Barbara Boxer Answers Oil Question
As Iranian President Mahmoud Ahmadinejad repeated his threat to shut down the straight of Hormuz on Monday it becomes apparent that development of domestic oil supplies is as much a matter of national security as it is a solution for skyrocketing gasoline prices and all other petroleum related products. After dragging oil executives into hearings time and again [ Oil Prices Leave Congress On Empty ] and testimony by futures market regulatory officials Congressional leadership has done nothing. On July 24 I voiced my concerns to Senator Barbara Boxer of my home state of California with the following submission to her website:
“Today Congress proposed releasing oil from the strategic reserve. There has never been a worse time for such a proposal with tension in the Straight of Hormuz threatened by an Iran determined to develop nuclear weapons and hold the vital sea lane hostage. Waring factions are destroying facilities in Nigeria and one of our major suppliers, Venezuela, is trying to secure weapons from Russia under the guise of a U.S. military threat. The total petroleum reserve amounts to some 30 days; how foolish is such a proposal?”
“Not developing our own reserves amounts to nothing less than a war on the poor! The skyrocketing gasoline prices not only make low income jobs too costly to hold but the effect on agriculture compounds the problem of sustaining, not only oneself but, a family. Using corn, our primary food staple, as an energy source shows the tragic effects that government influence [ something you propose more of ] can have on free market solution to our needs.”
“Let the oil companies do what they do best instead of constantly dragging them in front of Congress. New leases will generate badly needed revenues for the states as well as federal government in addition to bringing down costs. The minescule portion of ANWR required for development will hardly affect the environment and delivery systems are already at hand. Outer continental shelf and eastern gulf sources should also be developed as some of these sites can boost supplies in as little as 3 years, not the 10 years we keep hearing from devious Congressional Leaders.”
“Having been involved in securities, you of all people should know how vital the futures markets are. The fact that Southwest Air has been able to operate profitably under current conditions is due to the fact they had the foresight to secure their energy needs at affordable prices using the very markets Congress proposes restricting. They are no less essential to agricultural interests as well as other manufacturers and transportation companies. If anyone should be dragged in front of Congress it should be George Soros. He could explain how markets are manipulated and how a few million dollars can guarantee disinformation will be disseminated across the internet regarding these issues and how it is that Congressional leaders can be persuaded to support such folly.”
“Congressional leadership needs to allow this issue to go to the floors of the respective houses of Congress to American Citizens can see where their representatives stand and what pork or new taxes have been levied against their earnings to deliver what is rightly theirs.”
What follows is the body of the response I received from Senator Boxer on August 4th:
“Thank you for contacting me regarding high gasoline prices. I appreciate the opportunity to hear your views on this important issue, and I share your concerns.”
“Gasoline prices reached an all-time high this year, and costs for food and other basic necessities are rising drastically. As millions of Americans struggle under this increasing burden, oil companies continue to report massive, record-breaking profits - $123 billion last year alone. This is unacceptable, and I want to assure you that I am working hard to lower prices and protect Americans from price gouging.”
“I am proud to be an original co-sponsor of S.3044, the Consumer-First Energy Act of 2008. This important bill would impose a windfall profits tax on oil companies to discourage price gouging and to help consumers offset the high costs of energy products, punish any country or company colluding in setting the price of oil, and limit excessive speculation in oil markets. Unfortunately, the Senate minority has blocked further consideration of S.3044.”
“In addition, I strongly support S.3268, the Stop Excessive Energy Speculation Act of 2008. This vital legislation would help lower energy prices by increasing regulation of energy futures trading and eliminating excessive speculation. S.3268 would provide more staff, resources, and authority for the Commodities Future Trading Commission, the agency charged with regulating commodity futures. This bill is currently being considered by the full Senate.”
“A a time when so many Americans are struggling to make ends meet and having to make the impossible choice between buying food for their families and filling up the gas tank, it is crucial that we pass both S.3044 and S.3268.”
“Opening up drilling in the United States is not the best way to achieve lower gas Prices. For example, drilling in the Arctic National Wildlife Refuge (ANWR) would provide us with six months of oil at most, and at great cost. Furthermore, it would be more than a decade before we saw any of that oil. Ultimately, we need to move away from our dependence on oil and gasoline by developing renewable and efficient energy technologies. Right now, we need to go after the big oil companies that are holding Americans hostage with their exorbitantly high prices.”
“Americans deserve better that oil companies that gouge consumers in order to make huge profits, and Congress needs to take action to help alleviate this crisis. Rest assured, I will continue working for the passage of S.3044 and S.3268, and I will keep fighting to help Americans enjoy fair and reasonable energy prices.”
“Again, thank you for writing to me. Please do not hesitate to contact me in the future on this or other issues that concern you.”
Rest assured? The passage of S.3044 and S.3268, proposals that place additional restrictions on enterprise and free markets is what we should fear would happen. What, are we going to sue OPEC? A trial lawyers bonanza that would only leave consumers in worse shape.
Meanwhile, it was reported today that even the timid United Nations is taken the Iranian threat seriously, considering new sanctions against the Tehran government in light of their refusal to suspend nuclear development. Even Paris Hilton has a more practical plan for energy development than Senator Boxer. In her rebuttal video to Senator McCain’s Obama Celebrity video Ms. Hilton states “… the offshore drilling caries us until the new technology kicks in…” DA! Similarly, T. Boone Pickens has called for the development of all domestic resources. During his testimony before Congress, Democrats made public his call for wind power while generally ignoring the greater scope of the Pickens Plan which calls for keeping our energy expenditures at home.
Why mention George Soros? He has made an astounding fortune managing hedge funds and was directly responsible for the collapse of the British Pound in the early 1990’s and the financial crisis of that late 1990’s in Asia. There are few better examples of market manipulation than can be found among his trading escapades. Further, he provided much of the seed money that drives many of the progressive websites and media ventures. In addition, Boxer, along with Barack Obama, are among the few candidates in the 2004 elections that received direct contributions from the Soros family; she knows him well.
Maybe it takes a video from Paris Hilton to convince young Americans how childish the Democratic leadership is when they block this issue from debate when so many are currently affected by it. Even if they don’t appreciate the security aspects they are immediately hit in the pocket book and must be having doubts about how responsive democracy is in the hands of this generation of Democrats.
Write your representative on this issue and leave a comment on what you get. Look them up on our government page.