Jane Van Ryan
Posted July 9, 2009
There's a lot of energy-related news today. I thought I would share some of the headlines with you.
Recently, oil prices have traded in the $60 a barrel range. The global price of oil has fallen sharply over the past seven trading days after reaching $73 a barrel last week. Gasoline prices have tracked oil prices for decades. Read more about gasoline and crude oil prices.
API's weekly statistical report about oil demand and supply showed that while gasoline demand rose slightly just before the July 4th holiday as Americans prepared for holiday travel, inventories of gasoline and diesel have remained at very high levels. According to external analysts, the unusually large inventories signal that the recession still has a firm grip on the economy.
According to The Wall Street Journal today, several wind and solar projects in the United States have been cut back or shelved due to lower natural gas prices. The article indicates that these renewable forms of energy are having difficulty competing in the marketplace because natural gas futures on the New York Mercantile Exchange have fallen 72 percent from a year ago.
In other news, Governor Dave Freudenthal, a democrat from Wyoming, has decided to join the state's congressional delegation in opposing a bill to regulate carbon emissions, according to Associated Press. Referring to the Waxman-Markey bill that recently passed the U.S. House of Representatives, Gov. Freudenthal said yesterday that the bill should recognize that fossil fuels, including oil and coal, will continue to provide much of the nation's energy for many years into the future. Take a look at the government's projections of U.S. energy consumption to 2030 (slide 26 of this Scribd document).
And finally, the campaign season is in full swing in Virginia, one of only two states that will elect a governor this year. On July 4th, candidates for several offices appeared in Commonwealth parades along with bands, fire trucks and floats. Here is a photo of a display created by residents who support offshore drilling in Virginia waters, where very significant deposits of oil and natural gas are believed to exist.
A hat tip to Steve in Shenandoah County for the photo!
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