Gas Prices Hit Working Poor

The price of crude oil has reached a record high. Some people are expected
to feel this blow harder than others. Kyle Norris has more:

Transcript

The price of crude oil has reached a record high. Some people are expected
to feel this blow harder than others. Kyle Norris has more:


A barrel of crude oil costs a record one hundred dollars. Everyone is feeling
the results of this rise at the gas pump. But researchers say it’s hitting some
people especially hard.


Nancy Cain is a spokesperson with AAA:


“Who it really hurts is really the quote-unquote working poor. The people that
really are working jobs just making it, getting by, week to week. They’re
spending more and more of their money and they have less available cash
than some other people do.”


She says that rising gas prices link to rising grocery costs. Which also have
serious consequences for the working poor.


For the Environment Report, this is Kyle Norris.

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Exxon Valdez Oil Spill Lingers

It’s been more than 17 years since the Exxon Valdez split open on a reef off the coast of Alaska. More than 16,000 tons of crude oil washed up onto the rocky shores. Now scientists have found that the oil is still impacting the region’s ecology. The GLRC’s Mark Brush reports:

Transcript

It’s been more than 17 years since the Exxon Valdez split open on a reef off
the coast of Alaska. More than 16,000 tons of crude oil washed up
onto the rocky shores. Now scientists have found that the oil is still
impacting the region’s ecology. The GLRC’s Mark Brush reports:


Scientists studied a series of islands that were the first to be hit by the
Exxon Valdez oil spill. It’s estimated that 100 tons of crude oil are still
impacting the region’s shorelines. The researchers found that about half
of the remaining oil is in the more biologically rich areas of the Prince
William Sound.


Jeffery Short is a research chemist with the National Marine Fisheries
Service. He says animals such as sea otters forage for food in these
areas:


“And if they were to encounter oil in their search for clams, it would get
on their fur, and since they rely on their fur to stay warm, they would
have to lick it off during preening and then they would ingest it.”


Short says this could be why the numbers of animals in this area still
have not rebounded since the oil spill. An Exxon spokesman told the
Associated Press that they believe the Prince William Sound has
recovered.


For the GLRC, I’m Mark Brush.

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Point: Safe Oil Drilling in Lakes Is Possible

A Michigan Department of Natural Resources proposal to lease Great Lakes bottomlands for oil and gas development has prompted a lot of discussion regarding the risks and benefits of drilling near the Great Lakes. As Great Lakes Radio Consortium commentator Michael Barratt explains, those resources can be developed now in an environmentally safe manner:

Transcript

A Michigan Department of Natural Resources proposal to lease Great Lakes bottomlands for oil and gas development has prompted a lot of discussion regarding the risks and benefits of drilling near the Great Lakes. As commentator Michael Barratt reveals, those resources can be developed now in an environmentally safe manner.

People around the Great Lakes have seen quantum jumps in the price of energy within the last few months. Gasoline prices in Michigan for example are approaching $2.00/ gallon, natural gas prices have increased 40-60%, and propane prices have increased markedly.


Since Michigan only produces 4% of its crude oil demand and 30% of its natural gas demand, we need to find ways to both conserve and maintain our energy supply.


The Michigan Department of Natural Resources has proposed to lease land under the Great Lakes for the purpose of drilling wells from onshore locations. The proposed procedures require new wells to be located at least 1,500′ from the shoreline. They also require that sites be screened, and no drilling is to be permitted in dune areas, floodplains, or environmentally sensitive areas.


Additional wells drilled under Great Lakes waters may encounter significant reserves to help Michigan have a secure energy supply. Using a safe and proven technology known as directional drilling, it is possible to reach and produce these reserves with little to no effect on the surrounding areas. There have been 13 wells drilled under Great Lakes waters from onshore locations since 1979. Seven of those wells, which are still producing, have produced 439,000 barrels of oil and more than 17 billion cubic feet of gas. There have been no spills, accidents, or incidents associated with the wells since they have been drilled.


New wells drilled under Great Lakes waters, if drilling is allowed , could produce an additional 90 billion cubic feet of gas, and 2 million barrels of oil; enough to heat more than 1 million homes and fuel 157,500 cars for a year. We now have a window of opportunity to use existing infrastructure associated with the currently producing wells to develop some of the additional reserves under the Great Lakes. Drilling pads, roads, pipelines, and production facilities are in place that can be used to drill new wells under the Great Lakes.


Besides energy security, the people of Michigan benefit from royalties paid to the State of Michigan. That money is put into the Michigan Natural Resources Trust Fund to develop and extend parks, and to purchase wetlands and other environmentally sensitive areas. The seven wells currently producing have contributed more than $16,000,000 to the Fund. Additional wells drilled under the Great Lakes could contribute another $85,000,000-$100,000,000


Let’s develop the State’s Bottomland resources now in a safe and environmentally friendly way to ensure that Great Lakes waters and shorelines can be enjoyed by future generations and also to make sure we have the energy supplies here to maintain our quality of life.

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Counterpoint: Drilling Not Worth Risk

As the debate on a national energy policy intensifies, the hunt for more places to drill and dig for new energy is escalating. States are now turning their attention to prospecting in one place that hits close to home: the Great Lakes. As Great Lakes Radio Consortium commentator Cameron Davis of the Lake Michigan Federation explains, drilling under the continent’s largest body of fresh surface water is not something to be taken lightly:

Transcript

As the debate on a national energy policy intensifies, the hunt for more places to drill and dig for new energy is escalating. States are now focusing their attention on prospecting for one place that hits close to home: the Great Lakes. As commentator Cameron Davis of the Lake Michigan Federation explains, drilling under the continent’s largest body of fresh surface water is not something to be taken lightly.


No matter which estimate you believe – that there’s only enough oil and gas to power a Great Lakes state for 2 minutes or 8 weeks – opening the Great Lakes to new oil and gas drilling is simply not worth the risk. Hydrogen sulfide, known to exist in lakebed oil and gas reserves, can escape during drilling causing far-reaching human health problems. Wellhead and pipeline leaks can contaminate groundwater and surface water in streams, often without adequate cleanups by the state agency responsible for drilling oversight. And, drilling can damage some of the most fragile fish and wildlife habitat known, habitat that exists along Great Lakes coasts.


The argument that drilling means more royalties to states doesn’t even hold up. One state Auditor General recently found that oversight of leasing and royalty payments from drilling operations continues to be lax. What does this mean? It means that taxpayers aren’t getting the financial benefits from drilling that they’re supposed to get.


Last, it’s not unusual for the same state agency to serve as subjective promoter of drilling while at the same time supposing to be the objective regulator. States such as Michigan, which is leading the charge for new drilling, can’t have it both ways and maintain their credibility. If they try to have it both ways, it’s inevitable that Congress will step in – as it did this summer with its own legislation.


President Bush, legislative leaders from both sides of the aisle, and a majority of citizens have all said that Great Lakes oil and gas drilling isn’t worth the risk. So why does a bad idea keep moving forward?

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