Truthout Original

John McCain Wants to Drill in Your Toilet

by: Dean Baker, t r u t h o u t | Perspective

photo
Six months ago, an offshore oil platform in the North Sea experienced the second largest oil spill in Norwegian history, damaging shorelines and endangering wildlife. John McCain and President Bush are proposing expanding offshore drilling along the US coast.
(Photo: AFP / Getty Images)

    That is not true, as far I know, but it makes about as much sense as McCain's plans to drill off the coast of Florida and in other environmentally sensitive areas. This is McCain's response to the pain of millions of families hit by $4 a gallon of gas. While the pain is real, the former straight-talker's plan will not help, and he knows it.

    The facts on this one are clear: There is just not that much oil in these restricted offshore areas. Furthermore, we will not see any oil for close to a decade. This means drilling for oil in these restricted areas will do absolutely nothing for people struggling to pay their bills now and, in fact, it will provide zero relief throughout the next two presidential terms of office.

    Furthermore, even when oil from these fields starts hitting the markets and reaches peak production levels, the flow will still be too weak to have a visible impact. The Energy Information Agency (EIA) projects that if we go the drilling route, we could hit peak production of 200,000 barrels a day by 2030.

    Perhaps, John McCain and his team will sing the praises of the 200,000 barrels of oil per day that his policies will unleash in 22 years, but the reality is that this amount of oil will have too little impact on world oil prices for anyone to notice. The potential production from these environmentally sensitive areas is equal to approximately 0.2 percent of projected world production at that time. As the EIA comments, "any impact on average wellhead price is expected to be insignificant."

    The media have portrayed the disagreement between Senators Obama and McCain as to whether to allow drilling in the currently protected offshore areas as a question of values. Senator Obama values the environment, while Senator McCain wants to bring down energy prices and promote economic growth.

    However, the facts do not support this distinction. Obama advocates protecting the environment, but the evidence suggests that McCain's plan will have no measurable impact on the price of oil or on economic growth. In other words, Senator McCain is willing to jeopardize the environment in these protected areas for nothing.

    Perhaps, Senator McCain has a geological study that shows the Florida coast has enough oil to be the next Saudi Arabia. However, his campaign has not produced this evidence to date, which means that the EIA analysis provides the only projections that we have on which to assess the merits of drilling in these restricted areas.

    Instead of trying to caricature the campaigns to fit their predetermined stereotypes, the media would better serve the public if they simply presented the facts. And the facts as we know them are that one candidate is prepared to maintain a ban on drilling that dates from the first President Bush in order to protect the environment. The other candidate, Senator McCain, is prepared to risk serious environmental damage for almost no measurable benefit in terms of increased energy production or lower energy prices. Pitting the environment versus the economy can obviously be a useful frame for a political candidate. No doubt Senator McCain's focus groups showed that this one scored well or he would not be advocating such a nonsensical position. However, to get away with this position, McCain has to count on the media not bothering to point out that there is no economic issue here, only an environmental one.

    There are alternatives to drilling for oil in environmentally sensitive areas that can produce real results. Conservation is the most obvious. Suppose that we increased the average mileage of the fleet of cars in the United States to just 30 MPG in 2030, compared to its current level of around 20 MPG gallon. This would save more than 3.5 million barrels of oil a day, 17 times as much oil as we would get from Senator McCain's drilling plan.

    Suppose we raised average fuel efficiency to 40 MPG by 2030; this would save us more than 5 million barrels of oil per day, 25 times as much as we would get from Senator McCain's offshore drilling. Since many cars sold today already get more than 40 MPG, this is hardly an unrealistic target. Wherever we set our targets, the simple arithmetic shows that it is far easier to have an impact on oil markets through conservation than drilling in environmentally sensitive areas.

    The media have to recognize that reporting the facts is not biased reporting, even if the facts paint a candidate in a very bad light. Risking serious environmental damage for faith-based drilling, is bad policy pure and simple. The media have an obligation to clearly inform the public about what is at stake.

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Dean Baker is the co-director of the Center for Economic and Policy Research (CEPR). He is the author of "The Conservative Nanny State: How the Wealthy Use the Government to Stay Rich and Get Richer" (www.conservativenannystate.org). He also has a blog, "Beat the Press," where he discusses the media's coverage of economic issues. You can find it at the American Prospect's web site.

Comments

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Truth be told . . gas is

Truth be told . . gas is really no more expensive than it was when it was 35 cetns a gallon . . . back in the 60s gas was in the 30 - 40 cents a gallon range and a pack of cigarettes was 35 cents now they are 4-5 bucks a pack . . . average home in 1965 was 21,500 dollars and today its 313,600 an increase of 14.5 times - if gas went up just as much it would be over 5 dollars a gallon . . . (source for housing figures: www.census.gov/const/uspriceann.pdf) but yet you don't hear about excessive housing profit margins or anything else - its just that the fuel has not been priced according to inflation untl now

I am amazed how many lies i

I am amazed how many lies i have found in your opinion article by Dan Baker. Anwar would give us 2 million barrels a day and up to 10% of our usage. ANWR Refuge Facts - "Since North Slope oil resources represent a quarter of U.S. oil reserves, the need to access them has accelerated development of environmentally responsible, cost-effective practices and technologies. If Prudhoe Bay were developed with today's technology, its footprint would be 64 percent smaller: the drilling impact area would be 74 percent smaller, roads would cover 58 percent less surface area and oil and gas separating facilities would take 50 percent less space." Second there was not even a spill during Katrina. That is impressive. Thanks for reading, Cheers, Tedd

Got to say, I've about had

Got to say, I've about had it with all this whining about paying $4 a gallon for gas. Although my evidence is anecdotal, I believe that the only places where gas costs less than that are those with their own as yet undepleted oil; in much of the world, folks are paying a good deal more than we are, and have been for many years. We'd about shot our oil wad back in the late 60s. McCain and his gang of drilling boosters can get us back to those "good old days" only if they've a very large time machine hiding in the wings. About all we can do now is conserve, especially by driving less and more slowly in more efficient cars, and devoting resources to exploring and developing alternative forms of energy instead of pouring our grandchildren's treasure into illegal and counterproductive wars that will postpone the day of reckoning only a bit even if we "win."

Algae are happy to make oil

Algae are happy to make oil from toilettes' sewage on a scale that may actually be worth pursuing. Algaeoil.com is a good site for the curious mind. Likely there is more oil to be found in toilettes then off the coast of Florida.

"...the media would better

"...the media would better serve the public if they simply presented the facts." Well, then "the media" would have to take it one step further: if McCain is advocating off-shore drilling that offers no measurable benefit and is an environmental danger, then why is he advocating it? Could the answer maybe, possibly be related to, oh, say, paying off his "base" constituency, also known as Big Fossil Energy? The answer to that question would be one of the facts "the media" should present, yes?

Dean Baker has the best

Dean Baker has the best perspective on this of all the media I have seen or read. The truth is, if we want to stop global warming and have lower energy prices, we have to go clean renewable. The news media pooh pooh's this that we will never have enough clean renewable. How will they know unless we try and who's side are they on?

I think this might be a

I think this might be a political ploy. I've heard people suggest that he changed his stance on drilling to get the people who do want to drill to vote for him, also he does not ever say how long it will take to get that oil. Before I knew that it would take 10 or 20 years for us to start using the oil we find off our coasts, I thought that this would be good to keep oil prices from rising too much before we can find our alternative energy sources. And this article I read called The Oil “Melt-Up” and Why the U.S. Economy Won’t Run On Windmills Alone... explains why we need oil until then. And if we don't find those alternative energy sources within 20 years then I am positive its not because we can't, its because we were bogged down by bureaucratic factors. We just need to get out of own way. I understand there are many views and opinions for what’s right in alternative energies but I don't see why we can't have a think tank with the leading experts on the topic and decide what the best plan is. We did it in World War II, what's stopping us now? Check out that article it really gives you a good perspective of our current energy situation and what the reality is now. Its easy to say we need to change but the real question is how.

A question for Dean

A question for Dean Baker: Who changed the way oil is traded? Now high oil prices are out of control of OPEC and as oil comapnies are making recorded profits they are blaming it on speculation. This is new. So what changed so that speculators have all the control?

Oil companies will go to any

Oil companies will go to any lengths to make profits. If oil companies and other corporations are not regulated they will destroy our world. Right now companies in Canada are proposing mining in every remote northen pristine lake that will turn them into toxic waste dumps with no legislation to restore the land. Will we see thousands of miles of our coast line destroyed and without accountability? The people who were the victims of the Exxon Valdez oil spill were never compensated for all their losses. The corporate track record for the damages they incur are not good. We attacked Iraq and are sitting on the 2nd biggest oil reserve in the world yet now that too is not enough and mark my words, as the offshore riggs go up so will our oil prices. This is all for corporate benefit not for ours. We've lost maybe two trillion of our precious tax dollars on the Iraq venture which they promised would lower oil prices and all it has done is kill ten's of thousands of people, lowered our living standards and raised the price of oil. While our oil prices are skyrocketing Russia is sunsidiziong oil for their people because as they said they want a prosperous nation. China is also subsidizing oil for their people as is Venezula, but after attacking Iraq all the oil companies are doing is raising prices.

Oil companies will go to any

Oil companies will go to any lenghts to make profits. If oil companies and other corporations are not regulated they will destroy our world. Right now companies in Canada are proposing mining in every remote northen pristine lake that will turn them into toxic waste dumps with no legislation to restore the land. Will we see thousands of miles of our coast line destroyed and without accountability? The people who were the victims of the Exxon Valdez oil spill were never compensated for all their losses. The corporate track record for the damages they incur are not good. We attacked Iraq and are sitting on the 2nd biggest oil reserve in the world yet now that too is not enough and mark my words, as the offshore riggs go up so will our oil prices. This is all for corporate benefit not for ours. We've lost maybe two trillion of our precious tax dollars on the Iraq venture which they promised would lower oil prices and all it has done is kill ten's of thousands of people, lowered our living standards and raised the price of oil. While our oil prices are skyrocketing Russia is sunsidiziong oil for their people because as they said they want a prosperous nation. China is also subsidizing oil for their people as is Venezula, but after attacking Iraq all the oil companies are doing is raising prices.

The media have given McCain

The media have given McCain a free pass on this and many other flip flops and ignorant statements. Why is it so hard for the media to report factual errors?

Oil is traded in an open

Oil is traded in an open market. Any increase in oil production here can be readily countered by a decrease in production elsewhere to keep prices constant.

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