Politics First. Country Second.
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The McCain/Palin slogan of "Country First" has a lot of appeal. However when you listen to what they're actually saying on the stump, it's hard not to think that the slogan should be, "Politics First."
On Thursday in Grand Rapids, Michigan; Palin told a cheering crowd that the oil and gas industry needed to get off the dime and start developing the oil and gas leases they currently hold. Suddenly Palin has begun echoing the cry that Democrats had this summer when they warned oil companies should use it or lose it.
Palin knows her comments are baseless and represent nothing more than yet another political soundbite to voters who don't know any better.
In July, Alaska's senior United States Senator Ted Stevens spoke to a joint session of the Alaska State Legislature. During questions and answers, Stevens was asked by a Democratic State Senator the same question; why aren't these companies drilling on the leases they already hold?
This was our blog entry from July 21, 2008:
State Senator Bill Wielechowski stood and spoke. "I appreciate your comments on delays and litigation. I'm just wondering whats being done on the federal level to encourage the producers to develop the leases that they already own? We've got Point Thomson for example, 30 years we've been waiting. We've got federal leases in NPRA that haven't been developed, we've got federal leases off shore that haven't been developed, those are the producers who aren't developing. 75% of the offshore and onshore leases aren't being developed."
Sen. Stevens abruptly interrupted Wielechowski in a tone that was classic Stevens and then cut loose on him.
"I can tell you right now, if you want to go back and look at them (the leases), litigation is delaying about all of them. Litigation or actions by the states involved in the OCS. We've had one well on our own OCS. Every attempt to drill has been delayed by litigation and they (the producers) finally walk away from it. Those leases onshore on federal lands to a great extent they're tied up in regulations. Someone told me it takes 71 permits to drill a well on federal land. You don't get there in one day or one year. Each one of them almost get to the point a permit is issued, then they're in litigation. So when you look at the leases that aren't developed, look behind that to see what's causing that. Excessive regulations from the bureaus. I dispute what you're saying about those leases", Stevens said.
(Hear Stevens full comments at http://www.ktoo.org/gavel/archive.cfm?audio=13550&request=2D3C5D14B621EA8201F0DD0B4C1E77D7
fast forward to time stamp 29:40.)
The fact is that Palin's own senior senator has debunked the myth about these companies sitting on both onshore and offshore leases. But yet Palin, as she has done with the claim about the bridge to nowhere, continues to parrot a statement that is blatantly untrue.
But, why not? Especially when it gets the crowd cheering because they have no idea about the truth of the matter.
Saturday in Green Bay, Wisconsin at another rally, Palin again offered up one of her consistent mistruths from the stump.
In Alaska, I jump started a $40 billion dollar natural gas pipeline that will provide energy to you right here in Wisconsin, she told the cheering crowd.
Again, blatantly false and she knows this.
The fact is Palin hasn't jump started anything. The only thing she has done is create legislation that will give $500 million in taxpayer money to a Canadian company to push paperwork.
The governor has consistently over sold the pipeline plan she passed through the legislature. Not only is there no guarantee it will be constructed, but the Canadian frim cannot order one piece of steel pipe until the major oil companies agree to pay the cost of the project.
Three days after the legislature passes Palin's plan to give TransCanada the $500 million and special rights, the companies CEO Hal Kvisle was quoted in the Canadian press saying that regardless of the governor's plan, the gas pipeline would not be built until "Exxon is happy."
As those of us who have watched this folly of a gas line strategy for the last year will tell you, Exxon won't be happy until the state sits down to negotiate fiscal terms including gas taxes and royalty agreements. So far, Palin and her gas line team have ignored these requests at the risk of delaying or even killing the project.
And one more thing; she throws around that $40 billion number like it has meaning. Her own administration testified in front of the legislature this summer that they pegged the cost at $31 billion and TransCanada's application to push paperwork quoted $26 billion. Palin's figure of $40 billion is quite an embellishment.
Meanwhile, TransCanada has floated the idea that if the major oil companies balk at paying their construction costs, congress will help underwrite the risk of the project. This certainly doesn't square with Palin's recent comments about being opposed to taxpayer funds being used to help out private companies.
Any claim that Palin makes about being some kind of expert on energy independece, ignores the fact that she has done little to increase domestic supplies of energy in Alaska.
A gas pipeline strategy that won't work while risking delays combined with a massive tax hike on oil production when Alaska's oil production has dropped from 808,000 barrels in 2006 to 755,807 barrels in 2007 shows any claims of being an energy expert are pure politics.
Closer to home, even companies that want to develop their leases are having problems under the Palin administration.
In the fall of 2006 before Palin was elected, former Governor Frank Murkowski moved to revoke leases held by Exxon and their partners in a major gas field on the North Slope. The desire was to get Exxon to move to develop the field.
This spring, Exxon proposed what many including the governor's resource commissioner called a reasonable plan to begin the development of Point Thomson.
Instead of accepting their proposal, the Palin administration refused and proceeded to stomp off to court. Last week, Superior Court Judge Sharon Gleason granted Exxon's motion to appoint a mediator to find a solution after the state refused to engage in settlement talks.
Palin's stump speeches around the country regarding her experience as an energy expert is an incredible fairy tale. The story on the ground here in Alaska is much closer to the truth.
To see the latest ruling by Judge Gleason, click on attachment
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