The Honorable Barack Obama
President of the United States
The White House
1600 Pennsylvania Ave. NW
Washington, DC 20500
Dear President Obama:
One year ago today, Congress acted in bipartisan fashion to lift the moratorium on oil and gas drilling on the Outer Continental Shelf (OCS). This action was overwhelmingly supported by the American people, and it opened the door to the possibility of increased domestic energy production and energy security. However, under your leadership there has been no progress in advancing oil and gas production on our OCS. No exploration plan has been approved, no seismic or environmental work has been conducted, and no new drilling has occurred on the newly-opened OCS areas.
Instead of moving forward, the Administration has taken multiple steps in the wrong direction:
* In February, the Department of Interior delayed for six months the development of the proposed 5-year leasing program for offshore drilling that would have created thousands of new jobs, produced more American-made energy, generated billions in federal revenue, and made us less dependent on foreign oil. This action imposed a de facto ban on drilling in new OCS areas, despite the fact that Congress made its intentions clear when it lifted the ban a year ago.
* Since then, the Department of Interior has given no indication of preparing to open new OCS areas for oil and gas exploration. Secretary Salazar recently said that he is not obligated to prepare a new leasing plan before 2012. Such inaction would push back the implementation of the proposed leasing program by another two years, hurting job creation and our economic and energy security.
* The Administration's FY2010 budget proposed eight separate tax increases specifically targeting domestic oil and gas production, which would increase energy prices for American consumers.
Millions of Americans depend on OCS oil and gas production for their livelihood and every American depends on it for transportation. It is a major source of revenue for the Federal and state governments and a future energy lifeline to the American people. In my state, over 320,000 Louisianans work in the energy industry, generating around $12 billion a year in household income. These are well-paying jobs for welders, pipe fitters, barge workers, and the thousands of people who work in industries that support the energy sector.
According the Minerals Management Service at the Department of Interior, the OCS has estimated reserves of 8.5 billion barrels of oil and 29 trillion cubic feet of natural gas, plus an estimated 86 billion barrels of oil and 420 trillion cubic feet of natural gas in undiscovered resources. Congress and the American people clearly expressed their support for more OCS energy production when the moratorium was lifted. Increasing domestic energy production will lead to economic growth, job creation, and greater energy security. It is essential that the U.S. move forward with OCS energy production as part of an all-of-the-above energy plan.
Sincerely,
Bill Cassidy, MD
Member of Congress