Energy And Water Development And Related Agencies Appropriations Act,
Mr. Chairman, I have an amendment at the desk. Mr. Chairman, this amendment would decrease the allocation of the Department of Science and the Department of Energy budget by $10 million. And let me give you an example of what $10 million…
Mr. Chairman, I have an amendment at the desk.
Mr. Chairman, this amendment would decrease the allocation of the Department of Science and the Department of Energy budget by $10 million. And let me give you an example of what $10 million is used for, by way of example, in this department. There's $10 million for appropriating money to methane hydrate research and development.
Now, Mr. Chairman, I was once a capital projects manager and I understand the impulse to invest in technologies that are going to have a payback, that are going to provide a return. But to do that, not only do you have to be able to figure out whether or not it's possible to get that payback, but it has to be a viable alternative when compared against other competing alternatives. And that's what I want to speak to here.
The government here in the U.S. has already spent $155 million on research and development commercialization for this technology, for methane hydrate, over the last 5 years. Taxpayers do not need to subsidize the gas hydrate industry to find equivalent alternatives to replace oil. We are at $100-a-barrel oil. There is already enough financial incentive in the commercial market to research methane hydrate if it, in fact, were a viable energy option. I just have to tell you, no one has tried to extract methane hydrates in a commercial way because it is not economical.
Think about this for a moment: It is only found in the Arctic. It is only found offshore. It's essentially methane gas compressed under high-pressure conditions at great depths. And basically the point here would be, you'd liquify it.
The reality is there are real hazards of developing gas hydrates. And because it's such an incredibly hazardous substance, I can't foresee gas drilling and production operations adopting this scenario, especially when you consider all of the other fossil fuels that would be utilized first before such a technology would ever be deployed. You've got oil shale. You've got oil sands, tar sands. You've got the existing conventional deposits of oil under capped wells.
Now, with every one of these challenges, a solution could be found much more economically in terms of extracting energy than you would ever find by producing energy from natural gas in this particular methodology. So the government has spent 10 years researching and developing ways to extract methane hydrates. We are still at a very primitive phase.
As I have shared with you, it is very hazardous if we were ever to deploy such a technology. There is a long list of alternatives which we certainly would go through first before we ever got to this. So it is time to eliminate the funding that can be appropriated toward methane hydrate research and development and use that more productively.
And let me make one other observation about this. We are in a situation now where we're borrowing 40 cents of every dollar we spend. When we identify an area of the budget where we can make these types of savings, we should
be cognizant of the fact that this type of borrowing, this sheer amount of borrowing has an impact not only on job creation, on economic growth, but also basically on the long-term solvency of the government.
If we're running up debt at these levels and we find areas in the budget to slice off these sums, we can bring down that deficit. The impact on the market is such that the market sees us ratcheting down expenditures to come back into compliance with economic reality. And as a consequence of that, we avoid some of the adverse impacts that come with the overborrowing--as I indicated, 40 cents on every dollar--the overborrowing that is creating the kind of uncertainty in this economy today in which employers are reluctant to go out and hire, in which the impacts are not just felt in the jobless rates that we just saw climb up here in the United States but are also filled in the way in which we are perceived internationally in terms of our capacity to deal with our debt.
Now is the time to make some commonsense decisions here, and here is $10 million that can be saved.
I yield back the balance of my time.
Thank you, Mr. Broun. I will only take a minute here to close.
You know, I am also for pure research in science. I am for scientific research where we can drive progress in the United States. But as I shared with you earlier, I am a former capital projects manager, and one of the things you learn is to identify those projects which have some ability conceptually to have a return on investment. All right? When you run into a project which is not only on the face of it uneconomical, but one which is hazardous, and on top of that you see a listing of all the ways in which you would extract energy at much less cost than you would ever get to this, and it would be the very last resort on the list, you would not keep that on your list of capital projects to entertain. And I can tell you this. If you were constricted in your budget, especially if you were going out and borrowing 40 percent on the dollar for your budget, you would certainly take this off the list of capital projects that you would commit to.
So I commit to you, it is only logical at this point that we pass this amendment and we incrementally at least make progress where we know we can on reducing the borrowing and send back a little vote of confidence to the market that all of us here, when we see an opportunity, are going to shave back Federal expenditures in areas where there cannot possibly be a return on that investment for the taxpayers of the United States.
Mr. Chairman, I demand a recorded vote.