UPDATE: First, I want to point you to API’s latest primer: Policies for America’s Future. This primer highlights facts about the oil and gas industry and puts them in the context of today’s policy proposals. It contains good visuals and it will be updated every week with the latest statistics and information.
Secondly, now that the election has passed, API is looking forward to bringing focus back to passing effective and comprehensive energy policies. Yesterday, their new President and CEO, Jack Gerard sent a letter to Congress stressing the importance of implementing policies that will ensure future energy demand is met, both here in the U.S. and abroad. If you’re interested, Jack’s letter is available here.
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Since the offshore drilling moratoria was removed, many people have been curious what will happen to the moratoria now that the price of oil has decreased and the Democrats are in control.
Rep. Steny Hoyer was asked a specific question about reinstating the ban, here is the question and his response along with a statement from the American Petroleum Institute:
QUESTION: What are your plans in terms of reinstating an off- shore ban on oil and gas drilling, number one? And then also the timing on climate change legislation, number two.
HOYER: I think I answered both those questions in response to your question. But having said that -- that's all right.
Having said that, I don't think there is any intent at this point in time -- there are no -- nobody is suggesting that we return to the same position we were in on September 28th or 27th or 26th.
But I think there will be real discussion on the parameters in which drilling will be pursued.
There was a GAO report out, by the way -- I think maybe some of you saw it not too long ago which raised the same question that we had raised about the 68 million acres that are currently authorized. Now, of course, all the acreage is open over -- outside the 3-mile or 12- mile limit.
So I think the answer to your question is, we're going to be looking at parameters, not necessarily reinstatement of the existing moratoria prior to the president's lifting it and then the restriction that was in -- in the interior appropriation bill of '08.
On your global warming, the timing is that there have been a number of proposals out. I think we will work with the president- elect, Obama, when he becomes president, to determine the timing.
Again, I want to stress I believe the economy and, as President Obama said, national security, ensuring during this transition period that we are secure as a nation and as a people will be the two main priorities to get immediate attention.
But I think global warming is certainly on the agenda for this year in the near -- near term.
WASHINGTON – The American Petroleum Institute today issued the following statement:
“We believe the position outlined to news reporters by House Majority Leader Steny Hoyer – that the Democratic leadership would not seek to re-impose the ban on oil and natural gas leasing in federal waters – is the right approach. The American public has made clear its strong support for increased access to untapped domestic oil and natural gas resources. At least two-thirds of Americans in recent exit polling said they supported offshore drilling. Neither Congress nor the next administration should set unreasonable, arbitrary limits on leasing because such restrictions could remove some of the nation’s most promising oil and natural gas prospects for development, and the industry has proven it can develop these resources in an environmentally safe manner. The industry stands ready to help put America’s vast energy resources to good use to strengthen our nation’s economy and energy security, generate billions of dollars for the benefit of our federal and state treasuries and provide good jobs for Americans across the country.”
