Skip to comments.Palin: Dollar woes show need for energy independence
Posted on 10/07/2009 11:31:28 AM PDT by American Dream 246
Two days ago, British newspaper The Independent reported that a secret cabal of oil-producing Arab states, Russia, and China had conspired to dump the dollar for oil trading, a move which would have seriously weakened our currency and influence abroad.
Many publications picked up on this report, written by the notoriously unreliable Robert Fisk, and a round of denials promptly appeared from the named states. Left unexplained by Fisk and the Independent was how these same states, with massive holdings in the dollar (especially China), would benefit in the short or long term by attacking it.
However, it once again showed the risk that the US has in relying so heavily on foreign oil when we have resources at home that could replace a significant amount of it. Sarah Palin made that her message of the day from her Facebook platform yesterday:
All of this is a result of our out-of-control debt. This is why we need to rein in spending, and this is also why we need energy independence. A weakened dollar means higher commodity prices. This will make it more difficult to pay our bills including the bill to import oil.
In his book Architects of Ruin, Peter Schweizer points out that the Obama administration is focusing primarily on green energy, while ignoring our need to develop our domestic conventional energy resources. Were ignoring the looming crisis caused by our dependence on foreign oil. Because were dependent on foreign nations for our oil, were also at their mercy if they decide to dump the dollar as their trade currency. We cant allow ourselves to be so vulnerable to the whims of foreign nations. Thats why we must develop our own domestic supplies of oil and gas.
Though the chant of Drill, baby, drill was much derided, it expressed the need to confront this issue head-on before it reaches a crisis point.
Bottom line: lets stop digging ourselves into debt and start drilling for energy independence.
The year since the last oil shock has pushed this from the front burner for most Americans as prices have stabilized to about two dollars a gallon less than the shocks peak. The health-care debate has taken its place, and not for bad reasons, either, as it posits a government-mandate model that has allowed our oil reserves to sit untapped for decades. Perhaps the upcoming debate on cap-and-trade will allow this issue to arise once again, although the terms of that debate may force it to share time with issues of taxes, costs, and further mandates.
That would be a shame, because this remains a priority for our economic recovery, and Palin shrewdly seizes the opportunity to raise the issue at a timely moment. We could create tens of thousands or hundreds of thousands of high-paying industrial jobs by opening the coastlines for drilling, most of which would be union labor. It would take a few years to start benefiting fully from the production, but we could be well on our way to keeping dollars at home rather than sending them abroad for our energy needs before then. It would make energy less expensive at a time when we need to reduce energy costs to stimulate the economy in a real way. Even if we have forgotten the pain at the pump, Drill Here - Drill Now is just as important as it was in 2008 and considering the state of our economy, perhaps even more important than it was then.
We’ll be independent all right...immediately after Congress sells America’s oil to China to pay off that little debt we owe.
It’s incomprehensible that we would do anything but drill here and now ——unless we are trying to tear the USA apart.....or we are trying to save our oil for when the rest of the world’s oil is used up.
Ok, I’ll join in on the rest of the Sarahphants on here. That was fantastic. She’s been dead on economically. I hope she turns her guns on the Fraudal Reserve and the other banksters next.
It all comes back to “Drill here! Drill Now!” If we don’t, we’re done! Oil is the only way to get this machine moving again. Period! Those cute little windmills are BS.
Sarah’s right, again. Had we been working diligently over the past 30 years or so to assure our independence from imported oil, we would be in much better shape today to weather this economic storm.
We need to get off the dime on this one. Drill Here! Drill Now!
It’s time to take back the country.
Coal liquefaction is one of the backstop technologies that could potentially limit escalation of oil prices and mitigate the effects of transportation energy shortage that will occur under peak oil. This is contingent on liquefaction production capacity becoming large enough to satiate the very large and growing demand for petroleum. Estimates of the cost of producing liquid fuels from coal suggest that domestic U.S. production of fuel from coal becomes cost-competitive with oil priced at around 35 USD per barrel, (break-even cost). With oil prices as low as around USD 40 per barrel in the U.S. as of December 15, 2008, liquid coal lost some of its economic allure in the US, but will probably be re-vitalized, similar to oil sand projects, with an oil price around 70$ per barrel.
In China, due to an increasing need for liquid energy in the transportation sector, coal liquefaction were given high priority even during periods of oil prices below 40$ per barrel . This is probably because China prefers not to be dependent on foreign oil, and instead utilize their enormous domestic coal reserves. As oil prices were increasing during the first half of 2009, the coal liquefaction projects in China were again boosted, and these projects are profitable with an oil barrel price of 40$.
parsy, who notes we are the Saudi Arabia of coal
BINGO! She gets it. This is the key. We have the energy. The govt is lying saying we only have 40 billion barrels versus 200 for Saudis. On federal land there is tons and tons of oil, coal, shale oil, nat gas, methane and other gas.
Bingo! it will reboot our economy.
Domestic energy sources create wealth - PERIOD. Massive wealth.
Happened in PA, TX, AK, CA, Gulf coast, ND and other areas.
Or our government and various outside environmental groups are paid/supported by oil-exporting nations to keep any energy exploration legislation tied up indefinitely.
To me, this is the most logical explanation. Green ideology is just cover and useful idiots. As always, follow the money.
I don’t think they’re cute. I think they’re ugly!
So do I. We’ve got them springing up around us and the enviroloonies are cheering and will be running tours for “the children” in the future. Pretty sick.
I wonder if we’re stupid enough to sell our oil drilling rights to China, and if so will the proceeds do anything other than getting another moron re-elected.
“Drill Here, Drill before China owns the oil rights.”
>> I wonder if were stupid enough to sell our oil drilling rights to China, and if so will the proceeds do anything other than getting another moron re-elected.
Drill Here, Drill before China owns the oil rights. <<
We should sell one area for Oil rights to the Chinese. Right offshore Long Beach and San Fransisco. ell the rights right up to 100ft off the shore. Let the Chinese make hundreds of spills and make those bastard idiots in Hollywood chock on some black crude courtesy of their friends the chi-coms.
“Not in My Back Yard!!”
“Sorry the Chinese own your Back Yard and you are screwed”
I've been believing for a long time now that oil is not completely fossil generated. How is there evidence of hydrocarbons on moons in this solar system? The limited resource meme is beginning to wear thin on me.
Besides we could drop 70% of oil requirements in twenty years by going nuke electric generation but you know that.
She gets it! Energy also creates wealth. We have it but the govt lies about the huge reserves on govt land. Hussein is owned by the Saudis.
This is how we could reboot the economy - it is the only way.
Could Obama do a better job of tearing the USA apart?