by Craig Richardson, E&E Legal President
As Appearing in InsideSources.com
America is vulnerable and exposed. Despite increased production, the United States has yet to achieve the level of energy independence adequate for national security or consumer protection.
Today’s headlines are full of examples.
When Iran captures vessels in international waters, it sends shockwaves reverberating through the global energy market. Another example is Venezuela, where descent into political chaos may lead to the exit of American producers — with China and Russia being the potential beneficiaries. A more extreme example occurred when oil prices quadrupled following the 1973 OPEC embargo of oil exports to the United States.
Geopolitical upheaval makes the global energy marketplace nervous. Uncertainty translates into higher prices. And even though the United States is producing a greater portion of the energy that we use in comparison with just a few years ago, geopolitical events can still hit American motorists at the gas pump, as we saw earlier this summer.