Does a "Clean Energy" disaster loom off our coasts?

[JonC]

Yes. I spent about 30 of those years accounting for the crude oil supply for our two U.S. refineries - pipelines, exchanges, foreign crude oil ships, also some oil lease accounting, and also about 4 years or so accounting for one of the refineries and its activities, as well as a little bit of ethanol plant supply, during our brief foray into that world. The last 4 years were just kind of a hodgepodge of different accounting stuff until I was put out to pasture in late January 2017, when the company had a reduction in office staff.

Cool. Are you now enjoying retirement, or still working as an accountant elsewhere?

 

[KenH]

What I'd like to know is the GDP to debt ratio between both administrations.

 

[Van]

I spent 39 years working in the oil industry, and three summers during college before that. All crude oil is not the same.

Sour crude oil is cheaper than sweet crude oil. Refineries in the U.S. converted years and years ago to being able to refine the sour crude oil because they could make more money in doing so, not because of any "regulatory barrier".

LOL, did anyone say all crude oil is the same in quality? Nope.

Why is our domestic crude oil more expensive that imported oil? Is it really more difficult to pump, or refine or ship? Nope.

And note (see post #42) Mr Trump spent a lot to address the biological attack from China, but once the Covid pandemic abated, the Biden/Harris administration continued to spend needlessly. This helped bring on inflation, together with the foreign wars and their war on energy.

 

[JonC]

View attachment 10041

I knew it took off for covid. I can excuse events.

But before covid Trumo reached a level of debt we hadn't seen since just after WW1.

Looking at the data, it went back up significantly in 2023 (to 123%) and we are about 124% now (economists predict well end around 124.5%).

The bad part is we will end this year where we were during covid.

 

[KenH]

Cool. Are you now enjoying retirement, or still working as an accountant elsewhere?

Well, my wife had health issues and finally died in April 2020. I had just gotten into horse race handicapping and betting before retiring, so that became my hobby after retirement. My house was already paid off and I was already receiving a pension from a company split in 2013(the oil part of the company and the retail side of the company split, and I continued on with the retail side at that point), and the company gave me 9 months of severance pay which took me up to my 62nd birthday in November 2017 when I started receiving Social Security, plus the company had a really nice IRA and then 401(k) program with a generous matching provision, so God has blessed me with being in wonderful financial shape during retirement. Also, I started using a local investment advisor around 2014 who understands what I am looking for in my conservative investment strategy so he handles all of my IRA/401(k) money, and I am very pleased with his services.

 

[JonC]

LOL, did anyone say all crude oil is the same in quality? Nope.

Why is our domestic crude oil more expensive that imported oil? Is it really more difficult to pump, or refine or ship? Nope.

It is not the same oil. @KenH already answered this one (and it's in the link I provided).

The imported oil has a higher sulfur content. The US is equipped to refine the cheaper oil. We do not have the infrastructure to support using domestic oil alone.

 

[Van]

Not than pumping. Importing "sour oil" is cheaper than using domestically produced "sweet oil" in absence of the infrastructure (a pipeline).

From what I have read switching the refining process is not a big deal, but the lack of infrastructure is a big deal.

I'm sure other things factor in (like what we are getting for exporting a low sulfur content oil....and greed....and politics).

But basically we need a pipeline.

So gasoline prices shot up under the Biden/Harris administration because they blew up the domestic distribution system that was adequate under Mr. Trump? I doubt it.

But you are right, we need to rebuild our energy infrastructure, such as the Keystone pipeline, and sufficient domestic refineries to handle all of our crude oil production.

I believe national security requires energy independence.

 

[KenH]

The foreign policy of the Biden/Harris administration resulted in "failure to preclude Russia's invasion of Ukraine and Iran's proxy war on Israel."

Would you have supported the United States government declaring war on Russia to preclude Russia's invasion of Ukraine and declaring war on Iran to preclude Iran's proxy war on Israel?

Blaming the Fed for inflation is the talking point of the Blame-shifter Democrats.

Charging the Federal Reserve with being the primary reason(including monetizing Congress' deficit spending) for the general rise in the level of prices is what people who have a good understanding of macroeconomics do.

 

[KenH]

Why is our domestic crude oil more expensive that imported oil?

Different grades of crude oil - sweet and sour. Sour crude oil is cheaper than sweet crude oil.

 

[Van]

Would you have supported the United States government declaring war on Russia to preclude Russia's invasion of Ukraine and declaring war on Iran to preclude Iran's proxy war on Israel?

Note the effort to change the subject to me. Typical blame shifter on display.

 

[KenH]

So gasoline prices shot up under the Biden/Harris administration because they blew up the domestic distribution system that was adequate under Mr. Trump? I doubt it.

Prices shot up after the worldwide pandemic subsided and people started driving and flying again. Thus, the demand for crude oil went back up(which raises the price of gasoline and fuel oil), and, also, the demand for gasoline and jet fuel went back up. The price of gasoline dropped so much during 2020 because everyone was basically staying at home and not taking vacations and, in general, just not traveling much.

 

[KenH]

sufficient domestic refineries to handle all of our crude oil production.

With the rise of electric vehicles and hybrid, there will be very little economic incentive to build any significant oil refineries in the United States.

 

[Van]

Prices shot up after the worldwide pandemic subsided and people started driving and flying again. Thus, the demand for crude oil went back up(which raises the price of gasoline and fuel oil), and, also, the demand for gasoline and jet fuel went back up. The price of gasoline dropped so much during 2020 because everyone was basically staying at home and not taking vacations and, in general, just not traveling much.

LOL, the fiction just keeps coming.

Were more miles driven in 2018 or 2021?

VMT[ [Vehicle Miles Driven] in 2021, which reflects February 2020 through January 2021, was the lowest since 2002. VMT then rebounded to nearly pre-pandemic levels in 2022. The the excuse above is malarkey.

 

[Van]

With the rise of electric vehicles and hybrid, there will be very little economic incentive to build any significant oil refineries in the United States.

This reflects more war on fossil fuel theology.

 

[JonC]

So gasoline prices shot up under the Biden/Harris administration because they blew up the domestic distribution system that was adequate under Mr. Trump? I doubt it.

But you are right, we need to rebuild our energy infrastructure, such as the Keystone pipeline, and sufficient domestic refineries to handle all of our crude oil production.

I believe national security requires energy independence.

A big part of it was Biden's decision to stop importing oil from Russia. We went from importing about 22,000 barrels a month to nothing. In April 2020 Russian oil imported to US was under $17 a barrel.

And you are right that we have to add the "green new deal" into the equation.

 

[KenH]

Note the effort to change the subject to me. Typical blame shifter on display.

Not at all. You are the way blaming President Biden for Putin's decision to invade Ukraine and for Hamas attacking Israel. Other than the United States government declaring war on Russia and Iran, how would you have advised President Biden to stop those sovereign countries from taking the actions that they did?

 

[Van]

Different grades of crude oil - sweet and sour. Sour crude oil is cheaper than sweet crude oil.

Nonsense, like saying it costs more because it costs more.

 

[Van]

A big part of it was Biden's decision to stop importing oil from Russia. We went from importing about 22,000 barrels a month to nothing. In April 2020 Russian oil imported to US was under $17 a barrel.

And you are right that we have to add the "green new deal" into the equation.

So our dependence on foreign oil partially caused (when curtailed) the price hike.

 

[KenH]

Were more miles driven in 2018 or 2021?

 

[Van]

Not at all. You are the way blaming President Biden for Putin's decision to invade Ukraine and for Hamas attacking Israel. Other than the United States government declaring war on Russia and Iran, how would you have advised President Biden to stop those sovereign countries from taking the actions that they did?

Yes, many GOP advocates believe if Mr Trump had been President, Mr, Putin would not have invaded Ukraine. Note Mr Putin invaded Crimea when Mr Obama was President, then waited to invade Ukraine until the Biden/Harris administration controlled the USA foreign policy.