Barack Obama is concerned that skyrocketing gasoline prices leading into summer could have a major negative effect on his electability in November. Obama and his staff have always been in favor of US gasoline prices approaching $10 per gallon, as they are in Europe. However, Obama realizes prior to the General Election is the worst time for any of his Socialist wishes to come true.
When speaking in Miami last week, Obama tried to shift the blame for higher gasoline prices to others. I suggest reading his entire speech. However, Obama’s essential message regarding higher gasoline prices was,
So what does this mean for America? It means that anyone who tells you we can drill our way out of this problem doesn’t know what they’re talking about – or isn’t telling you the truth. The United States consumes more than a fifth of the world’s oil. But we only have 2% of the world’s oil reserves. That means we can’t just rely on fossil fuels from the last century. We can’t just allow ourselves to be held hostage by the ups and downs of the world oil market. We have to keep developing new sources of energy. We have to keep developing new technology that helps us use less energy. We have to keep relying on the American know-how and ingenuity that comes from places like the University of Miami. That’s our future. And that’s exactly the path we’ve been taking these last three years.
Half-truth #1: Oil production is the highest it has been in eight years. The increased production of oil and gas in the U.S. is largely a product of increased production on private land. The Administration could have encouraged much bigger gains by providing access to federal land.
Half-truth #2: Increasing oil production takes too long and would not impact the market for at least a decade. The sooner we make investments in domestic energy, the sooner those benefits will be realized. And with some serious reforms, some of this oil can reach the market in much less than a decade.
Half-truth #3: Oil is not enough. America has only 2 percent of the world’s oil reserves. President Obama frequently uses this number to push federal investments in alternative sources of energy that cannot stand the test of the market. The reality is that he uses this number deceptively.
Half-truth #4: Oil is not enough. The country needs an “all-of-the-above” approach to reduce its dependence on oil. While a familiar refrain from the President, it is a line that too often translates into wasteful subsidies for pet energy projects. A market-based strategy is the only all-of-the-above approach.
#5: Speculators are driving up the price of gas, and they need to be reined in. While the President tries to blame the market, he ignores the power of supply and demand. By removing roadblocks to domestic energy production, the President can ensure that there is a healthy supply of American energy on the market, keeping prices competitive.
Loris goes on to recommend and discuss five simple logical steps Congress and Obama could do to lower gasoline prices. They are,
• Get moving on permits
• Require lease sales when ready
• Create a sensible review process
• Remove regulatory delays and limit litigation
• Approve the Keystone XL Pipeline
These suggestions do not include taking oil from our Strategic Petroleum Reserve, which is in place for emergencies. This is not an emergency for most of us but it is for Obama. Obama’s primary concern is the electability of Barack Obama in November. The fear of potentially falling oil supplies due to Iran and other matters should prompt us to greatly enhance our exploration, our drilling, our production of oil, our pipeline construction, and our refinery construction.
We can count on Barack Obama to do two things. Obama lies about the situation and then portrays himself as working for a solution to the problems that Obama claims were created by George W. Bush and other Republicans.