WASHINGTON, February 23, 2012 – In remarks to reporters
this morning, API’s President and CEO Jack Gerard, strongly urged the administration to act to encourage more domestic oil and natural gas development, which it says it supports, in order to help put downward pressure on prices, strengthen energy security, create jobs and increase revenue to the government:
“The administration’s actions and its policy proposals on domestic oil and natural gas development are out of synch with its words. The administration is restricting where oil and natural gas development may occur, leasing less often, shortening lease terms, going slow on permit approvals, and increasing or threatening to increase industry’s development costs through higher taxes, higher royalty rates, higher minimum lease bids, and more regulations. It is also proposing an $85 billion tax hike that would chase energy investment out of the country, stifle job creation, drive up imports – and our trade deficit – and increase the volatility of gasoline markets.
“The administration suggests that its policies are, in fact, already increasing oil production. This couldn’t be farther from the truth. While oil production is up, the increase relates almost entirely to investment and leasing decisions made before, sometimes long before, this administration came into office. The increase is also due to oil and gas development on private and state lands over which the administration has little or no control at all.
“Words are not leadership if not followed by the right actions. We don’t know whether the president is committed to more domestic development and reasonable energy policies or is still harboring the idea he and his secretary of energy expressed before the election that higher gasoline prices might actually make sense as a part of our national energy policy because they would make us more energy efficient and encourage green energy. If he is committed to more development, we’re ready to work with him and his administration to help make it happen.”
API represents more than 490 oil and natural gas companies, leaders of a technology-driven industry that supplies most of America’s energy, supports 9.2 million U.S. jobs and 7.7 percent of the U.S. economy, delivers more than $86 million a day in revenue to our government, and, since 2000, has invested more than $2 trillion in U.S. capital projects to advance all forms of energy, including alternatives.