Friday, July 18, 2008

The Drilling Battle

A big battle is shaping up in Congress now that President Bush has removed the executive ban on off-shore drilling.  This puts the burden squarely on the shoulders of Congress (i.e. the obstructionist Democrats in Congress), and the American people are becoming increasingly aware of that fact.  This could be a signature issue for the GOP in November, if they are willing to ride it hard.  It looks like they are warming up to the idea, as the Republican leaders of both houses of Congress (McConnell in the Senate and Boehner in the House) appear committed to bashing the Dems loudly and often on the subject, and fighting for real solutions.  This is excellent!  Not only is the GOP finally coming around to a conservative consensus on something, but it's a winning issue that resonates with non-elite Americans of all persuasions.  It's a political gold mine, if you will.  Ed Frank at NRO writes about the battle that the GOP is trying to force:

President Bush's lifting of the executive ban on offshore drilling this week is more than a symbolic gesture. It means the only thing preventing expanded offshore oil-and-gas development is a temporary, one-year congressional ban set to expire on September 30. While Congress has a habit of re-imposing this ban each year, it has never gotten around to writing it into permanent law. This creates a key opportunity for supporters of domestic energy production, including the president, to force a showdown.

It will take an act of Congress and the president's signature (or a veto override in both the House and Senate) to extend the current ban on new offshore drilling. And since congressional Democrats have essentially shut down the appropriations process — because they know they would lose an amendment vote that would lift the ban — they don't want to schedule a stand-alone vote that would extend the ban.

The word around Washington is that the Democrats plan to pass a long-term continuing resolution or omnibus spending bill that would fund government operations between October 1 and the inauguration of a new president in January. (Obviously, they're hoping for a President Obama.) You can bet any final spending package will come with an extension of the offshore drilling ban. Democrats will assume that Republicans will go along with a deal to wrap up business and get home to campaign — daring them to oppose it.

If Republicans are smart, they'll do just that. If they oppose a deal, they'll force Democrats to explain to the American people just why they'd shut down the government rather than increase responsible domestic-energy production that would ease the pain at the pump.

Taking this stand is the right thing for the president and Republicans to do, both from a policy and national-security standpoint. But it's also a political winner.

This won't be your father's government shutdown from the Clinton years, when Democrats accused Republicans of "trying to decimate Medicare, Medicaid, education, and the environment." The American people overwhelmingly understand this issue to be one of supply and demand, with 76 percent of citizens in a June Fox News/Opinion Dynamics poll saying they support an immediate increase in oil drilling in the United States. A full 71 percent of Democrats in the same poll agreed. Similarly, a June poll by Zogby showed 74 percent of Americans favoring offshore drilling and 59 percent supporting exploration in Alaska's Arctic National Wildlife Refuge.

This is a political fight the free-market guys actually can win. Americans will hear the message loud and clear: "Congressional Democrats are shutting down government because they stubbornly refuse to increase domestic energy production, keeping us dependent on foreign oil from Hugo Chavez and the Middle East and forcing the price of gasoline unnecessarily high."

Congressional Democrats are already tying themselves into rhetorical knots as they attempt to come up with a palatable position on the issue of domestic energy production.  Speaker Nancy Pelosi calls for the president to tap into the nation's Strategic Petroleum Reserve, saying this would "expand available supplies and help reduce the record prices."  She then turns around and describes as "an absolute hoax" the idea that prices would drop as a result of building supplies through increased production.

Likewise, congressional Democrats claim that oil "speculators" are artificially driving up prices by betting future oil supplies won't meet demand. Yet those same policymakers presume those same "speculators" won't respond to expected increases in production, selling futures contracts and pushing down barrel prices today. So which is it?

These conflicting positions underscore just how vulnerable Speaker Pelosi and her allies are on this simple issue of supply and demand. This may be the only potent political issue to favor free-market conservatives this year, and they should take every opportunity to use it to their advantage. President Bush and Republican leaders in Congress should draw a line in the sand and refuse to pass any appropriations bill or final spending package that re-imposes the ban on offshore drilling.

With enough grass-roots pressure from citizens, this is a battle that can be won NOW.  Call your Senators and Reps regularly and demand that they fix this problem.  There are increasing signs that the oil bubble may be about to burst, which is great, but this is too important an issue to let go of - we need this resolved soon, and in a way that assures long-term solutions.  All the Democrats promise is more taxation and regulation, which will do absolutely nothing to help you and me.  In fact, their policies will only make the situation worse.  The Republicans -- for all their shortcomings -- seem to be coming together on this issue and are showing an increasing willingness to draw a line in the sand on it.  With a groundswell of support from people like you and me, they can do so, and win this fight.  It will help your pocketbook, the economy, and national security all in one.  So, get busy!

There's my two cents.

3 comments:

Anonymous said...

How can we remove Pelosi, Reid, Kusinich out of Congress and get this drilling ban lifted already!!!

Stop with the diversionary nonsense, yeah there are 68 million acres that the oil companies have access to, they have already surveyed those areas - NO OIL...

Meanwhile off of CA alone are dozens of rigs shutdown in 1969 just waiting to be upgraded and turned back on within 14-18months (oh - did the Dem's forget about those???)

We have the worlds largest methane fields under the Atlantic from Georgia up to VA. which could power decades of energy.

Meanwhile if WE don't drill off of our own coasts - Cuba, China, and Brazil are already doing it and getting OUR OIL!!!! Its OURS!!!

Yes I want green technology, its going to take 10 years for those technologies too, meanwhile we need to show the world that we have access to our own oil supplies and Iran can go ahead and blow up the straight of Hermoz or whatever and it won't effect us. We have to stop sending $700 BILLION to the Middle East and keep that money here in the US to boost our own economy.

Stop playing games - take down Congress and remove these useless idiots, put in representatives that actual reflect the people's interest and not Congress' ridiculous Rose-Colored glasses dilusions.

Anonymous said...

I agree with the previous comments, but must add that while we temporarily relieve the pressure of foreign oil dependency the only way to truly resolve all of the energy crisis is government funded energy development programs

Paying for research grants at universities and then if it must be, perhaps tighter regulations on transportation and automobile performance standards. If you couple the offshore drilling with development of better renewable energy options we wont be dependent on oil whatsoever.

Hopefully we dont lose sight of what might happen many years from now and dont simply set on a temporary fix

B J C said...

Thank you both for your comments!

In my humble opinion, we need a two-part strategy. First, we need to unlock the vast resources inside our own borders. We have technology that will allow us that access better, faster, more efficiently, and more environmentally responsibly than anyone else. Let's do it NOW. This will have several positive benefits. First, it will alleviate high prices by injecting new supply. Second, it will provide more jobs and more exports, both of which will prop up our economy. Third, it will decrease our reliance on foreign oil from hostile nations. It's a win-win-win.

Then, we need to address the long-term. I don't believe there's any shortage of fossil fuels, nor is there any adverse effect on the environment by using fossil fuels. I would be quite happy to rely on oil, coal, and natural gas as we have been doing for years. But, in the interest of openness, I'd be willing to entertain any alternative method of energy production. Wind, solar, hydrogen, whatever. Fine, bring it on. My only stipulation is that it NOT be mandated nor regulated by the government.

The government is the most ineffective, over-spending, under-producing organization in the country. There is no reason it should be allowed to control anything as important as our future energy production. By contrast, private enterprise can work wonders far faster and less expensively if it has a reason to do so. My long-term solution would be to have the government create a system of incentives (similar to McCain's $300 million reward for a new hybrid car battery) for meeting specific product specifications, and then get the heck out of the way! It's how almost all American progress has been made in the past, and it's how it should be done in the future.

If someone can make it work through a non-fossil fuel source, great. If not, great. Either way, we all win.