast.

“In addition, companies like Shell have been prevented from exploring its leasing holdings in the Beaufort and Chukchi Seas of Alaska due to administrative delays and legal interventions, obstacles that the proposed plan does not address. Offshore Alaska has an estimated 27 billion barrels of oil, resources that, if developed, could create more than 54,000 new jobs. Other companies are facing similar permitting delays in the Gulf of Mexico. If the Administration returned to the permitting levels that preceded the Macondo incident in April of 2010, it would create 230,000 new American jobs by next year.

“America needs an energy policy that recognizes the importance of all forms of energy, from renewables to our vast oil and gas resources offshore, and everything in between. Instead of imposing arbitrary limitations on American oil and gas development, the Administration should increase access to all available supplies, which in turn would reduce energy prices for consumers and create hundreds of thousands of much-needed jobs.”

DOI’s Bureau of Ocean Energy Management is holding more than a dozen public hearings over the next two weeks in the Gulf of Mexico and Alaska to gather input from the public on the proposed plan’s environmental impacts.

December 2011 Newsletter

December 2011 CEA Newsletter
Issue 57


Forty-Five Cents a Gallon.

We kick off this month with a provocative headline, which relates clearly to our core mission here at CEA. If you’re wondering where in the U.S. you can buy gasoline for 45 cents a gallon, the answer of course, is nowhere. The figure cited above actually refers to the increase in the price of a gallon of gas that the typical consumer has seen over the past year. Check out this chart.

This price increase is particularly relevant now for two reasons. First, as the year draws to a close, it’s natural to look back and take stock of how our individual fortunes have changed. And, as the country nervously embarks on the busiest consumer shopping period of the year – hoping it will bring signs of a long-awaited economic recovery — it’s worth considering how much gasoline prices cut into consumers’ disposable income.

Yes oil prices rise and fall, but if you’re keeping track, 2011 has been a year of a pretty sizable net increase, which has had a sizable impact on our collective spending power. It reminds us that we have our work cut out for us in 2012.

As we’ve discussed many times in the past, there are numerous ways the U.S. could work toward a more secure supply of affordable energy: supporting oil exploration and production in Alaska’s Outer Continental Shelf, approving the proposed Keystone XL pipeline connecting oil producers in Canada and the upper Midwestern region of the U.S. to refiners along the Gulf Coast, and lifting hurdles to drilling in the Gulf of Mexico. Combined, these three initiatives would add more than 2 million barrels per day of supply – more than 10 percent of our daily use!  Watch our blog for more details about the upcoming lease sale in the Gulf of Mexico, the first since the 2010 Deepwater Horizon spill, and why we are concerned about some of the terms of that sale.

Additionally, this month important legislation to encourage the use of wind, solar, biomass, geothermal and other forms of renewable energy is being considered in Washington. Without proper, thoughtful consideration of how new alternative and renewable technologies are developed, the cost for energy will increase for consumers and businesses. Such decisions should properly reflect market conditions and allow up-and-coming sources of energy a path toward competitiveness with current energy. CEA’s support of the renewable energy sector reflects our breadth of our work, and our recognition that building a secure national energy policy will require us to make the most of our natural resources.

We hope you all have a safe and joyous holiday season. And speaking of safety, we leave you with some travel safety tips from a group that knows the roads better than most: our nation’s truckers. At the top of the list: If you are planning a long trip, take the time to prepare your car for long-distance travel. Simple maintenance can help you avoid many problems down the road, so to speak. You can see the full list of safety tips here.

David Holt

 

Tell the Obama Administration That We Need Jobs and Thoughtful Access to Offshore Resources

The future of our nation’s energy and economic security depends on thoughtful, consistent policies that utilize our domestic resources to spur economic growth.  Now, the Obama Administration has released its plan for offshore leasing for the next five years, 2012-2017.  Although the proposed plan does permit for lease sales in areas that are currently under development, the plan falls short of opening access to new areas including offshore Virginia. Denying access to new areas is a significant blow to our energy security, but even more troubling are the ways this plan – and other actions by the Administration – are discouraging offshore development.

We will still rely on oil and natural gas for transportation, electricity, manufacturing, consumer goods and several other uses that are part of our everyday lives. Even more, our economy depends on the millions of jobs and billions in revenues offshore production generates. As the economy recovers, let’s make sure we have policies in place that support long-term economic growth.

Take Action Now!

Support Affordable Energy

Nuclear energy supplies over 20% of America’s electricity needs and will continue to play a critical role in powering America.   Thanks to the ingenuity and innovation of tens of thousands of workers from around the world, the American nuclear industry remains the global leader, safely supplying affordable, reliable electricity to millions of homes.

However, the vitality of this important industry is in jeopardy.  Currently, the Department of Energy is seeking to implement a burdensome regulation that could limit the ability of American utilities to continue to supply reliable, affordable electricity.

As our fragile economy struggles to recover, new layers of onerous regulations from Washington bureaucrats such as these will force additional costs onto struggling families and limit the ability of American businesses to serve their customers, create jobs and help grow the economy.

Take Action Now!

 

Looking Forward to Energy Day 2012

Now that the inaugural Energy Day festival has come and gone, it is time we look forward to the future and Energy Day 2012. Energy Day 2012 will take place at Hermann Square, City Hall in Downtown Houston, Texas on Saturday, October 20, 2012. The festival will once again feature  live music, food, contests and most importantly interactive exhibits and demonstrations showcasing all forms of energy from oil and natural gas to solar and hydropower and everything in between, as well as efficiency and conservation.

CEA will also continue working with our Academic Partners to engage students in energy education through the Energy Day Academic Program (EDAP).  EDAP was created to reward students who strive for greatness in energy-related academic competitions that run throughout the school year.   Those who win at an Energy Day Academic Program event will be awarded for their excellence and commitment to energy and education.  The 2012 Energy Day Academic Program consists of the following competitions:

February 18, 2012: The HoustonWorks USA & Schlumberger E2 Engineering Excellence Competition

March 1-3, 2012: The Science and Engineering Fair of Houston

March 31, 2012: The CSTEM Challenge

May 2012: Houston: Energy City of the Future 2050 Competition

May 19, 2012: The Children’s Museum of Houston Young Inventors’ Showcase on

Spring 2012: The HGS/HMNS/CEA Art, Essay & Media Contests

For more information on Energy Day 2012 or the 2012 EDAP events, please contact Kathleen Koehler at KKoehler@consumerenergyalliance.org

CEA In the News

November was a very active month for CEA as far as media is concerned.  Throughout the month of November CEA received over 70 media hits from radio, TV, blogs, news articles, press releases and more.  The big contributors to this success are CEA’s participation in the Open the Gulf Campaign, the Keystone XL Debate, and the efforts of the newly formed CEA-Pennsylvania

A few of the highlights of CEA’s recent media success:

  • Open the Gulf Campaign (www.openthegulf.org)
    • This Daily Caller Op-Ed was penned by CEA President David Holt and it addresses how Government regulation has hurt America’s ability to do big things.
    • The Daily Press (Newport, VA) published an LTE that points out the shortcomings in this administration’s policy in the Gulf of Mexico.
    • Here is a piece that ran in the Oklahoman which references an IHS/CERA study which was commissioned by the Gulf Economic Survival Team. The study examines the economic impact of the slowdown in the Gulf of Mexico
    • The Quad City Times (Iowa) ran a CEA authored Letter to the Editor that also addresses the issues in the Gulf of Mexico.
    • Keystone XL
      • CEA executive vice president Michael Whatley’s Op-Ed on the blog TownHall.
      • Michael Whatley also wrote this Letter to the Editor which appeared in the Omaha World-Herald.
      • CEA helped place this piece on the energy blog “Power Line.”
      • Instapundit shows its support for the construction of the Keystone XL Pipeline
      • CEA Pennsylvania
        • This article announcing Mike Mikus as the Director of CEA-Pennsylvania was published in the Pittsburgh Tribune-Review.
        • CEA-PA Director Mike Mikus wrote this LTE in the Mt. Airy Patch.  The letter addresses the benefits of developing the Marcellus Shale.
        • A Pittsburgh Post-Gazette article on oil drilling in Pennsylvania.
        • Another article out of Pittsburgh which details the role oil and gas drilling had in Pennsylvania local elections.

That is just a small sampling of CEA’s public presence in the media over the past 30 days.  If you have any questions, please feel free to contact Craig Koshkin at CKoshkin@consumerenergyalliance.org.

Upcoming Events

HoustonWorks USA & Schlumberger E2 Engineering Excellence Competition

February 18, 2012

Rice University, Houston, Texas

The Fourth Annual E2 Engineering Excellence Competition sponsored by HoustonWorks USA and Schlumberger invites students from elementary, middle, and high schools to compete during this city-wide event. The competition is open to public, private, charter, and home school students who have an interest in science, technology, engineering, and mathematics (STEM).

This competition provides students with a STEM foundation to successfully compete with their peers, and it encourages them to create and explore a vision of future technology by combining their imaginations with the tools of science. It also provides students an opportunity that requires them to use skills such as problem-solving, research and presentation skills, practical math, science applications, and computer skills.

For information on entering or questions, please contact Francheska Williams at 713.654.1919 Ext. 1212 or STEM@Houstonworks.org.

Winning students will be recognized at the E2 Engineering Excellence Competition Awards Ceremony, will receive awards at Energy Day, and will be invited to display their projects at Energy Day on October 20, 2012.

Save Energy This Holiday Season!

As you prepare for the holiday season, use a few of these easy, energy-efficient tips from the Environmental Protection Agency to save energy and reduce waste.

  1. Using a real tree? Contact your local community solid waste department for information on recycling. Alternatively, use a potted tree which can be planted.
  2. Unplug lights and decorations during the day to save energy and make your lights last longer.
  3. Look for holiday greeting cards made from recycled materials.
  4. Use reusable cloth shopping bags for toting holiday purchases rather than paper and plastic bags.
  5. Save gift wraps and ribbons for use on next year’s presents. Wrap presents for others in recycled trimmings you’ve saved.
  6. Use cloth napkins and reusable dishes and silverware for your holiday gatherings rather than disposable paper and plastics.
  7. Purchase rechargeable batteries for electronic gifts.
  8. Donate your children’s older or outgrown toys and books to charities and local libraries.

For more holiday energy saving tips, visit the United States Environmental Protection Agency’s website.

Turning point, or business as usual in the Gulf?

Oil producers, together with all sorts of businesses that have long supported the oil industry in the Gulf of Mexico, are hopeful about a scheduled oil lease sale in December, the first sale since the Deepwater Horizon oil spill in 2010. At the same time, many are concerned about the terms for the sale that the Bureau of Ocean Energy Management has set.

Previously, the minimum bid was set at $37.50 an acre in deep water; the new terms set the minimum bid at $100 an acre. Previously, lessees could hold a track for eight to 10 years; this has been decreased to five to seven years. There are also new stipulations that the terms of the leases can be changed after they have been issued. You can see a full list of the changes here.

The proposed Western Gulf of Mexico Lease Sale 218 is scheduled to be held in New Orleans on December 14, 2011 and will include all available unleased areas in the Western Gulf Planning Area offshore Texas. Interior Secretary Ken Salazar has described the sale as “an important step toward a secure energy future that includes safe, environmentally sound development of our domestic energy resources.” And it could be: the Bureau of Ocean Energy Management estimates the sale could lead to the production of up to 423 million barrels of oil and 2.65 trillion cubic feet of natural gas.

But the sale will only be a success if it is executed with reasonable terms. It’s important to keep in mind, after all, that there are different ways to discourage robust drilling activity. You can impose an outright ban, or you can “allow” drilling under terms that are so onerous they are unwelcoming. One of the reasons drilling activity in the Gulf today remains below levels seen prior to the Deepwater Horizon blast is because even after the formal ban on deepwater drilling was lifted, producers have continued to encounter excessive red tape that has created an environment hostile to doing business.

What we need now are policies that support safe and responsible drilling in both letter and spirit.

 

CEA Joins Amicus Brief Supporting Energy Development in the Gulf of Mexico

CEA Joins Amicus Brief Supporting Energy Development in the Gulf of Mexico

HOUSTONConsumer Energy Alliance (CEA) has joined with the U.S. Chamber of Commerce, the National Association of Manufacturers, and more than 30 other organizations to support the Bureau of Ocean Energy Management’s (BOEM) decision to grant Shell approval to develop exploratory wells in the Outer Continental Shelf in the Gulf of Mexico. The initial approval from BOEM, now being contested in a legal dispute, came after the proposed project met the most stringent environmental reviews in our nation’s history for an offshore development project. The amicus brief urges the Court to uphold earlier rulings as the project has met and surpassed all regulatory and environmental safeguards and is critical for the national security and domestic economy of the United States.

In response, CEA President David Holt released the following statement:

“We stand with BOEM and Shell as partners in securing America’s energy future as responsibly developing these resources will increase U.S. energy independence while creating much-needed jobs.

“The choices being forced on the court are very real and will affect the livelihood of countless Americans. Recent studies confirm this conclusion. A report from IHS-CERA, for example, finds that a return to pre-moratorium production activity in the Gulf of Mexico would result in a gain of 230,000 jobs, $12 billion in tax revenue and $44 billion in GDP throughout the nation. However, if the petitioners succeed, it could be tantamount to imposing another de facto moratorium on deepwater exploration. This would leave hundreds of thousands of Americans without jobs, an entire region of the country suffering unnecessary and avoidable economic consequences, and would increase our reliance on unstable sources of energy. All of this will have occurred for little to no environmental benefit as the BOEM has decided after extensive reviews that the project would not have a significant impact on the environment.

“Last year the Secretary of Interior found ‘significant progress’ had been made in terms of safety for offshore drilling, and this exploration plan exemplifies the energy industry’s commitment to operate responsibly. We must not allow special interests to continue to hold our natural resources, our communities, and our economy hostage due to theoretical environmental threats.”

In the last three years, oil and gas exploration in the Gulf of Mexico has contributed over $26 billion annually to U.S. GDP. IHS-CERA reports that “successfully restoring the activity levels in a safe and environmentally responsible fashion will have significant benefits for America’s energy independence and continued economic recovery.”