Tuesday, July 23, 2024
Hawai'i Free Press

Current Articles | Archives

Thursday, December 13, 2012
Gushing about America's Energy Future
By NCPA @ 9:48 AM :: 4340 Views :: Energy, National News

Gushing about America's Energy Future

NCPA December 13, 2012

The United States is on the path to becoming energy independent in the next few decades. Indeed, the International Energy Agency (IEA) projects that U.S. oil production will exceed Saudi Arabia's production by 2020. It further projects that the United States will be energy independent by 2035, says Desmond Lachman, a resident scholar at the American Enterprise Institute.

  • Since 2008, U.S. oil production has increased around 25 percent.
  • Because of this, oil imports only make up 42 percent of overall oil consumption, compared to 60 percent in 2005.
  • The United States is expected to increase oil production to over 11 million barrels a day by 2020.
  • As a result, oil imports will decline to 4 million a day.

Natural gas has also been a heavy component of the United States' path to energy independence.

  • The United States has overtaken Russia as the world's largest natural gas producer.
  • In less than a decade, shale gas production has gone from 2 percent of natural gas production to 37 percent.

The trend toward energy independence can be attributed to major advancements in drilling techniques and increases in fuel economy. The catalyst in these developments was not the federal government, but rather the free market. The free market incentivized innovations such as horizontal drilling and hydraulic fracturing. These new methods have created the ability to tap into vast reserves of oil and natural gas that were not available before. As a result, prices for oil and natural gas have gone down.

There are several economic benefits that the United States enjoys as a result of moving toward energy independence.

  • Around 1.7 million oil and gas jobs have been created in the energy sector.
  • By 2020, we could expect 3 million new jobs.
  • The U.S. trade deficit could be narrowed as natural gas exports increase and oil imports decline.
  • Cutting oil imports by 6 million barrels per day by 2020, as the IEA projects, would save the United States about $180 billion a year.
  • Furthermore, U.S. manufacturing would be revived.

Moreover, the United States would gain significant geopolitical advantages. For example, it would lower the influence of the Middle East. In addition, the United States would be in a position to challenge Russia's influence in Europe by providing some competition in supplying natural gas.

Source: Desmond Lachman, "Gushing about America's Energy Future," American Enterprise Institute, December 3, 2012.


TEXT "follow HawaiiFreePress" to 40404

Register to Vote


Aloha Pregnancy Care Center


Antonio Gramsci Reading List

A Place for Women in Waipio

Ballotpedia Hawaii

Broken Trust

Build More Hawaiian Homes Working Group

Christian Homeschoolers of Hawaii

Cliff Slater's Second Opinion

DVids Hawaii


Fix Oahu!

Frontline: The Fixers

Genetic Literacy Project

Grassroot Institute


Hawaii Aquarium Fish Report

Hawaii Aviation Preservation Society

Hawaii Catholic TV

Hawaii Christian Coalition

Hawaii Cigar Association

Hawaii ConCon Info

Hawaii Debt Clock

Hawaii Defense Foundation

Hawaii Family Forum

Hawaii Farmers and Ranchers United

Hawaii Farmer's Daughter

Hawaii Federation of Republican Women

Hawaii History Blog

Hawaii Jihadi Trial

Hawaii Legal News

Hawaii Legal Short-Term Rental Alliance

Hawaii Matters

Hawaii Military History

Hawaii's Partnership for Appropriate & Compassionate Care

Hawaii Public Charter School Network

Hawaii Rifle Association

Hawaii Shippers Council

Hawaii Together


Hiram Fong Papers

Homeschool Legal Defense Hawaii

Honolulu Navy League

Honolulu Traffic

House Minority Blog

Imua TMT

Inouye-Kwock, NYT 1992

Inside the Nature Conservancy

Inverse Condemnation

July 4 in Hawaii

Land and Power in Hawaii

Lessons in Firearm Education

Lingle Years

Managed Care Matters -- Hawaii


Missile Defense Advocacy

MIS Veterans Hawaii

NAMI Hawaii


National Parents Org Hawaii

NFIB Hawaii News

NRA-ILA Hawaii


OHA Lies

Opt Out Today

Patients Rights Council Hawaii

Practical Policy Institute of Hawaii

Pritchett Cartoons

Pro-GMO Hawaii


Rental by Owner Awareness Assn

Research Institute for Hawaii USA

Rick Hamada Show

RJ Rummel

School Choice in Hawaii


Talking Tax

Tax Foundation of Hawaii

The Real Hanabusa

Time Out Honolulu

Trustee Akina KWO Columns


West Maui Taxpayers Association

What Natalie Thinks

Whole Life Hawaii