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Michael
09-04-2008, 05:07 AM
Published on Wednesday, September 3, 2008 by CommonDreams.org
John McCain Wants to Drill in Your Toilet: Part II
by Dean Baker

Two months ago, I wrote a column saying that John McCain wants to drill in your toilet. I was joking at the time, but that comment turned out to be pretty much accurate. The Republicans' top slogan going into the fall elections is "drill here, drill now." It all depends on your definition of "here."

Anyhow, the basic point is straightforward. There is very little oil potentially available in the areas in which the Republicans are anxious to drill here and now. The Energy Information Agency (EIA) - remember, these people work for President Bush - tells us that the oil in the offshore-protected areas will eventually add about 0.2 percent to world's oil output. This would be sufficient to lower the price of gas by 3-4 cents a gallon.

Furthermore, even with the best efforts to drill here and now, it will still take many years to get any oil whatsoever from these protected areas. Regardless of how anxious Senator McCain and the Republicans might be to damage the environment, oil companies will not just spend tens of millions of dollars blindly drilling deepwater wells. They first have to survey the terrain carefully and then dig test wells. The EIA projects that it will take ten years before we get the first drops of oil from drilling in currently protected areas and close to twenty years before we get our full 3-4 cent a gallon savings. That won't do a lot of good for people trying to make ends meet this year.

The remarkable story here is that all the people who follow energy policy know these basic facts. Yet, the Republicans are pushing the "drill here, drill now" line because they are betting the public can be kept in the dark. Just as tens of millions of people supported the war in Iraq because they thought Saddam Hussein was tied to the attack on the World Trade Center, the Republicans are betting they gain votes in November because tens of millions of people will believe that they are offering a credible plan to substantially reduce gas prices in the near future.

In this respect, they are counting on the fact that the major national media, outlets like CBS, NBC, NPR, The New York Times and Washington Post are completely incompetent. The job of the media is to inform the public. If the media effectively informed the public on this issue, they would be telling people the Republicans are proposing an energy policy that can at best have a very modest impact on oil prices in the distant future, and no impact whatsoever for the near-term future.

Few, if any, news stories have made this point thus far. As a result, polls show the majority of voters believe that drilling in offshore protected areas can have a substantial impact on oil prices in the very near future.

Go to this link to read the entire article:
http://www.commondreams.org/view/2008/09/03-5

Michael
09-04-2008, 05:12 AM
And this was the original article (excerpt).

John McCain Wants to Drill In Your Toilet
By Dean Baker

June 23, 2008


That is not true, as far I know, but it makes about as much sense as McCain’s plans to drill off the coast of Florida and in other environmentally sensitive areas. This is McCain’s response to the pain of millions of families hit by $4 a gallon a gas. While the pain is real, the former straight-talker’s plan will not help, and he knows it.

The facts on this one are clear. There is just not that much oil in these restricted offshore areas. Furthermore, we will not see any oil for close to a decade. This means that drilling for oil in these restricted areas will do absolutely nothing for people struggling to pay their bills now, and in fact, it will provide zero relief throughout the next two presidential terms of office.

Furthermore, even when oil from these fields starts hitting the markets and reaches peak production levels, the flow will still be too weak to have a visible impact. The Energy Information Agency (EIA) projects that if we go the drilling route, we could hit peak production of 200,000 barrels a day by 2030.

Perhaps John McCain and his team will sing the praises of the 200,000 barrels of oil per day that his policies will unleash in 22 years, but the reality is that this amount of oil will have too little impact on world oil prices for anyone to notice. The potential production from these environmentally sensitive areas is equal to approximately 0.2 percent of projected world production at that time. As the EIA comments, “any impact on average wellhead price is expected to be insignificant.”

The media have portrayed the disagreement between Senators Obama and McCain as to whether to allow drilling in the currently protected offshore areas as a question of values. Senator Obama values the environment while Senator McCain wants to bring down energy prices and promote economic growth.

However, the facts do not support this distinction. Obama has come down for protecting the environment, but the evidence suggests that McCain’s plan will have no measurable impact on the price of oil or on economic growth. In other words, Senator McCain is willing to jeopardize the environment in these protected areas for nothing.


Go to this link to read the entire article:
http://www.cepr.net/index.php/op-eds-&-columns/op-eds-&-columns/john-mccain-wants-to-drill-in-your-toilet/