The Week Ahead: Energy, the Supply Side

By November 7, 2005Energy

This coming week we’ll keep pushing on increasing the supply side of the energy equation. The Outer Continental Shelf (OCS) has some 420 trillion cubic feet of natural gas — enough to heat 100 million homes for 60 years. And, it has enough oil to power 85 million cars for 35 years. Natural gas prices are set on a domestic, not a world market. We’re paying the highest prices in the world for natural gas. All of our competitors pay less.

What does this mean? Well for one NAM member company — PPG Industries — every one dollar increase in the price of natural gas means another $70 million in costs to them. Unbelievable. Environmental risks of OCS exploration are virtually nil today because of vast advances in technology. There has not been a major OCS spill in 25 years. Don’t tell the enviros. They’ll get mad again.

So this week, drop a note to your Member of Congress and tell them to do everything in their power to make sure we can tap the OCS resources that await us. Let’s not be the only country in the world that limits access to its natural resources. What are other countries doing? They’re using their resources and they’re competing against us every day.

Also this week we’ll do the poster on Wednesday, Friday Follies and for our Saturday video, we guarantee one of the best videos we’ve ever had, just might crash the server. Look for clues in this space all week. You’ll be ready by Saturday, we promise.