Post by Mech on Nov 20, 2003 13:48:36 GMT -5
Engineered Extinction
by William F. Jasper
Government policies threaten our jobs, economy and national security by destroying America’s basic resource industries — mining, forestry, farming and ranching.
Imagine an America of closed factories, shuttered offices, and millions of unemployed blue-collar and white-collar workers. Imagine a United States of America that is no longer the leader in any major industrial or technological sector — a U.S. of A. that is dangerously dependent on foreign suppliers for many of its critical military supplies and weapons components. Imagine an America that depends on foreign producers not only for virtually all consumer goods but even for basic foodstuffs. Imagine an America that is no longer a land of optimism and opportunity for our younger generations because it has ceased to be competitive globally and has regulated jobs, careers and entrepreneurial activities into oblivion. Imagine a rusting and decrepit America that can no longer economically support its aging population. Imagine a dependent America with supplies of food, oil and other essentials interrupted by war or terrorism. Imagine regular electrical blackouts and brownouts similar to those that afflict developing countries.
The hemorrhaging of U.S. manufacturers and manufacturing jobs to Mexico, China and other overseas destinations has been a topic of heated controversy for decades. In the past couple of years, the outsourcing of information technology jobs and the transfer of hi-tech facilities to India, China and Pakistan have also caused outcries of concern. Far less has been heard of the similar woes besetting our basic resource industries — farming, ranching, mining and timber — and the major inroads that foreign competitors (including our declared enemies) have made into these critical areas.
Even the most insulated and naïve urbanite knows (we hope) that the meat, eggs, bread, fruit and vegetables on the dinner table came from a farm or ranch. We know that the gasoline in our tanks, the heating oil or natural gas for our homes, and the steel, aluminum and other metals we use each day had to be extracted from the earth. The paper, lumber and other wood products that are essential to our lives came from trees.
The average American urban consumer understands these simple facts — but at a very elementary level. The overwhelming majority of Americans have no direct contact with the people who produce the essentials of everyday life — food, clothing, shelter and energy — and make all of our other hi-tech and service industries possible. Joe Consumer has little to no appreciation for the tightening straitjacket that America’s farmers, ranchers, miners and timber harvesters have been put in, and he is largely clueless about how the assault on these domestic industries will dramatically impact him.
Joe Consumer must wake up to real-world facts and shake off the pernicious fantasies sown by the fanatics of both the environmental and "free trade" lobbies. Our basic resource industries, suffering from decades of regulatory overkill and nearly a decade of added burdens from the North American Free Trade Agreement (NAFTA), are now being targeted for more intensive foreign penetration under the proposed Free Trade Area of the Americas (FTAA) and other so-called free trade agreements.
Our Energy Lifeblood
Energy is the lifeblood of our economy and modern society. It powers our factories, farms and processing plants. It provides lighting, heating and cooling to our homes, offices and businesses. It moves people and products. Without access to affordable energy, America will shut down. That already has been happening, despite the fact that the United States has abundantly available energy resources and is the world leader in developing exploration and extraction technology.
America runs on oil and gas — literally. Fuels derived from these two sources supply 100 percent of our transportation demand, for both commercial and individual transportation.
Approximately 60 million American families use natural gas to heat their homes, representing over one half of U.S. homes. Industries depend upon natural gas to produce plastics, steel, glass, paper, textiles, paints, clothing, aluminum, medicines, brick, fertilizers and much more. Sixteen percent of America’s electric generation is also fueled by natural gas. Because of the environmental regulations on coal and oil, there has been a significant shift to cleaner burning natural gas over the past decade. Over 90 percent of new electric generating power plants are fired by natural gas.
"The environmental desirability of natural gas has led to massive growth in its demand," said Rep. Richard Pombo (R-Calif.), co-chairman of the Speaker’s Task Force on Affordable Natural Gas, on September 30. "Unfortunately," Pombo noted, "while the federal government has embraced policies that encourage the use of natural gas, it has effectively prevented our producers from increasing supplies. The resulting imbalance between supply and demand will continue to have devastating effects on our economy and our way of life if it is not addressed quickly."
Rep. Pombo’s comments accompanied the task force’s report, which found that government policies are causing low supply levels that, in turn, are resulting in natural gas prices two to three times above the historic average. These prices, the task force reports, have led to — and will continue to result in — loss of jobs, strains on the economy, and severe impacts on low-income American families.
"Our task force’s findings are staggering," said Rep. W. J. Tauzin (R-La.), who co-chaired the task force with Pombo. "People are losing jobs, industries dependent on natural gas are suffering and home heating prices continue to skyrocket. Without increased exploration and development of our nation’s abundant natural gas reserves, our economy and the livelihoods of all Americans are at risk."
The task force report noted:
While the U.S. is currently suffering from a shortage of gas supply, natural gas resources in the U.S. are plentiful. In fact, recent studies estimate that the total technically recoverable North American natural gas resource is sufficient to meet our current demand needs for many generations. Unfortunately, government policies are preventing us from being able to produce and use that gas.
Most of our natural gas reserves lie beneath non-park federal lands and offshore waters controlled by the federal government. The task force reported that "numerous lawsuits filed by opposition groups from the environmental community" and "numerous overlapping environmental regulations are preventing or slowing access to natural gas resources." As a result, notes Rep. Tauzin, U.S. prices for natural gas are the highest in the world.
On October 10, a study by the Government Accounting Office (GAO) underscored the task force findings. The GAO study found that higher natural gas prices have increased the cost of producing nitrogen fertilizer. Fertilizer prices have skyrocketed, forcing farmers to decrease production by 25 percent, causing financial damage to the fertilizer industry, farmers and the economy.
by William F. Jasper
Government policies threaten our jobs, economy and national security by destroying America’s basic resource industries — mining, forestry, farming and ranching.
Imagine an America of closed factories, shuttered offices, and millions of unemployed blue-collar and white-collar workers. Imagine a United States of America that is no longer the leader in any major industrial or technological sector — a U.S. of A. that is dangerously dependent on foreign suppliers for many of its critical military supplies and weapons components. Imagine an America that depends on foreign producers not only for virtually all consumer goods but even for basic foodstuffs. Imagine an America that is no longer a land of optimism and opportunity for our younger generations because it has ceased to be competitive globally and has regulated jobs, careers and entrepreneurial activities into oblivion. Imagine a rusting and decrepit America that can no longer economically support its aging population. Imagine a dependent America with supplies of food, oil and other essentials interrupted by war or terrorism. Imagine regular electrical blackouts and brownouts similar to those that afflict developing countries.
The hemorrhaging of U.S. manufacturers and manufacturing jobs to Mexico, China and other overseas destinations has been a topic of heated controversy for decades. In the past couple of years, the outsourcing of information technology jobs and the transfer of hi-tech facilities to India, China and Pakistan have also caused outcries of concern. Far less has been heard of the similar woes besetting our basic resource industries — farming, ranching, mining and timber — and the major inroads that foreign competitors (including our declared enemies) have made into these critical areas.
Even the most insulated and naïve urbanite knows (we hope) that the meat, eggs, bread, fruit and vegetables on the dinner table came from a farm or ranch. We know that the gasoline in our tanks, the heating oil or natural gas for our homes, and the steel, aluminum and other metals we use each day had to be extracted from the earth. The paper, lumber and other wood products that are essential to our lives came from trees.
The average American urban consumer understands these simple facts — but at a very elementary level. The overwhelming majority of Americans have no direct contact with the people who produce the essentials of everyday life — food, clothing, shelter and energy — and make all of our other hi-tech and service industries possible. Joe Consumer has little to no appreciation for the tightening straitjacket that America’s farmers, ranchers, miners and timber harvesters have been put in, and he is largely clueless about how the assault on these domestic industries will dramatically impact him.
Joe Consumer must wake up to real-world facts and shake off the pernicious fantasies sown by the fanatics of both the environmental and "free trade" lobbies. Our basic resource industries, suffering from decades of regulatory overkill and nearly a decade of added burdens from the North American Free Trade Agreement (NAFTA), are now being targeted for more intensive foreign penetration under the proposed Free Trade Area of the Americas (FTAA) and other so-called free trade agreements.
Our Energy Lifeblood
Energy is the lifeblood of our economy and modern society. It powers our factories, farms and processing plants. It provides lighting, heating and cooling to our homes, offices and businesses. It moves people and products. Without access to affordable energy, America will shut down. That already has been happening, despite the fact that the United States has abundantly available energy resources and is the world leader in developing exploration and extraction technology.
America runs on oil and gas — literally. Fuels derived from these two sources supply 100 percent of our transportation demand, for both commercial and individual transportation.
Approximately 60 million American families use natural gas to heat their homes, representing over one half of U.S. homes. Industries depend upon natural gas to produce plastics, steel, glass, paper, textiles, paints, clothing, aluminum, medicines, brick, fertilizers and much more. Sixteen percent of America’s electric generation is also fueled by natural gas. Because of the environmental regulations on coal and oil, there has been a significant shift to cleaner burning natural gas over the past decade. Over 90 percent of new electric generating power plants are fired by natural gas.
"The environmental desirability of natural gas has led to massive growth in its demand," said Rep. Richard Pombo (R-Calif.), co-chairman of the Speaker’s Task Force on Affordable Natural Gas, on September 30. "Unfortunately," Pombo noted, "while the federal government has embraced policies that encourage the use of natural gas, it has effectively prevented our producers from increasing supplies. The resulting imbalance between supply and demand will continue to have devastating effects on our economy and our way of life if it is not addressed quickly."
Rep. Pombo’s comments accompanied the task force’s report, which found that government policies are causing low supply levels that, in turn, are resulting in natural gas prices two to three times above the historic average. These prices, the task force reports, have led to — and will continue to result in — loss of jobs, strains on the economy, and severe impacts on low-income American families.
"Our task force’s findings are staggering," said Rep. W. J. Tauzin (R-La.), who co-chaired the task force with Pombo. "People are losing jobs, industries dependent on natural gas are suffering and home heating prices continue to skyrocket. Without increased exploration and development of our nation’s abundant natural gas reserves, our economy and the livelihoods of all Americans are at risk."
The task force report noted:
While the U.S. is currently suffering from a shortage of gas supply, natural gas resources in the U.S. are plentiful. In fact, recent studies estimate that the total technically recoverable North American natural gas resource is sufficient to meet our current demand needs for many generations. Unfortunately, government policies are preventing us from being able to produce and use that gas.
Most of our natural gas reserves lie beneath non-park federal lands and offshore waters controlled by the federal government. The task force reported that "numerous lawsuits filed by opposition groups from the environmental community" and "numerous overlapping environmental regulations are preventing or slowing access to natural gas resources." As a result, notes Rep. Tauzin, U.S. prices for natural gas are the highest in the world.
On October 10, a study by the Government Accounting Office (GAO) underscored the task force findings. The GAO study found that higher natural gas prices have increased the cost of producing nitrogen fertilizer. Fertilizer prices have skyrocketed, forcing farmers to decrease production by 25 percent, causing financial damage to the fertilizer industry, farmers and the economy.