Reality check on gas prices, public lands
October 10, 2012 Leave a comment
Rhetoric in the public debate on gas prices is heating up from politicians this week. Unfortunately, oil and gas apologists continue to push misinformation on the American public.
Instead of exporting American resources so that oil companies get richer, let’s use our oil at home to the benefit of all Americans.
There is another simple step we can take to help American families whose pocketbooks are hurting because of high prices at the pump. We should end the billions in special tax breaks to Big Oil and reinvest those funds in transportation solutions, high tech vehicles, and the next generation of renewable fuels.
Here are some facts to consider about gas prices and energy development.
Oil and gas drilling
Oil and gas drilling in America is its highest level since Ronald Reagan was in office. Over the last four years, there appears to be a direct correlation between gas prices and drilling activity. Higher prices means more drilling, but more drilling has failed to lower gas prices.
Domestic oil production
Earlier this year, the Associated Press found that there is no correlation between how much oil is produced and the price of gas. In fact, domestic crude oil production is at its highest level since the late 1990’s.
Over the last four years, oil production has increased right alongside the price of gas. Clearly, we need an all-of-the-above energy policy that goes beyond oil.
The Congressional Research Service found that oil production on federal lands is higher in 2011 as compared to 2007.
Oil and gas companies have also failed to develop more than 20 million of acres of public lands that are already leased for oil and natural gas. According to a May 2012 Interior Department report, the oil and gas industry had conducted production or exploration activities on just 56% of public lands leased in the U.S.