Column: Gas prices, energy policy and small business

Published 12:00 am Friday, June 29, 2007

Karen Meyerson, Paths to Peace

We are all suffering from the effects of gas prices hitting another all-time high.The trickle-down effect is enormous. As a small business owner, I can attest that I, as well as my colleagues, are suffering from the fact that many of our customers have little or no disposable cash to spend on &8220;luxuries and extras.&8221; But the current pump prices, though devastating to many of us, is just the tip of the iceberg.

This is a very complex issue, yet a very simple one. Our dependence on foreign oil:

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&8212; Makes us very vulnerable to interruption of our oil supply.

&8212; Has tremendous ramifications for our foreign, military and economic policies.

&8212; Increases our risk of being involved in long-term war.

Ironically, America had the opportunity to reduce its vulnerability after the 1973 Arab oil embargo. At that time we imported 35 percent of our oil compared to more than 60 percent today. But we didn&8217;t then and continue not to have a credible plan to reduce our dependency mainly because of a lack of political will on the part of our government and the American people.

Historically, an energy independence plan has not been a partisan issue. Both Republican and Democratic administrations have had various plans for this. Back in 1975, President Gerald Ford addressed this in his State of the Union speech. He had a 10-year plan to reduce oil imports through nuclear, synthetic, coal and conservation measures. This plan was opposed by liberals and conservatives alike: too expensive, too polluting, too government controlling. When Ford was informed that his energy proposals were angering both Dems and Repubs, his response was &8220;We must have it just right!&8221;

President Jimmy Carter called our energy situation the &8220;moral equivalent of war&8221; but despite his Synthetic Fuels Corp., which was supposed to spearhead research into energy alternatives, little was accomplished. Presidents Ronald Reagan, George H.W. Bush, Bill Clinton and George W. Bush had various proposals to reduce consumption and dependence, none of which have had a substantial impact on oil imports. Here we are 30 years later with prices higher than ever and greater dependence on imported oil.

The invasion and occupation of Iraq is inextricably connected to our dependence on foreign oil. The Bush administration has set several benchmarks for the Iraqi government to accomplish. This includes passage by the Iraqi Parliament of the hydrocarbon law.

This law is a critically important issue as it is about creating a complex legal structure to facilitate the privatization of Iraqi oil. This is a blatant attempt to set the stage for multinational oil companies to take over Iraq&8217;s oil resources.

Iraq sits on 115 billion barrels of proven oil reserves, the third largest in the world behind Saudi Arabia and Canada. In the past, these oil revenues were used to provide education, health care and social services to the Iraqi people. Now Iraq has plummeted into the ranks of the poorest countries of the world.

Economists call this the &8220;resource curse.&8221; Those blessed with nonrenewable resources often benefit the least because a few wealthy people control the resources or war prevents almost anyone from benefiting.

We can not afford both financially and in human lives to continue to throw empty words at this issue while relying on our troops to keep the oil flowing!

This is an issue that we have to address to our political leaders. So far, we have about 20 people with their hats in the ring for the &8217;08 election. Whoever is last standing will have to address this issue as a top priority of their administration. Any credible energy strategy needs to reduce oil consumption and increase other energy supplies. Most importantly these measures need to add up to a significant reduction in imported oil within the next 10 to 20 years.

Despite the complexity of this issue, it is simple and crystal clear. Our lack of an energy policy is a threat to peace and security both at home and abroad. We as a nation must stand up and demand that a sane, workable, ethical and moral energy policy to dramatically reduce our dependence on foreign oil be our top priority.

Karen Meyerson is an Albert Lea Resident. She is a clinical social worker as well as the owner of The Stamp Studio in the Albert Lea Art Center. She is a member of Paths to Peace in Freeborn County.