Looks like today is becoming Official Energy Day here on the blog, so to the mix we add these items of news and opinion that might otherwise slip by:
Washington Times: “Big Oil’s record profits attract attention and outrage, but an independent study has found that oil companies do exactly what economic textbooks say they should do with all that money: They invest it in oil exploration and development efforts that eventually should relieve pressure on prices.”
Washington Examiner:“The Achilles heel of the American economy’s use of highly efficient, computer-driven technology is the need for power to run it. The demand increases every year, but unfortunately the supply does not. The difficulties or raising vast amounts of capital, finding appropriate sites, fighting rampant NIMBYism and other problems have prevented the power industry from building more plants and adding more capacity. The good news is that the industry is finally addressing its serious environmental issues.”
Reuters: “Democratic members of the U.S. House of Representatives on Monday called on the U.S. Congress to hold hearings into BP’s operations in Alaska following a second oil pipeline rupture at its Prudhoe Bay operations over the weekend that will shut the 400,000 barrel-a-day oilfield.”
Reacting to that last story, Alex Charyna of The National Review detects an apparent inconsistency: Politicians who complain about the effect on energy prices from the sudden loss of 400,000 bbls, instead dismiss the potential supply of oil from ANWR as a “drop in the bucket.” That seems odd, “Especially when the Energy Information Administrations thinks that there might be anywhere from 600,000 to 1.9 Million bbls per day available from ANWR.”
Good point, Alex. And count us as being generally skeptical of the value of campaign-season hearings designed to bash oil companies. Congress could spend its time more productively by finalizing the OCS energy bills.
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