Energy
Finding solutions for short and long-term needs
Outer Continental Shelf Drilling
Following the 2010 BP oil spill in the Gulf of Mexico, many questions about safety were asked regarding the future of offshore oil and gas production. The resulting investigations into this accident and the safety precautions that the federal government put in place have given us some of these answers. I was actively involved in pressing the Administration to increase both the shallow water and deep water offshore drilling, having stressed the importance of safe offshore energy production to our Nation’s energy security and our Gulf Coast economy.
Following the Macondo spill, our office worked in a bipartisan fashion to see both the shallow and deep-water drilling moratorium lifted. We continue to press upon the Administration the importance of our offshore resources. It is critical to our area that the entire industry is able to continue production. I will continue to work with my colleagues in the House and the Administration to ensure the safety of our offshore production and resolve any lingering permitting issues.
The Keystone XL Pipeline
In 2008, Canadian pipeline company TransCanada filed an application with the U.S. Department of State to build the Keystone XL pipeline, which would transport crude oil from the oil sands region of Alberta, Canada, to refineries on the U.S. Gulf Coast. Since it would connect the United States with a foreign country, the pipeline requires a Presidential Permit from the State Department. In granting or denying a permit application, the State Department and President must determine whether the proposal is in the “national interest.” This project will create thousands of domestic jobs, raise local revenue, improve America’s energy independence from hostile foreign nations, and ensure a more consistent energy supply.
Keystone XL would have the capacity to transport an additional 830,000 barrels per day, delivering crude oil to market hubs in Oklahoma and Texas. There are already 15 refineries within Keystone XL’s proposed delivery area in Texas that currently process heavy crude oil from nations like Venezuela, Mexico, and elsewhere, which is similar in composition to the oil that the Keystone XL pipeline would carry.
The Keystone XL Pipeline would link secure and growing supplies of Canadian crude oil with the largest refining markets in the United States, including the Houston Ship Channel, which would significantly improve North American energy security and supply. In the State Department’s Draft Environmental Impact Statement for the project, the State Department found that the Keystone XL pipeline “would counteract insufficient domestic crude oil supply while reducing U.S. dependence on less reliable foreign oil sources.” According to the Department of Energy’s Energy Information Administration (EIA), the Keystone XL could directly offset up to 900,000 barrels per day that the U.S. currently imports from Venezuela and offset 20% of current imports from nations in the Organization of Petroleum Exporting Countries (OPEC) like Venezuela and Iran (data from the EIA).
Among the most important benefits, the Keystone XL Pipeline would help our economy by creating thousands of high-wage manufacturing and construction jobs across the U.S. The construction industry has been one of the hardest hit in the last three years so this project comes at a time when these jobs are needed most.
For more information on the status of the Keystone Pipeline, please visit: www.keystonepipeline.state.gov/clientsite/keystone.nsf