Rachael Luzietti

March 5, 2011

Libya's unrest has contributed to growing concerns over the future of oil and gas prices. As prices exceed $ 100 a barrel, America is reminded of its need for energy independence. Some see independence as achievable through increased domestic drilling while others advocate for alternative fuel sources.

Senator Lisa Murkowski (R-AK) was one of the first voices to get behind increased domestic drilling. Sen. Murkowski recognizes America's need for energy independence but believes the solution is to increase domestic oil production, even at high environmental costs. Specifically, she has suggested that drilling begin in the Arctic National Wildlife Refuge (ANWR). She expects that ANWR drilling will create jobs, decrease national debt, and increase federal revenue.

The oil industry and those close to it are on Sen. Murkowski's side. They, of course, favor increased domestic drilling as a stable and reliable source of crude oil and offer alternatives, or additions, to ANWR drilling. Charles Drevna of the National Petrochemical and Refiners Association sees potential in Canadian oil sands. Michael Bromwich from the Bureau of Ocean Energy Management, Regulation, and Enforcement has endorsed the reinstatement of Gulf Coast deep-water drilling.

Any of these strategies could increase domestic oil production but, as environmental groups point out, the increase would be minimal, far off, and would come at significant environmental costs. For example, extracting from oil sands requires a lot of energy and creates substantial air and water pollution. Instead of increasing oil production, the recent spike in oil prices would be better used to encourage American consumers to demand and invest in alternate fuel sources.

One hot alternative is ethanol. The pro-ethanol group, Growth Energy, is working to defeat any congressional actions that may threaten ethanol's future as a viable domestic fuel source. Despite criticism that ethanol can produce only 70 % of the mileage gasoline does, Growth Energy is convinced that ethanol is good for the economy and environment.

Wind energy is another popular alternative. The American Wind Energy Association believes that wind could help power the transportation sector through plug-in hybrids. Such advancement would decrease dependency on foreign oil while increasing environmental quality. However, wind-powered hybrid advocates are met by concerns over the practicality and logistics of converting the American transportation system from gas to electric.

The only thing everyone can agree on is that America needs to free itself from foreign oil. The situation in Libya is just the latest on a long list of reasons for OPEC dependent countries to investigate other potential fuel sources. Domestic drilling may increase oil price stability but that stability is years off and will likely be short lived. Instead, now is a perfect time to invest resources into other, cleaner, safer, and cheaper fuel sources.

Sources:

1. Christopher Joyce, Calls Renewed for Friendlier Sources of Oil, VPR News, Mar. 3, 2011, http://www.vpr.net/npr/134200869/.

2. Anne C. Mulkern, Soaring Oil Prices Become Popular Argument for Just About Anything, N.Y. Times, Feb. 28, 2011, http://www.nytimes.com/gwire/2011/02/28/28greenwire-soaring-oil-prices-become-popular-argument-for-47763.html?pagewanted=1&sq=rising%20oil%20prices,%20libya%20and%20domestic%20production&st=cse&scp=9.

3. Growth Energy, http://www.growthenergy.org/ (last visited Mar. 3, 2011).

4. Am. Wind Energy Ass'n, http://www.awea.org/ (last visited Mar. 3, 2011).