{"id":3421,"date":"2022-06-08T00:00:00","date_gmt":"2022-06-08T00:00:00","guid":{"rendered":"http:\/\/www-prod.greenpeace.org\/usa\/campaign-updates\/3421\/more-drilling-hasnt-protected-us-from-high-gasoline-prices-heres-what-will\/"},"modified":"2024-12-10T13:12:14","modified_gmt":"2024-12-10T13:12:14","slug":"more-drilling-hasnt-protected-us-from-high-gasoline-prices-heres-what-will","status":"publish","type":"post","link":"https:\/\/www.greenpeace.org\/usa\/more-drilling-hasnt-protected-us-from-high-gasoline-prices-heres-what-will\/","title":{"rendered":"More Drilling Hasn\u2019t Protected Us From High Gasoline Prices. Here\u2019s What Will."},"content":{"rendered":"

What will protect us from high gas prices, reliance of fossil fuels, and the stalling of our government? Renewable energy is the answer!<\/span><\/p>\n

Way, way back in the summer of 2008, Barack Obama was battling John McCain for the Presidency \u2013 and <\/span>gas prices were soaring<\/span><\/a>. McCain\u2019s running mate, Alaska Governor Sarah Palin, had a plan to bring down prices \u2013 \u201c<\/span>Drill Baby Drill<\/span><\/a>.\u201d The idea was that <\/span>the U.S. should boost our domestic oil and gas drilling<\/span><\/a> and that would both lower prices and make us less dependent on \u201cforeign oil<\/strong>.\u201d<\/span><\/p>\n

\"Oil<\/p>\n

Greenpeace US activists hold up a sign with the profits for oil companies.
A report by Greenpeace US, Global Witness and Oil Change International projects that oil and gas companies could make tens of billions in additional profits while we see skyrocketing gas prices around the country. Oil prices have been rising to near-record levels due to Russia’s ongoing war in Ukraine.<\/p>\n<\/div>\n

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John McCain lost that election, but the weird thing is that we basically went with the \u201cPalin Plan\u201d anyway. Since 2008, oil and gas production in the U.S. has boomed thanks to new technology such as horizontal drilling and hydraulic fracturing (fracking). We are now producing over <\/span>twice as much crude oil<\/span><\/a> and about <\/span>70% more natural gas<\/span><\/a> than in 2008, and in 2019 the United States finally achieved that favorite buzzword of politicians \u2013 \u201c<\/span>energy independence<\/span><\/a>.\u201d<\/span><\/p>\n

But if that\u2019s true then why are gasoline prices sky high yet again? What happened, Sarah? It\u2019s a complex question, but part of the answer has to do with <\/span>exports<\/span>.<\/span><\/p>\n

 <\/p>\n

Energy Independence Is For Rich Corporations\u2026 Not Ordinary People<\/b><\/p>\n

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The first thing to know is that living in an area that produces a lot of oil and gas does not mean that we get a discount on high prices at the pump. Crude oil is traded all around the world and the price is set by the global market. So when Russia invaded Ukraine and many countries responded by refusing to import Russian oil, that sent a price shock through the oil market, directly leading to $6 per gallon gasoline here in the U.S.<\/span><\/p>\n

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Crucially, our \u201cenergy independence\u201d did nothing to shield ordinary folks from this shock. Crude prices went up here, same as everywhere, because crude markets are linked. If a local U.S. driller can get a higher price by exporting their oil and selling it overseas, they\u2019re going to take it. In a corporate-dominated market system, the oil <\/span>always<\/span><\/i> flows where it will generate the biggest profits. Currently oil companies are enjoying high profits and they are <\/span>not able or willing to rapidly increase production<\/span><\/a>. Even if they did boost production, that added U.S. oil would only be a \u201c<\/span>proverbial drop in the bucket in the 100-million-barrel-per-day global oil market<\/span><\/a>.\u201d<\/span><\/p>\n

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Politicians like to pretend that more drilling will lower gasoline prices, but that\u2019s just not how it works.<\/span><\/p>\n

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.@TheBlaze<\/a>: Ted Cruz calls for American energy independence in proposed legislation
https:\/\/t.co\/AYpgJHQRMl<\/a><\/p>\n

— Senator Ted Cruz (@SenTedCruz) March 7, 2022<\/a><\/p>\n<\/blockquote>\n