President Barack Obama delivers remarks on the economy at Nashua Community College in Nashua, N.H., March 1, 2012. The president used a diagram to illustrate the decline in U.S. dependence on foreign oil. (Official White House Photo by Pete Souza)
He also addressed the idea that we'll be able to drill our way to lower gas prices and energy independence:
So when it comes to oil production, under my administration, America is producing more oil today than at any time in the last eight years. That is a fact ... Under my administration, we have a near-record number of oil rigs operating right now -- more working oil and gas rigs than the rest of the world combined. Think about that.The President is directing the federal government to address a range of issues that are having a real impact on what each of us pays at the pump. For starters, he's working to prevent speculators from taking advantage of uncertainties in the commodities market and trying to reduce bottlenecks in the supply chain.
And the President is making a real push to eliminate the tax breaks that we provide to one of the most profitable industries in the world:
[Oil] companies are making record profits right now -- tens of billions of dollars a year. Every time you go to the gas tank or fill up your gas tank, they’re making money. Every time. Now, does anyone really think that Congress should give them another $4 billion this year? Of course not. It’s outrageous. It’s inexcusable. And I am asking Congress -- eliminate this oil industry giveaway right away. I want them to vote on this in the next few weeks.For more information about America’s decreasing dependence on foreign oil, check out our post from earlier today.
We’re relying less on imported oil for a number of reasons, not least that production is up here in the United States. In fact, America is producing more oil today than at any time in the last eight years. As part of his strategy to increase safe, responsible oil production in the United States, President Obama has opened millions of new acres for oil and gas exploration and we now have more working oil and gas rigs than the rest of the world—combined.
Despite all this, Americans are still paying more at the pump when we fill up. That's because drilling for more oil here at home won’t affect the price of gas on its own. Oil is bought and sold on a world market. In the short term, it’s subject to price spikes when there’s instability or uncertainty along the global supply chain. And growing demand in countries like India, Brazil, and China, which tripled the number of cars on the road in the last five years, will drive prices even higher over the long term.
So we have to do more than drill now to bring down prices for the future. Relying on the fossil fuels of the last century won’t be enough, especially as demand keeps increasing. We need an all-out, all-of-the-above strategy that develops every available source of American energy. This includes everything from tapping our offshore oil supplies and vast natural gas reserves, to doubling down on clean energy resources like wind and solar power, and developing new technologies that help us use less energy altogether.
This is the strategy President Obama has been pursuing since he took office, but there’s still more to be done. We need to put in place the right incentives to encourage a clean energy future, and repeal the $4 billion in annual taxpayer subsidies paid to oil and gas companies. Today in New Hampshire, the President will reiterate his call on Congress to do just that. (oleh andri luntungan)
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