Obama Lifts Offshore Drilling Ban

Photo Source: arbyreed

To the surprise of many, this week President Obama lifted the ban on off-shore drilling.  The decision allows oil companies to explore and eventually drill along the east coast of Delaware to the central coast of Florida, an area covering 167 million acres of ocean, and the northern coast of Alaska, which would open another 130 million acres. 

In his statement Obama said, “… The bottom line is this: given our energy needs, in order to sustain economic growth, produce jobs, and keep our businesses competitive, we’re going to need to harness traditional sources of fuel even as we ramp up production of new sources of renewable, homegrown energy.”

While this decision certainly disappoints environmentalists, and pleases the oil-thirsty “drill, baby, drill” crowd, some important points about offshore drilling should be reiterated.  As we’ve mentioned before, “drill, baby, drill” isn’t a viable solution to fix our energy problems.  These vast, untapped areas require an incredible amount of time to explore, survey, and build the infrastructure needed to bring just one drop of oil from beneath the ocean floor.  Experts estimate that this time frame is between 10-12 years.  Similar areas were opened years ago in the Gulf of Mexico and have yet to reap the supply and security benefits that were promised.  In an ironic twist, the profit margin of oil companies might keep much of the newly opened areas free from drilling. 

Jonathan Hiskes of Grist.org explains:

“I’m holding out hope that things appear worse than they are. Because the key isn’t how much offshore drilling is allowed. The crucial issue is whether oil and gas companies decide it’s worth their money to go out, find, and retrieve the stuff. And things could be brighter on that front, because, as Joe Romm explains, the payoff in these reserves may not be worth the trouble. (Nobody knows precisely how much oil and gas are in these places.) GOP politicians like John McCain and Sarah Palin have used offshore drilling as a rallying cry, but energy companies need to keep clear heads, crunch the numbers, and decide if a given project pays.”