Friday, August 1, 2008

Gas Prices

What are your feelings on gas prices? I am somewhat irritated and am not driving as much. I try to consolidate my trips and walk to the store more. I am irritated that I cannot fill my tank using the debit card anymore as the $50 limit only fills it 3/4 full.
I am more irritated at the odd circumstances I read, about why the price of oil has climbed so much and why oil company profits are up so much.
I read about peak oil and supply and demand and think OK, but why did the price increase so fast?
I read speculation about speculators and also that an amendment to restrict oil speculation is filibustered down in the Senate by guess who and I think "hmm."
I read that the price of oil will go down immediately if only oil companies are allowed to drill in sensitive places such as offshore and ANWR. Is it just like sticking a straw in and sucking oil out?
I read that the professional filibusters in the Senate are now filibustering ALL bills until they are allowed to have a bill for more offshore drilling.
I read that oil companies donated >$1 million to McCain after he came out in favor of offshore drilling.
I read that offshore drilling is perfectly safe now and that no oil was spilled with Hurricanes Katrina and Rita. Then I read just the opposite--with numbers and pictures.
I read that offshore drilling would have no effect for 10 years and then would effect the price of gas by only pennies.
I read that the special ships that do offshore drilling are booked up for five years.
I read that US oil companies have lots of rights to drill in many offshore locations that they are not utilizing right now.
I also read that US oil companies have not built any new refineries in about 30 years and that the current refineries are running at about 85% of capacity, down from last year.
I also read that we export about 10% of our domestic production of oil and oil products. What?
I also read that the right to offshore drilling and the leasing of these areas would just be added to oil companies books as production reserve to increase the value of their stock!

I think I am beginning to understand the reasons for the price and profit increase. Just count us all as contributors to the largess of modern day oil barons.

Update: House Republicans are now staging a sit-in on the House floor to be allowed to have a bill for offshore oil drilling.

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