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Politics : Politics of Energy -- Ignore unavailable to you. Want to Upgrade?

To: RetiredNow who wrote (2068)	8/28/2008 8:58:11 AM
From: Hawkmoon	Respond to of 86356

Oil is a very old industry and it's parameters are well mapped out. Alternatives are a new industry and needs to be incubated to make sure it reaches lift off. When it comes to oil exploration, old and established does not mean secure. In case you hadn't notices, all the big "giants" have been drilled and depleted here in the US. The only ones remaining seem to be offshore, and outside of US jurisdiction. Thus, the easy money is gone and now it's much more difficult AND RISKY to explore for smaller deposits. And that extra risk provides a DISINCENTIVE for oil companies to take that risk when they can just play the commodities markets and become an oil trading operation. They won't even be the same with regard to distribution, since many are selling their network of service stations. The "parameters" might be better mapped out than with Alt-Energy, but that doesn't mean that government "incentives" are not just as justified for the purpose of motivating the oil industry to take on that additional risk for finding domestic deposits, and bringing them into productivity. Bottom line, there is still oil here in the US, but it's just more expensive to find and extract. But the benefits to energy independence and economic security justify the subsidization of oil companies to find and bring them online. Hawk

To: RetiredNow who wrote (2068)	8/28/2008 10:30:23 AM
From: Road Walker	Read Replies (1) \| Respond to of 86356

re: You say drilling for oil is like incubating a new industry and that is absolutely false.