Saturday, April 3, 2010

Obama's Oil Ploy

Is President Barack Hussein Obama now in favor of drilling for oil? A closer look says, “No”.

In the State of the Union address Obama stated, “…. It means making tough decisions about opening new offshore areas for oil and gas development…” On March 30th, 2010 President Obama opened up offshore exploration of oil off the coast of Virginia. Some people may say “HOORAY, what took you so long.” Others like environmentalist would disagree, because they mostly do not want anything to do with oil. Is he serious about drilling for oil? Does he really mean it? Remember, he says it is just for exploration not drilling.

However, in September 2008, President George W. Bush signed a consolidated appropriations bill that funded government operations, but also included in the bill was the lifting of a ban on offshore drilling. Drilling had been off-limits for 27 years in the Outer Continental Shelf and with the signing of the bill the oil industry is free to lease the areas. Earlier in the year 2008 Bush lifted an executive moratorium on oil and gas leasing offshore.

Obama says and implies he wants to expand exploration and drilling for oil but, he has restricted exploration on the west coast, south of Alaska, parts of the Gulf of Mexico and on the east coast north of Virginia. He canceled or rescinded the drilling leases that were to go in effect on parts of the west coast. Also a federal judge has suspended oil and gas leases in Montana, so studies can be done on how the field activities might contribute to climate change. Before the ban can be lifted a new round of environmental reviews will have to take place.

In essence, Obama is allowing for exploration where the oil may not be instead of where it is. He is basically saying to oil companies, I’ll let you explore here for oil off the coast of Virginia. The oil companies say we don’t know if there is oil there, but we know there are reserves elsewhere, such as in Anwar or off the west coast, why not let us explore and drill there. No, if you want to explore you can only do it where I say you can.

Energy is a matter of National Security, because oil/gasoline is the lifeblood of our economy and America would not be held hostage by OPEC anymore, with the rigs being on American territory thus we would be more secure. To rein in costs to help the American people, the United States needs an energy policy that works, which includes drilling where the oil is, nuclear power, clean coal and other alternative fuel sources as long as it is not from the food chain. Another problem leading to the high cost of fuel is the lack of refineries in this country and the regulations imposed by the EPA on them to refine different grades of fuel throughout the country. Due to the EPA regulations and the fact that there hasn’t been a refinery built in this country for decades leads to higher costs, because of supply and demand.

So what was the reason for the big announcement From President Obama? Could it be he wants to get credit where credit is not due, because Congress passed a bill opening up the Outer Continental Shelf to offshore drilling in 2008? Could it be that gasoline prices are going up so he can say it’s not his fault, he agreed to open up for offshore exploration? He will then demonize the oil companies, claiming they are evil and will call for a windfall profits tax on them. Could it be it is a carrot to the Republican’s to try to get passed the Cap and Trade legislation?

He says he is going to lift the ban on offshore drilling, even though it was lifted in 2008, and yet he restricts it where it was previously lifted. So is he really serious about becoming energy independent or is it just a ploy to get the Cap and Tax bill passed, which will give the Government more control over our lives? Only time will tell, but speaking of his track record on promises I would say no.

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