Steeple
2012-01-27 11:07:26
Sam, I have to disagree. We generate virtually no power in the US from oil. It comes from coal (declining), nat gas ( increasing) and nuclear ( stable) with small contributions from hydro and renewables. Even if we shifted natural gas price to $6/mmbtu from its current level of sub $3, this would be the equivalent of sub $40/barrel crude oil. An economic savings but more importantly a strategic shift as it takes revenues away from unfriendly oil producing countries (I omit Canada and Mexico from that category). The price of gas and coal may rise, but oil price would likely come down as oil finally faces economic competition finally from other hydrocarbons and even perhaps renewables some day.
