Showing posts with label oil shale. Show all posts
Showing posts with label oil shale. Show all posts

March 24, 2008

Environmental Lies Multiply Themselves - Crying Wolf

Today, the Rocky Mountain News is reporting on Bill Ritter's written objections to the BLM trying to follow the law and lease 360,000 acres of oil shale land by 2007 (this being 2008).
Comments from [ Bill }Ritter and various state agencies covered 60 pages and echoed some of the concerns expressed over the past year by environmental groups, water utilities and Western Slope local governments. They fear oil shale production will require vast amounts of water - equal to what the Denver region uses in a year - and the electricity of as many as 10 large coal-burning power plants.

While we have no idea where the Rocky or Bill Ritter got the water use estimate, but we do know where the ten coal burning power plant estimate came from.

Not long ago we wrote a critical review about a paper by Mark Udall's brother Randy that we found to be full of obviously false arguments. We called the piece "We've decided it is in the DNA" refering to the whole Udall family's record of lying about the environment.

After deciphering the intent of Randy's plea that the gas produced by the in situ process be shipped away so that he could argue that there would be a need for ten coal fired plants we wrote:
Randy Udall admits in this single paragraph that one third of the energy production of the Shell Oil process will be in the form of natural gas. Then he goes on to pretend that the natural gas produced by the process can't be used, and that instead, much less efficient coal electrical plants must be used.

This makes about as much sense as requiring the residents of the island of Kauai, Hawaii, which gets more annual rainfall than any other location in the United States, to rely on desalinization for their drinking water.

This isn't a silly argument. It is an inane argument. Unfortunately, many of today's environmentalist's arguments are just that-inane.

Now Randy Udall's on-its-face false argument has reportedly made it into a formal state input to the BLM. We are not well served when Bill Ritter and his band of merry environmentalists are caught red handed crying wolf. There should be red faces in Denver.

March 22, 2008

It Begins Again, This Time Oil Shale

Bill Ritter doesn't want BLM to approve oil shale leases. The Grand Junction Sentinel reports:
Gov. Bill Ritter encouraged the Bureau of Land Management on Thursday to hold off on allowing commercial oil shale development in northwest Colorado, citing the “serious risk” of “tremendous adverse impacts” on the state’s water, wildlife and public lands.

In a letter to the BLM, Ritter said the federal government should wait until private companies can develop safe and efficient ways to develop commercial oil shale prior to permitting commercial development on federal land.

“It is premature for the BLM to make any decisions that allocate federal land to a commercial leasing program through its resource management plans or otherwise,” Ritter said...

Ritter called the BLM’s preferred scenario “misguided and unacceptable.”

It is estimated that each acre of oil shale land will produce one million barrels of oil or oil equivalent. At current prices of $110/barrel, that is $110 million that doesn't have to be sent to Iran and Venezuela. It is also about $5 million in severance taxes, and perhaps $11 million if the taxes are raised to 10% as some are proposing.

More to the point, the development of these lands will slow the rise in the price of oil and the rise of the price of gas at the pump.

What Bill Ritter is promoting is probably great short term politics, but it is terrible policy. It is bad for the taxpayer because he will want to replace those taxes. It is bad for the consumer because it helps create and prolong a shortage. It is bad for the economy. It is bad for Colorado.