Energy Crisis Solutions Part II

I would like to add to my most recent posting that I say what I say about alternative energy solutions because I hear it day after day, people who are either democrats or independents complaining about either how Bush won't do anything to lower gas prices or how the oil companies are gouging unnecessarily and making "record profits."

On the other side, Republicans whine about how we should drill in ANWAR and Florida and the California coast. And that we need to build more refineries. And that Canada better pick us over the Chinese for the oil shale deal.

First, the oil companies are not gouging, at least not anywhere near people think they are. I love reminding these people that government makes 3 time the tax revenue than the profits EXXON makes. And yes, I concede, the $400 million severance package for that former CEO was excessive.

See, in the 90's, we in America were in the middle of a perfect storm for low gas prices. Iraq's oil was allowed back onto the markets in 1996, Russia started selling their heavy crude, and the Asian tigers crashed which lowered global demand relative to supply. So with all that extra supply from Iraq and Russia, and the reduction in demand in the Asian market, we in America enjoyed low gas prices.

Well guess what folks? Them days ain't comin' back. The ONLY way we could possibly go back to those days is (1) ever-increasing subsidization of gasoline/oil which would be a complete farces because we'd just be making up the difference in taxes, or (2) build 10 new refineries in America next year and drill in ANWAR and the Rockies, and Florida coast at the same time. What are the odds that that is gonna really happen? I have a better chance of boning J-Lo.

And fossil fuels like crude oil keep ruining the ozone layer, anyway.

So let's look to the future. Crude oil is in the past. The future is cellulosic ethanol (and yes, corn and sugar ethanol), used restaurant grease for bio-diesel, and eventually hydrogen cars that produce nothing but water.

You want gas prices to go down? Quit crying and do something about it on your own.