ENERGY AND OIL SUPPLY 

Energy and Oil Supply

Drilling for oil in the Arctic National Wildlife Refuge will not end America's dependence on Persian Gulf or other oil imports. At peak production in 2026, oil from the Arctic Refuge would only still account for just 8/10 of one percent of world production per year, and only 3 percent of U.S. oil consumption. Even then, gas prices would only be affected by one penny.

According to the Energy Information Agency (EIA) in a report released in March, 2004:

"It is expected that the price of ANWR coastal plain production might reduce world oil prices by as much as 30 to 50 cents per barrel... Assuming that world oil markets continue to work as they do today, the OPEC could countermand any potential price impact of ANWR coastal plain production by reducing its exports by an equal amount."

The United States has only 3% of the world's oil reserves, yet consumes 25% of the world's oil production. There is simply no way to drill our way to "energy independence". Since the energy crisis of the 1970's when 70 percent of imported oil came from OPEC countries, we have diversified our oil sources. Today, more crude oil is imported from Canada and Mexico than from the Persian Gulf.

The EIA estimates that almost 60% of energy burned in the United States is wasted. By becoming more fuel efficient, the U.S. could eliminate the need to import oil from unstable regions of the world. A sound, comprehensive energy policy for the U.S. would invest heavily in renewable energy and energy efficiency technology to produce safe, clean energy and good, high-paying jobs.

Read the National Security and the Arctic Refuge fact sheet for more information, as well as the Arctic Refuge Drilling and Gas Prices: Drilling Nets About A Penny Per Gallon 20 Years From Now fact sheet.