Overview of Energy in the USA

1. Overview of Energy in the USA With your host: Paul Smith Two-time Congressional Candidate for Congress.

2. Co-Owner of the SmithHeggumReport.com • WWW.SmithHeggumReport.com • Consulted by TV stations and Radio stations across the country during the Fukishima disaster • Consulted on the War Powers Act for interviews • Civilian Advisor to the BRC on Nuclear Energy

3. Where are we in the U.S. in Energy • Solar • Nuclear • Oil and Natural Gas • Wind • Ethanol • Others

4. What is our National Energy Plan? • Do we have the right guys in Government? • 911 commission report • Shuttle disaster report • Three Mile Island • We no longer have the luxury of relying on politicians and appointees to adequately understand the energy issues.

5. China • China is currently constructing about 22 nuclear plants and unknown amount of coal generation plants (up to 100).  The have stated goals to add 200 of each in less than 30 years.  Why?  China has a committee that is in charge of growth.  They have determined they will need power to grow the economy.

6. Canada • 20,000+ oil industry construction jobs are being thrown under Obama’s 2012 campaign bus, largely because the president needs to pump up his sagging support among the environmentalists. • This is in addition to more than 150,000 oil and coal related jobs Obama has already cost the U.S. economy. • The construction jobs, and the revenue from operating the Keystone XL pipeline, will now go to Canadian workers.

7. Canada • That’s because Canadian government officials are already moving to instead build the pipeline from Alberta’s oil fields to new West Coast ports near Vancouver. The likely destination point is the port of Kitimat in British Columbia. • Obama will delay for a study of an alternative route for the Keystone pipeline, even though an earlier U.S. Department of State study had already concluded the proposed route is the best of several alternatives. The new study will delay any final approval two years and until after the 2012 election, allowing Obama to boost his support among environmentalist groups and activists.

8. U.S. • But the delay will kill any U.S. segment of the pipeline, because the decision will spur the development of the pipeline through Canada instead. • The job-killing decision was panned by GOP legislators and business groups. • “More than 20,000 new American jobs have just been sacrificed in the name of political expediency,” said a statement from Ohio Rep. John Boehner, the Speaker of the House of Representatives.

9. Obama • “This is clearly a political decision and everyone knows it… Politics has trumped jobs in this decision as Obama’s stalling will enable Canada to turn their pipeline west and ship their energy and American jobs elsewhere,” said statement from the U.S. Chamber of Commerce. • The oil that would be pumped through the Keystone XL pipeline would make gas cheaper for American drivers, but worsen the competitiveness of Obama’s pet green-tech companies.

10. Keystone

11. Who is buying Natural Gas? • China and Vladimir Putin • Plants, leases and land all over the world • Why? • What is the U.S. doing? • Investing our future in corn, solar and wind • Who must change the thinking?

12. LNG • Liquefied Natural Gas. • Cooled to a minus 260 degrees Fahrenheit. • Takes up 1/600th of the space • Safe and does not harm the ozone layer. • Let’s take a look at it. What is Fracking? http://youtu.be/lB3FOJjpy7s

13. LNG Is it safe? • Watch the demo • http://www.lngfacts.org/ • Issues • Fueling stations • National energy policy • Environmental damages/challenges

14. LNG • Aldyl-A plastic pipe that was laid pre-1973 • Cracking and turns brittle • We cannot safely guarantee delivery of enough natural gas in our cities at this time • Without spending billions to lay down new pipe.

15. LNG • PG&E is replacing 1,231 miles of defective pipe. Legislation is being proposed. • Pipe failed in the Aug 31st explosion in Cupertino and the Sept 27th rupture in Roseville • What has this admin spent money on? • Solar and wind. End.

16. LNG • Just in the sewer replacement in Sacramento it will take 635 years to replace the underground pipes • But what are the politicians working on? • No long term planning or concern • Time to change that!

17. Oil • $600 million of the countries wealth is transferred per day to the Middle East to buy oil • Jones Act: Costs the U.S. 30% more for imported oil. • Leases vs. permits. • Where is most of the oil?

18. Oil • The flow of petrodollars from the US has also decimated the US foreign policy in those countries as it relates to human rights, the war on terrorism and nuclear issues. Here is a quote from Condoleezza Rice testifying at the Senate Foreign Relations Committee. “We have to do something about the energy problem.  I can tell you that energy is…warping diplomacy around the world.  It has given extraordinary power to some states that are using that power in not very good ways.”

19. Bakken Oil Resrves • 8 times as much oil as Saudi Arabia18 times as much oil as Iraq21 times as much oil as Kuwait22 times as much oil as Iran500 times as much oil as Yemen

21. Bakken Oil Fields • Recent technological breakthroughs has opened up the Bakken's massive reserves. • We now have access of up to 500 billion barrels. And because this is light, sweet oil… • Those billions of barrels will cost Americans just $16 PER BARREL! • That's enough crude to fully fuel the American economy for 2041 years straight.

22. Oil • Platforms • Slant drilling • Jobs • Politics • Lands Commission • More politics

23. Oil • The petroleum industry is responsible for 332,968 jobs in California that generate $17 billion in wages and salaries.  That’s a huge contribution to a state that has been losing its manufacturing and industrial employment base and that currently has an unemployment rate of 11.8 percent.

24. Oil • For every job created by an oil company or other business directly associated with petroleum, another 2.5 indirect jobs are created in the economy. • This multiplier effect is especially pronounced in the refining and oil production areas.  For every direct refinery job in California, another nine jobs are created.  For every job in California’s oil and gas production fields, another 5.4 jobs are created.

25. Oil • In addition to the jobs and labor income generated by the petroleum industry, the study also looked at the industry’s contribution to state, local and federal governments through taxes and fees.  Oil and natural gas companies provided $5.7 billion in taxes and fees to the state of California in 2009 – the last year for which publicly available data is available.  Another $2.8 billion in taxes were sent to the federal government.

26. Oil

27. Oil • We now refine less oil today then we did 30 years ago. • If we started drilling for oil here, we would have to send it out to Mexico and Canada to get it refined. • Why?

28. Oil • Of California sits approved lease that would support 54 oil platforms. • Cost of $1 billion a platform • Currently made in S. Korea • Estimated jobs 100,000 • Estimated revenue to the State of Ca. • $22 billion a year.

29. Oil • 97% of the U.S. transportation requires oil.  That drives about 220 million cars and trucks annually here.  • After about 10 miles out to sea, you can’t see a platform • What is slant drilling? http://youtu.be/xwAwh1QN-wQ • Go out 8 miles

30. Oil • Cuba plans to build a deep-water rig and drill for oil in its sovereign waters 50 miles off the Florida coast. None of the oil would flow into our country, although the United States would endure any environmental damage caused by a spill. • Right now, an enormous oil rig, manufactured in China, is enroute to its approximate location---halfway between Key West, Florida and the shores of communist Cuba. Drilling could begin as early as December

31. Oil

32. Alaskan Pipeline

33. ANWR

34. ANWR

35. ANWR

36. How much Oil? • 700k barrels a day • Down from 2.2 million • Pipeline in danger of clogs and corrosion • Dismantled by law • Obama complicit with the Greens • How? Permits

37. What oil? • To the west 23 million acre National Petroleum Reserve 15 billion Barrels • ANWR 16 billion barrels • To the North the Beaufort and Chukchi Seas 30 billion barrels • Takes about 35 permits to drill. • Enviro’s sue on every one • Oil Co. give up.

38. Enviro’s Concern

39. ANWR Winter

40. Terrible for Bears

41. ANWR Summertime

42. The 2,000 Acre

43. Ethanol

44. What you are not being told • Co2 Exemption • Water issues • Gas requirements • Fertilizer • Leaching • Octane levels • Sugar Cane

45. SOLAR • "We have incurred significant net losses since our inception, including a net loss of $114.1 million in 2007, $232.1 million in 2008 and $119.8 million in the first nine months of fiscal 2009, and we had an accumulated deficit of $505 million at Oct. 3, 2009," the company said in a December 2009 filing to the SEC. "We expect to continue to incur significant operating and net losses and negative cash flow from operations for the foreseeable future."

46. Solyndra • $535 million loss • Blamed lower cost China • Blamed Europe’s end to subsidizing solar and caused less orders to the company • Business plan never factored in making a profit

47. SOLAR • The U.S. Bureau of Land Management, which is in charge of making sure land is developed for wind, solar and geo-thermal energy development, ordered the construction of a solar plant halted just outside the Mojave National Preserve.  Environmentalist complained and federal officials determined,  that 162 adult tortoises would have to be moved, and 700 juvenile tortoises would die during construction on a 5 -acre parcel.

48. SOLAR • Secretary of the Interior  Ken Salazar announced plans to blanket 1,000 square miles of land in Arizona, New Mexico, California, Colorado, and Utah with solar collectors.  • one million megawatt hours power 90,000 homes.

49. Solar Map

50. SOLAR • For 1,000 square miles!  • It will generate a paltry 35, 000 megawatts of electricity and only during the day. • Or power a total of 3,000 homes