The High Price Of Energy
Mr. Speaker, I thank you for the privilege of being able to address the House for this special order of 60 minutes. And the topic tonight will be on the topic that's on the minds of Americans all across this country. It's the high price of…
Mr. Speaker, I thank you for the privilege of being able to address the House for this special order of 60 minutes. And the topic tonight will be on the topic that's on the minds of Americans all across this country. It's the high price of energy and the impact that that is having on the middle class, on families, on individuals, on farmers and on businessmen.
There is nothing that is shocking us more now, Mr. Speaker, than the high cost of energy and the impact that that is having directly on people all across the country.
When I came into Washington, D.C. this week from my home in Minnesota, I had the privilege of representing the great people in the Sixth Congressional District in Minnesota. And I was reading the newspaper. And I was reading a few things. And I just wanted to bring a couple of headlines to the attention of the American people.
Here is one of the headlines that I read this week when I came in. It was on Tuesday of this week. This headline in USA Today said ``will gas prices plateau after hitting another record?'' It seems like every morning when we wake up and the clock radio goes off next to our bed, we hear about a new increase in the price in gasoline. And we're shocked. And it's like our day already starts out on the wrong foot because we hear about yet one more shocking increase. And we wonder what will we have to give up next? What will we have to give up? What will we have to yield out of our lives? It's a lot of bad news that has been coming this way with the American people.
Let me read this. It says ``$4 plus cost cuts demand even as supply is rising.'' It began, The price of gasoline set another record Monday where the average is going up now again. And this is something that the people are worried about.
This is something that the people are worried about, the record prices that are going up. As a matter of fact, the price of gasoline today is $4.07 and we will talk a little bit more about that as we go on during the course of the hour that we have together to talk about this very important issue.
Here is another headline that was in USA Today, and this is Tuesday's paper again, and it says, ``Prepare to pay if you don't gas up your car rental.'' If you can believe this, rental car companies are having to charge $8 a gallon when someone who is renting a car returns it to an airport with a less than full tank. Usually we try to guess as well as we can and fill that tank up before we return it to the car rental place because we know the price at the pump for the car rental will be higher.
Well, guess what, that price is now a whooping $8 to $10 a gallon that car rental companies are forced to charge their customers now when cars are returned to the car rental company with a less-than-full tank.
These are numbers, I believe, Mr. Speaker, that none of us ever thought in our wildest dreams that we would ever imagine that we could be paying. This is a lot of bad news that the American people are having to take, along with the flooding, the terrible, terrible conditions that people in Iowa are facing right now, in Arkansas and Missouri, with all of the impact of the weather.
We hear yet more negative reports about how our crops will be impacted. In Iowa, nearly all of the counties are devastated. I was born in the State of Iowa in Waterloo, Cedar Falls, where the Cedar River came up over its banks and flooded that downtown area, displacing hundreds and thousands of people from their homes, and people from their businesses.
And Iowa, as I know from my experience, is a leading corn producer and soybean producer, and so now we see that the price of corn will also probably be going up.
Well, I didn't ask for this hour, to manage this hour just to talk about gloom and doom and the negative. The reason why I started out with these comments, Mr. Speaker, is to identify with all of the American people at home right now who are experiencing this pain, who are experiencing this suffering that they never imagined they would be experiencing with the high cost of energy.
But I am here tonight because I want to talk about the great news, and the great news is this: we are privileged to stand right now on the answer to the problem that is plaguing us, the high cost of energy. And the great news is that we have a key. We have an answer. The American people, the American middle class don't need to suffer any longer. It is unnecessary because we have a key that can be the answer to our problem. And here it is. We can get back to our goal which is $2 a gallon gasoline. This isn't fantasy, this is reality. We can once again see America paying $2 a gallon gasoline.
Are you kidding? How is that going to happen, you ask. Well, easy. This is how we can do it. We need to start to explore here in America. Because the truth be told, America does not have a famine of energy, absolutely not. Just the opposite. We are sitting on the cusp of one of the greatest industries that can be developed in this century and on into the future, one that will deliver millions of high-paying jobs for Americans all across this country. In fact, in every State in this country America could become the leading exporter of energy. You heard me right. America could be the world's leading exporter of energy and create some of the highest-paying jobs known in the world because right here in America we are standing on a veritable treasure trove of energy. So we need to start here, start in America, to access these wonderful resources and we need to do it now in order to get back to $2 a gallon gasoline. In order to be able to get off of foreign dependence on energy, we need to explore here and we need to explore now because then the American people can start to pay less, and that paying less would get us back to $2 a gallon gasoline.
You say how is that possible? How is it possible that once again we could be paying $2 a gallon gasoline? Well, just think, it took us 25 years in this country to go from $1 a gallon gasoline to $2 a gallon gasoline; 25 years to go from $1 to $2.
How long did it take us to go from $2 a gallon gasoline to $4 a gallon gasoline and even more a gallon gasoline? It took us less than 2 years to go from $2 to $4.
Well, what changed? There are a few things that came into the mix. One is the American dollar came into a weakened position. And when the American dollar became weakened, the United States unfortunately found itself very dependent on foreign sources of energy that we were dependent on.
Do you know that from 2007 to 2008 the United States has become 7 percent more dependent on the OPEC nations for our energy, going exactly in the wrong direction.
I don't know of anyone right now, Mr. Speaker, who believes that America should become more dependent on foreign oil. In fact, what I hear from my constituents is can't we get less dependent.
Absolutely. We can be less dependent on foreign oil. In fact, we can become independent of foreign oil and we can become a leading exporter of energy to the world and we can become the head, and not the tail.
Right now America is busy becoming part of the tail when it comes to energy. But we can turn this around. We can become the leading producer and exporter. Well, you ask, how is that possible? I will tell you how it is possible. Take a look at the situation we are in right now. Here is the key to our answer, and now it is up to Congress to unlock that key, unleash this energy and bring the price of gasoline back down to $2 a gallon. It is Congress that has been the bad guy in this scenario. And it is Congress that can be the hero in this scenario. Congress.
Right now Congress has made it illegal, virtually illegal to be able to access this gift of energy. How did we do that? Congress has made it illegal to access the energy that is in the Arctic energy slope up in Alaska. Do you realize that we already have the Alaskan transatlantic pipeline that was built in the mid-1970s from Prudhoe Bay and has been piping oil from Alaska down into the lower 48. That pipeline is already up in existence, and it is only half of capacity flowing. With a very little effort, we could tap into the Arctic energy slope and begin accessing that over 10 billion barrels of oil that are available to us in the Arctic energy slope.
Do you realize that if we accessed this wonderful source of energy, we will increase American energy production by 50 percent, access to American resources by 50 percent. Also, we have the Outer Continental Shelf that is available to us for deep sea energy reserves.
Now get this, if you thought 10 billion barrels was a lot, just listen, this is 86 billion barrels of oil. You heard me, 86 billion barrels that are available to us to access of deep sea energy reserves that we could tap, get up online, and we could have access to and supply the American people and American industry so that energy would become one of the cheapest costs of doing business rather than one of the most expensive.
Let me give you one little story that I heard yesterday. Northwest Airlines is based in Minneapolis, Minnesota. We are proud to have this airline in our State. As you know, airlines have come under hard times. I was told yesterday that Northwest Airlines had paid about a billion and a half dollars for fuel last year. Do you know what they had to budget this year, an additional $2 billion to pay for the price of energy.
So Northwest Airlines, instead of spending about a billion and a half on energy, will have to spend this year $3.5 billion on energy. Can you imagine, if that's your industry and that cost, you have to somehow absorb, you just can't absorb it without passing that cost on to your consumer, to your customer, who will be purchasing your product. And those are people who fly on airplanes. That is why we see the price of airline tickets have gone through the roof and why airlines have had to park planes and reduce the number of seats and reduce capacity. Don't fool yourself, America is changing, and we are changing because we don't have energy.
Not only that, we have a gift of natural gas. In the gulf coast region in the Gulf of Mexico, we have what may be
the largest reserves of natural gas, 420 trillion cubic feet of natural gas exists right here in the gulf coast region. Do you know that natural gas can be used to fire up electric power plants. With modifications to cars and buses, we could run cars and buses on natural gas. Almost the world's largest supply right here in our backyard, illegal, off-limits. And 85 percent of our Outer Continental Shelf, illegal, off-limits. The Arctic energy slope, illegal, off-limits. And also shale. Do you realize that the Saudi Arabia of oil in the United States is this wonderful ring of Colorado, Utah and Wyoming, containing 1.3 trillion, yes, you heard me right, 1.3 trillion barrels of shale oil. This is one of the most exciting finds. We have one of the world's largest supplies of shale oil right here in our backyard. But guess what, it is off-limits. We are handcuffed. We can't access it. Who made all of this off-limits?
Do you realize the United States of America is one of the only countries in the world that has made it illegal to access the answer to our problem; made it illegal to access our own energy. We have this great gift waiting for us, great job producer waiting for us. And it is the United States Congress, your representatives, which have said no, no way, we are not going to access it.
When I talk to the American people about this back home, when I talk to average Minnesotans, they look at me and they say, Michele, what in the world is Congress thinking? Why in the world wouldn't they allow us? Don't they want us to have $2 a gallon gas? I wonder sometimes, too.
We have the key right here, and I have other Members who are with me right now who would also like to weigh in, who are leaders on this issue, passionate about this issue, people who are speaking out and advocating for you, the American people, who want you to be able to again get up in the morning with a happy, light heart realizing you can afford to go to the gas station because you can be paying $2 a gallon gas again. You can see your grocery bills go down. You can see your consumables go down. You can see the price that you are going to be paying for air conditioning this summer and your electric bill go down. This fall in Minnesota when all the furnaces kick back in again, to be able to see your heat bill go back down, this is all to be, all possible.
We have a great story to tell tonight, so I hope that you will listen for the next few minutes, and I would like to yield to the distinguished gentleman from Iowa (Mr. King). There is not a day that goes by that Representative Steve King is not here on the floor advocating for the good of the American people, to get back to paying $2 a gallon gasoline.
With that, I yield to the gentleman from Iowa (Mr. King).
Thank you, Congressman King.
I would ask the Speaker how much time remains.
Thank you, Mr. Speaker. I appreciate that.
I'm sure everyone tonight, Mr. Speaker, can hear the passion in the voices of the people who are speaking in this Special Order hour. It's because we understand from our constituents back home how real this is for them. This is an issue where the American people are way ahead of people in Congress. They get it, how difficult this is, and that's why we have been repeatedly asking our constituents back home in our districts ``Why don't you go ahead and show us how painful this is, how difficult this is, how real this is. Take your receipts from your car when you go and fill up your tank or, if you are a trucker, when you fill up your truck. Take those receipts. Fill them up. Send them to us. Send them to your Member of Congress. We want to be able to have them here so we can demonstrate what tremendous agony this is for Americans.''
I believe that we should have bushel baskets full of receipts from people when they fill up their gas tanks so we can show people how real this is, the pain at the pump, because that represents money that every person is paying today, money that would be needless, that we don't have to pay because we know we can get back to $2 a gallon. How do we know that?
We know that rather than paying $4.07, which is today's national average for gasoline--it still shocks me when I see that number up on a billboard. We know we've got our answer. This is our answer: Our natural gift from God that he has given to the United States. God has given us these natural resources, and it is our obligation to be good stewards of what we have and to take dominion over this, to take dominion and to cultivate what we have in a safe, sound and environmentally sensitive way so we can take care of the needs of our people and yet also be good stewards of the land.
We have two very different philosophies that we're looking at. For those of us who are speaking now in the Special Order, we're saying explore America; do it now so that Americans can pay less. There is a completely different philosophy that has also been talked about in recent weeks, and that plan is to pay more and to drive less. That's really what it comes down to. Pay more and drive less. But is that what we want for Americans? Is that what we want for this generation and for the next generation? I don't, because this is what I'm concerned about: Whoever controls fuel will control our freedom. Think about that. Whoever controls our energy will control our freedom and will control the future.
Congressman Steve King of Iowa was talking a little bit about climate control legislation, and it's also called a cap-and-trade system. Now, I don't call it ``cap and trade.'' I call it ``tax and spend'' because that's really what it is, in a nutshell, if you want to know what ``cap and trade'' is.
Before I hand this off to Representative Phil Gingrey from Georgia, who has some comments he would like to make, I just want to say a little bit about cap and trade, or what I call ``tax and spend.''
This proposal that has been coming from people who want you to pay more and drive less, that's their answer regarding this energy crisis. You pay more and you drive less. As a matter of fact, we heard from the nominee of one of the major political parties that his concern was not the high price that Americans are paying for gasoline but how quickly that price is rising.
Well, I think, for those of us who are speaking tonight in this special hour, our real concern is that high price of gasoline because we see not only is it impacting people personally in their pocketbooks, not only is it having a devastating impact on the economy, but it's also impacting our national security because, as we are more dependent on foreign oil and as we're paying ever-increasing prices and sending billions--and now it will soon be $1 trillion--off to other countries that don't like us very much, we are seeing that negative impact here at home.
Let me just say a few words about cap and trade, or tax and spend. Tax and spend works like this:
If you think you're already paying a high price for energy, now what your Federal Government wants to do is to force you to pay for the right to buy that energy. As if it isn't punishing enough to just buy the energy in the first place, you're going to have to pay for the right to buy energy. Now, think of that madness. You're going to have to buy a permit if you're a business. If you're an individual, you're going to be paying indirectly for that permit.
By the way, the Federal Government created the problem. Congress created these high prices. Now, if they haven't mucked it up already, Congress wants to charge you for the right to purchase overly inflated prices of energy. Think of that. By the year 2025, Congress in one bill wants to tax you $6.7 trillion. They want you to pay $6.7 trillion in this tax for the right to purchase very expensive energy. Think of what that is going to do to our economy.
If you do that and if we comply with what all of these grandiose schemes are, guess what the bottom line result will be out of this cap- and-trade or, what I call, tax-and-spend legislation? By the way, the brain trusts who have come up with this scheme have already spent this $6.7 trillion. They have already decided how they're going to spend this money.
But guess what the final result will be. If everything goes perfectly, according to plan, they will only reduce the Earth's temperature, according to their models, by seven one hundredths of a percent. Just think. Are we really willing to devastate the United States' economy? For what? To cool the Earth? Maybe. At seven one hundredths of a percent?
We need to think about this really carefully and have a debate right here, a genuine debate, where you see a few more Members of Congress in the room who are debating this very serious issue. This is serious enough that we are here tonight because we want the American people to know that there are answers, and we don't have to go along with all of this folderol, the tax and spend and all of the nonsense that goes on.
Let me tell you one of the first bills that we voted on this week. We voted to make it illegal to transport monkeys across State lines. I'm not making this up. This is absolutely the truth. We all got on planes that emit a lot of carbon. We came from all corners of the United States so that we could have the right--you heard me--to vote to make it illegal to transport monkeys across State lines. That was the most pressing thing that this body had to do this week while you were busy getting out of bed in the morning, paying $4.07 a gallon, thinking, ``Now what am I going to do? Now what am I going to have to give up so I can pay $4.07 a gallon?'' But don't worry. In the United States Congress, we made it illegal to transport monkeys across State lines.
If you don't think that's bad enough, do you know what we did a couple of weeks ago? It is absolutely true, and it happened right here on this floor. We voted to send your money--I did not vote for it, but enough people in this body voted for it. We voted to send $25 million of your money to foreign countries in foreign aid to pay for foreign cats and foreign dogs, not even American cats and dogs in foreign countries. We spent your money, $25 million, and sent it to foreign countries to pay for foreign cats and foreign dogs.
As if that were not bad enough, the next day, we sent more millions to foreign countries to pay for foreign birds. Well, at least we didn't do that for foreign monkeys. All we did is make it illegal to transport monkeys across State lines. This is what your United States Congress has been doing while you've been busy spending $4.07 a gallon. That's a travesty.
That's why we're here tonight to tell you don't give up hope yet. We're saying let's explore America. Let's explore
now so that you can pay less because, otherwise, we'll have to go with their answer. Remember what their answer is: Pay more. Drive less. I don't think that's what we want to do.
That's why I want you to hear from my distinguished colleague from Georgia's 11th District. His name is Dr. Phil Gingrey. I'd like you to give him some attention so that he can talk to you about what he knows to be true about energy.
I thank the gentleman from Georgia, Dr. Gingrey. Thank you for those important words. And again, I appreciate the expertise that you bring to bear on this wonderful debate tonight.
Remember, there's two ways that we can go about approaching this problem. We can go with the philosophy that says pay more, drive less, put on your sweater, lower your thermostat and sit home, give in to defeat, just think it's over, suck your thumb.
Mr. Speaker, that's one philosophy that the American people could embrace, but I don't think that's the American way. I don't think that's the ``can do'' spirit. I don't think that's what the founders of this Nation bled and died for.
I think if they were here right now, they'd be telling us, wake up, take a look at reality. We have got the answer right here in America.
We haven't talked an awful lot about nuclear power tonight. That's something that we can look at as well. We've talked about exploring the Arctic energy slope, Representative Steve King spoke about that and what the landscape looks like and the fact that we can do this in a wonderfully clean, environmentally sensitive way. It's entirely possible.
We can explore our deep sea reserves which contain over 86 billion barrels of oil, perhaps even more. We can access those.
Also, our natural gas that's available to us in the Gulf of Mexico area, and also the shale energy reserves where we are the Saudi Arabia of oil in Colorado, Utah and Wyoming.
Nuclear power, we know that France derives 80 percent of its energy from nuclear power. I'm grateful that there's a nuclear power plant in my district in Monticello, Minnesota. It's such a wonderfully reliable source of energy, clean, and has zero emissions.
And also tax incentives for alternative energy. Can you believe that we would let these incentives expire, Mr.
Speaker, these incentives for alternative energies, whether it's wind, solar or biofuels? We shouldn't let these expire, we should extend these.
Because what we are saying on the Republican side of the aisle, Mr. Speaker, is let's get a big table, like a big table like we have here in the well this evening, and let's take every answer that America has, put it on the table, let's develop that resource. Let's have dominion over that resource. Let's open it up, cultivate it, use it in a wise way.
You know, Mr. Speaker, the United States is one of the only countries in the world that actually saw a reduction in its emissions over this last year. We didn't sign the Kyoto Treaty, yet nations all across the world that signed the Kyoto Treaty, they saw their emissions go up. Europe, the EU countries have signed a cap and trade system, or what we call the tax and spend system because that describes it more accurately. Europe has actually seen an increase in its emissions. Think of that.
I think it's good for us, I'm glad that Europe decided to go that route before the United States made the mistake of going down that road. It's important, Mr. Speaker, that we know what we're getting into before we take that plunge.
I just wanted to give a couple of statistics before I hand the next few moments over to my distinguished colleague from the great State of Michigan, Representative Tim Walberg, and it's this: It's the facts. All we have to do is look at the facts. This isn't junk science. These are facts, Mr. Speaker. And if you look at the facts of voting patterns over the last 15 years, I'm not talking about the last 15 days, the last 15 months, but if you look at the voting patterns of this Congress over the last 15 years, Mr. Speaker, this is what you'll find out. Over 90 percent of the time, House Republicans voted to increase production of American-made oil and gas. You heard me right. Over 91 percent of the time Republicans voted to explore in America, to explore now for American oil and gas. The Republicans have not been the obstacles. The Republicans haven't been perfect by a long shot. There's a lot of missed opportunities the Republicans have made. But over 91 percent of the time you've been able to count, Mr. Speaker, the American people have been able to count on the Republicans to vote to explore for American oil and American gas now.
Let's take a look at the other statistic. Almost 90 percent of the time, 86 percent of the time, to be exact, that's the percentage of time that the House Democrats, over the last 15 years, have voted against increasing the production of American-made oil and gas. Those numbers are almost flipped. And I have no joy in giving those numbers, because my preference, and my heart is to see Republicans and Democrats come together. Now we're in a crisis. We can't be partisan right now. We have to be about America right now because now is about solutions and answers so we can get to our goal, $2 a gallon gasoline. And it's real, and it's possible, and we can get there sooner if we start now.
And with that, Mr. Speaker, I'd like to hand over the next few moments to my distinguished colleague from the great State of Michigan, Representative Tim Walberg, who has tremendous passion, and who also has stood on this floor and managed an hour on energy so that he can also get his passion to the American people for the answers that he knows are available to make all of our lives better, Mr. Speaker, so we can get back to $2 a gallon gasoline.
Representative Tim Walberg of Michigan.
Thank you to the representative from Michigan, Tim Walberg. I appreciate that.
We are a great country. I believe that we are the greatest country that the world has ever seen. And in this country, in the fields of Pennsylvania, over 100 years ago was discovered a resource called oil; and that resource literally changed the world, changed this Nation, and allowed us to grow and to prosper in a way that our forefathers never dreamed would even be a possibility.
We have that future yet in front of us again, Mr. Speaker. That future lies before us. It isn't time to throw in the towel for the American people. I know I'm not willing to have my generation be the last generation that sees growth. I don't want my children to live in the shadow of history in a declining Nation.
I don't think most American people want that. We want a future. We want a hope, and that's something that we can have, and we have to have energy in order to make that happen.
Now, remember, there's two choices that we talked about tonight. We can have one that is pay more, drive less, put on your sweater, lower your thermostat and sit at home. That's one philosophy.
And as Representative Walberg said, there were people on the opposite side of the aisle, Democrats yesterday who said, and I quote, we, the government, should own the refineries. Then we can control how much gets out into the market.
I stipulate, Mr. Speaker, that's exactly the wrong message for us. We, instead of having the Federal Government nationalizing industries, want to explore here, explore now, pay less. And I yield back.