Tuesday, October 21, 2014

Gas, Oil & Coal

 

          If we listen to the environmentalists and global warming advocates; gas, oil, and coal are evil and should be eliminated as a source of energy.  I get a little sick of the attention and respect these people get.  All these issues are political footballs that give politicians from both political parties opportunities to increase their political power and the size of government.
          Lets look at coal first.  The present executive branch of our government has made it clear that they would like to totally eliminate the use of coal.  They claim this would be good for the planet because of carbon emissions.  Get real.  First of all, after two years researching global warming, I could find no verifiable facts showing that man made emissions affected climat change. 
         Secondly, if we are really concerned with protecting human life on a global basis, we need coal.  The number one cause of death in the world is not from Ebola or terrorism.  Both are real threats, but more people die from indoor pollution.  Three and a half million people die every year trying to stay warm.  They burn twigs, cardboard, and dung to heat their homes and die from the emissions.  They need a safe, cheap source of heat.  The best option is coal. 
          Environmentalist’s advocate and promote electric cars as being a solution.  These cars are plugged in to recharge.  Much of the electricity used is generated by coal.  Their logic is void of common sense.
          Natural gas and oil are huge factors on the world economies and our lives.  In this country, cheap gasoline prices mean more disposable income for other things.  This helps the economy. 
          We have natural gas and oil deposits in our country that are now readily recoverable due to frac sand mining.  Frac sand is a crush-resistant sand of a particular fine size used for hydraulic fracturing to recover oil and natural gas. 
          I happen to live in an area of the country with the largest deposits of high quality frac sand in the country.  Frac sand mines have been great for the local economy in Northwest Wisconsin.  It has also created some problems.  Some people just don’t like change.  As an Old Fart, I can certainly relate.  Some people don’t like disturbing the natural environment. 
          Frac sand mining has also created employment problems.  In this area, we have many good paying job opportunities with no one to fill those jobs.  This is also true in areas of Montana and North Dakota because of the Bakken oil field.  Some retail stores like Menards’ actually fly employees from other states to work in North Dakota  stores.  It is like an old time gold rush in some ways. 
          How much coal, oil and gas do we have in this country?  We have enough to economically serve all our needs for over two thousand years.  I am not saying we should not continue to develop alternative energy sources, but let’s use a little common sense please.  We still have idiots in the Federal government blocking the Keystone pipeline.
          We have large deposits of these natural resources, which can now be economically recovered, so the price to the consumer should come down.  With worldwide oil prices currently at $80 per barrel, we now have the capability to produce oil at $16 per barrel according to some estimates.  Think what this would do to gasoline prices. 
One big danger with lower gasoline prices is the temptation of politicians to add new taxes on gasoline.  Keep a close watch so this doesn’t happen.  As U.S. Senator Chuck Grassley said, “Taxes are a politician’s narcotic.”
          Cheap oil can also play a significant role in world politics and diplomacy.  What price will OPEC have to set for oil if we can produce it for $16 a barrel and are totally energy independent?  The economies of some Middle East countries are totally dependant on oil production.  Some countries base their budget on $100 a barrel for oil.  What happens to their economy when the price of oil drops?  We also must be aware that much of radical Islam is funded by oil.  What happens to Jihad with cheap oil? 
          I am not advocating conspicuous or wasteful consumption.  I believe in repairing versus replacing.  I believe in recycling, and I am very disappointed when federal regulations discourage recycling for items like alkaline batteries.  Let’s use some common sense please. 
          We have the opportunity to be totally energy independent.  This would improve our economy and our quality of life.  It would also give us the opportunity for significant diplomatic and humanitarian power on the world stage.  We can indeed help improve the quality of life worldwide. 
          If the Federal government gets out of the way, the United States of America can be on the brink of another great time in history.

1 comment:

  1. Where do you get this $16/barrel number. When the frac sand guys first came to town, they were saying oil had to be at least $75/barrel to make fracking doable. John Hardin

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