Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days within which to revise and extend their remarks on this special order. Mr. Speaker, it is a great time, as we come together to speak tonight, things are…
Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days within which to revise and extend their remarks on this special order.
Mr. Speaker, it is a great time, as we come together to speak tonight, things are going well, thank heavens, in Iraq and I think we will actually see a time and place in modern times when a country as strong as America is willing to go in and secure the freedom for other people. And so this is a time of great faith in America but it is also a time of problems. And, in fact, in Iraq in particular we see one of the side effects of that war has been a significant increase in the cost of oil and gas and energy for the people of America. So tonight 2 or 3 of us who are members of the Western Caucus would like to talk about energy policy in America and the need to pass the energy bill later this week.
A couple of things are important as we do that. In the first place, we need to protect the environment. That is essential. In the second place, we need to have a secure source of energy, and that needs to be largely domestic. And, finally, we need to have a reasonable price for ourselves and for future generations.
A little bit later I am going to talk about oil or gas exploration and development in America. I would like now to introduce a couple of my colleagues. I will start with the gentleman from Utah (Mr. Bishop) who will take a couple of minutes to talk about some of the big ideas here.
Mr. Speaker, would the gentleman answer a question?
As I look at this chart, the green line is not oil production in America. That green line is oil production that has come through the trans-Alaska pipeline. So this is essentially the Alaskan oil that has come into America, and yet even that relatively small portion of the oil we bring into America from Alaska through that pipeline has had a dramatic effect on the price of oil elsewhere, and that is because I think the markets are so tight that small fluctuations in our resources make a huge difference in that price. Is that what that chart is saying?
When people talk about the ANWR producing only a tiny fraction of the energy we need, what we are really saying is that a small fraction of the energy has a huge influence on the price we pay at the pump?
We have a chart later on that shows the various countries that produce oil that we bring into America and shows that that production in the new ANWR would actually be the second or third largest amount of oil we bring into America from any part of the world; is that not correct?
Mr. Speaker, if I got this right from the chart there, we add ANWR to the system and bring that oil into America and prices, instead of
spiking like the gentleman's red line shows there, prices tend to plummet like they have done as we have brought that oil from Alaska into the American market earlier?
Mr. Speaker, I thank the gentleman for his comments.
I yield to the gentleman from Arizona.
Mr. Speaker, I say to the gentleman from Arizona (Mr. Renzi), everybody I have talked to who has ever visited the area has had pretty much the same response. I have not been up there. I understand it is a phenomenal visit, and it helps to understand exactly what we are doing and why this is a reasonable bill, especially when we put it in the context of the people that are there locally.
Mr. Speaker, I appreciate the gentleman's comments. I talked to many, many people about this, and to a man or woman on either the Democratic or Republican side, to the degree they have been there, their views are radically different from what they were before they were there. I think the gentleman expressed it very well.
I know the gentleman from Utah (Mr. Bishop) also had some comments for the gentleman.
In just a moment we are going to yield again to the gentleman from Utah (Mr. Bishop) to sort of explore what the meaning of the size of the disturbance is here.
Let me just say to the gentleman from Arizona (Mr. Renzi) that his discussion about alternative fuel is important. We actually have a chart here that shows at the highest expectation of alternative fuels, it does not get us very far in the foreseeable future, but in addition to that, let me just say that I firmly believe that people who are local have an understanding of what their environment is, and they have a terrific interest in maintaining it.
We have had this problem in Utah where we have ranchers who care enormously for the land, and we have had outsiders who said, No more moo in 1992, trying to get rid of all cattle grazing in 1992, for instance.
And it turns out we find now that the cattle grazing is remarkably important for the health of the land. So locals have a tendency, since they are responsible for it, since they interact with it, they are more reliable in how they operate and work on their lands.
Mr. Speaker, I now wish to yield to the gentleman from Utah (Mr. Bishop).
Reclaiming my time for a moment, Mr. Speaker. Everybody in America knows we are struggling. We are paying a lot higher prices for our gas. That really bugs me personally.
If we go over there four or five points, and if the camera will focus on that chart, we see the red piece there. That is the amount of oil that we get from Iraq, and that looks to me like it is less than a third of the amount of oil that we would get daily from this new area in ANWR. Am I reading that correctly?
If I have what the gentleman is saying, and again focusing the camera on that chart, ANWR produces almost as much gas or oil as Saudi Arabia does. The next largest importer of gas or oil to the United States is Canada, and that would be about the same amount we would bring in from ANWR. And then the next largest exporter of oil and gas to America would be Mexico, and that is a little less than the amount of gas that we would bring down from ANWR if we did that drilling. And then the next largest supplier, which is significantly less than what we would get out of ANWR, is Venezuela.
Now, of course, part of our problems today, and I should not blame this all on the war in Iraq, because Venezuela has had its problems in recent times, but we can replace virtually any one of those suppliers with just the oil we get out of ANWR.
And when we get to the next step, we drop way down on that chart, to the point where Nigeria is only giving us a quarter, or a third of the oil that we would get from ANWR.
So ANWR represents a pretty huge step in energy independence in America. Is that what I am seeing here?
I could not help thinking, while the gentleman was talking, that the former mayor sounds like a very articulate, thoughtful guy. And if he figures out people in Washington do not listen to him, he is probably pretty smart too.
But as I listened to what the gentleman was saying, I call to mind an article that was printed about a year ago in the Atlanta Monthly which challenges the notion that the people in the Americas were savages when Columbus arrived. In fact, frankly it was suggested that the populations of Native Americans were much higher. And one of the points the article makes is that the Amazon jungle, which has very, very limited soil, is actually an artifact of man. In other words, we had millions of people living in that area and they created the jungle as people who were taking charge and being aware of their environment.
It seems to me that many of the environmentalists are actually racists. They think that they have got the ideas and that man should not be involved and that we should go back to the way the Native Americans were when we got here, ignoring the possibility that there may have been 100 times as many Native Americans in the Americas when Columbus arrived. The article suggested that the antibody systems of the Indians in America were so similar that diseases came in and decimated them, nearly knocked out 98 percent of the people in the Americas. So, naturally, they did not seem to have the kinds of cultural achievements that were apparent, say for instance from the 2 million acres of terrace lands in Peru.
But it occurs to me that people who assume that they, the Native Americans, did it all wrong or did something else other than what we are doing is a pretty narrow and racist view of those folks. And it seems to me that we are doing exactly the same thing when we decide in Washington, we who have never been to that area and have never talked to those people, that we know best for them what should happen in that area and on land that they love and that they feel a kindred spirit for or feel close to because of their ancestors and the spirits of their ancestors who have been there prior to them.
That is a pretty important point the gentleman is making.
Mr. Speaker, it sounds sort of like what we in America might call a stewardship.
Since the gentleman was just there, let me ask him a couple more questions. In the first place, my understanding is that where we have had the transAlaska pipeline, and where we have drilled, the caribou herds have increased significantly; is that correct?
Warm mating is always better than cold mating, I suspect.
Let me ask one other question, because the gentleman has been there recently, and he said it was 20 degrees below zero.
My understanding is you drill in the wintertime there. You create an ice sheet and then drill down through that sheet, so that when you finish drilling and have the equipment gone, when the springtime comes the ice sheet melts and it is like it was never there in the first place. And, in addition, you only have a little bit of a box that protrudes where the oil goes through.
Well, I thank the gentleman, Mr. Speaker, and I think the gentleman from Utah is now going to shift to some charts that actually gives us a sense of the proportions that are involved. Does the gentleman have the chart that shows Alaska as part of the United States? Because if I could ask the gentleman a few questions.
Alaska appears to me to be about a third of the land mass of the United States. And then we have that little yellow area up there that represents ANWR essentially.
Does the gentleman have the chart that shows what portion of ANWR we would have drilling in?
And if we could focus the camera on that, we would appreciate it.
So we have all of Alaska, representing about a third of the land mass of the United States. We have ANWR, which represents the little green peace, which expanded out indicates what is ANWR and then what would be the coastal plain. That coastal plain is tiny in comparison to Alaska, and the gentleman is actually touching that dot there, if the camera is focusing there at the top of his finger, a little tiny dot which represents the ANWR footprint, and down below there is a little square that represents about 2,000 acres.
That is how much land we are going to disturb; is that about right?
And that was for the coastal plane?
If I am reading this chart correctly, we have Dulles Airport, and I am not sure we understand what is going on in Alaska, but most Members of Congress know Dulles Airport, and that is a total of 13,000 acres. So ANWR is less than a sixth. The area that would be disturbed in ANWR for drilling is less than a sixth of the size of Dulles Airport. It is all right for us to have an airport and mess up 13,000 acres of trees, but we cannot let the people of Alaska or the people in the coastal area have a couple thousand acres that would develop jobs and energy for America that would displace 4 times over our dependence of oil on Iraq. That seems to me to be a no-brainer.
Mr. Speaker, I yield to the gentleman from Pennsylvania (Mr. Peterson), and then I will speak about oil and gas and we will conclude at that point.
Mr. Speaker, Members can see on this chart that we have the biggest amount of use of energy being petroleum. Natural gas is second; coal third; nuclear, unless we do something significant there, and I remind Members of the fact that we have dozens of nuclear reactors on battle ships, on aircraft carriers and on submarines that have been operating for 30 or 40 more years without an accident, and they have been run by 18 year olds. We know a lot about nuclear, and we are going to have to come back and consider that.
To the gentleman's point on hydropower, we have dammed all of the rivers that we are going to be able to dam. We will not have alternative power from hydropower. What we see is even if we doubled what we are anticipating, it would be irrelevant. We are not going to be able to do much with the huge increases in demand that we have in the future based on renewables. This is a graphic form to show what the gentleman is showing.
Mr. Speaker, if the camera will focus, this is it.
Mr. Speaker, this map shows that. We have some pretty significant reserves off the coast of California, the West Coast, and off the East Coast. But the yellow or orange sticker underneath here points out that 100 percent off the coast on either side of the map are tied up. We cannot tap that.
We have a pretty sizable reserve down in the Gulf of Mexico, but 56 percent of that is off limits, we cannot tap that. There are other areas, and I will point out the gentleman is correct, there is a great deal of gas under the Great Lakes where we are not now drilling and have prohibited ourselves from drilling, and so that leaves the bulk of the gas that we are going to use to heat homes. And somebody said 95 percent of our new generating capacity is gas, and it is gas because people say it is clean and we can get away with it environmentally. But where is the gas going to come from? Texas, which is a big producer of oil and gas, is building just gas generators. They are not going to export any gas in the future because they are going to run their own generators in Texas with that gas.
Unless we take that 40 percent locked up now and make that available and make the rest reasonably available in the near mountain west, we are not going to have gas to heat our homes and to generate this huge amount of new power that we are going to be generating with gas-run turbines in America.
My understanding is that we have actually quadrupled.
Just in the last month we have been up to 19, so that reflects a lack of reserve. The gentleman said the reserves are at the lowest level ever. Reserves are a function of what we know is there.
Reserves are a function of what we learn through science, and so reserves of oil and gas have gone up dramatically. We know that we had oil and gas in the ground at different places, and we did not have the technology to get it out, and so we did not count that as a recoverable reserve. We now have technologies that will get a lot more of that out, so our recoverable reserves have gone up on that basis, and also on the basis that we have explored more so we have found new reserves. So we have a couple of dynamics there.
But those reserves are discounted by what we can reasonably legally get to. I suspect, in fact, we are at an all-time low, as reflected in the high price of oil and gas, with the reserves that we have access to today not because we have limited them or we have not discovered more, but because we have taken those reserves that we have and we have legally limited access to those reserves.
I would say to the gentlemen we have about 10 minutes left in this hour. It has gone quickly. I think which had some interesting information here. I would like to talk for
about 3 minutes about the situation with oil and gas and other energy resources with some charts, and then I would like to let everyone take a couple of minutes to make some final comments.
If I can put these back up, if the camera would focus on those charts, we looked at this, and just let me briefly reiterate, we are going to use a lot more oil and gas and other energy. Some of those are limited. There are no more rivers that we are going to go hydropower on. In fact, we are going to get rid of some of the dams I think over time that we are using for hydropower. The non-hydro renewables, even if you quadrupled the amount of growth we are dealing with here, are not going to be significant in the next 20 or so years.
Nuclear could do something new and different, it could be very helpful in this process, but we are going to have to come to understand nuclear and the safety of nuclear.
Now, if you look at this chart, there are a couple of things that are really interesting about it. In the first place, you note in the seventies and early eighties, we actually had a decline in energy or oil usage. That happened for a lot of reasons. We had a slight recession back then. We also got cars more efficient. But, most importantly of all, we had businesses that had an incentive to be more efficient. So in virtually all areas you had a little bit of improvement in efficiency there.
Then we have gone up, if you see the line in the middle that shows the year 2000, essentially the present, we have gone from that nadir back up a little bit. While that energy has increased, let me just point out that our economy has almost doubled, so we have had a huge increase in output in our economy with a relatively small increase in energy.
But we have gotten a lot of those efficiencies out, and maybe we'll have more in future, but we now have a pretty good idea where we are going to go as the economy continues to grow and we have more demand for energy.
If we can focus on that chart, this is just the energy we use for the generation of power. So you note that the major source of power is from coal. The second major, historically, has been nuclear, which is now level. But you can see that green line of natural gas just spiking up. That is going to spike up because in America we have decided to use natural gas because it is easier to permit new generating facilities with gas than with coal, although we expect more coal generation over time. So we are going to have a big increase in natural gas for electricity generation.
But if you look at the chart, this chart now, this chart is about what percentage of homes are heated with various sources of energy. When you have got a little bit of blue in here developed by electricity, you see that is fairly constant over time. That is also generated increasingly by natural gas. But the vast majority of American homes are going to be heated by gas.
Owning a home is good. We just had a study that was released this last week that indicated the way kids do better in school is by living in a home with their families, as opposed to an apartment or other circumstances. The American dream is to own a home. We are going to heat our homes with natural gas. We need natural gas to do that.
That gets us back to our last chart. The bulk of the gas we are going to be using in America in the future is going to be in the inter- mountain west, and to get that gas we have to drill and we have to change the legal structure that allows us to drill there.
They are either going to be cold, and we know what happens to caribou when they are not warm. If you recall earlier, the gentleman from Arizona (Mr. Renzi) pointed out that the heat from the pipeline has increased the number significantly. Or they are going to be paying an arm and leg for heat in their homes. And that is, I do not think, an acceptable alternative.
I yield to the gentleman from Arizona (Mr. Renzi).
I thank the gentleman, and the gentleman from Utah (Mr. Bishop). We appreciate their contributions tonight. As members of the Western Caucus, we thank them for being here.
I yield the last couple of minutes to the gentleman from Pennsylvania (Mr. Peterson) to wrap up for the evening.