ENERGYTOMORROW RADIO - EPISODE 20
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PODCAST SUMMARY
Join API’s Jane Van Ryan and author, lawyer, economist and actor Ben Stein for a discussion on the importance of having a strong American energy industry. Ben, a columnist at The American Spectator and The New York Times business section, explains the importance of oil and natural gas to society. Ben debunks many of the myths and misperceptions about the industry and reminds Americans that we should be all on the same team working towards a secure energy future.
SHOW NOTES
00:12 Jane Van Ryan welcomes today’s guest, author, lawyer, economist and actor Ben Stein for a discussion of his thoughts on the importance of the oil and natural gas industry to America’s economy.
00:40 How important are oil and natural gas to our way of life?
00:50 Oil and natural gas are the lifeblood of our society. They power our industry, heat and cool our homes, and power transportation. It is similar to asking how important a heartbeat is to life.
02:15 A great deal of effort from many people goes into the recovery and production of energy that provides us with the convenience of flipping a switch to light, heat and cool our homes.
03:00 How important will oil and natural gas be in the future?
03:10 Recently, there has been a great deal of talk about alternatives, and while they will play a part in supplying future energy, they will only meet a miniscule amount of demand for many years. Oil and natural gas will be the bedrock of our society and all industrialized societies for the foreseeable future.
03:50 Our goal should be to increase supplies and stop criticizing those who are bringing it to us.
04:25 Many people are uncomfortable with the fact that society is dependent on foreign sources of oil and believe that we should become energy independent. What are your thoughts on that?
04:30 Energy independence is a nice idea, but it is not feasible. America has finite supplies of accessible oil and natural gas. Increased demand means that we will need to import from foreign sources. In most cases, these countries are not harming us—they accept American dollars and often reinvest in American companies.
05:30 Even Saudi Arabia imports oil from foreign sources; no nation is truly energy independent.
06:10 Should more American sources of oil be opened up to drilling?
06:20 It is incredibly important that we access as much American oil as possible. Protecting the environment is important, but that must be weighed against its relative impact on human lives.
07:15 Why have oil prices risen in recent months?
07:30 Much of the increase in price is directly related to the increase in demand from developing countries. Eighty percent of the total increase in demand has come from developing countries in Asia.
08:15 Oil is valuable because it is a “miracle fuel.” Per unit of weight and volume, it provides an incredible amount of energy.
09:00 Many people believe that companies that produce oil and natural gas are too big and earn too much money. What is your response to that?
09:07 U.S. oil companies are very small compared with nationalized oil companies in other countries. The problem may actually be that American oil companies are too small. Oil companies do make large monetary profits, but they make less on a percentage basis than many other industries.
11:10 Why do so many people demonize oil companies?
11:20 Some people believe there is a conspiracy to set prices, which is simply not true. Prices are based on fluctuations in international markets. Politicians often demonize the companies because they need targets to offset blame. Finally it is human nature to dislike things we are dependent on.
12:57 API recently conducted a survey on Americans’ misperceptions about the energy industry. How should we help more people understand America’s energy challenges?
15:30 If you were running for President, what would you tell voters about energy policy?
15:40 People should conserve energy -- it is not an infinite resource and it is important to avoid being wasteful. Additionally, we must avoid punishing “the goose that lays the golden egg.” Oil companies provide us with a valuable resource; we are all on the same team working towards a secure energy future.