McDonnell challenges Democrats to quit playing politics with energy
By JR Hoeft | Friday, February 27th, 2009 | Policy
Citing Democrats propensity to pander to special interests by ignoring the good that will come from environmentally-conscious oil and natural gas drilling, GOP candidate for governor, Bob McDonnell, called upon his Democratic opponents for governor to join him in writing a letter to Secretary of Interior Ken Salazar to counter Gov. Tim Kaine’s letter that asked to delay the sale of a lease for exploration and development of energy resources off the Virginia coast.
“I urge the Democratic candidates for Governor to put aside their pandering to special interests and do what’s right for Virginia families. Democrats need to stop saying no to new jobs and revenue for Virginia. Offshore production of natural gas and oil is not the entire solution to our economic and energy challenges, but it is part of the solution and we need to stop with the delays and start making progress,” said McDonnell. “Along with nuclear, solar, renewable and other sources offshore production helps us move toward energy independence and create jobs to get our economy moving again.”
As prices soared to over $4 a gallon last year, even Sen. Mark Warner campaigned for offshore drilling. But only Republicans in Congress, led by Rep. Eric Cantor, were able to stage a dramatic stand-off to advance a comprehensive energy plan, which included oil and natural gas drilling.
Because of this effort – and the economics, President Bush lifted the moratorium on offshore drilling and Congress did not renew the then 25-year ban on the practice.
Now, the main sticking point is current Virginia law, which it seems only Democrats in the General Assembly and Gov. Tim Kaine are reluctant to change.
“A Governor committed to offshore energy exploration and development could work with the General Assembly to immediately broaden Virginia’s law to allow that to occur. As Governor of Virginia I will support legislation that will open Virginia’s offshore waters, starting at 50 miles off the coast, to environmentally safe exploration and drilling for oil and gas,” said McDonnell. “Too many jobs and too much revenue are at stake to do otherwise. There is no reason to surrender Virginia’s competitive advantage when this change could easily be achieved next session of the General Assembly. This needed legislative fix is no reason to delay the leasing process scheduled for 2011 for another four years.”
It is estimated that offshore natural gas production off of the Virginia coast would, over a 10-year period, likely create 2,578 new jobs, induce capital investment of $7.84 billion, yield $644 million in direct and indirect payroll, and result in $271 million in state and local taxes, according to an Old Dominion University study.
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About the author
Conservative to the core; liberal with his opinion! J.R. has been involved in politics for over a decade and has worked on several campaigns in Hampton Roads. He has served on the Executive Committee of the Republican Party of Chesapeake and the Central Committee of the Republican Party of Virginia. He is also the director of “Blogs United” in Virginia. E-mail J.R.. Follow J.R. on Twitter.
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7 Responses to "McDonnell challenges Democrats to quit playing politics with energy"
I’m not against off-shore drilling, I’m just opposed to off-shore drilling now. Honestly $4 for a gallon of gas isn’t that expensive (in the global and historical context – particularly when adjusted for inflation). Imagine what a gallon will cost in 20 years if we’ve piped all of our domestic supply dry and we are 100% dependent on imported oil.
If I can make a proposal it would be this – yes, we should stop playing politics with our domestic oil supply – and this applies to both the GOP and the Dems. What we should be doing is looking at off-shore oil, ANWR, etc as a sort of strategic reserve. So long as we’ve got a supply, we’ve got leverage – and, when the rest of the world is pumped dry we may still have some left – which give us supreme leverage AND we can sell each barrel at a highly elevated price – and perhaps pay off the W/ Obama debts…
No doubt, Mark.
However, I think you have to look at the economic impact on Virginia – all positive.
You have to look at this as only part of the solution.
And, if we wait, by the time we actually really need it, it will be too late.
As for $4/gal. gas being not that expensive? I can say that I totally appreciate it now being back to $2/gal. It really helps the monthly expense account…and I have to drive to work, as do many others.
Until we actually get a good public transit system in Hampton Roads, I’m stuck with the commute…and $4 per gal really has an impact on what discretionary spending my family would have to cut.
Smart move by McDonnell. If only I could be convinced he’d walk the conservative talk if elected. He sure didn’t as AG.
Points for McDonnell on this one too.
No one can convince me that $4/gallon gas didn’t play a significant role in hurting our economy. They say the recession started many months ago, curiously during the uptick in fuel costs last year.
I think I am in agreement with most here. Need an economic stimulus? The rollback in the cost of fuel is doing more to stimulate the economy then all the spending increases in the stimulus bill or any tax cut.
Not only does the average commuter have more money in his pocket, but I have to charge the average shipper way far less for hauling the freight.
As for Mark and his “strategic reserve” argument. If we hang on to this strategic reserve for too long it will erode away to worthlessness. The value of the crude oil is only going to be top tier prior to our figuring out how to get away from it.
Once alternative energy replaces crude oil, the value of the crude oil is going to be set by the benefit it provides for other needs (such as plastics and artificial rubber).
But the value of the leases needs to be set with royalties. Once the price of crude oil goes back up with in an improved economy, the royalty payments need to go up. We should not sell these rights at fire sale prices to those investors who know they can make a mint of money once prices go back up when the economy improves.
even a decent public transit system is still more expensive than driving – unless gas is $4 a gallon and you want to live in the urban area where you work so you can ditch your car entirely.
McDonnell is right on with this one and he should push it hard. Why shouldn’t Virginians benefit from the safe and environmentally sensitive use of our natural resources?
[...] McAuliffe is going to bring jobs to Virginia and the 2nd District, is Chairman McAuliffe going to reconsider petitioning Secretary Salazar for natural gas and oil 50 miles off the coast – an act which would bring nearly 3000 jobs to [...]
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