How We Solve the US Energy Riddle

What is our energy future?

Lately, conservatives have been arguing that we need to focus on extracting our fossil fuel energy in the US so that we can become energy independent. The problem with that is: even if we become 100% energy independent, if that energy independence is based on fossil fuels, other countries will continue to have influence on what we would pay for gasoline, coal and natural gas. This is because in a global marketplace, US companies will sell their product to US consumers for as long as it is economically feasible to do so. Once people in other countries increase their demand (and price) for fossil fuels, US companies will be glad to sell their products to them instead... until we can out-bid them and keep the supply here.

Also, I believe that at some point it may be cost-effective for countries like China to refine oil to export to the US. When countries without air quality standards or labor regulations can cheaply refine oil into gasoline and find a way to transport it inexpensively enough, I can imagine that we will be buying our refined fuel from those countries. This may sound preposterous but consider that we already send tons of flour to China for them to mix with melamine and mercury and send back to us in the form of cookies and crackers for us to consume.

Green energy, on the other hand, cannot be exported. Energy from windmills and solar will bring jobs that can't be outsourced. These are the industries of the future. This is where our long-term energy solutions will come from. We can't ignore it. We must embrace it. We should not be afraid of new technology. Of course, in light of our current economic crisis, it may be risky to gamble on somebody inventing ways to make green energy solutions viable in the near term. Green energy has a lot to prove still, despite the fact that it promises some amazing things. Fossil fuels however have a current, real, intrinsic value.

So here is what I propose: we aggressively harvest some of our fossil fuel energy over the next several years. If done correctly, fossil fuel energy could be a good source of jobs and we do need jobs desperately. It is true that fossil fuel projects won't create many jobs on their own. The XL pipeline project, for instance, is only expected to produce an estimated 20,000 job years (yeah, job years, not jobs--that's 20,000 jobs for one year; or 10,000 jobs for two years; or one thousand jobs for 20 years--it's not exactly going to turn our country around). We can create more jobs by over-regulating the fossil fuel energy industries. Most of the disasters that have occurred in the in the past few decades could have been avoided or greatly mitigated if crews and containment equipment were on the ready as oil companies promised they would be. If we actually make fossil fuel mining companies follow through on their legal and contractual obligations this time, there will be more workers to respond to a disaster, meaning more jobs filled, and fewer and far less severe catastrophes. The additional government regulatory jobs would improve oversight of  the operations of the industry. Yes, it is more bureaucracy but it also creates more jobs and reduces environmental impact. It is also likely to save lives (kind of important) and stimulate the economy. We stop funding terrorists and get cheaper fuel prices in the short term.

Anyone uncomfortable with trading more bureaucratic government jobs for more domestic energy production should consider the practice of oil pipeline "pigging" and its record of failure. Now imagine that a pipeline is proposed to run near your child's school or through your favorite hunting area. Government oversight is needed to ensure that safety regulations are closely followed and disasters affecting our citizens and environment are minimized.

Here's the other catch, profits from the new fossil fuel bounty would have to be taxed a bit to offset the environmental damage by funding research into green energy options for the long-term. Drastically reducing domestic fuel prices would only cause more consumption. If we accellerate our production of domestic fossil fuels, we need to devote much of the cost savings to move the whole country forward and not to just be a boon to energy companies. A little tax on the fossil fuel energy income and a little increase on the gasoline tax would be required. Then the whole country can benefit from capital that can be invested in green energy (our long-term solution).

The faster we can get green energy solutions paying off for us, the better. We need to compete with China for manufacturing those products since they are what will be in demand in the future. That may mean subsidies for green energy companies. Perhaps, more Solyndras. But as much as people like to make Solyndra out to be a big deal, the best information out there says that it was not a scandal. It was an unfortunate waste of money but in the bigger picture, most of the investments we've made in new technologies have paid off far more than enough to offset the few that failed. A little more of this will be in our long-term economic interests. In the short term, we suck the fossil fuel energy from this country like a demon sucking the last drops of blood form the skull of its victim and hope that we have the intelligence and dedication to ensure that it is done safely and responsibly.

It is a little complicated and not 100% to the satisfaction of the two ideologies that exist in this country. But I believe that it is a wise, responsible and sensible compromise to accomplish the goals of both sides; giving us all lower fuel prices, greater national security (which requires less military spending), improved environmental protection, more jobs and improved economic growth.

That's how we fix the energy problem. Now, can we go fix the CORRUPTION in Washington?

~R. Charan Pagan
information systems technologist, musician, writer, filmmaker
Los Angeles, CA 90017
http://www.reclaimingourbirthright.blogspot.com/