Watch Obama Discuss America's Energy Security Live

Tyler Durden's picture

The president is due to address America's energy "security" any minute now. We wonder if he will address the fact that OPEC is set for a bumper export year, generating profits of over $1 trillion for the first time ever. Of course, that is money that will have to be recycled back into US bonds so it is bullish.


The prepared teleprompter remarks are below:

FACT SHEET: America's Energy Security

Rising prices at the pump affect everybody – workers and farmers; truck
drivers and restaurant owners.  Businesses see it impact their bottom
line.  Families feel the pinch when they fill up their tank.  For
Americans already struggling to get by, it makes life that much harder. 
That’s why we need to make ourselves more secure and control our energy
future by harnessing all of the resources that we have available and
embracing a diverse energy portfolio. With an ultimate goal of reducing
our dependence on oil, in the near term we must responsibly develop and
produce oil and gas at home, while at the same time leveraging cleaner,
alternative fuels and increasing efficiency.  And beyond our efforts to
reduce our dependence on oil, we must focus on expanding cleaner sources
of electricity – keeping America on the cutting edge of clean energy technology so that we can build a 21st century clean energy economy and win the future.

Reducing oil imports

In 2008, America imported 11 million barrels of oil a day. 
By 2025 – a little over a decade from now – we will have cut that by

  • Expanding Safe and Responsible Domestic Oil and Gas Development and Production:
    • Implementing critical safety reforms:  In response to the Deepwater Horizon oil
      spill in the Gulf of Mexico, the Obama Administration has launched
      rigorous and comprehensive environmental and safety reforms to ensure
      the responsible development of offshore oil and gas resource
    • Identifying underdeveloped resources:  The
      President asked the Department of the Interior (DOI) to issue a report
      on the status of unused oil and gas leases.  That report showed that 57
      percent of all leased onshore acres and 70 percent of offshore leased
      acres are inactive – meaning that they are neither being explored or
    • Developing incentives for expedited development and production: DOI
      is developing incentives for expedited development of oil and gas
      production from existing and future leases.  For its offshore leasing
      program, the DOI has already begun to employ incentives, including the
      shortening of some lease terms to encourage earlier development, and
      requiring drilling to begin before an extension can be granted on a
      lease.  DOI is also evaluating the potential use of graduated royalty
      rate structures, such as those adopted by the State of Texas, to
      encourage more rapid production.
  • Securing Access to Diverse and Reliable Sources of Energy:  The
    U.S. is acting in the international arena to moderate global oil demand
    and secure additional supplies of liquid fuels and clean energy.  We
    are working with our international partners to increase natural gas
    supplies, replace oil with natural gas in power generation, and increase
    responsible oil production in a manner that ensures safety .  We are
    also increasing sustainable bioenergy production, building a new
    international framework for nuclear energy, and promoting energy
  • Developing Alternatives to Oil, Including Biofuels and Natural Gas:  Some
    of our most effective opportunities to enhance our energy security can
    be found in our own backyard.  We are committed to finding better and
    smarter ways to use these abundant energy resources. That means:
    • Expanding biofuels markets and commercializing new biofuels technologies:  Corn
      ethanol is already making a significant contribution to reducing our
      oil dependence, but increasing market share will require overcoming
      infrastructure challenges and commercializing promising cellulosic and
      advanced biofuels technologies.  To help achieve this goal, the
      Administration has set a goal of breaking ground on at least four
      commercial-scale cellulosic or advanced bio-refineries over the next two
      years. And as we do all of these things, we will look for ways to
      reform our biofuels incentives to make sure they meet today’s biofuels
      challenges and save taxpayers money.  
    • Encouraging responsible development practices for natural gas: 
      The Administration is committed to the use of this important domestic
      resource, but we must ensure it is developed safely and responsibly. To
      that end the Administration is focused on increasing transparency about
      the use of fracking chemicals, working with state regulators to offer
      technical assistance, and launching a new initiative to tap experts in
      industry, the environmental community and states to develop
      recommendations for shale extraction practices that will ensure the
      protection of public health and the environment. 
  • Cutting Costs at the Pump with More Efficient Cars and Trucks:   The
    Administration is building on recent investments in advanced vehicles,
    fuel, technologies, high speed rail, and public transit:
    • Setting historic new fuel economy standards: Standards
      for model years 2012-16 will raise average fuel economy to 35.5 miles
      per gallon by 2016, and save 1.8 billion barrels of oil over the
      lifetime of the vehicles covered. In July, the Administration will also
      finalize the first-ever national fuel economy and greenhouse gas
      emission standards for commercial trucks, vans and buses built in 2014 -
      2018.  These standards will cut oil use and promote the development and
      deployment of alternative fuels, including natural gas.  The
      Administration is also developing the next generation of fuel economy
      and greenhouse gas emission standards for passenger vehicles 2017-2025
      and expects to announce the proposal in September 2011.
    • Paving the way for advanced vehicles:  The
      President has set an ambitious goal of putting 1 million electric
      vehicles on the road by 2015.  To help us get there, the President’s FY
      2012 Budget proposes a redesigned $7500 tax credit for consumers,
      competitive grants for communities that encourage the adoption of
      electric vehicles, and funding for R&D to drive innovation in
      advanced battery technology.  At the same time, the President is calling
      on Congress to move forward with policies that can help unlock the
      promise of natural gas vehicles.
  • Leading by Example With the Federal Fleet.  The
    Federal government operates more than 600,000 fleet vehicles.   We have
    already doubled the number of hybrid vehicles in the federal fleet. 
    Today, the President is calling for administrative action directing
    agencies to ensure that by 2015, all new vehicles they purchase will be
    alternative-fuel vehicles, including hybrid and electric vehicles. 

Innovating Our Way to a Clean Energy Future 

Charting a path  towards cleaner sources of electricity and
greater energy efficiency, and remaining on the cutting edge of clean
energy technology.

  • Creating Markets for Clean Energy:  To move capital
    off of the sidelines and into the clean energy economy – creating jobs
    in the process – we need to give businesses and entrepreneurs a clear
    signal that there will be a market for clean energy innovation.  That’s
    why the Administration is committed to pursuing a Clean Energy Standard
    (CES), an ambitious but achievable goal of generating 80 percent of the
    Nation’s electricity from clean energy sources by 2035 – including
    renewable energy sources like wind, solar, biomass, and hydropower;
    nuclear power; efficient natural gas; and clean coal.
  • Cutting Energy Bills through More Efficient Homes and Buildings: Our
    homes, businesses and factories consume over 70 percent of the energy
    we use.  By making smart investments in energy efficiency in the
    residential, commercial, and industrial sectors, we can improve U.S.
    competitiveness and protect our environment, while saving consumers
    money on electricity bills.  That is why the Administration is on track
    to weatherize 600,000 low-income homes through Recovery Act investments,
    and why we remain committed to a series of policies that increase
    efficiency across sectors – including a HOMESTAR program to help
    homeowners finance retrofits, a “Better Buildings Initiative” to make
    commercial facilities 20 percent more efficient by 2020, and steps to
    promote industrial energy efficiency.
  • Staying on the Cutting Edge through Clean Energy Research and Development:  Through
    the Advanced Research Project Agency-Energy (ARPA-E) program, we have
    invested in over 100 cutting-edge projects in areas ranging from smart
    grid technology, to carbon capture, to battery technology for electric
    vehicles. Past Budgets funded three “Energy Innovation Hubs” that
    explore building efficiency, fuel from sunlight, and nuclear reactor
    modeling and simulation.  The FY 2012 Budget request more than doubles
    funding for ARPA-E and doubles the number of Hubs to include new Hubs
    that will advance smart grid technology, critical materials research, as
    well as batteries and energy storage.