Energy CEO calls out Obama on weak energy policy, says he can lower energy costs

Yesterday before the Energy and Power Subcommittee, the CEO of American Petroleum Institute, Jack Gerard, told Congress (PDF of Testimony) that while some believe that there’s nothing we can do to lower energy prices because they are driven by global events, he says “that’s just not so.”

He explains:

Americans are understandably frustrated by rising fuel prices, the result of a weak energy policy. America is an energy-rich nation, one of the world’s richest, yet too many talk like we’re powerless to do anything but watch global events drive energy costs higher, and that there are no solutions.

Members of the committee, that’s just not so. With sound policy and bold leadership, we can put this country’s vast resources to work to change the current energy equation.

Gasoline prices are climbing primarily because the cost of crude oil — which accounts for 76 percent of the price at the pump — also has been rising, pushed higher by global demand and Middle East tensions. These market forces are challenging, but America doesn’t have to be held captive by them.

We have choices. By increasing access to North American energy, we will help put downward pressure on fuel prices.

Supply matters. That’s not just API saying so. It’s others asking the Saudis to produce more, it’s others seeking new suppliers – like Brazil – it’s talk of another release from the Strategic Petroleum Reserve.

He continues to explain what we can actually do to lower the cost of energy prices:

A strategy that confidently deploys resources here at home will send a clear message to global markets that the United States is serious about affecting supply. To the American people it will say help’s on the way.

We can send that message right away by approving the Keystone XL pipeline, which would bring 800,000 barrels of oil per day from Canada. We could expand access to our own supplies – offshore and onshore – by allowing new exploration and development on federal lands that currently are off limits. …

The effect of greater access is no mystery. Look at what’s happening on state and private lands. Shale plays in North Dakota, Pennsylvania and Texas are game changers – creating jobs, helping consumers, generating revenue to government and producing record levels of oil and natural gas. …

Over the next two decades we could add the equivalent of 10 million barrels of oil per day to supply our energy needs. Markets built on expectations would see that America plans to be an energy leader, not a follower.

He’s basically affirming much of what Newt has been saying in his campaign to lower the price of gasoline to $2.50. It’s about supply, and we must increase our production to add to the global supply.

But Obama is out there saying there’s no quick fixes, that we can’t drill our way to lower gas prices and if someone tells you that they are lying to you. Let me remind you:



While Obama is lying to the American people about our much needed energy solutions, Gerard is calling out the Obama administration in his testimony before Congress on what he says is a weak energy policy:

But current policies block this vision. API agrees with the call for an all-of-the-above energy approach, but we’re seeing actions that hinder oil and natural gas at nearly every turn.

The administration is saying one thing, doing another and sending mixed signals to the markets.

The administration says it is for more oil and gas, but rejects the Keystone XL pipeline. It says it is boosting domestic production onshore, but new leasing on federal lands is down 44 percent, and the number of new wells drilled is down 39 percent. It says it is opening offshore areas but the latest plan keeps 87 percent of these areas off limits. It says oil and gas activity in the Gulf of Mexico is back to normal, but the latest forecast says production this year will be down nearly 21 percent from 2010. It says it is for natural gas, but 10 federal agencies are looking at new regulations that could needlessly restrict it. It calls for “all-of-the-above” then threatens the companies that could lead an energy renaissance with $85 billion in discriminatory tax increases.

Mr. Chairman, this is sending the wrong message to the global markets. This needs to change.

If I were you I’d memorize the above section so you can adequately explain to your friends what the oil and gas industry is telling us regarding the Obama administration energy policies. We need good information this year to fight the lies coming from Obama and his propagandist media.

The Energy and Power Subcommittee published a short video from this hearing of a Q&A with Gerard and Rep. Mike Pompeo that is very informative. Gerard tells Rep. Pompeo that just the announcement by George W. Bush in 2008 that he was going to open the outer continental shelf for oil drilling dropped the price of oil $15 per barrel over three days:

There’s an experience we have in July of 2008 that was alluded to earlier that we ought to go back and look closely at. The price of crude oil drove to $145/barrel. Then-President Bush announced the opening of the outer continental shelf and lifted the moratorium. The price of crude oil over three days dropped $15/barrel and continued to move down.

Markets are driven on a global basis by expectation. If the market heard the President of the United States say I’m serious about producing my vast energy resources, you will see an impact in the market.

Here’s the full clip:

It’s clear what we have to do to get energy costs down and it can be summed up in a famous refrain: Drill baby drill!

 

Comment Policy: Please read our comment policy before making a comment. In short, please be respectful of others and do not engage in personal attacks. Otherwise we will revoke your comment privileges.
newest oldest most voted
sdharms
Guest
sdharms

How many times will some voters swallow the line “no quick fixes”? If we had drilled in ANWR during the Clinton admin, that oil would be on line now. Clinton also told us , “no quick fixes”.

911Infidel
Member
911Infidel

And the fun news is that in a recent poll, 77% of respondents said that the price of gas is the most important factor in this election. Shades of Dhimi Carter. Maybe that’s one of the reasons why Morris is so bullish about a Repubik victory in November.

Trust1TG
Guest
Trust1TG

Looks like ROMNEY has an ENERGY PLAN – $2.00 per gallon gas tax:
http://twitchy.com/2012/03/08/

Pass it on.

Post it on your facebook.

StNikao
Guest
StNikao

NEWT’S ENERGY POLICY gets approval:

Jack Gerard of the American Petroleum Institute appears to agree with Newt’s free market plan:
http://www.therightscoop.com/energy-ceo-calls-out-obama-on-weak-energy-policy-says-he-can-lower-energy-costs/

patriot077
Member
patriot077

Oblahblah isn’t just jacking up gasoline prices, his EPA goons are also regulating coal powered plants out of existence to “skyrocket” electicity prices.

Millions of homes without power in the next couple of years – at least.

wodiej
Guest
wodiej

Short and to the point from the energy guy. Gov. Sarah Palin encouraged candidates to talk about energy. The next day Gingrich took her advice. He is saying the same thing this guy did. Gingrich has a boatload of conservative accomplishments including lower energy prices, lower unemployment, lower entitlement expenses, lower debt and lower spending. He’s fought up at the big house on both sides of the aisle and got things done. He slays the media dragon and puts them in their place. The man can be a statesman and be scrappy too. I wouldn’t be a bit surprised to see Palin in his administration doing something very constructive on energy. Both are hard core patriots. Those are the kinds of people we need leading this country-people who love America first. When all is said and done, those are the kinds of things that will restore America and create jobs… Read more »

thegatehouse
Guest
thegatehouse

As President Obama wants to instill in us hopelessness and that “there is no silver bullet”…..

I see a Silver Bullet all right! His name is NEWT.

With his “silver hair” and “straight shootin”, truthful message and policy, he is my Silver Bullet! Yea NEWT 2012

In fact, NEWT is a 50cal silver bullet!

thegatehouse
Guest
thegatehouse

As President Obama tries to instill in us that “there is no silver bullet”; we of sound mind see the Silver Bullet with our own eyes! Newt! With his silver hair and policies that hit the target, we have in our midst a 50 cal Silver Bullet!!

Newt 2012: The Silver Bullet

StNikao
Guest
StNikao

VERY GOOD – DO post it at http://www.newt.org/contacts

Amy
Guest
Amy

Politico is reporting that Obama is actively lobbying the Dems to vote against the pipeline. I don’t believe for a second that he is doing this to please the environmentalists. I believe HE is an environmentalist whacko.

Nukeman60
Member
Nukeman60

It seems like a simple way to inform the populous on how we lower gas prices – use a video. Compare what we should be doing to what Obama is not letting us do – in the Bakken area, in Alaska, both western and eastern offshore areas, in the gulf, with the pipelines. It’s a stark contrast. There is 1.5 million barrels/day difference in a balanced worldwide supply/demand market. Obama says if we supply more, then OPEC reduces their supply to balance the higher price. That would be true except for one BIG difference. The supply would be increased from OUR sources and decreased from THEIR sources. That gives us more toward our need and it’s a win-win for us. Instead of importing 60% of our oil, we would import less and less until we’re totally independent. Let the middle east oil conglomerates rot. Without oil export, they have no… Read more »

anneinarkansas
Guest
anneinarkansas

We need many more stand-up men like this one.

BankGuy
Guest
BankGuy

Please take a look from the API website. The EPA is responsible for increased regulation and refinery closures in the past couple of years. It is Obama’s plan to boost gasoline prices as there will be continued ‘bottlenecking’ in refining.
http://www.api.org/news-and-media/news/newsitems/2012/feb-2012/api-warns-upcoming-tsunami-of-epa-regulations-for-refineries.aspx

BankGuy
Guest
BankGuy

Obama.

I’m assuming that you’ve never had an introductory course in microeconomics. Please see below as it should help you understand price movements in the market:

http://www.youtube.com/watch?v=qdOqAWo8vFw

Nukeman60
Member
Nukeman60

NO, no ,no! You’ve got it all wrong. It’s those dang Republicans and their just say no policies that has caused the rise in gas prices. Well, that and Bush.

KM
Guest
KM

The CEO of API has more credibility than obama. That within itself, says it all.

sDee
Member
sDee

Our government and its central banks, keep pushing its citizens, its industries, its churches, and its military tighter and tighter in the corner.

warpmine
Guest
warpmine

Likie the compression of a proto-star will explode with life as the fussion furnace kick on.

warpmine
Guest
warpmine

For the life in me, I canot understand why those poor slobs are in such a snit, they voted this clown in office so they should have expected this from the usurper that claimed that this was a good thing and everything was in fact “proceding according what I have forseen.” Next up is the electricity producing industry: Obamakov’s starvationist policies have slowed the reseach and development of fourth generation nuclear reactors which promise greater safety and higher burn rates of the fuels. Those reactors are small madular concept that can be used for process heat for gas to liquids and coal to liquid tenchnologies that have been developed. our research companies are being forced to pitch their ideas to foreign governments that are more receptive to the idea of cheap energy because they obviously know that cheap affordable energy is the best way to expand an economy opposed to… Read more »

sDee
Member
sDee

They thought they could make a deal with this guy once he was elected. Business as usual inside the beltway. They saw an opportunistic politician in Hussein Obama, they did not see that he was different beast whose end game was to subsume and control them.

They made a deal with the devil. I think the oil industry narrowly escaped cap and trade due much in part to citizen bloggers who exposed it and the global warming hoax it was built on. The health care industry got deep into bed with the Hussein regime and was not so fortunate. They keep playing their grand games with politians. Lose-lose games for the people.

nuffsaid
Member
nuffsaid

If there any more humiliation this communist weasel can take us through? Where are the scum that support him? We need to find them and say, in a firm voice. “Stop. Or else.”

warpmine
Guest
warpmine

I can think of a few other ways to convey my displeasure with their antics.

Donald Arey III
Guest
Donald Arey III

It’s stunning to me how weak and ineffectual our GOP leadership is on this and every other issue. They have all of this information right at their fingertips, yet they never do or say anything to rock the boat of public perception. Guys, every single time you are on camera say “$2.50 gasoline” and ignore the inane question you were asked.

sDee
Member
sDee

There is no leadership. They follow.

Freedomswatch
Guest
Freedomswatch

Thank you Mr.Gerard. Too bad your solution doesn’t fit into the MSMs vision to re-elect Obama. They will keep this testimony hidden far away from the average voter until the One is happily re-installed in the White House. Hope you don’t get sent to a green energy re-education camp for suggesting how to lower gas prices!

Locks
Member
Locks

So Obama CAN effect the price of gas in an election year if he wanted to contrary to the song and dance he gave in response to FOX’s reporter Ed Henry’s question earlier this week.

The Democrat politicians and the President want the issue to obtain their green energy goals, and not find a solution to the high price of gas problem.

Tom Camp
Guest
Tom Camp

It is pretty amusing that Bush was to blame for high gas prices way back when, but now prices are beyond the president’s control.

There are so many things that the President can do to lower prices: open ANWAR, open areas to offshore drilling, open some federal lands to oil shale development, approve Keystone, drop mandatory % of electricity generation from green tech (though this is more a state issue). Just signalling that the US will seriously exploit our vast energy resources will lower the price before a single new will is drilled. This president simply chooses not to in order to appease his green allies. Of course he has to lie to defend his do nothing (except throw money at green companies that contribute to him) energy policy.

Obama: the – worst – president – ever.

warpmine
Guest
warpmine

Might be the last preisdent as well.

Rshill7
Member
Rshill7

Obama wants to crank his green energy money-shredder back up and feed more US taxpayer dollars into it so we can see more confetti shooting out of the other end…after the execs at these green companies pay themselves a bonus and file bankruptcy of course. Maybe they’re called green companies for this reason. Nobody shreds more green than they. That’s money-burning efficiency for sure. Money, the new energy source. Burn all we can. That’ll give us a nice warm fuzzy huh?

Actions speak louder than words, however, Obama’s actions and inaction is deafening.

Bobn
Member
Bobn

Uh-oh, if I were him, I’d watch out for those “Natural Causes” and I’d hire someone to start my car in the morning.

Been_There_BT
Guest
Been_There_BT

O gets caught telling another whopper.

Mitt finds out Newt’s energy policy is fact, not “pandering.”

That’s a two-for!

I’m glad Mr. Gerard backed up the truth of what Newt has been saying.

Newt Now! and $2.50 a gallon becomes a reality.

MaxSteele
Member
MaxSteele

Newt’s comparison to the natural gas industry the other day is exactly correct. There is no difference what so ever. Natural gas is also speculated on the stock market and also varies from world demand but when you have an abundance of domestic production it acts as a buffer to severe market changes. You could even compare it to any other commodity. That’s why a pair of Levi’s cost $150 in Australia because they have to import them and have no domestic manufacturer. As a minor point to show how simple this stuff really is. Not the rocket science Obama and his socialist minions claim.

Sentinel
Member
Sentinel

This needs to happen more and often. People in high places need to call out maobama and showcase to the American people how this pretender is destroying our livelihood and way of life. If more people did this, that would make it harder on the media to cover for their dear ruler and maybe the dumbmasses would wake up in sheepletown.

Back to Top of Comments