David Holt: Why are we conceding Canadian oil to China?

David Holt, President of Consumer Energy Alliance, submitted the following Op-Ed to Washington Examiner on September 20, 2009. View here.

Why are we conceding Canadian oil to China?

It takes 13.5 hours for United’s direct flight from Dulles to reach Terminal 3E in Beijing. But if news out of Canada is any indication, the trip required to visit our friends from China may soon prove a lot shorter than that.

In a recently announced deal, state-owned oil giant PetroChina agreed to invest $1.7 billion to help develop two promising oil sands fields in Canada’s Alberta province. Why would a Chinese company help produce an energy resource it currently has no means of transporting back to China? Just wait. All the major pipelines may run north-to-south right now, but China’s involvement in the oil sands means an east-meets-west pipeline is just around the corner.

Consumer Energy Alliance, of which I’m proud to serve as president, has started a nationwide campaign to educate the American public on the perils of a Low-Carbon Fuel Standard – a policy that some in Washington believe would kill off the Canadian oil sands market for good, by depriving the market of its primary buyer and consumer (us). No Canadian oil sands means no Canadian oil, and that’s sits just fine with LCFS proponents.

Well, so much for that idea. Whether the United States decides to use these secure, affordable energy resources or not – the Canadians don’t appear all that interested in waiting around for a final decision.

And who can blame them? In China, they’ll have a partner that values those energy resources, stands ready to help produce them, and eventually will provide the Canadians with a massive new market in which to sell them.

Whither the United States? We’re currently debating an LCFS policy in Washington that aims to ban Canadian crude from crossing the border. Quite the contrast.

How does an LCFS work, and why would Canadian crude be put squarely in its cross hairs? The way it’s being sold to the American people, you’d think it was a plan to encourage cleaner gasoline in our fuel tank, and less carbon dioxide emitted from our tailpipe. You’d be wrong. An LCFS doesn’t seek to make the fuel we use today any better or more efficient; it seeks to make the fuel we use today scarcer, and less affordable.

Canceling Canadian crude would certainly be the way to do it. Currently, nearly 800,000 barrels of Canadian oil travel into U.S. refineries every day, with plans for that figure to expand by leaps and bounds over the next few years.

Opponents of affordable energy, for their part, have seen the direction this ship is headed for some time, and for years have worked feverishly to develop a Rube Goldberg-type machine capable of drying up those supplies without directly confronting the consumers and producers whose lives and livelihoods depend on them. They found such a device in the LCFS.

The LCFS playbook, such as it is, was drafted in California, adopted in full by President Obama while in still in the Senate, and expected to make its return to the Waxman-Markey cap-and-trade climate-change legislation this fall.

The basic mechanics for the program are these: The Environmental Protection Agency would be given unilateral authority to determine which sources of oil are OK for refiners to process, and which are not. It would use a calculus known as a “lifecycle” carbon score to justify those decisions, with Canada, Mexico and much of the oil produced in the United States deemed to be the losers, and oil from some of the most unstable regions of the world deemed to be the winner.

Does Canadian oil have more carbon in it than oil from the Middle East? No. Does gasoline derived from Canadian oil emit more carbon dioxide than gasoline from Middle East oil? Nope. But none of that matters: Under an LCFS, “heavy” oils – wherever they come from – get the boot, and light oils – no matter how unstable their source – are given the glass slipper.

The upshot? States, especially in the upper Midwest, that rely heavily on Canadian crude to run their economy get to decide between going without gas, diesel and heating oil, or paying an outrageously high price for the energy essential to their lives.

Both outcomes work just fine for LCFS proponents — whose objective has nothing to do with producing cleaner fuels, and everything to do with making sure Americans are able to afford less of them.

The ends justify the means, LCFS supporters say – as long as we’re reducing carbon emissions, and saving the planet. Too bad we’re not. As the announcement from PetroChina makes plain, the Canadian oil sands will be just fine, thank you, with or without the exportation of that energy to the United States.

But instead of simply piping that energy down the continent and into the homes and heating and fuel tanks of American consumers just a couple hours away, that energy will be transported to the Pacific coast, loaded onto a barge, and shipped 6,500 miles across the ocean to be processed in Chinese refineries.

How again does that scenario result in fewer carbon emissions? It doesn’t. But don’t tell that to LCFS proponents. Might as well be speaking Mandarin.

CEA Urges Senate to Adopt Commonsense Offshore Energy Exploration Provision

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, 21st 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.

CEA Urges Senate to Adopt Commonsense Offshore Energy Exploration Provision

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, 21st 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.

CEA Praises Bipartisan, Bicameral Congressional Efforts on Expanding Domestic Offshore Energy Production

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.”

CEA: More Than 325,000 Americans Tell Secretary Salazar to “Show Us the Energy”

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.

Letter to the U.S. Minerals Management Service on Offshore Energy Development, September 2009

September 21, 2009

Ms. Renee Orr
Five-Year Program Manager
Minerals Management Service (MS-4010)
381 Elden Street
Herndon, VA 20170

Dear Ms. Orr:

On behalf of the members of the Southeast Energy Alliance, I am writing to express our strong support for the Draft Proposed OCS Oil and Gas Leasing Program for 2010-2015 (DPP) and commitment to creating a new Five Year Plan by the U.S. Minerals Management Service (MMS) for mid-2010 to mid-2015 to succeed the current 2007-2012 program. By expanding offshore exploration and production to new areas in the Pacific, Alaska, Gulf of Mexico and the Atlantic, the new Five Year Program will provide the United States with an opportunity to responsibly produce domestic energy, provide significant economic benefits, create American jobs and decrease our dependence on foreign energy.

The Southeast Energy Alliance is a non-partisan advocacy organization dedicated to the development and implementation of sound energy policy that will ensure affordable and reliable energy supplies for the families, farms and businesses of the Southeast. Our members include state farm bureaus, state manufacturing associations, state chambers, rural electric cooperatives, small businesses and individuals from Virginia, North Carolina, South Carolina, Georgia and Tennessee.

SEA applauds MMS for proposing a strong new Five Year Plan that takes into account the recent revocation of the Presidential Moratorium on OCS production and record-high oil, gasoline and diesel prices experienced in 2008. We believe that the 31 lease sales proposed in the Draft Proposed Plan will appropriately provide access to responsible oil and natural gas development while ensuring substantial environmental protections to potentially affected areas. We applaud MMS and the Department of the Interior for proposing a comprehensive offshore energy policy that will effectively alleviate high consumer energy prices and reduce our reliance on imported oil.

During the eight months that the Department of the Interior has been taking comments on the Draft Proposed Plan for 2010-2015, SEA has been involved in forums, panel-discussions and stakeholder meetings throughout the Southeast, all of which have demonstrated an enormous support for OCS exploration and production throughout the region – from political and industry leaders to small businesses, farmers and citizens that feel the economic pinch of high energy prices.

This overwhelming regional support for OCS Access has been accompanied by a region-wide recognition that Congress and the Administration need to allow state and coastal communities to receive a fair share of royalty revenues derived from oil & gas production adjacent to their coasts. Many Coastal States have expressed interest in understanding more about the available resources off their shores and the royalty revenues that could be derived if development were to occur.

SEA strongly supports the Draft Proposed Plan’s inclusion of three lease sales in the Mid-Atlantic Region and one proposed lease sale in the South Atlantic Region, and urges the Department to include all of these lease sales in the Proposed Plan when it is published. In addition, SEA urges the expansion of the planned special interest sale scheduled for 2011 (Lease Sale 220) from including only an area in Virginia’s adjacent waters to including the adjacent waters of North Carolina, South Carolina and Georgia as well.

On behalf of the millions of families, farms, factories and businesses that call the Southeast home and are affected by skyrocketing energy prices, we believe that implementation of the leasing schedule proposed in the Draft Proposed OCS Leasing Plan for 2010-2015 – as well as sensible action by Congress to provide states with a fair share of revenues derived from production off their coasts – will play a critical role in creating a robust national energy policy and securing our energy future.

Sincerely,

Michael Whatley
Executive Director
Southeast Energy Alliance

Letter to the U.S. Minerals Management Service on Offshore Energy Development

September 16, 2009

Ms. Renee Orr
Mr. James F. Bennett
U.S. Minerals Management Service
381 Elden Street
Herndon, Virginia 20170

RE: Support for the Five-Year Offshore Leasing Program

Dear Ms. Orr and Mr. Bennett:

On behalf of Consumer Energy Alliance (CEA), I am pleased to submit the following comments expressing our strong support for the Draft Proposed Outer Continental Shelf (OCS) Oil & Gas Leasing Program for 2010 to 2015 (DPP) proposed by the U.S. Minerals Management Service (MMS). By opening up new offshore areas in the Atlantic, Gulf of Mexico, Pacific and Alaska to oil and natural gas development, and allowing for the possibility of offshore alternative energy development, the new Five-Year Program will provide the nation with the opportunity to responsibly produce our own energy, an effort that will significantly benefit our economy by creating domestic jobs and decreasing our dependence on foreign energy.

CEA is a non-profit, non-partisan organization committed to working with elected leaders, affected stakeholders and consumers to help create sound energy policy and maintain stable energy prices. We support improved domestic and global energy security and provide information on expanding the use of all energy resources, including oil, natural gas and alternative energy, and increasing energy efficiency. CEA has more than 120 affiliated organizations, including energy suppliers and providers, manufacturers, small businesses, and community organizations, as well as a nationwide network of more than 180,000 consumer-advocates.

Destabilizing price volatility is at the core of some of the country’s most pressing security and economic issues. Unfortunately, increasingly unstable energy prices are likely to continue to rise as supplies tighten and long-term speculators impact the market as they face troubling global energy realities. Industries, businesses and citizens across the country have witnessed first-hand significant job loss and continue to suffer from a stagnant economy.

It is more important than ever that the federal government allow access to all offshore energy supplies made available in the Five-Year Program for 2010-2015. CEA strongly supports the Department’s action to initiate the development of a new Five-Year Program following the removal of both the Congressional and Executive OCS moratoria in 2008. Offering new lease opportunities in the Atlantic and Pacific ultimately provides the Administration with maximum flexibility to properly utilize our domestic energy resources, while responding to various communities who have shown a keen interest in developing their natural resources.

Simply put, providing for sensible, effective energy policy that safely develops our resources will help industries that rely on crude oil and natural gas, strengthen our national security, and supply much needed jobs as we open new areas to development and spur economic growth.

Additionally, CEA hopes that the federal government will continue to move forward with the previous 2007-2012 Five-Year Program for all available leasing areas, including the Gulf of Mexico, Atlantic and offshore Alaska, while working to approve the Five-Year Program for 2010-2015.

CEA is pleased to see that the federal government has opened up the Five-Year Program to include new leasing areas, while accurately acknowledging the need for the United States to begin responsibly developing the abundant energy resources located offshore. We believe that finalizing a Five-Year Program for 2010-2015 – as well as sensible action by Congress to provide states with a fair share of revenues derived from production off their coasts – is important for creating a robust national energy policy and securing our energy future.

Consumer Energy Alliance is committed to working cooperatively with the MMS, affected stakeholders and consumers to ensure U.S. energy policy accurately reflects our growing need to enhance U.S. energy security, properly protect our environment, expand our domestic resource base and work toward the thoughtful, utilization of all domestic energy resources.

Very sincerely yours,

David E. Holt
President

CEA in DC Examiner: Why are we conceding Canadian oil to China?

  • Does Canadian oil have more carbon in it than oil from the Middle East? No. Does gasoline derived from Canadian oil emit more carbon dioxide than gasoline from Middle East oil? Nope. But none of that matters: Under an LCFS, ‘heavy’ oils – wherever they come from – get the boot, and light oils – no matter how unstable their source – are given the glass slipper.

  • The upshot? States, especially in the upper Midwest, that rely heavily on Canadian crude to run their economy get to decide between going without gas, diesel and heating oil, or paying an outrageously high price for the energy essential to their lives.

Why are we conceding Canadian oil to China?
David Holt
Special to the Examiner
September 20, 2009

It takes 13.5 hours for United’s direct flight from Dulles to reach Terminal 3E in Beijing. But if news out of Canada is any indication, the trip required to visit our friends from China may soon prove a lot shorter than that.

In a recently announced deal, state-owned oil giant PetroChina agreed to invest $1.7 billion to help develop two promising oil sands fields in Canada’s Alberta province. Why would a Chinese company help produce an energy resource it currently has no means of transporting back to China? Just wait. All the major pipelines may run north-to-south right now, but China’s involvement in the oil sands means an east-meets-west pipeline is just around the corner.

Consumer Energy Alliance, of which I’m proud to serve as president, has started a nationwide campaign to educate the American public on the perils of a Low-Carbon Fuel Standard – a policy that some in Washington believe would kill off the Canadian oil sands market for good, by depriving the market of its primary buyer and consumer (us). No Canadian oil sands means no Canadian oil, and that’s sits just fine with LCFS proponents.

Well, so much for that idea. Whether the United States decides to use these secure, affordable energy resources or not – the Canadians don’t appear all that interested in waiting around for a final decision.

And who can blame them? In China, they’ll have a partner that values those energy resources, stands ready to help produce them, and eventually will provide the Canadians with a massive new market in which to sell them.

Whither the United States? We’re currently debating an LCFS policy in Washington that aims to ban Canadian crude from crossing the border. Quite the contrast.

How does an LCFS work, and why would Canadian crude be put squarely in its cross hairs? The way it’s being sold to the American people, you’d think it was a plan to encourage cleaner gasoline in our fuel tank, and less carbon dioxide emitted from our tailpipe. You’d be wrong. An LCFS doesn’t seek to make the fuel we use today any better or more efficient; it seeks to make the fuel we use today scarcer, and less affordable.

Canceling Canadian crude would certainly be the way to do it. Currently, nearly 800,000 barrels of Canadian oil sands energy travel into U.S. refineries every day, with plans for that figure to expand by leaps and bounds over the next few years.

Opponents of affordable energy, for their part, have seen the direction this ship is headed for some time, and for years have worked feverishly to develop a Rube Goldberg-type machine capable of drying up those supplies without directly confronting the consumers and producers whose lives and livelihoods depend on them. They found such a device in the LCFS.

The LCFS playbook, such as it is, was drafted in California, adopted in full by President Obama while in still in the Senate, and expected to make its return to the Waxman-Markey cap-and-trade climate-change legislation this fall.

The basic mechanics for the program are these: The Environmental Protection Agency would be given unilateral authority to determine which sources of oil are OK for refiners to process, and which are not. It would use a calculus known as a “lifecycle” carbon score to justify those decisions, with Canada, Mexico and much of the oil produced in the United States deemed to be the losers, and oil from some of the most unstable regions of the world deemed to be the winner.

Does Canadian oil have more carbon in it than oil from the Middle East? No. Does gasoline derived from Canadian oil emit more carbon dioxide than gasoline from Middle East oil? Nope. But none of that matters: Under an LCFS, “heavy” oils – wherever they come from – get the boot, and light oils – no matter how unstable their source – are given the glass slipper.

The upshot? States, especially in the upper Midwest, that rely heavily on Canadian crude to run their economy get to decide between going without gas, diesel and heating oil, or paying an outrageously high price for the energy essential to their lives.

Both outcomes work just fine for LCFS proponents — whose objective has nothing to do with producing cleaner fuels, and everything to do with making sure Americans are able to afford less of them.

The ends justify the means, LCFS supporters say – as long as we’re reducing carbon emissions, and saving the planet. Too bad we’re not. As the announcement from PetroChina makes plain, the Canadian oil sands will be just fine, thank you, with or without the exportation of that energy to the United States.

But instead of simply piping that energy down the continent and into the homes and heating and fuel tanks of American consumers just a couple hours away, that energy will be transported to the Pacific coast, loaded onto a barge, and shipped 6,500 miles across the ocean to be processed in Chinese refineries.

How again does that scenario result in fewer carbon emissions? It doesn’t. But don’t tell that to LCFS proponents. Might as well be speaking Mandarin.

David Holt is president of Consumer Energy Alliance, a nonprofit, nonpartisan coalition comprised of more than 120 affiliates and almost 200,000 grass-roots supporters. Visit SecureOurFuels.org to learn more.

NOTE: Click HERE to view this column on-line.

CEA Asks National Security Advisor to Analyze Security Risks of a Low-Carbon Fuel Standard

Letter to Gen. Jones comes on heels of China’s $1.7 billion investment in two Alberta oil sands projects, State Department approval of Alberta Clipper

HOUSTON – September 18, 2009   How could the passage of a Low-Carbon Fuel Standard (LCFS) in Washington adversely impact U.S. security, all while costing American workers thousands of high-wage jobs and billions in lost revenue? That’s the question Consumer Energy Alliance (CEA) president David Holt put before President Obama’s national security advisor today, asking Gen. James L. Jones and the National Security Council to take a closer look at the security consequences underlying an LCFS. A copy of the letter can be accessed here.

“Fundamental to the future of America’s security is the extent to which our ability to access secure, affordable North American energy supplies is protected, preserved and responsibly expanded,” said Holt, whose 120-plus member organization advocates the thoughtful use of a broad array of renewable, alternative and conventional energy sources, while also promoting conservation. “A Low-Carbon Fuel Standard represents a direct attack on that future, putting in place new bans on secure, Canadian energy at precisely the time we should be doing everything we can to reinforce those ties, strengthen them, and leverage the availability of secure, affordable energy to create jobs, revenues and opportunity here at home.”

Last month, the State Department granted a key permit to the Alberta Clipper project — upon completion, a pipeline through which 450,000 barrels of secure, Canadian energy is expected to travel its way to the United States each day. The imposition of an LCFS, however, aims to prevent that Canadian energy from crossing the border, forcing Americans to fill that vacuum with energy from foreign, often unstable suppliers.

In full recognition of the LCFS threat, Canada recently opened its doors to a major investment in its oil sands region by the Chinese government, as the state-owned oil giant PetroChina inked a $1.7 billion USD deal to develop two separate projects in Alberta. Previous to this news, it was always assumed that the majority of energy derived from Canada’s oil sands would be made available to the United States. After it, those who viewed the oil sands as a one-buyer market were thoroughly disabused of that notion.

“From the start, LCFS advocates have premised their support on the idea that all you’d need to destroy the Canadian oil sands market is have Congress pass an LCFS, and thus ban that energy from crossing the U.S. border,” added Holt. “China’s investment in the region should put an end to all that talk. They want this energy, are prepared to come take it, and in the process of using it, will emit significantly more carbon dioxide than if that energy was sent to its original destination. The upshot? American security is weakened, our economy takes a serious hit, and a major world competitor gains access to a secure, affordable resource right in our front yard.”

NOTE: Click HERE to view full text of the letter, which was sent to Gen. James L. Jones and Secretary of State Hillary Clinton. Click HERE to view the Reuters piece filed on this issue. And visit SecureOurFuels.org to view our latest television and radio ads, and learn more about how an LCFS will increase energy costs for American consumers and expand our dependence on foreign, unstable regions of the world to fuel our economy.

A “well-presented and logical” attack on popular environmentalism

It’s very hard to take on so-called environmentalists in a serious public debate, but in a guest post published on the Houston Chronicle’s Texas on the Potomac blog, CEA President David Holt outlines why true environmentalism goes beyond protecting your own back yard.

In explaining why environmentalism and offshore drilling are more compatible than many people think, Holt calls the opposition to domestic drilling “one of the most naïve and potentially harmful” forms of environmentalism.

“Serious environmentalists,” Holt writes, “understand that you can’t protect the environment by building a fence around your own backyard.” Because so many anti-oil interests seem to be most interested in not seeing the oil we all consume, Holt says, we are not only a country that is addicted to foreign oil, but one that is strangely indifferent to that addiction.

CEA is always gratified when it is able to spread its message about responsible energy production and diversification. With Holt’s blog, we are happy to see that many people out there seem to agree with our message. Click here to read the full post, along with some comments praising Holt’s logic and rational presentation.