By Alan Caruba

Why some people are having difficulty identifying the cause of the present high cost of gasoline at the pump as the direct result of the last three years of Barack Obama’s energy policies is one of those great mysteries.

By “energy policies” I mean his administration’s opposition to access to the billions of barrels of oil on federal lands.

I mean his Energy Secretary’s earlier opinion that high gas prices are good for the economy, abandoned as they climb to and passed $4.

I mean Obama’s lies about the recent increase in oil production when he knows it is occurring on private and state owned land, not federal land.

I mean his opposition to the Keystone XL pipeline.

I mean the waste of billions of taxpayer’s dollars on “renewable energy” firms, many of which have already failed, along with the sales of the Chevy Volt, whose production has been discontinued.

I mean two amendments to the Senate transportation bill that would have created new taxpayer-funded subsidies for natural gas vehicles, extended the production tax credit to underwrite wind energy, and revived the Treasury grant program that gives taxpayer money for the installation of solar panels and other renewable technologies.

I mean the impact his policies are having on everyone’s wallet and its drag on the economy as his policies drive up the cost of gasoline and everything dependent on transporting goods anywhere…and that is everything!

Just how dumb do you have to be not to grasp that when Obama took office on January 20, 2009, oil was selling at $38.74 a barrel and the average retail price of gasoline was around $1.90 a gallon. Today, oil is trading at more than $108 a barrel and gasoline is closing in on $4.00 a gallon. As they say, do the math.

In early March, speaking in Nashua, New Hampshire, Barack Obama said, “Let’s put every single member of Congress on record. You can stand with oil companies or you can stand up for the American people.” This consummate liar is using the same pathetic message and damage done by Jimmy Carter---who got voted out of office after a single term as president.

In his 2005 book, “Why Your Gasoline Prices are High”, Seldon B. Graham, Jr, a graduate of West Point, used his fifty years of experience in the oil industry described what happened when, in 1981, Congress passed a windfall profits tax. “It was a death notice for USA oil. Many U.S. oil and gas companies went bankrupt…and those which survived were forced to go overseas to explore and drill in foreign countries.”

At the very time when the Middle East is in turmoil, the Democrats want to repeat the same blunder of 1981.

In a nation that sits atop billions of barrels of untapped oil in federal lands such as the Arctic National Wildlife Refuge, domestic oil reserves in the lower 48 states, the Gulf of Mexico, and the vast untapped reserves off the nation’s continental coasts, the Obama administration has restricted oil companies from exploring and drilling in areas where new reserves of oil and gas are known to exist, shortened lease terms, and has slowed down permit approvals.

That is the equivalent of declaring an energy war on the nation. Moreover, in a virtual secret, the Obama State Department is involved in a deal to turn over seven Alaskan islands to Russia. One of them is the size of Rhode Island and Delaware combined and who knows how much oil lies beneath them?

Oil prices are set by the market principles of supply and demand. By aggressively thwarting access to America’s abundant oil reserves, the Obama administration is deliberately keeping prices high and forcing them higher.

As Jack Gerard, the president of the American Petroleum Institute, said in a press conference on March 8, “When crude prices are high, the price at the pump is also high. With a 42-gallon barrel of crude oil topping $106, refiners pay more than $2.50 for each gallon of crude they must purchase. Add in the almost 50 cents per gallon on average in gasoline taxes and you have over $3.00 of what consumers are now paying at the pump.”

Simply by announcing his intent to open new areas for exploration and production, President Obama could signal the market and put downward pressure on today’s and tomorrow’s gasoline prices. This is exactly what happened when President Bush lifted the moratorium on the East and West Outer Continental Shelf back in July 2008. It resulted in a 12% decline in the price per barrel.

Why are we paying more? Why are U.S. dollars going to oil-producing nations that do not like America? Why are we competing for oil with China, India and other emerging economies when we have enough oil, gas, and coal to be energy independent for the next century or longer?

The reason is the policies of the present and past administrations going back to the days of Jimmy Carter in the 1970s. The answer given by the White House is greedy oil companies and Wall Street “speculators.” It is a lie.

The worst of it, as a recent Wall Street Journal article explained, “Oil can’t go much higher without derailing the economy…at some point, oil prices overwhelm everyone,” wrote Liam Denning. Keeping them artificially high can have no other purpose than to continue the destruction of the nation and the President knows it.

© Alan Caruba, 2012

Views: 982

Tags: Congress, Gas, Oil, President-Obama

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Comment by Ronald E. Swanson on March 17, 2012 at 6:11pm

Obama caters to his two big donors, union bosses and environmentalists. Two entities that are without doubt Communist by their very nature. Something else to watch for this summer. The summer Olympics this year will be held in London, England. It has always been an American tradition that the American flagbearer does not bow our flag to any foreign dignitary during the opening and closing ceremonies. Will Obama attempt to order our standard bearer to change this? It will be a sorry day indeed if he does!

Comment by Doug Nicholson on March 15, 2012 at 10:57pm

Debrajoe, thanks for posting this. I forwarded it to all my contacts so they would be aware of Odumbo's traitorous actions.

Comment by Debrajoe Smith-Beatty on March 15, 2012 at 2:48pm

Exclusive: Joe Miller sounds alarm over deal to put land in hands of Putin's Kremlin

By Joe Miller
The Obama administration, despite the nation’s economic woes, effectively killed the job-producing Keystone Pipeline last month. The Arab Spring is turning the oil production of Libya and other Arab nations over to the Muslim Brotherhood. Iraq is distancing itself from the U.S. And everyone recognizes that Iran, whose crude supplies are critical to the European economy, will do anything it can to frustrate America’s strategic interests. In the face of all of this, Obama insists on cutting back U.S. oil potential with outrageous restrictions.
Part of Obama’s apparent war against U.S. energy independence includes a foreign-aid program that directly threatens my state’s sovereign territory. Obama’s State Department is giving away seven strategic, resource-laden Alaskan islands to the Russians. Yes, to the Putin regime in the Kremlin.
The seven endangered islands in the Arctic Ocean and Bering Sea include one the size of Rhode Island and Delaware combined. The Russians are also to get the tens of thousands of square miles of oil-rich seabeds surrounding the islands. The Department of Interior estimates billions of barrels of oil are at stake.
The State Department has undertaken the giveaway in the guise of a maritime boundary agreement between Alaska and Siberia. Astoundingly, our federal government itself drew the line to put these seven Alaskan islands on the Russian side. But as an executive agreement, it could be reversed with the stroke of a pen by President Obama or Secretary Clinton.
The agreement was negotiated in total secrecy. The state of Alaska was not allowed to participate in the negotiations, nor was the public given any opportunity for comment. This is despite the fact the Alaska Legislature has passed resolutions of opposition – but the State Department doesn’t seem to care.
The imperiled Arctic Ocean islands include Wrangel, Bennett, Jeannette and Henrietta. Wrangel became American in 1881 with the landing of the U.S. Revenue Marine ship Thomas Corwin. The landing party included the famed naturalist John Muir. It is 3,000 square miles in size.
Northwest of Wrangel are the DeLong Islands, named for George Washington DeLong, the captain of USS Jeannette. Also in 1881, he discovered and claimed these three islands for the United States. He named them for the voyage co-sponsor, New York City newspaper publisher James Gordon Bennett. The ship’s crew received a hero’s welcome back in Washington, and Congress awarded them gold medals.
In the Bering Sea at the far west end of the Aleutian chain are Copper Island, Sea Lion Rock and Sea Otter Rock. They were ceded to the U.S. in Seward’s 1867 treaty with Russia.
Now is the time for the Obama administration to stand up for U.S. and Alaskan rights and invaluable resources. The State Department’s maritime agreement is a loser – it gives us nothing in return for giving up Alaska’s sovereign territory and invaluable resources. We won the Cold War and should start acting like it.
The Obama administration must stop the giveaway immediately.
Author’s addendum, Feb. 17, 2012: This is not a new issue. In fact the Bush and Clinton administrations are directly at fault for the same inaction. A maritime agreement negotiated by the U.S. State Department set the Russian boundary on the other side of the disputed islands, but no treaty has ratified this action. Consequently, it is within the president’s power to stop this giveaway. The Alaska delegation’s failure to put pressure on the administ
Comment by James martire on March 15, 2012 at 2:43pm

I hope every American would read this. I have said that this nation is being taken apart, because all we hear is the sky is falling, the sellers of fear and misdirection have control of the minds of two many americans. The opening of Federal lands and streamlineing the permiting process would drop prices 12 to 18 percent. Passing laws to strip the EPA and then the creation of a new Agency incorporating the department of the interion. would help. With in three years the price would be back to 1.25 to 1.35 and the even lower. Your will need laws to hold corporate ececutive personally and criminally responsible if there companies are found guility. No more free ride. Do away with the tax code as it is written. America will be fixed, within 5 years or less. The Mid east will calm down because their cash flow, will be greatly deminished. They will not be able to fund terrorism.

 

If you do your home work, you  will find what Alan Caruba and I have written is the Truth. Research Canada, and how they turned around their Economy form 1995 to 1998. Reduced welfare and created well paying jobs by useing their Natural Resources.  

Comment by Doug Nicholson on March 15, 2012 at 1:12pm

Yes, this subject in important, but I agree with K.T. Borland, (below): What's all this about "...Obama State Department...to turn over seven Alaskan islands to Russia." You'd think the state of Alaska might have a word or two to say about this! And if Odumbo can do this, what's next...giving Brazil a nice chunk of Texas? What's the deal and why haven't we heard more about it?

Comment by Barry Gabrielson on March 15, 2012 at 10:26am

Who benefits foom not drilling, causing oil prices to go up?  The US Government in tax revuenue and the producer of oil, the Middle East.  Who gets screwed, the taxpayer.  So what else is new?  This is about paying off to the Middle East, so we wont get them upset, not being able to maintain their economy.  Just follow the money then you will get your answer

Comment by Thomas Nunn on March 15, 2012 at 8:57am

Got your attention yet? Now, while you're thinking about it, do this:

GOOGLE it, or follow this link. It will blow your mind.

http://www.usgs.gov/newsroom/article.asp?ID=1911

Comment by Thomas Nunn on March 15, 2012 at 8:55am

Subject:

OIL---you better be sitting down when you read this ! !

You "will" pay $5 a gallon + again and you won't complain loud enough to make a difference, RIGHT!

Here's an astonishing read. Important and verifiable information :


About 6 months ago, the writer was watching a news program on oil and one of the Forbes Bros. was the guest. The host said to Forbes, "I am going to ask you a direct question and I would like a direct answer; how much oil does the U.S. have in the ground?" Forbes did not miss a beat, he said, "more than all the Middle East put together." Please read below.


The U. S. Geological Service issued a report in April 2008 that only scientists and oil men knew was coming, but man was it big. It was a revised report (hadn't been updated since 1995) on how much oil was in this area of the western 2/3 of North Dakota, western South Dakota, and extreme eastern Montana ..... check THIS out:


The Bakken is the largest domestic oil discovery since Alaska 's Prudhoe Bay , and has the potential to eliminate all American dependence on foreign oil. The Energy Information Administration (EIA) estimates it at 503 billion barrels. Even if just 10% of the oil is recoverable... at $107 a barrel, we're looking at a resource base worth more than $5...3 trillion.


"When I first briefed legislators on this, you could practically see their jaws hit the floor. They had no idea.." says Terry Johnson, the Montana Legislature's financial analyst.

"This sizable find is now the highest-producing onshore oil field found in the past 56 years," reportsThePittsburgh Post Gazette. It's a formation known as the Williston Basin , but is more commonly referred to as the 'Bakken.' It stretches from Northern Montana , through North Dakota and into Canada . For years, U. S. oil exploration has been considered a dead end. Even the 'Big Oil' companies gave up searching for major oil wells decades ago. However, a recent technological breakthrough has opened up the Bakken's massive reserves..... and we now have access of up to 500 billion barrels. And because this is light, sweet oil, those billions of barrels will cost Americans just $16 PER BARREL!


That's enough crude to fully fuel the American economy for 2041 years straight. And if THAT didn't throw you on the floor, then this next one should - because it's from 2006!

U.. S. Oil Discovery- Largest Reserve in the World

Stansberry Report Online - 4/20/2006


Hidden 1,000 feet beneath the surface of the Rocky Mountains lies the largest untapped oil reserve in the world. It is more than 2 TRILLION barrels. On August 8, 2005 President Bush mandated its extraction. In three and a half years of high oil prices none has been extracted. With this motherload of oil why are we still fighting over off-shore drilling?


They reported this stunning news: We have more oil inside our borders, than all the other proven reserves on earth.. Here are the official estimates:

- 8-times as much oil as Saudi Arabia

- 18-times as much oil as Iraq
- 21-times as much oil as Kuwait

- 22-times as much oil as Iran

- 500-times as much oil as Yemen

- and it's all right here in the Western United States .

HOW can this BE? HOW can we NOT BE extracting this? Because the environmentalists and others have blocked all efforts to help America become independent of foreign oil! Again, we are letting a small group of people dictate our lives and our economy.....WHY?

James Bartis, lead researcher with the study says we've got more oil in this very compact area than the entire Middle East -more than 2 TRILLION barrels untapped. That's more than all the proven oil reserves of crude oil in the world today, reports The Denver Post.
Do

Comment by keith r merrill on March 15, 2012 at 5:31am

Government from hell.

Comment by USARogue on March 14, 2012 at 11:39pm

k.t. borland,

Here's a link about our Incompetent-In-Chiefs "Island Giveaway to the Ruskies".

 

http://www.thegatewaypundit.com/2012/02/report-obama-administration...

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