Bush's Parting Gift to Big Oil

In 1990 George H. W. Bush signed a presidential executive order banning coastal oil exploration. The Congressional moratorium was first enacted in 1982 and has been renewed every year since. In 1998, President Bill Clinton extended the offshore leasing prohibition until 2012. Until recently John McCain, Sen. Lindsey Graham (R-SC) and other key Republicans including the President himself were outspoken proponents of the ban on drilling now they are singing a new tune.

"I know the Democratic leaders have opposed some of these policies in the past," stated the President, "Now that their opposition has helped drive gas prices to record levels, I ask them to reconsider their positions. If Congressional leaders leave for the Fourth of July recess without taking action, they will need to explain why $4-a-gallon gasoline is not enough incentive for them to act."

John McCain followed suit by stating in Huston that he now favors offshore drilling.

This morning I paid $84.84 for a tank of gas. The National average for the price of gas is currently $4.10 and will probably get worse before it gets better.

Big Oil currently has 41 million acres leased offshore (the number gets higher depending on your source) not currently being utilized and neither they nor the Saudis are working up to capacity. Prices sour and instead of easing the supply side of the old supply and demand equation they get the Republicans to scream to open up the parts of our coastline and the Arctic National Wildlife Refuge which they are currently not allowed to touch.

Big Oil has been aggressively trying to open up ANWAR and the coasts for sometime. This crisis at the pump is a perfect opportunity to get the issue on the table one more time before the changing of the guard. Fool the public into thinking these off-limit areas would ease their suffering and Big Oil could get the prize they've sought for so long.

John W. Schoen of The Answer Desk at MSNBC explains that if work started drilling today in ANWAR production would peak in 2027. Hardly an immediate help.

Senator Harry Reid (D-NV) said in a statement, "This week's flip-flop on offshore oil drilling by President Bush and Senator John McCain is nothing more than a cynical campaign ploy that will do nothing to lower energy prices, and represents another big giveaway to oil companies already making billions in profits."

And of course this does nothing to get us off our addiction to oil. Like a Stanford student with her daddy's credit card the idea of the future or good decision doesn't enter into the question. One more fix, if only I can get one more fixsaid the junkie.

One has to ask, "Why the flip?" Clearly the energy question has become an election issue, maybe the election issue. Does the President and Presidential hopeful believe people's memories are that short and their rhetoric to blame Democrats will make it true? Won't people remember McCain was for this ban in his 2000 bid for the White House?

Maybe Big Oil knows that their game is up, but they want to make one more grab before the game changes to another sport? Maybe President Bush with his term waning and doubts over the party of the next President is trying to get a parting gift for his friends in oil. You never know when the favor will need be returned.