So, as gas prices in the rest of America head for $5 a gallon, it’s interesting to look at the news.
Especially in Colorado, where gas prices are second-lowest in the country, apparently because we’ve already got a pipeline to North Dakota and Alberta, and natural gas prices are plummeting because we’ve got immense in-state production assisted by a governor who, while a Democrat, is also a geologist and has come down very much on the side of fracking.
“Obviously, what we want to do is to get gas prices as low as we can, as quickly as we can, but the most important thing in order to do that is to reduce our demand on oil,” Obama told WFTV. ….
As for Republicans calling for increased drilling, the president said they are not telling the truth.
“The issue here is not that we’re not drilling enough. The problem is we only have 2 percent of the world’s oil reserves and we use 20 percent of the world’s oil,” he said.
Now, at the same time, he’s pushing various “green” initiatives which he says will help with oil prices by reducing the demand for foreign oil. And now, he’s planning to release oil from the strategic oil reserve to keep prices down.
So, if I’ve got this right, cutting demand will bring down prices, but adding supply won’t, and drilling or building pipelines to add more production won’t help, but taking oil out of the strategic oil reserve will.
You know, I just don’t think I’ve got the high-level approach.