WATCHING WASHINGTON DOE'S OIL INITIATIVES

The Department of Energy is proposing a variety of oil conservation and production measures to soften the effect of lost supplies in the wake of Iraq's invasion of Kuwait.

Energy Sec. James Watkins said the measures could replace 400,000 b/d of imported oil within 90 days and 550,000 b/d by early next year-nearly the volume of oil the U.S. was importing from Iraq and Kuwait.

WHAT'S BEING DONE

Watkins said Alaskan North Slope operators have agreed to increase production by 50,000 b/d immediately and another 90,000 b/d early in 1991 when an expansion is complete.

DOE also will try to mediate the longstanding problems between Chevron Corp. and California officials which have kept Point Arguello offshore oil field shut in. Watkins said if the dispute can be resolved quickly, 75,000 b/d could go on stream immediately and 100,000 b/d eventually.

For its part, DOE will increase production by 5,000 b/d at the Elk Hills field Naval Petroleum Reserve in southern California.

And it will ask states that have production allowables to relax them, permitting another 30,000 b/d of production. It will encourage independent operators to increase oil production.

DOE will work with the Federal Energy Regulatory Commission to facilitate pipeline shipments of natural gas. They also will seek ways to make it easier for plants that burn fuel oil to switch to gas, saving about 100,000 b/d of oil.

On the conservation side, DOE will switch to gasohol-10% alcohol and 90% gasoline-in all of its vehicles and will ask other federal agencies to do the same.

It plans a campaign to get motorists to check their auto tire pressures, which would improve auto mileage and save 100,000 b/d of oil. Surveys show that half of automobile tires are under inflated.

DOE said stricter observance of speed limits would save 50,000 b/d of oil, and if two-car families drove their car with the best gas mileage whenever possible, 40,000 b/d could be saved, DOE also will promote the increased use of car pools.

Watkins said DOE is working on other ideas and hopes to propose some soon. None will be so far reaching they require congressional approval or legislation.

DOE is not considering anything too controversial, such as mandating conservation or pushing immediately for exploration on the Coastal Plain of the Arctic National Refuge in Alaska.

IF WE HAD AN NES...

A DOE spokesman said the proposals bring into focus what a National Energy Strategy would do for the country. DOE is working on a draft NES, which it plans to complete by yearend.

Some of its initiatives were drawn from proposals that were made to DOE at hearings and in written submissions.

"If we had the strategy in effect, we would know immediately what we could do to increase production, lessen demand, and what the side effects would be," the spokesman said.