90 second news commentary heard on the American Christian Network
Once again, oil prices are up and what does Congress do?
I’m John Loeffler at steelonsteel.com, here’s how it seems to me.
Every time we hit high oil prices Congress jumps into action, holds hearings and does…uh, nothing.
Right now the United States is plowing into a major global energy storm, totally unprepared to face it with a feeble energy policy. Almost ten major studies have been done showing that the world’s daily demand for oil is exceeding the amount that we are producing; and this situation goes critical by about 2014 or ’15. It’s just months away, meaning that there’s going to be a major worldwide shortage of oil. If you think prices are high now, wait until it hits seven dollars, ten dollars.
Now we didn’t have to be in this condition, for years we’ve been painting ourselves into an energy corner by refusing to exploit our own national resources. The world energy market is huge! U.S. oil companies only represent about 15% of the total world market; and contrary to what you hear about record-breaking profits, oil companies only make about a 5% return on their investment.
The day of cheap oil is over. So what is Congress doing as the storm approaches? Well I guess they’re holding hearings, right? But the next time Congress critters tell us about the evil oil companies, you might want to point out to them that the biggest profiteer at the pump is government. They make more in taxes from every gallon sold than the oil companies do in profit.
I’m John Loeffler at steelonsteel.com and that’s how it seems to me.