Posted by: al66888 | June 18, 2007

Must Read of the Day: Who needs to refine oil? Not the US

How are the gas prices in your town?

Tired of supporting suspect foreign governments who are anti-American with your gas dollar?

Do you think that the White House and Congress would do something about it?

Well, actually, our government has gone and done the reverse.  As oil industries throughout the United States started to gear up to refine more oil, Congress’ and the White House’s push for bio-fuels is causing them to cut back. 

Only last year, the Energy Department was told that refiners, reaping big profits and anticipating growing demand, were looking at boosting their refining capacity by more than 1.6 million barrels a day, a roughly 10 percent increase. That would be enough to produce an additional 37 million gallons of gasoline daily.

But oil companies already have scaled those expansion plans back by nearly 40 percent. More cancellations are expected if Congress passes legislation now before the Senate calling for 15 billion gallons of ethanol use annually by 2015 and more than double that by 2022, say industry and government officials.

Lets take a look some of the issues with oil and bio-fuels. The big push has been for E85 Ethanol, and though it does cut greenhouse emissions, but can it solve our problems?

  1. The last oil refinery completed in the US was in 1976
  2. Nuclear power is supposed to be a clean burning alternative. However, according to the US Government’s Energy Information Administration (EIA), the last nuclear power plant was built in 1996
  3. Oil is a commodity, so the price is affected by speculation. That is why when there was a possibility of the Middle East being hit by a storm, prices jumped. Just the same, the production and extra refining would create a surplus driving the price down.
  4. We will not drill for oil off the coast of Florida, but just outside US waters, Castro is going to and that will be Cuban oil
  5. We refuse to take 1 acre of ANWAR or to explore the oil in Utah which is said to have more than the Middle East
  6. According to consumer reports, E85 ethanol is less fuel efficient than gasoline, and that’s if you can even find a station that has E85.
  7. The amount of grain it would take to fill a 25 gallon tank with ethanol would feed a human being for a year. We will be the first civilization to destroy of food source for political correctness
  8. It is said that if we took our entire farmland, we would only be able to cut our oil usage by 10%, and that does not factor in the lower fuel economy. The net gain would be minimal.

If corn and other food sources are in lower supply, think of the price increases to all foods. Think of all the foods made from grains, the livestock that feeds from them, etc. and now think of how little you’ll save at the pump and how much you’ll pay at the market.  For a Congress who is always politicizing the plight of the poor, why would we look to raise food prices to save some money on gas.  There are far better options.

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  1. […] Who needs to refine oil? Not the US […]


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