June 19, 2013

Salazar locks up most of Alaska NPR-A from drilling

Despite the encouraging picture at the right of Secretary of the Interior Ken Salazar moving “forward” he is actually moving us “backward.” Very quickly.

Last week I reported Obama had “cherry-picked” items he included in his faux energy policy in his 2013 State of the Union address, and to add more fuel to the firestorm he and his administration have created in blocking domestic fossil fuel production, he has now banned energy production in half of our petroleum reserve in Alaska.

Of the 23 million acres in reserve on Alaska’s north slope, energy production will be allowed on an nearly 12 million acres believed to hold 549 million barrels of oil – a small percentage of what the U.S. Geological Survey estimates the entire reserve holds — nearly three billion barrels of recoverable oil.

According to the USGS there are over 2.7 billion barrels of oil and 114.36 trillion cubic feet of natural gas in the NPR-A. Senior VP of Policy Dan Kish of the Institute for Energy Research speaks with Special Report about opening vast federal lands to energy development which could produce $14.4 trillion in GDP over the next 37 years:

So as you compare Obama’s statements at SOTU with his actual policies the two sure are at odds with one another.

Rep. Doc Hastings (R-WA) Chairman of the House Natural Resources Committee released this statement:

“As gasoline prices continue to increase for the 34th day in a row, the Obama Administration has responded by locking up a majority of the National Petroleum Reserve-Alaska, which Congress specifically established for oil and natural gas production,” said Chairman Hastings. “Only in President Obama’s backwards worldview of anti-energy policies does it make sense to prohibit energy production in a place specifically set aside for energy production at a time when gasoline prices are skyrocketing and federal oil and natural gas production is declining.”

Congress set up this tract of land 90 years ago, which is the size of Indiana, for drilling purposes. But DOI and Obama have once again caved to the environmentalists like Sierra Club and Greenpeace.

Crossposted at Unified Patriots 

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Ground swell of support for Keystone reroute

You’d think common sense would’ve won the argument for the Keystone XL pipeline a long time ago, but President Obama needed support from environmentalists to win an election. Now that he got his 2nd term, he is feeling pressure to make good on job creation promises, and the necessary re-route through Nebraska has been outlined, everyone from elected officials to business owners to labor unions are saying that its time to get this show on the road. Obama’s refusal to approve the pipeline has halted job creation before it could even start and opened the doors for reliable energy to go to China. From Bryan Preston of the PJ Tatler:

But TransCanada has proposed a new route for the pipeline that avoids the Nebraska Sandhills, and the Nebraska Department of Environmental Quality is seeking comment before it drafts its report on the new route. Port-To-Plains Alliance, which is made up of more than 100 local elected officials and community leaders, has today offered its “strong support” for the Keystone XL Pipeline.

Energy sector experts are lauding the reroute as a safe and practical solution. From Michael Whatley of the Consumer Energy Alliance: 

This report clearly demonstrates that the Keystone XL pipeline will be one of the safest pipelines ever constructed. We commend the Nebraska Department of Environmental Quality for its dedication to a thorough, scientific-based evaluation and for its consistent engagement with landowners and the public throughout this process. Naysayers will be hard-pressed to find any legitimate flaws in either this process or in this report.

Referencing the report, Mr. Whatley also noted:

CEA is pleased to see that the re-route process has clearly and effectively resolved concerns about impacts to the environmentally sensitive Sand Hills region. Not only does the report reaffirm that the project with have no significant environmental impact, the report also concludes Keystone XL will be a boon to the Nebraska economy. Workers and taxpayers across the state will benefit from the jobs-and-revenue combo that will help stimulate growth for years.

The pipeline enjoys broad-based support in Nebraska as can be seen by this petition. Everyone else is ready to move ‘forward,’ but where’s President Obama? On the sidelines, saying nothing. Doesn’t he know the election is over?

Obama put off final decision on the pipeline until after the 2012 elections. He has not reopened discussion of the pipeline since he was narrowly re-elected…President Obama campaigned promising an “all of the above” approach to energy, but has yet to state whether he will instruct the US State Department to approve or deny TransCanada’s permits to construct the pipeline. The State Department has to approve the construction because the pipeline crosses an international boundary.

For those who may not be aware, protesters of the pipeline for weeks have been dressing up as owls and chaining themselves to out-of-use-equipment. Some have even shown up at the White House. Unfortunately, right now, this is the only thing “blocking” Keystone:

Crossposted at Unified Patriots and Grumpy Elder

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Obama playing politics with Strategic Petroleum Reserve

It doesn’t take an expert to recognize the failure of President Obama’s energy policies. From refusing to take common-sense steps that would ensure American energy independence to imposing unwarranted regulations that steepen costs and harm a stagnant economy, the Obama administration has stood as a roadblock to lower gas prices every step of the way.

But November is drawing near, and as Americans struggle through the highest late-August gas prices in recent history, lo and behold reports say that the White House plans to release oil from our Strategic Petroleum Reserve, oil set aside for the direst of emergencies, like war or natural disaster.

Half of me wants gas prices to stay high until the election, which could spell disaster for Obama. But the other half has been fearful Obama would have this trick up his sleeve after all, rising gas prices are an “emergency” not only for the American public, but for Obama.

The SPR contains 696 million barrels of oil stored in underground salt caverns in Texas and Louisiana. That’s about a 2-month supply under current consumption, not much of a buffer.

The first Congressman who has called for Obama to tap the SPR is of course a Democrat: Ed Markey of Massachusetts:

“President Obama is right to use all means necessary to protect families at the gas pump from Wall Street speculators and Middle East oil dictators. Earlier this year, I called for a release of the Strategic Petroleum Reserve. I am glad to hear the President is considering using the SPR as a shield for consumers against speculators and sheiks.

Obama raided 30 million gallons of oil from the SPR in June of 2011 in an attempt to combat rising gas prices, but of course this was only a short term bandaid.  The average cost paid for the oil in the SPR was $30 per barrel, making the “cost” of his release around $900 million. But to replenish that oil at current market values is around $3 billion, which means the American taxpayers lost $2.1 billion in a purely political move. Did we have a hurricane? A major disaster? An interruption in supply? None of the above.

America has plenty of her own oil but alas, Obama and the regulatory minions won’t let us get it out of the ground. Fast-tracking the Keystone Pipeline, opening up offshore-areas for drilling, reining in the over-zealous EPA will add billions of barrels of oil to our reserves and eventually help lower prices at the pump.

GWB tapped the SPR after Hurricane Katrina, which was a real national emergency. Obama’s fear of losing the election is not. 

Leave it alone Obama, for a real emergency.

Crossposted at Unified Patriots

Crossposted at Grumpy Elder

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Radical environmental groups file suit against Dept of Interior to stop Shell’s Alaska drilling

Image at the right is from Greenpeace’s website.

Last week I reported the radical environmental group Greenpeace was on their way to Shell’s drilling area in northern Alaska with submersibles and an ice ship to protest the beginning of their drilling.

Alaska Senator Lisa Murkowski (R) and Rep. Doc Hastings (R-WA) sent letters to NOAA and BSEE requesting assurances from these federal agencies Shell’s interests, and the interests of any group, person or entity involved in the drilling operation be protected.

Also of interest is that Greenpeace’s Netherlands “chief” Sylvia Borren staged a hoax in which she “claimed” she was Shell’s new CEO and had immediately banned Shell’s drilling in Alaska.

Last May Shell was issued a restraining order effective until the end of October against Greenpeace. Greenpeace’s ice-class ship the Esperanza, interestingly enough with a Netherlands flag, arrived in Seattle as Shell was preparing for its trip to the drilling site. Greenpeace had boarded one of Shell’s rigs back in February as it was leaving New Zealand and  according to the order Greenpeace must stay 200 miles from shore.

But Greenpeace is determined. On July 10 of this year they along with other radical environmental groups Alaska Wilderness League, Center for Biological Diversity, National Audubon Society, Natural Resources Defense Council, Ocean Conservancy, Oceana, Pacific Environment, and the Sierra Club filed a lawsuit in U.S. Federal District Court in Anchorage to stop the drilling.

But what is interesting and outrageous is that Shell is not named a party to the lawsuit. Instead the suit is against the U.S. Dept. of Interior and the Bureau of Safety and Environmental Enforcement.

You see, our illustrious former president Jimmy Carter in 1980 signed a little-known law by the name of “Equal Access of Justice Act” which allows groups such as these to game the system and create revenue paid for by the taxpayers. When these groups sue the federal government, not only must the taxpayers foot the bill for the defense but they must also pay the plaintiff’s costs as well. Nice, isn’t it?

Even though the AP is saying the suit doesn’t seek to stop Shell’s intended drilling this year but in years to come, I skimmed the pleadings and couldn’t find that tidbit under their requested “reliefs” but then I am not an attorney.

Kind of ironic, the Obama administration and the Dept. of the Interior have had it out for the fossil fuel industry in this country and have tried to stall or stop coal, natural gas, oil and uranium mining. And now they are being sued for not destroying enough.

Crossposted at Conservative Outlooks

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H.E.A.T Congressmen announce comprehensive new energy legislation

I had the pleasure of being on a conference call yesterday with Rep. Kevin McCarthy (R-CA), Rep. Doc Hastings (R-WA), Chair, House Natural Resources Committee and Rep. Cory Gardner (R-CO) discussing their Domestic Energy and Jobs Act.

Majority Whip Kevin McCarthy and other members of the House Energy and Action Team (HEAT) unveiled the Domestic Energy and Jobs Act last week. The bill consists of seven bipartisan bills that have already passed out of committee and it is expected to be considered before the full House the week of June 18.

The purpose of this package of comprehensive bills is to cut through all the red tape, streamline the process for creating energy on federal lands and remove uncertainty for job creators:

“Unfortunately, because of environmental issues, the process is very, very burdensome,” Hastings said.

The Act contains the following:

  • H.R. 2150, National Petroleum Reserve Alaska Access Act. This bill cuts through bureaucratic red tape to unlock the full potential of energy resources in the National Petroleum Reserve-Alaska (NPR-A) by ensuring that oil and natural gas are developed and transported in a timely and efficient manner. (Hastings, WA-04)
  • H.R. 2752, BLM Live Internet Auctions Act. This bill gives the Secretary of the Interior the authority to conduct Internet-based auctions for onshore leases to ensure the best return to the Federal taxpayer, reduce fraud, and secure the leasing process. (Johnson, OH-06)
  • H.R. 4381, Planning for American Energy Act. This bill establishes common sense steps to create an all-of-the-above American energy plan for using federal lands to meet our Nation’s energy needs. (Tipton, CO-03)
  • H.R. 4382, Providing Leasing Certainty for American Energy Act. This bill makes reforms to the leasing process for onshore oil and natural gas projects on federal land in order to eliminate unnecessary government delays and hurdles. (Coffman, CO-06)
  • H.R. 4383, Streamlining Permitting of American Energy Act. This bill reforms the process for energy permitting, once a lease is in hand, to encourage the timely development of our federal onshore oil, natural gas, and renewable resources. (Lamborn, CO-05)

North Dakota has already surpassed Alaska as an oil producer, and is now second behind Texas. This is due to state regulations on private lands which promote energy creation. North Dakota has a 3% unemployment rate, most due to the energy boom. It is believed that if the U.S. were allowed to tap all her fossil fuel reserves they would surpass even Saudi Arabia, leading to energy independence and freedom from relying on “counties who don’t like us very much.”

Rep. McCarthy unveiled this video of Ron Day, the Environmental Health and Safety Manager at the Bismarck-Mandan Tesoro oil refinery, who tells the story of how booming North Dakota energy production has transformed their economy, adding new jobs and strengthening their communities:

The various bills would make leasing on federal agencies much easier and improve access to the National Petroleum Reserve in Alaska.

“It’s a simple fact that American energy production creates American jobs and helps grow our economy. States like North Dakota have strongly benefited from booming new energy production on state and private lands while the Obama Administration has kept the vast majority of federal lands off limits to energy development and job creation. As gasoline prices continue to strain the pocketbooks of American families, we need more access to our American energy resources to insulate ourselves from the unstable foreign energy market,” said Chairman Hastings. “These bipartisan bills remove government barriers to American onshore energy production in order to create jobs and make America more energy secure.”

One of President Obama’s first acts was to place a moratorium on most off-shore drilling, with the exception of Virginia. This was after President GW Bush in August of 2008 lifted the drilling moratoriums.

Crossposted at Unified Patriots

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