Uncategorized — March 22, 2012 at 1:05 pm

Think more domestic drilling will lower gas prices? It won’t. Here is proof.


Let’s get something straight…

As President Obama continues on his trek across the country promoting his “All of the above” strategy to our nation’s energy needs, the Associated Press just put out a piece soundly debunking the absurd lie that more domestic drilling is the answer to lower gas prices, something heard 24-7 from the GOP primary candidates.

It’s the political cure-all for high gas prices: Drill here, drill now. But more U.S. drilling has not changed how deeply the gas pump drills into your wallet, math and history show.

A statistical analysis of 36 years of monthly, inflation-adjusted gasoline prices and U.S. domestic oil production by The Associated Press shows no statistical correlation between how much oil comes out of U.S. wells and the price at the pump.

If more domestic oil drilling worked as politicians say, you’d now be paying about $2 a gallon for gasoline. Instead, you’re paying the highest prices ever for March.

Political rhetoric about the blame over gas prices and the power to change them , whether Republican claims now or Democrats’ charges four years ago , is not supported by cold, hard figures. And that’s especially true about oil drilling in the U.S. More oil production in the United States does not mean consistently lower prices at the pump.

Here’s the bit that confirms what I’ve been saying for several years now:

U.S. oil production is back to the same level it was in March 2003, when gas cost $2.10 per gallon when adjusted for inflation. But that’s not what prices are now.

That’s because oil is a global commodity and U.S. production has only a tiny influence on supply. Factors far beyond the control of a nation or a president dictate the price of gasoline.

So, Newt, Mitt, & Rick, put that in your pipe and smoke it. Just don’t do it near one of the thousands of new oil wells opened up since Barack Obama took office. That’s a 358% increase, kids.

[Image credit: Sierra Club]