Spill commission anti energy recomendations

Steve Everly:

Today the National Commission on the BP Deepwater Horizon Oil Spill unveiled its 380-page report on the incident, a document that included several key anti-energy recommendations that will drive up energy prices, hamstring economic recovery, and make us more dependent on foreign oil.

Among the most destructive recommendations are:

No new drilling in the Arctic. The report recommends applying a completely new system of approving oil and gas drilling in Alaska, a recommendation that would effectively end all new exploration in America's Arctic waters until this massive new bureaucracy was in place. Fran Ulmer, one of the many environmentalists President Obama appointed to the spill commission, said during the roll out of the report that Arctic drilling requires "additional research and investment" before it should proceed. The Prudhoe Bay field in Alaska was discovered almost 50 years ago, and drillers in the Arctic have been constantly improving their operations to produce energy safely and efficiently, resulting (predictably) in a phenomenal safety record. The idea that, after a half century of safe operation, all new drilling should be halted until drillers prove they can operate safely is a recommendation that borders on the absurd.

Moreover, drilling processes and safety procedures in the Arctic are much different than those employed in the Gulf of Mexico, and for good reason: the climate and geography of Alaska is by no means analogous to the warm waters of the Gulf. In a report intended to focus on an oil spill in the Gulf, why would the commission recommend such radical regulatory restructuring in a region where the spill did not occur?

Delaying drilling application approval....

Raising insurance costs for independent producers....

...

This administration seems determined to drive up the cost of energy in general and fuel for autos in particular to make their "magic energy" solutions look more competitive. It is not like they are going to be able to block exploration of the Arctic by other nations who border on it any more than they can block Cuba from bringing in the Russians and the Chinese to help them explore for oil 80 miles off the coast of Florida.

I have always maintained that blocking drilling in ANWR made on sense.  It could decrease the need to import oil and help add revenue to a treasury that badly needs it.  The same goes for the deep water wells in the Gulf and on the East and West Coasts.  One accident does not a trend make and it is in the interest of the companies involved in the drilling to avoid such accidents as the expense to BP makes clear.  No company wants that kind of cost added to their exploration budget and they will naturally be careful to avoid it.

The Commission appears to be living down to its anti energy reputation.  Their report also failed to recognize the safety improvements already put in place by the industry.