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THE COST OF ENERGY
Can We Handle the Truth About Gas Prices?
 
Sunday, Jul 20, 2008 - 12:05 AM 
 
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By ANITA HARTKE
TIMES-DISPATCH GUEST COLUMNIST

America has a crippling addiction to oil. That is no secret -- and certainly it is not news. Our leaders, Democrats and Republicans alike, admit our dependence on oil (not just foreign oil, but all oil) is a grave danger to our nation's economy, security, and environment.

For the average citizen, however, it is the $4-a-gallon price tag that caused us to sound the alarm in earnest. Our outcry finally has reached the ears of legislators at all levels, and in response we are hearing an almost nonstop stream of proposed "solutions."

Sorting through all the proposals to find what really may work is a daunting task. There are tremendous pressures to focus on superficial fixes, not genuine, long-term energy security. So, to paraphrase Jack Nicholson's famous line in "A Few Good Men": Can we handle the truth about oil prices?

The prospect of any break in gas prices is appealing. But, as my opponent Eric Cantor and other Republicans dangle a three-month break from federal gas taxes out to the public, citizens should realize that a gas-tax holiday would provide at most 30 cents a day in relief while increasing oil company profits and stripping $10 billion from the national highway trust fund -- a move that also would cost thousands of jobs.

Widely criticized by expert economists as a diversionary tactic, a gas-tax holiday does nothing to address oil availability or dependence. Yes, even a reduction of 18 to 20 cents per gallon would be welcome, but let's not be fooled into thinking such a move is anything but a Band-Aid on a potentially lethal wound.

After decades of public resistance to exploring for oil in our coastal waters, our excruciating pain at the pump appears to have nudged Americans to a greater acceptance of the idea. Cantor strongly supports offshore drilling. But will drilling in the waters off the coast of Virginia or Florida or California really lower gas prices?

First, if (and it's a big "if") oil is found under our coastal waters, it will take seven to 10 years to enter the marketplace. In that time, the world's demand also will have increased dramatically, offsetting the gains of discovering new oil resources. After all, it is not oil's availability but rather its profits that are the motivating force for domestic oil companies. Oil prices are determined by international demand and American oil companies will auction off any oil found along U.S. coasts to the highest bidder, regardless of which country that might be. Furthermore, oil companies hold leases on 42 million acres of federal land but only about 12 million acres are actually being explored.

And even with these already leased lands plus the proposed offshore drilling, the projected yield will do little to feed our current levels of fossil fuel consumption and will do nothing to break the cycle of addiction. Only viable energy sources other than oil will solve the country's energy crisis.

As famed oilman T. Boone Pickens declared recently, "This is one crisis we cannot drill our way out of." Pickens is funding a campaign to reduce foreign oil dependence by investing heavily in domestic energy alternatives such as wind and natural gas.

No single strategy is the miracle solution. We must examine seriously and pursue an array of options -- starting with ways to quell our voracious demand for oil.

We need to build more efficient vehicles immediately. By doubling the fuel efficiency of autos within 18 years, as proposed by Democrats, American consumers will be able to reduce their gas purchases by a half-trillion gallons. For his entire eight years in office, Cantor has opposed raising fuel efficiency standards for cars.

There are solutions to our energy needs. Unlike my opponent -- who has consistently opposed investment in solar, wind, and other energy sources -- I fully support tax incentives for renewable energy sources and advocate a massive national effort to develop and deploy clean, renewable energies. And in the process, these plans for renewable sources of energy will help create 5 million new green-collar jobs.

So, enough with the cutesy gimmicks and the slap-dash policies and the sweetheart deals with oil companies and the pandering that tells us what we want to hear, not what we need to do. Let's not only trust the American people with the truth, but also give them the leadership it will take to find the long-term meaningful solutions. Anita Hartke is the Democratic candidate for Virginia's 7th Congressional District. Contact her at Anita@HartkeForCongress.com.

 

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