Free Markets, Free People

Gulf of Mexico


Meanwhile, back in the Gulf, chaos still reigns

If there is a unified and coordinated effort in the Gulf, few people have apparently witnessed it. You know the travails of Louisiana – skimmer barges shut down for fire extinguisher and life vest inspections. Barrier island construction shut down because a federal agency wants them moved 2 miles further out.

In Alabama, Gov. Bob Riley says everything is being done “by committee” and no one is in charge while every agency seems to have absolute veto power. High water booms he’d requested specifically for the AL coast were finally found and before they could be deployed were inexplicably moved elsewhere.

Now comes the turn of Mississippi. Oil is headed for the beaches and as one critic says, it just doesn’t have to happen. Rep Gene Taylor got off of a flight over the area angry:

“It’s criminal what’s going on out there,” Taylor said minutes later. “This doesn’t have to happen.” A scientist onboard, Mike Carron with the Northern Gulf Institute, said with this scenario, there will be oil on the beaches of the mainland.

“There’s oil in the Sound and there was no skimming,” Carron said. “No coordinated effort.”

He’s right – it doesn’t have to happen. We’ve been told ad nauseum that the federal government has the containment situation in hand having been on the job since “day one”. Obviously that’s fiction. After a couple of trips to shore up his image, President Obama is back to the routine of golf vs. crisis management.

But Mississippi apparently is going to suffer the same fate as Louisiana and Alabama. No booms, no skimmer, no coordinated effort.

There were dozens of boats of all sizes running around, some leaving trails through the sheen. Two boats among a group near Ship Island were pulling boom in a line, but not using it to round up oil. That was at 10 a.m.

Taylor slipped a note to a fellow passenger.

It said: “I’m having a Katrina flashback. I haven’t seen this much stupidity, wasted effort, money and wasted resources, since then.”

Back on land in Gulfport, Taylor let loose.

“A lot of people are getting paid to say, ‘Look! There’s oil’ and not doing anything about it,” Taylor said. “There shouldn’t be a drop of oil in the Sound. There are enough boats running around.

“Nobody’s in charge,” Taylor said. “Everybody’s in charge, so no one’s in charge.

“If the president can’t find anyone who can do this job,” he said, “let me do it.”

Taylor, for those who are wondering, is a Democrat.

The administration likes to refer to the oil leak as a “man-caused disaster”.

So far the administration’s efforts at containment, well into 60 days now, has been as much of a man-caused disaster as the leak. And, as Rep. Taylor notes, it doesn’t have to be that way.

~McQ


Stimulus? Try Offshore Drilling

During the last days of the Bush administration, there was a small flurry of hope among proponents of drilling for oil and gas which is off our coast. The president lifted the ban on offshore oil drilling and Congress, understanding the politics of the moment, let their ban expire. As the Washington Examiner explains, that leaves only one obstacle to the US finally going after what is thought to be about 3 billion barrels of oil and 11 trillion cubic feet of natural gas:

So the only thing keeping U.S. firms from drilling off our own continental shelf is President Barack Obama and his secretary of the interior, Ken Salazar, who is slow-walking the approval process that must be cleared before the work can begin.

However, President Obama has managed to break 2 billion of your dollars loose to loan to Brazil to help bankroll their offshore drilling in the Atlantic. One assumes that will give Brazil a savings which will allow them pursue drilling in the Gulf of Mexico as well, since they are one of a number of nations pursuing oil and gas there:

Brazil, China, India, Norway, Spain and Russia have all signed agreements with Cuba and the Bahamas to initiate exploration and production in the Gulf of Mexico within the next two years. So the prospect of seeing Russian oil rigs 45 miles off the Florida Keys — where American oil companies are now forbidden to drill — is a very real possibility.

That “very real possibility” would see us buying oil from the Gulf from foreign oil producers when it was just as readily available to us and our own companies.

And who would you rather produced it – US companies who have proven over the years that they have the ability to recover both oil and gas safely and in an environmentally sensitive way or foreign companies 45 miles off your coast who could give a good rip one way or the other how environmentally safe their methods were?

Then there’s the recession, jobs and the government’s hunt for revenue. This seems like a natural “shovel ready” industry that wouldn’t cost the taxpayer a nickle to crank up but would benefit the economy and the tax base:

According to the American Petroleum Institute, the development of America’s coastal oil and gas resources would generate more than $1.3 trillion in new government revenue and 160,000 high-paying jobs over the next two decades.

Instead of going full bore and trying to get this program off the ground – or in this case, in the water, we’re still piddling around trying to pass legislation:

Senators Lisa Murkowski, R-Ak., and Mary Landrieu, D-La., are bipartisan co-sponsors of a bill that provides coastal states such as Florida their fair share of revenues produced by off-shore drilling and production. The same thing should be done for states on the East and West coasts. California Gov. Arnold Schwarzenegger and the state’s lawmakers hope to tap deposits off Santa Barbara to generate billions in royalties, and Virginia’s front-running gubernatorial candidate Bob McDonnell has made drilling 50 miles off that state’s coast a key component of his energy plan.

Meanwhile foreign nations are moving to exploit resources we should have been exploiting for decades.

We have a huge looming energy gap. We’re behind the curve as it stands right now. While all the politics is focused on health care reform, this need isn’t going away and only becomes worse. Instead of “slow-walking” this, Barack Obama and Ken Salazar should be fast-tracking it and getting us out in those offshore areas to grab the most productive regions first. If we don’t, we’ll be moaning about how the percentage of oil and gas we import has gone up again.

And, as usual, that will be our own negligent fault.

~McQ

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