News-Miner Editorial
Energy points
Fuel prices remain a hot topic for Alaska’s politicians
Published Monday, May 12, 2008
Energy prices have had the rapt attention of Alaska leaders in and out of the state in recent days. Here’s our take on some of the news:
• The fervor with which Mayor Jim Whitaker and members of the Fairbanks North Star Borough Assembly are trying to do something about high energy prices should have the widespread appreciation of the local population.
Whether their efforts will truly lead to a solution is far from certain, but they should be encouraged to continue to devote their time to the subject. The commitment of $1 million of the borough’s money — our money, since it comes from property tax payers — and money from the state should be given broad support by residents wrestling with high gasoline and heating fuel prices.
The many complaints about high energy prices won’t lead to a solution in themselves. There’s no snapping of the fingers to bring back the cheaper energy days of yesteryear. Complaining means doing. And in this case, the “doing” means supporting the expenditure of taxpayer money in the search for a long-term energy solution for the Fairbanks area.
• Congress is expected to consider Republican and Democratic energy proposals this week, and the Arctic National Wildlife Refuge is expected to figure prominently in the discussion. Most Republicans in Congress want to open a small portion of it to oil and gas development; most Democrats don’t.
Environmental groups, who have formed a solid bloc of opposition to opening ANWR, are correct when they say opening the refuge to the oil and gas industry won’t help the nation’s short-term energy problems. ANWR, however, is about the long term and always has been. That’s why their opposition, and the opposition of Democrats, is puzzling. Oil from ANWR can serve as a bridge to an energy future based more on alternative fuels and less on fossil fuels — precisely the type of future that environmentalists and Democrats want but are too unwilling to compromise about to actually make it happen with less pain for the consumer.
The Republican effort to open ANWR faces long odds, at best, in this Democratic-controlled Congress. But Alaska Sens. Ted Stevens and Lisa Murkowski and Rep. Don Young need to keep up the fight.
• And speaking of Rep. Don Young: Alaska’s lone member of the U.S. House took a political pasting recently when he suggested that the federal gasoline tax should be increased by 72 cents per gallon, to an even dollar. His campaign opponents seized on the remark, made during a committee hearing about the record high cost of diesel fuel.
Say what you will about Rep. Young, but the point he was trying to make is a fair one. If Congress wants to reduce the demand for oil by reducing consumption of diesel and gasoline, then a way to do it is to raise the price of the product to the point at which consumers will use less of it. Congress can affect the price by increasing the tax.
It’s a simple question of supply and demand. It’s the most basic of economic points. Congress apparently doesn’t want to increase the supply of domestically produced oil, and there’s not a lot of excess oil on the global market, That leaves the demand side of the equation. That seems to be the point that Rep. Young was trying to make.
Digg
del.icio.us
Mixx
Reddit
Stumble It!
Community Discussion
Newsminer.com doesn't necessarily condone the comments here, nor does it review every post. Read our full user's agreement.
It apparently worked for cigarettes.
Look at the traffic in FAI now ... as bad as most major cities in the USA. It would be nice to reduce that.
Once again the DNM's socialistic tendencies come through loud and clear - tax, tax, tax, spend, spend, spend. Why do you people always think that government spending will fix everything? Except when that spending includes giving some money back to the people from whom it was taken. I shouldn't be surprised.
Like James said, it worked for cigarettes, I'll bet it will work for fuel too.
Its 10 miles from my house in North Pole to where I work. Please tell me, how will raising the price of fuel make me use less when it will still be 10 miles to work?
I'm glad Young recanted, what a boneheaded idea. I was prepared to send a campaign contribution to Parnell to the tune of $1.00 for every 1¢ that Young wanted to raise the tax. Come to think of it, I think I'll send it anyway.
Environmental groups, who have formed a solid bloc of opposition to opening ANWR, are correct when they say opening the refuge to the oil and gas industry won’t help the nation’s short-term energy problems.
This is such a weak argument. If we had started drilling in ANWR way back when they first started talking about it....we would have been getting oil from it for over 10 yrs. Thats ok, let them go ahead and block drilling. Let them pay 200-300 to fill up their Hummers and Excursions. It has not hit the top yet, of that I feel sure.
I'll tell you how photodude705: If it becomes more costly for you to drive that 10 miles to work than you can afford, then you will either A) Live closer to work (ie move) B) Work closer to where you live (ie get a new job) C) get a more fuel efficient car, or D) ride your bike (10 miles is not that far on a bike).
Gas prices should get MUCH higher than they are now to force us to live more appropriately.
Also, with a global market, opening ANWR wil do NOTHING to help lower gas prices. The oil companies will be selling that oil to China, etc, and we will still be paying too much. The ONLY ways to lessen the impact of high oil prices is to conserve, or reinstate protectionist trade policies (which may hurt us other ways)
The smartest thing the borough did was bring up coal to gas to liquids.
This is not rocket science, it is turn of the 19th into the 20th century technology which is much less complex than today's crude oil refineries.
For crying out loud, the German war machine ran for 2 years on it after their crude oil supplies were denied them in WW II, what is so mind numbing about using our most abundant resource, coal?
It is a cleaner source of gasoline and diesel than crude oil.
Coal is located in virtually every major geographic region of Alaska and we can wean ourselves directly off petroleum distillates.
HELLO!!
Another recourse in conjunction with coal is getting natural gas down to the population for both heating and powering our automobiles and currently diesel fired generators across Alaska.
Switch out vehicles to natgas!!
I've been harping on this in the halls of government for 2 years as well as blogging it up.
Natgas vehicles in Utah are at a premium as they are hauled out of boneyards.
I seem to recall a figure of $7.00 per fill-up in a recent article.
State, county and city fleets in the lower 48 were commonly natgas powered.
As far as I'm concerned, save ANWR for its future value as a reserve and start getting after what is readily available right on the surface.
We are being manipulated by crude oil speculators world-wide and it is a fine hedge against our flaccid dollar's ever declining value.
Is anyone else out there getting sore arms from hitting themselves in the head with a hammer every time you fuel your car and house?
The solution is in our front yard and it is time to rise up and just do it.
Sheesh, 1940's technology!
This is inexcusable behavior by everyone to not undertake clean coal development NOW!
If not you're just lambs continuing to the slaughter and every time you slip your debit or credit card into the gas pumps you should be required to use a voice signature prompt just like a biometric eye scanner.
The code word is Baaaaaaah.
Sheep, sheep, sheep going cheep,cheep, cheep until we demand these changes.
Opening "ANWR" will do absolutely nothing for the average home owner in Alaska hoping to reduce their home heating fuel bills. How has having the largest oil field reserve in North America "Prudhoe Bay" and having several refinerys through out the state saved you anything when your fuel delivery driver hands you the dreaded yellow envelope.
"ANWR" will be another exploited reserve for the oil companys Ceo's. I have to lay blame on those that represent Alaska for NOT, protecting the residents of the state of Alaska in contractual language to safe guard the residents from unbearable fuel oil prices. Don Young that should be a challenge for you, if you don't have the brain power to getur done step aside and let someone else get it done.
I finally figured out how to fill my gastank with hi-octane fuel made from useless smelly bio-hazard waste..
..like the kind of scary-icky stuff you see in cosmopolitan areas wearing suit&tie while speculating on energy-stock derivatives or investing in cluster-bombs.
http://www.ted.com/index.php/talks/view/...
Yeah, a backyard digester, made of stainless, that eats city-slickers and spits out aviation-gas like a moonshine-still.
The state of Alaska should drill for oil, buy flint hills refinery, make our own gas/fuel, subsidize the price of fuel for Alaskans, and sale excess to the highest bidder. This could be a short term fix while alternative forms of energy studied to provide electricity and power our vehicles. We could use some of the royalties to pay for this and it would become self sustaining in time.
Should CA Speaker Karen Bass consider a "fee" on corn fuel ethanol use?
* Lower price for food, gas, water, beer, cleaner air… and… funds for the budget from oil profit.
* What was the cause of death of Alexander Farrell, 46, expert on alternative fuels?
http://www.sfgate.com/cgi-bin/article.cg...
* Was Dr. Russell Long/REAP/Pavley 2002 CA tailpipe bill for corn fuel ethanol, Bill Jones’ Pacific Ethanol business?
* Clean Air Performance Professionals (CAPP) supports a Smog Check inspection & repair audit, gasoline ethanol fuel cap and elimination of dual fuel CAFÉ credit to cut car impact over 50% in 1 year.
* Some folks believe ethanol in gasoline increases oil use and oil profit
* Ethanol uses lots of water
* A Smog Check audit would cut toxic car impact in ½ in 1 year. Chief Sherry Mehl, CA/DCA/BAR, has never found out if what is broken on a Smog Check failed car gets fixed.
* An ethanol waiver would stop a $1 billion California oil refinery welfare program coming from the federal government @ $0.51 per gallon of ethanol used
* About 60,000 barrels per day of the oil used by cars is allowed by the "renewable fuel" CAFE credit
* Clean Air Performance Professionals
Post a comment
Commenting requires registration.