Monday, August 04, 2008

Energy Policy is in the Silly Season

I noticed an article at IBD Editorials today and the author used a comparison I made yesterday concerning the suggestion from Obama that we all just inflate our tires and tune up our auto engines to solve the energy problems.

Seems the ridiculous comment reminded the author of Jimmy Carter's solution to the energy problem 30+ years ago - set your thermostat to 62 degrees and toss on a sweater. That was the same reaction I had, too. Both men, totally clueless about energy policy. Both men want to dictate the temperature in your home. Remember when Obama said we can't just have our homes at 72 degrees and drive SUVs and eat all the food we want?

My go to guy on all things energy, my husband the engineer in the biz, said that actually Carter's plan would make a dent in consumption since the citizen was using less energy to heat a house. Of course, at Carter's suggested temp, old folks and the infirm would die and babes would get sick but that's beside the point. The tire air pressure and tune up will only be a drop in the bucket and it's silly. The media at the town hall meeting didn't question the nonsense, as they never do, so Obama feels empowered to continue on with it.

He now calls for more offshore drilling after just last month saying no. He calls for releasing oil from the Strategic Oil Reserve which is short term and a very small solution. He simply is ignorant on insisting, as Nancy Pelosi - another foolish political animal - that the oil companies lose their leases to land not being drilled on. And the usual windfall profit tax scam.

Marxism loud and clear. The press laps it up.

The truth is that not all leases produce oil. Oil companies make a very small overall profit, though as some of this country's largest companies the numbers are large. And, an interesting result of what conservation is going on now as drivers are using vehicles more wisely - the price of gas is down. When President Bush opened up land options for increased drilling, though still denied by Congress, the price of a barrel went down $10 overnight. Talking about our own solutions has an effect.

The tired argument that drilling won't help at the gas pump tomorrow, immediately, is bogus. Neither will the alternatives. But, the infrastructure is in place. That's the difference.

Rather than vote up or down on increased drilling approval, the most heavily taxed and regulated industry faces more threats of higher taxation and increased regulations. Not to mention property takeover - like Hugo Chavez did in Venezuela. What company executive in his/her right mind would have the incentive to drill in that atmosphere?

The writing is on the wall. More than 75% over the American people want more drilling. McCain has shifted his stance on more drilling. That's being flexible. McCain voted against the Bush energy bill in 2005. Obama voted for it. Interesting, considering it is Obama ridiculing McCain as though he is the one with the evil Big Oil support.

Obama was here in Houston over the weekend for two private fundraisers. One, in River Oaks, was at the home of an energy multimillionaire executive. Oh.

Though his he never defines his idea with actual numbers during these town halls, Obama claims he'll finance another stimulus check giveaway with money robbed from oil company profits. He'll decide how much money they should make, you know. He's as obtuse about what that profit is, though, as he was before he could define what a capitol gains tax was when he debated other Dems.

How about other windfalls? Like the article in the Wall Street Journal online asked: what about the windfall of "Jim Johnson, formerly of Fannie Mae and formerly a political fixer for Mr. Obama, reaped a windfall before Fannie's multi billion dollar accounting scandal. Bill Clinton took down as much as $15 million working as a rainmaker for billionaire financier Ron Burkle's Yucaipa Companies. This may be the very definition of "windfall"."

"The point isn't that these folks (other than Mr. Clinton) have something to apologize for, or that these firms are somehow more "deserving" of windfall tax extortion than Big Oil. The point is that what constitutes an abnormal profit is entirely arbitrary. It is in the eye of the political beholder, who is usually looking to soak some unpopular business. In other words, a windfall is nothing more than a profit earned by a business that some politician dislikes. And a tax on that profit is merely a form of politically motivated expropriation."

Today, as I filled my gas tank as part of potential hurricane preparation, the price was $3.63 per gallon. That was regular unleaded and I get a 10 cent discount with my card. I conserve the old fashioned way and for the old fashioned reason - good for the environment and good for my wallet. I don't need daddy Obama to tell me how to run my life, thanks.

Obama's mother's influence continues today on the candidate. He has written of his pride in her ideas of Marxist theory.

And now, Republicans have an issue catching on like wildfire with the voters. Democrats may want to remember that oil people are on both sides of the aisle. To claim everyone in the oil business is Republican is just more silliness. Voters are smarter than that. Voters are demanding all options are left on the table.

Finally.

1 comment:

Kris, in New England said...

Though his he never defines his idea with actual numbers during these town halls, Obama claims he'll finance another stimulus check giveaway with money robbed from oil company profits.

I would take that back a step.

Obama doesn't ever define his ideas. Full stop.