US state governments must work together to protect the nation's energy infrastructure from attack, urges the new chairman of the Interstate Oil and Gas Compact Commission.
Arkansas Gov. Mike Huckabee made the comment after being installed as IOGCC chairman at the group's annual meeting last month in Santa Fe, NM. IOGCC represents the governors of oil and natural gas producing states.
Twin security threat
"The security and integrity of our energy industry are imperiled by two threats-the physical threat represented by the terrorists of Sept. 11 and the economic threat of the present recession," Huckabee said. "Either threat alone could be sufficient to cause grave damage to our nation's economy. Unfortunately, though, they have combined."
Huckabee pointed out that protecting the US energy industry against both threats is vital to the country's economic health.
"The oil and gas that our states produce is the fuel that drives our economy. Economic growth in the late 1990s averaged more than 4%/year-an astonishing rate of growth that was largely made possible by the availability of affordable energy supplies. We simply cannot have an economic recovery without a strong energy industry."
Since 1995, the IOGCC has encouraged lawmakers to adopt a sensible national energy policy, he noted, and this year, the administration of President George Bush has proposed a policy that is "very agreeable" to the IOGCC's positions, Huckabee said. But the battle has not yet been won, he added.
Signs of trouble
The new chairman noted that signs of trouble existed before Sept. 11, listing these key concerns:
- The US currently imports 56% of its oil, a number expected to grow to more than 62% by 2020.
- The US Energy Information Administration predicts total US energy consumption over the next 20 years will increase by 32%.
- The nation's petroleum infrastructure is reaching its limits, although no new refineries have been built in 20 years.
"If a terrorist were to successfully shut down one of our refineries, our vast transportation system could grind to a halt as [gasoline] shortages drive up prices," Huckabee said. "With transportation costs going up, retailers would have an increasingly difficult time obtaining products to stock their shelves. And with no way to ship the products, manufacturers would be forced to cut back on production.
"As the damage from such an attack rippled through the economy, thousands of Americans would be economically devastated. An attack on natural gas pipelines could mean that thousands of families would face winter with no heat in their homesellipse And how could we expect gas producers to increase their production without the necessary transmission capability to carry their product to consumers?"
Huckabee called for states to coordinate efforts to protect and expand petroleum production to lessen dependence on foreign oil and promote a boost to the US economy. He also encouraged state regulatory agencies and industry groups to heighten educational efforts to help Americans understand the importance of energy to the future of the US.
Huckabee succeeded Alaska Gov. Tony Knowles, who served two terms as IOGCC chairman.
