[StBernard] Obama Distorts Reality on Current Gasoline Prices

[Westley Annis]

Obama Distorts Reality on Current Gasoline Prices
Submitted by may on February 27, 2012 - 11:48pm
Barack Obama is concerned that skyrocketing gasoline prices leading into
summer could have a major negative effect on his electability in November.
Obama and his staff have always been in favor of US gasoline prices
approaching $10 per gallon, as they are in Europe.  However, Obama realizes
prior to the General Election is the worst time for any of his Socialist
wishes to come true.

When speaking in Miami last week, Obama tried to shift the blame for higher
gasoline prices to others.  I suggest reading his entire speech.  However,
Obama's essential message regarding higher gasoline prices was,

So what does this mean for America?  It means that anyone who tells you we
can drill our way out of this problem doesn't know what they're talking
about - or isn't telling you the truth.  The United States consumes more
than a fifth of the world's oil.  But we only have 2% of the world's oil
reserves.  That means we can't just rely on fossil fuels from the last
century.  We can't just allow ourselves to be held hostage by the ups and
downs of the world oil market.  We have to keep developing new sources of
energy.  We have to keep developing new technology that helps us use less
energy.  We have to keep relying on the American know-how and ingenuity that
comes from places like the University of Miami.  That's our future.  And
that's exactly the path we've been taking these last three years.

Nick Loris of The Heritage Foundation analyzes the five half-truths in
Obama's speech.  The following are encapsulations of what he wrote, which I
recommend reading in full.

Half-truth #1: Oil production is the highest it has been in eight years. The
increased production of oil and gas in the U.S. is largely a product of
increased production on private land. The Administration could have
encouraged much bigger gains by providing access to federal land.

Half-truth #2: Increasing oil production takes too long and would not impact
the market for at least a decade. The sooner we make investments in domestic
energy, the sooner those benefits will be realized. And with some serious
reforms, some of this oil can reach the market in much less than a decade.

Half-truth #3: Oil is not enough. America has only 2 percent of the world's
oil reserves. President Obama frequently uses this number to push federal
investments in alternative sources of energy that cannot stand the test of
the market. The reality is that he uses this number deceptively.

Half-truth #4: Oil is not enough. The country needs an "all-of-the-above"
approach to reduce its dependence on oil. While a familiar refrain from the
President, it is a line that too often translates into wasteful subsidies
for pet energy projects. A market-based strategy is the only
all-of-the-above approach.

Half-truth

#5: Speculators are driving up the price of gas, and they need to be reined
in. While the President tries to blame the market, he ignores the power of
supply and demand. By removing roadblocks to domestic energy production, the
President can ensure that there is a healthy supply of American energy on
the market, keeping prices competitive.

Loris goes on to recommend and discuss five simple logical steps Congress
and Obama could do to lower gasoline prices.  They are,

.    Get moving on permits

.    Require lease sales when ready

.    Create a sensible review process

.    Remove regulatory delays and limit litigation

.    Approve the Keystone XL Pipeline

These suggestions do not include taking oil from our Strategic Petroleum
Reserve, which is in place for emergencies.  This is not an emergency for
most of us but it is for Obama.  Obama's primary concern is the electability
of Barack Obama in November.  The fear of potentially falling oil supplies
due to Iran and other matters should prompt us to greatly enhance our
exploration, our drilling, our production of oil, our pipeline construction,
and our refinery construction.

We can count on Barack Obama to do two things.  Obama lies about the
situation and then portrays himself as working for a solution to the
problems that Obama claims were created by George W. Bush and other
Republicans.