Does the U.S. need a national energy policy, or is the country better served by the marketplace?
Oilman turned natural gas cheerleader (and prominent investor) T. Boone Pickens says itâs an outrage the U.S. doesnât have a formal, long-range plan.
His particular bone to pick is with OPEC, or rather with American dependence on nations who, he reasonably argues, support people who want to destroy us.
Transferring hard-won wealth, at alarming and increasing rates, to the nationâs sworn enemies is simply crazyâand must be curtailed, Pickens insists.
But whereâs the leadership on this?
âFrom Nixon forward, presidents have said, âelect me and weâll be energy independent,ââ Pickens said this week, speaking at the Commercial Vehicle Outlook Conference in Dallas. âThe media never asked them what their plan was.â
And Pickens can be persuasive, credible both as a genuine American character in the great maverick tradition and as an astute businessman not afraid to leverage a substantial fortune to pursue his vision.
Of course, the particular national policy heâs lobbying for has a lot to do with utilizing the vast reserves of good olâ American natural gas.
And just because Pickens stands to profit handsomely from an energy policy geared toward weaning the U.S. from OPEC oil doesnât mean itâs a wrongheaded notion.
Except that it is wrong, on a couple of counts: Not only is a national energy plan unnecessary, implementing one would likely be harmful. Thatâs the opinion of global energy expert Robert Bryce, who also spoke to fleet executives and industry suppliers gathered for CVOC.
âEven in the absence of an energy policy in the U.S., weâre the envy of every other country in the world. To the idea that we need to achieve X, Y and Z just to reduce our oil imports, my response is, âhey, weâre doing great,ââ Bryce said. âThe market is moving to natural gas on its own. Why do we need more government intervention to muck it up? Let the best fuel win and get the government out of it as much as possible.â
Indeed, the American solution is âfree markets and free people,â and making smart decisions in a global trading economy, Bryce says.
âThis idea of energy independence is a load of hogwash. We have no interest in being energy independent,â Bryce said. âWe are energy interdependent today and we will be tomorrow. Itâs not something to be feared, itâs something to be celebrated.â
As Bryce points out, in May U.S. oil exports were 3.5 million barrels per day, making the U.S. one of the worldâs largest exporters. Additionally, he calls the U.S. âthe OPEC of coal,â and worldwide demand will only soar in coming years.
âWeâre integrated in the global economy and we should be focusing on integration,â Bryce said. âWe want to trade with the rest of the world.â
Bryce is even more outspoken on the need to embrace coal, and on the futility of looking to wind and solar power to meet global energy needs.
Thatâs a discussion Iâll follow up on as well.