![]() ![]() AP / Evan Vucciīiden admits tapping oil reserve ‘won’t solve high gas prices overnight’ Jennifer Granholm called the oil release a “bridge” to lower prices. Why is that enough?”Īccording to the federal Energy Information Administration - part of Granholm’s own department - Americans used an average of 20.7 million barrels a day during September, meaning that Tuesday’s release equals about two and a half days of additional supply. “Some suggest it’s about 18 million,” O’Keefe responded, “which would suggest you are releasing less than three days’ supply from the petroleum reserve. “I don’t have that number in front of me, sorry,” Granholm replied. “I’m curious if you know, how many barrels of oil does the US consume per day?” CBS News reporter Ed O’Keefe asked Granholm during the White House briefing. Iran forces seize US oil tanker in international watersĮnergy Secretary Jennifer Granholm was left scrambling Tuesday to explain the positive impact of releasing 50 million barrels of oil from the Strategic Petroleum Reserve - admitting at one point she had no idea how many barrels are used by Americans each day. Video shows Iranian navy commandos seize US-bound oil tanker Satellite photos reveal oil tankers seized by Iran anchored off port city Barrett.Ĭheck out the archive for past Economic Snapshots.Climate protesters dragged from oil giant meeting: ‘Go to hell, Shell!’ ![]() This week’s Snapshot by EPI economist James P. Geological Survey “The Oil and Gas Resource Potential of the Arctic National Wildlife Refuge 1002 Area, Alaska,” and “Economics of Undiscovered Oil in the 1002 Area of the Arctic National Wildlife Refuge.” Energy Information Agency, “Potential Oil Production from the Coastal Plain of the Arctic National Wildlife Refuge: Updated Assessment” and “Annual Energy Outlook 2000 ” U.S. A more honest and level-headed approach to meeting America’s energy needs will require a comprehensive plan that includes development of renewable energy sources and enhancing energy efficiency, not a get-rich-quick scheme that stands to benefit a handful of oil executives and their friends. needs to address its growing demand for energy, drilling in the Arctic National Wildlife Refuge will do little to achieve this, and the small gain will come at a tremendous cost. If the refuge only contains the more likely amount of about 3.4 billion barrels, the 2020 production potential is closer to a barely noticeable 300,000 barrels per day. Geological Survey’s mean estimates and factoring in a moderate rate of development, ANWR could offset imports of about 475,000 barrels per day. With daily oil consumption of almost 17 million barrels per day, about 11.5 million (68%) will be imported, with a little over 5 million produced domestically. oil production, consumption, and imports in 2020. If Congress gave its approval today, no oil would come out of ANWR until about 2010, when it would provide a miniscule 25,000 barrels a day or about 0.15% of the projected oil demand. While this may sound like a lot, exploiting these resources would not help free the U.S. Geological Survey concluded that there is a 50% chance that there is about 6.1 billion barrels of economically recoverable oil underlying the refuge, and a 95% chance that that value is actually about 3.4 billion barrels. A closer look at the actual oil potential of the refuge shows that the answer is clearly “No.”Īn assessment by the U.S. The question is whether it is worth invading this refuge to extract the oil that lies beneath. Bush and others are calling for increased domestic oil production through development of oil reserves located in the Arctic National Wildlife Refuge (ANWR) in Alaska, one of the last large pristine areas on earth. The recent spikes in world oil prices along with the ongoing presidential and congressional races have combined to make America’s energy policy a significant political issue for the first time in two decades. Tackling the tradeoffs in oil consumption ![]() A weekly presentation of downloadable charts and short analyses designed to graphically illustrate important economic issues. ![]()
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