Washington
22 June 2008
U.S. legislators are responding cautiously to statements from SaudiArabia that hint at possible further increases in oil production,saying the United States must do more on its own to reduce itsdependency on foreign sources of fuel. From Washington, VOA's MichaelBowman reports.
Saudi Arabia's oil minister (Ali al-Naimi) saysthe kingdom is willing to boost crude production if sufficient demandexists for the commodity. The remarks came at an oil summit in Jeddah,where Saudi Arabia said it is already increasing production by 200,000barrels per day, but would consider an even higher output.
InWashington, the chairman of the House Select Committee on EnergyIndependence, Massachusetts Representative Edward Markey, seemedunimpressed by the Saudi pronouncement.
"It may have a marginalimpact [in moderating oil prices]," said Congressman Markey. "But inthe end, this crisis is really caused by 12 years of Republican controlof Congress. We have gone from 46 percent dependence [on foreign oil]when the Republicans took over the House and Senate in 1995 to 61percent dependence on imported oil today. We have had an oil and gasagenda. We have thwarted the renewable energy agenda."
Markey was speaking on ABC's This Week program. Democrats took control of both houses of Congress in the 2006 elections.
ManyRepublicans, including President George Bush and the party'spresumptive presidential nominee Senator John McCain, agree withDemocrats in urging expanded use of alternative energy sources. ButMr. Bush and McCain are also calling for expanded domestic oil drillingto boost America's crude supplies.
Also appearing on ABC's ThisWeek, Republican Senator Kay Bailey Hutchison of Texas blastedDemocrats for opposing new drilling off U.S. coastlines and other areas
"TheDemocrats have thwarted every effort we have made to increase our[domestic oil] supply," said Kay Bailey Hutchison. "This is asupply-and-demand issue. The demand has skyrocketed mainly because ofglobal [consumption] increases, and we have not done anything aboutsupply. Drilling off-shore on a state-by-state basis is something Ithink we could do very environmentally safely."
Some energyexperts say oil prices have risen, in part, due to speculation byenergy traders. The head of the American Petroleum Institute, RedCaveney, says there is a simple way to counteract expectations ofcontinually higher fuel prices that drive market speculation.
"Whatyou need are permanent solutions," said Red Caveney. "That is thesignal the markets are looking for. Any scenario you look at, you willfind that you need all the energy we can get of every kind."
Caveney echoed calls for increased U.S. oil drilling.
Oneexpert argued that, for years, the United States has underinvested intechnologies to make automobiles more fuel-efficient. Jeffrey Sachs,who directs Columbia University's Earth Institute, says the UnitedStates has catch-up work to do if it wants to become energy independent.
JohnMcCain and his presumed Democratic rival for the presidency, SenatorBarack Obama, say major investments will be needed in renewable andalternative energy sources. Unlike McCain, Obama opposes new off-shoreoil drilling and has proposed imposing a windfall profits tax on U.S.oil companies.