High oil prices: Who's to blame?

Waterbury Republican-American ^ | January 6, 2008 | Editorial

[gogogodzilla]

Are people truly not understanding their natural gas, propane, electricity or oil usage? Do they run the furnace with the windows open? Do they turn on the oven to bake one batch of cookies...and don’t throw in a casserole or some potatoes to bake while they’re at it? Do they take 20 minute showers with the hot water blasting the entire time?

---

Well, in my experiences in South Korea... that’d be a yes.

Nearly all the South Koreans I work with and visit set their thermostats for around 28 degrees Celsius at home and at work (82 degrees Fahrenheit). I’ve seen them do this repeatedly... it’s easy to notice, as Korean A/C units have digital thermostats with big, glowing, red numbers.

Then, they’ll open enough windows, or the front door, to cool the place to a nice average temperature (probably around 68-72 degrees). In essence, leaving the heat on 24 hours a day.

And then they have the gall to complain about how it’s too cold at work/home. (as if they can’t actually close the door/window)

Same with cars. I constantly see cars parked in front of stores with the engine running.

I don’t understand why they do it, but somehow - to them - it makes perfect sense.

But then, they believe in the dreaded ‘fan death’. (http://en.wikipedia.org/wiki/Fan_death)

[familyop]

gogogodzilla wrote:
"It’s also propanganda to state 'If there are 10 billion barrels of oil in ANWR, at the US 20 million bpd usage, all of that oil would last about a year and a half.'

As if the US would suddenly cease production in other parts of the country... and stop importing all oil, period. For that’s what you imply in this.

Do you really believe that?"

Here are the pertinent words of the comment that you took the quote from.

The author of the posted article wrote:
"The Arctic National Wildlife Refuge is said to have enough oil to meet 100 percent of domestic demand for 25 years,..."

I argued:
"If there are 10 billion barrels of oil in ANWR, at the US 20 million bpd usage, all of that oil would last about a year and a half."

I'm not concerned about how you or I feel. It's only important for other readers to see the truth.

[familyop]

BTW,... Our grandparents rationed fuel to do what they needed to do. Can we not measure up to that? How high will oil prices be, after several more enemy nations have nuclear weapons and the ability to reach western Europe with them?

S. Korea, U.S. verifying reports on test of new N.K. missile in Iran: source
http://www.freerepublic.com/focus/f-news/1834307/posts
(4,000 kilometer range—May 16th, 2007)

Iran produces nuclear fuel pellets [for heavy water reactor]
http://www.freerepublic.com/focus/f-news/1930458/posts

[RightWhale]

Alaska’s oil consumption is somewhat high per capita due to cruise ships and international airfreight, but it isn’t anywhere near equal the entire USA.

[RightWhale]

USA is still one of the big three oil producers. Increasing domestic production would, believe it or not, make no difference whatsoever in the price of oil, which is back down to $95 today without ANWR.

[RightWhale]

It’s not my number but that of a professional oil trade journal column filler. Somebody (with a rusted out Singer in his garden) once remarked that oil wealth is a gift of nature and politics and I suspect the price is determined mostly by politics.

[RussP]

That makes no sense whatsoever.

[JohnD9207]

Exxon/Mobile makes .09 cents per gallon profit. They Drill for it, transport it, refine it, truck it to the neighborhood, and use to put it in your tank.

U.S./State Governments .42-.46 cents per gallon profit.
They......................Do Nothing for its profit.

The evil enemy...Why Exxon of course!

When the Greens are willing to open up Alaska, and build nuclear power plants then I will believe they are serious about an actual solution to the problem.

[grey_whiskers]

I was thinking of all the oil shale and sands rumored to fill Canada and the Western Great Plains.

Various rumors in various places seem to put the price/bbl to make extraction profitable anywhere from $30 - $60...

So far, I've not seen much progress on them.

My take is that the oil companies got so burned by when oil fell to $10/bbl under Clinton that they are dragging their feet...plus opposition from Sierra Club types and libs.

As far as "pipe dream", 16 of the most 20 polluted cities in the world are in China: they are doing all the polluting which is illegal or too costly in the US.

That's what I had meant by "not in my backyard" writ nationally.

One last -- if the Americas really are the world suppliers of crude, how come Dubai has so much money? And why do oil futures shoot up every time there is tension in Nigeria or the Middle East?

Not a cheap shot, that -- if there is a cogent reason, I'd love to hear it.

Cheers!

[thackney]

Various rumors in various places seem to put the price/bbl to make extraction profitable anywhere from $30 - $60...

So far, I've not seen much progress on them.

Alberta Oil Sands have been in continuous commercial oil production for 4 decades. There are currently about $150 Billion dollars being invested in new projects and expansions.

Inventory of Major Alberta Projects
http://www.alberta-canada.com/statpub/albertaConstructionProjects/mpindex.cfm
Scroll down, select "Oilsands" and click "Submit"

Oil Sands History
http://www.syncrude.ca/users/folder.asp?FolderID=5657

Suncor oil sands operating costs averaged $21.70 per barrel during 2006 compared to $24.55 per barrel in 2005.

Suncor Energy 2006 Annual Report
http://www.suncor.com/data/1/rec_docs/1264_Suncor%202006%20Annual%20Report-bookmarked.pdf
See page 20.

[grey_whiskers]

Thanks -- this just shows how grey and out-of-it my whiskers really are.

I appreciate the links!

Cheers!

[taxesareforever]

I heard an economist, who I have reason to believe, state that the reason oil is so high is because the U.S.Treasury is printing so much money to cover debts. Makes sense to me. He stated that the bubble is growing and could burst at any time. I wish I had a link to his interview but I don’t.

[HankReardon]

Who’s to blame?

Politicians demonizing the oil industry and pandering to extremist environmentalists.