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Those 68 million acres of dormant oil drilling leases
I was stunned to learn oil companies big and small have 68 million acres of unused oil drilling leases on American soil. It didn't make any sense to me. I mean, if you access to oil -- right now -- why wouldn't you make it available?
Democrats seem to be suggesting oil companies are acquiring leases and sitting on to limit supply and cash in the profits. There's probably some truth to that, but my friend at the WSJ assures me 68 million acres of oil land is not sitting undrilled because of this. He informed me:
- Some of the land doesn't have enough oil to justify a capital venture, thus it goes unused.
- Before anyone even gets that far, securing a lease doesn't even mean the land is ready to be drilled. The least is just a speculative beginning. Once acquired it requires extensive geographic study, clearing environmental impact hurdles (up to 5,000 state and federal regulations in some places), and constructing the drill. It takes up to a decade from the time the lease is acquired to drilling for oil.
- The cost of all this bidding for leases, studying, and constructing is cost prohibitive regardless of the cost of oil. Without gov't funding, oil companies can't justify drilling to their shareholders. The profitability of being a refiner is just more lucrative for many of the leaseholders. Import it, refine it, sell it to domestic distributors. That's why they're raking in record profits.
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You make a lot of good points, the problem that I am having with this debate as I watch it is everyone, across the political spectrum, keep saying that nothing they do will make an immediate impact. However if someone had done something years ago <<*cough* Bush 1 *cough* Clinton *cough* Bush 2>> we would be looking much better today... I would love to see someone put together an actual energy plan that laid out the immediate (short term goals), 5 year (intermediate goals), and 20+ year (long term goals) plans for what we are going to do as it relates to energy.
It seems as though everything and everyone wants the one or two year instant fix (as it relates to energy production) and if that does not happen then they do absolutely nothing.
The biggest issue with apporving this drilling is fro the GOP is is never accompanied by legislative teeth to encourage conservation.
Its always 'Lets drill'. What I don't hear is 'Lets increase the CAFE standards significantly' or 'lets add $1/gall tax and spend it on fuel/energy/distribution research and deployment'
All I hear is DRILL, sure I'm open that discussion, if you also support the other side of the equation and not with lip service as Bush as been doing.
Yes they implemented a slow increase of the CAFE stds but they pegged it at the levels Detroit wanted. Basically at an increase rate that requires Detroit to do almost nothing to meet.
The biggest issue with apporving this drilling is fro the GOP is is never accompanied by legislative teeth to encourage conservation.
Its always 'Lets drill'. What I don't hear is 'Lets increase the CAFE standards significantly' or 'lets add $1/gall tax and spend it on fuel/energy/distribution research and deployment'
All I hear is DRILL, sure I'm open that discussion, if you also support the other side of the equation and not with lip service as Bush as been doing.
Yes they implemented a slow increase of the CAFE stds but they pegged it at the levels Detroit wanted. Basically at an increase rate that requires Detroit to do almost nothing to meet.
You might have been able to use this excuse when the Reps controlled congress. But, now it is the Dems and they can put together a bill that everyone could be happy with. But, they are sitting on their hands. Call your Dems in congress and tell them to act.
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The greatest lies are told before a marriage, after a hunt and during an election - Count Bismark
What if we made a law that says you can't be an oil driller AND a refinery? Then we create two markets where one is too deeply entrenched, IMO. It's anti-market to have Shell etc. controlling both interests.
Cute Red but as we both know the GOP can and will filibuster any bill that they don't like. We also know that GW will veto such bills.
This is the major reason for inaction, all thw GOP want to hear is DRILL. The current reason is they are trying to make it a populous issue, pretending it will solve gas prices. This is just election year politics.
However you are correct in one thing. I've yet to see a politician that has the guts to add a tax to gas to pay for it real costs or for future investment.
What if we made a law that says you can't be an oil driller AND a refinery? Then we create two markets where one is too deeply entrenched, IMO. It's anti-market to have Shell etc. controlling both interests.
That would be a good step. As long as they stay private. No nationalizing like some were calling for yesterday in Congress.
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The greatest lies are told before a marriage, after a hunt and during an election - Count Bismark
Cute Red but as we both know the GOP can and will filibuster any bill that they don't like. We also know that GW will veto such bills.
This is the major reason for inaction, all thw GOP want to hear is DRILL. The current reason is they are trying to make it a populous issue, pretending it will solve gas prices. This is just election year politics.
However you are correct in one thing. I've yet to see a politician that has the guts to add a tax to gas to pay for it real costs or for future investment.
Same can be said of the Dems...Election Politics...Keep gas prices high, do nothing, blame Reps. Elect a Dem...the only hope. The reps fillabustered the WindFall profit tax. But, that was because it was a stupid move by the Dems.
I think you and I could sit down and hammer out a deal that would work for both sides. The Dems are in control. They need to initiate.
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The greatest lies are told before a marriage, after a hunt and during an election - Count Bismark
Cute Red but as we both know the GOP can and will filibuster any bill that they don't like. We also know that GW will veto such bills.
This is the major reason for inaction, all thw GOP want to hear is DRILL. The current reason is they are trying to make it a populous issue, pretending it will solve gas prices. This is just election year politics.
However you are correct in one thing. I've yet to see a politician that has the guts to add a tax to gas to pay for it real costs or for future investment.
BTW...It is not true that all the GOP wants is Drill. But, drilling should be part of the solution. The Dems wont because their !@#$!@# is beholden to the Global warming, enviro-wackos.
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The greatest lies are told before a marriage, after a hunt and during an election - Count Bismark
BTW...It is not true that all the GOP wants is Drill. But, drilling should be part of the solution. The Dems wont because their !@#$!@# is beholden to the Global warming, enviro-wackos.
Quote:
Originally Posted by Gaddabout
I find this hard to believe because "enviro-wackos" have no money to offer in return.
While the current administration and the Repunlicans are beholding to the oil companies!
Shall we talk about Dick Cheney and his determining the energy policy of the last seven years?
Red, in the alst 8 years I've heard nothing from the GOP but DRILL.
They have been doing everything they could to reverse environmental laws, they certainly have been doing nothing to encourage conservation.
You may not like the truth but that is true. They specifically arranged to adjust the CAFE stds to what Detroit wanted. Is this so hard for you to get ?
THis is why I distrust them so much, they seem to be more focused of $$$ for their old boy network that energy interdependency, what I don't understand is how you can't see this ?
Red, in the alst 8 years I've heard nothing from the GOP but DRILL.
They have been doing everything they could to reverse environmental laws, they certainly have been doing nothing to encourage conservation.
You may not like the truth but that is true. They specifically arranged to adjust the CAFE stds to what Detroit wanted. Is this so hard for you to get ?
THis is why I distrust them so much, they seem to be more focused of $$$ for their old boy network that energy interdependency, what I don't understand is how you can't see this ?
What about the other 40 years since WWII that the Dems controlled Congress? U.S. House election, 1994 was an election for the United States House of Representatives on November 8, 1994, in the middle of President Bill Clinton's first term. As a result of a 54-seat swing in membership from Democrats to Republicans, the Republican Party gained a majority of seats in the House for the first time since 1954.
Its like our wonderful Presidential candidates that are going to do this and that if they become President. Why haven't they done anything while they were in the Senate?
Maybe if you left wingers would stop your constant whining and start doing something the Republicans and the wealthy wouldn't be able to take all your money, steal all your land and legislate you into poverty.
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5-11 with 'em. 5-11 without 'em.
Last edited by Duckjake; June 19th, 2008 at 08:21 PM.
Everyone seems to be looking for someone or something to blame. That is why somebody invented mirrors. In a perfect world cheap unlimited supply in an economy geared to excesses. Went to an electric vehicle organizational meeting last week. 20 people showed up. 14 wanted to bitch about big oil and big auto, inc. 6 are actually building/planning EVs. Does anyone actually do anything , on their own, about their "plight" ?
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In politics, nothing happens by accident. If it happens, you can bet it was planned that way.
Franklin D. Roosevelt
"Those who can make you believe absurdities can make you commit atrocities." --Voltaire
Everyone seems to be looking for someone or something to blame. That is why somebody invented mirrors. In a perfect world cheap unlimited supply in an economy geared to excesses. Went to an electric vehicle organizational meeting last week. 20 people showed up. 14 wanted to bitch about big oil and big auto, inc. 6 are actually building/planning EVs. Does anyone actually do anything , on their own, about their "plight" ?
Post of the year.........
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There will never be enough questions answered to eliminate faith
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