Is The L.A. Times for Real?

I read a lot of editorials from around the nation each week.  One of my favorite places to find them is at www.realclearpolitics.com.  It provides headlines from across the nation to which you can link.  This morning, one caught my attention from the Los Angeles Times. 

Headline:  Climate Bill is Flawed but Senate Should Approve it.   Huh? 

According to the editorial, we are destined for “mass migration, warfare, famine, disease, infrastructure loss and economic catastrophe”  However, “unmitigated climate change can still be avoided if the U.S. and other industrialized nations act now by putting a price on carbon.”  So that’s all it takes?  Put a price on carbon.   And, here I thought it had to do with all this other stuff like science and conservation and developing and utilizing our energy resources in new ways.  Nope. Just takes a tax. 

Here’s another part I really like.  After describing how the carbon trading market would be “Carefully Regulated.”  It goes on to say, “ in order to drum up support in the Senate, it has been loaded up with counterproductive handouts to utilities, polluting industries and individual senators that would limit its effectiveness and probably lead to a host of unforeseen negative consequences.”

Really?  I have a proposal for the L.A. Times.  Let’s forget the playtime conservation effort recently to “Turn the lights off for an hour.”  If we are going to do it, let’s get after it.  Let’s have a Carbon Free Day.  I propose  July 4 to celebrate our independece from carbon.  On that day, we will shut down all the powerplants.  No driving as that burns carbon.  No cooking or grilling unless it’s over a campfire.  You can’t eat anything you haven’t killed and skinned yourself because we all know that livestock leads to GHG’s (Green House Gasses).  No Air Conditioning. No computers. No mowing the lawn. The phones are out; lights are off. No big screen or radio. No boating…unless it is oar powered and park the  carbon-producing R.V.   Let’s see what it’s really like to reduce those pesky emissions.  

There is more to say but length dictates I quit with two points.  First, putting a tax on it does not solve the problem.  Especially when that tax hits every state but yours.  To be fair, California should then accept a milegage tax for their residents.  Last time I checked, car emissions were a major contributor to GHG.   Second, while no legislation will ever be perfect, we must get past this idea that ”Something” is better than “Nothing.”  Sometimes, nothing is better.  

If you want to read the entire editorial, here is the link:  http://www.latimes.com/news/opinion/editorials/la-ed-climate-20100517,0,4087442.story

Published in: on May 17, 2010 at 2:29 pm  Leave a Comment  

The Bakken Is A World Class Play

Last week, the Governor had a press conference and revised the estimate of recoverable oil up to 4 Billion barrels.  This week, the North Dakota Petroleum Council hosted the 18th Williston Basin Petroleum Conference and Expo. It was at this event today (Monday) that Jim Volker of Whiting Oil and Gas stated that the Bakken is a world class play and investors from across the world are interested.  Wow, it’s not often that you hear that in or about North Dakota.  Yet, here we are and it’s a good place. 

Some interesting facts about development of the petroleum industry in North Dakota.

  • Over the next 5 years, the expected number of wells to be drilled each year…1,200
  • As of this month, it is expected that ND will produce over 300,000 barrels of oil a day.
  • North Dakota is now the 4th largest oil producing state in the nation.
  • The expectation is that this is a 30 to 40 year “play”. 
  • There are 1,200 wells permitted for 2010.
  • The “Fraking” process requires water.  However, the anticipated amount required per year is 1/10 of 1% of the daily flow that goes under the bridge in Bismarck-Mandan.
  • Williston and Williams County need 4,000 to 6,000 new housing unites to accomdate the growth.

If those numbers don’t make your head spin, how about these from Volker of Whiting Oil and Gas:

  • The year, their company expects to spend about $350 million on development of the oil fields in ND.  (That’s Just one Company.)
  • The company paid $35m in severance tax in 2009.  They expect that to grow to $70 to $100m in 2010.
  • In 2009 Whiting paid out $29.1m in royalties in North Dakota.
  • Since January, Whiting has paid 2,334 individual royalty owners $7.5m. 

Does this development come with challenges to infrastructure and housing?  Sure does.  However, when I talk with my friends around that nation, the challenges we face are preferable to any other place.  North Dakota, World Class, A Great Place to Be.

Published in: on May 3, 2010 at 10:19 pm  Leave a Comment  
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