28 April 2011

Alaska's Oil

Roberta X wrote a bit about why she has reduced her political commentary. I've been asked about the same topic, and a lot of it is a) I'm preaching to the choir, and b) those who disagree aren't likely to be persuaded by anything I say.

However, it doesn't mean that I've stopped completely. I mentioned recently that the Alaska Legislature has been deadlocked on the capital budget, as the Senate and House are at odds over some smallish percentage of spending. A few millions separate them, and neither side wishes to give up anything.

I won't go into the idiocy of increasing spending in a time of declining oil revenues, which make up a very large portion of Alaska's state budget ... but there, I just told you what I thought.

All you Outsiders* have just recently learned that the EPA has stopped Shell Oil's planned exploration and drilling in Alaska, after Shell spent some $4 Billion-with-a-B of its monies on the projects. It was announced here several weeks ago, but that doesn't lessen the outrage and indignation that Alaskans feel at this literal slap in the face to Alaska.

It is no secret that the Trans-Alaska Pipeline Systems (TAPS) was designed to pump three million barrels per day, and is currently hovering just above the 600,000 barrel mark. If/when the flow decreases just a bit more, the pipeline may have to shut down altogether, not being designed to handle a quantity that small. In the heady days of the mid-1970s, as the North Slope was getting underway, it never occurred to anyone that the greatest obstacle to production would be a federal government that wants America's energy production to fail.

I just told you what I thought, again.



*those who live outside of Alaska

6 comments:

Matt said...

The times we live in are getting scary.

Jenny said...

... I'm thinking at some point Atlas doesn't need to shrug, Atlas needs to pick back up the tools he was forced to put down. Or failing Shell just heading out to the slope anyway (iffy precedent, that) - I'd at least like to see the state gov'ts force the hand.

For instance, something to the effect of "Whereas the resources of the state of Alaska are Constitutionally the property of the people of Alaska, the State of Alaska reserves the sole and exclusive right of approval for resource extraction operations within the State of Alaska and her coastal waters."



In other words, just do it and see if the feds don't blink - especially in the face of $5+/gallon gasoline and the corresponding political pressure.

Rev. Paul said...

Matt - yes indeed.

Jenny - I've been predicting that the State would do just that, for some time now. It's high time someone does something.

North said...

?? What is with all of this drilling for OIL? My car only uses a couple of quarts every 3000 miles. What we should be doing is drilling for GASOLINE! That is what is expensive. Why isn't anyone drilling for unleaded gas?

I see a lot of gas pumps in gas stations that are getting gas from right under that station. Apparently there are gas deposits at every street corner.

We need to put in more gas stations with those gas pumps that tap that underground gasoline. How much is one of those gas pumps? I should just put one by my driveway and get my own free gas.

Rev. Paul said...

Gas pump? Heck, we just back up to the pipeline and fill'er up. Don't need no stinkin' pumps...

drjim said...

Drill, baby, drill!