Domestic Fossil Fuel Abundance Fails to Deliver Cheap Energy For Americans
House Republicans plan votes before July 4 on at least three bills (HR 6, HR 3301, HR 4899) to increase domestic fossil fuel production and facilitate their export, with a “Drill Baby Drill” mantra designed to inspire a return to lower gas prices. Political parties can be forgiven for failing to update their rhetoric in the face of changing market dynamics. But the antiquated bombast designed during a period of relative energy scarcity is downright silly in today’s era of energy abundance. Domestic fossil fuel production is at record highs, and in less than two years we’ll be the largest oil producer in the world. Despite the fact we’re awash in domestically-produced fossil fuels, Americans continue to pay more for gasoline. That’s because petroleum prices are set by energy traders based on global events—so our prices will go up even if these GOP bills pass as long as Chinese demand and Middle East unrest fuel speculation. Particularly problematic is HR 6, which will make it easier to export natural gas, threatening higher prices for American consumers.
Lost in the House effort to reduce regulations over oil drilling is their willful amnesia of the 2010 BP Deepwater Horizon tragedy: why on earth is the House GOP trying to relax offshore drilling safety and environmental standards that the bipartisan commission found to be too weak? And of course none of the legislation recognize the need to deal with greenhouse gas emissions.
Eviscerating regulations over fossil fuel production and encouraging their export is a poor excuse for an energy policy. Progressively pricing carbon and investing billions into a sustainable energy infrastructure is the most cost-effective path to get our energy system working for families.
Tyson Slocum is Director of Public Citizen’s Energy Program. Follow him on Twitter @TysonSlocum