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  • Morning Bell: The Oil Drilling Moratorium Doesn't End Till the Permits Begin

    The White House got the headlines they wanted today. The Washington Post: U.S Lifts Ban on Deep-Water Drilling. The Los Angeles Times: U.S. Lifts Moratorium on Deep-Water Drilling in Gulf of Mexico. The New York Times: White House Lifts Ban on Deepwater Drilling. Interior Secretary Ken Salazar told reporters on a conference call yesterday: “We are open for business.” Don’t believe the White House or Salazar for a second. While yesterday’s announcement does remove one legal barrier to the resumption of energy investment in the Gulf, the Obama administration still retains full discretion over whether or not any new permits will be issued. And all indications are that those new permits will not be coming any time soon.

    Since President Barack Obama first banned drilling for gas and oil in the Gulf in May, about 36 rigs in the Gulf of Mexico have been put out of work, five rigs have left for Egypt and other parts of Africa, and 12,000 jobs have been lost. If the ban stays in place, the long-term and indirect economic losses will cost more than 175,000 jobs. The problem with President Obama’s new drilling policy, as with all of his economic policies, is the uncertainty it inflicts on our nation’s job creators. Louisiana State University professor Joseph Mason tells The Christian Science Monitor that “uncertain policy decisions” are making it difficult for rig operators to plan for the future. Referring to the rig operators, Mason continued, “and when they can’t plan around it, they move.” And by “move” Mason means taking jobs and energy overseas. Sen. Mary Landrieu (D-LA) echoed this verdict:

    Today’s decision is a good start, but it must be accompanied by an action plan to get the entire industry in the Gulf of Mexico back to work. This means that the administration must continue to accelerate the granting of permits in shallow and deep water, and provide greater certainty about the rules and regulations industry must meet.

    As Sen. Landrieu’s statement alludes to, President Obama’s legal ban on deepwater projects has also meant a de facto ban on all energy investment in the Gulf. Since the April 20 Deepwater Horizon spill, Interior has issued only 10% of shallow water permits that they normally do. Institute for Energy Research senior vice president Dan Kish tells Politico: “I don’t know what business can run at 10 percent of what it normally does.” Pressed for details on when Interior will actually start issuing new permits, Bureau of Ocean Energy Management Regulation and Enforcement director Michael Bromwich told reporters: “It will clearly not be tomorrow and it will not be next week. My sense is we will have permits approved by the end of the year, but how much before the end of the year I can’t say and how many before the end of the year I can’t say.”

    Energy companies who want to wait for the Obama administration to allow oil and gas investment to begin again do so at their own peril. As The Washington Post details today, White House policy on drilling in the Gulf is driven by politics, not science. And the President’s political views on domestic oil and gas development are clear. In 2004, then-Senate candidate Obama told the League of Conservation Voters: “I believe that existing policies are imbalanced in favor of new and increased [oil and gas] extraction. . . . Reduced energy demand would eliminate the need for new production on federal public lands, and I would oppose such production in any event.”

    So there you have it. President Obama’s preferred policy is reduced energy demand, and even if he can’t accomplish that, he still would oppose the development of our country’s energy resources. Ken Tanguis of Houma, Louisiana, had been a mechanic for Diamond Offshore Drilling for most of his life. But since President Obama instituted his drilling ban, Diamond has laid off more than 300 workers, and now Tanguis only works three weeks on and three weeks off. Tanguis told NPR: “I don’t want a handout from the government. I don’t want a handout from BP. I don’t want anything. I just want to go back to work. I want to go back to drilling.” The only thing standing between Tanguis and a job is President Obama’s de facto drilling ban. We hope the President allows Ken to go back to work soon.

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    Posted in Ongoing Priorities [slideshow_deploy]

    38 Responses to Morning Bell: The Oil Drilling Moratorium Doesn't End Till the Permits Begin

    1. Bernard from Michiga says:

      My emotions run high in this arena. We live in a free country (supposedly) but each person wants what is good FOR THEM without regard for others. Our constitution allows that because of it all people on this earth are free. So what is the beef with anyone purchasing land anywhere? Whomever has the MONEY is the winner, right?

      That is not to say I agree but only to say that is how I see this world. It is driven by the want for more (which equates to money) and in our nation we have opened our borders to all who would come…..what can we expect. Either we close our borders or we perish as a nation.

      What is it really that the robber barons desire? Each must answer that for themselves and decide for themselves on how they would react.

      Remember, all nations who are buying our land do so with laws against our buying in their countries. Every nation we do business with has import treaties while we pay high import taxes or fees to them. Not good business sense so either our leaders are ignorant and should not be there or they have a plan to disband our country…….no other way to see it in my book.

    2. ThomNJ says:

      You are right – don't believe obama for a second – anyone recall the momentous decision to allow drilling off the Atlantic Coast? That one also proved to be nothing more than headline generation.

    3. NeoConVet says:

      As usual the devil-is-in-the-details!!! More regulation, more paper + more delays = more jobs lost and INCREASED cost to the consumer!!!

      I am sure the Cubans and Chinese working in the Gulf and the Straits of FL will have as much paper to deal with (not!). Did the billion or so we gave to Brazil for deep water drillimng also contain "strings" for the new regulations… no!

    4. Spiff, USA says:

      And which of the Obama appointed Czars will be in charge of determining the amount of the "Permits", who gets them, and into which unsupervised account the "fees" will go into?


    5. Joseph P Gavron MD P says:

      Obama and his so-called economic advisors have no clue on stimulating jobs, such as the offshore drilling. They are all economically naive while being politically opportunistic.

    6. Robert C Sears, Jr, says:

      If the Democrats are soundly trounced on 11/2, Then the majority Congress should impeach this fraud immediately. The USA cannot wait until January 2013.

    7. Lloyd Scallan (New O says:

      I can't believe their is still any question that Obama's plan is to stop all offshore

      drilling. This will kill tens of thousands of jobs plus make this nation more dependent of foreign sources for oil and gas, drive up the price of gasoline, and destroy the oil industry along with our economical system. Once again, they will say or do anything to get Obama's socialist agenda shoved down the throats of the American putlic.

    8. Karen Cook, Minnesot says:

      The story behind the story is that while he's haulted US drilling, he's given both Mexico and Venezuela(sp?) 2+ Billion Dollars each so they can drill in the Gulf of Mexico, and Brazil over 2 Billion for their oil exploration/drilling plans.

    9. Drew Page, IL says:

      Reminds me of an old song, "First you say you will, then you won't. Then you say you do, and then you don't. You're undecided now, so what are you gonna do?"

      Announcements lifting the administration's ban on gulf drilling, and the front page trumpeting of this by the N.Y. Times, L.A. Times and Washington Post, I am sure has nothing at all to do with the mid-term elections being less than 3 weeks away. (See, Obama really does care about unemployment in the Gulf). Does this mean the 12,000 people who lost their jobs since the ban was put in effect will start work tomorrow morning?

      So what if 175,000 more people lose their jobs? Mr. Obama thinks that we depend too much on oil and gas. He would like to see everyone ELSE in America driving cars that run on flashlight batteries. That way we wouldn't have any more pollution. Of course he, and important federal, state and local politicians (those who agree with him) will still continue to be driven everywhere in gas powered limos and kerosene powered jet planes and will be exempted from the ban on owning and driving personal automobiles with internal combustion engines.

    10. Samuel says:

      Read yesterday China would be drilling along with America off the United States.

      Why would we allow China to drill off our coast?

    11. KELLI2L ~ USA says:

      Originally I agreed with the ban – but as I thought more about it, I wondered if the work could have continued AS the inspectors did their inspecting. . . . And, let this be a lesson never to forget – - that de-regulation is NEVER the right answer. . . .

      Reminder that it is our governments duty and job to keep America and it's people safe. . . . so I don't fault the Obama administration for doing their job especially noticing that the Bush administration and even administrations before him didn't……

    12. Jim Delaney, Rochest says:

      When I read the headline in the paper this morning, it wreaked of cynical self-serving politics. I instantly knew that obtaining drilling permits would very likely serve to delay actual drilling starts. This Administration absolutely believes Americans are stupid, merely mindless pawns to be used for their entertainment and political sefl-interests.

      Step by step, Obamunism is reducing our Republic to a third world banana republic. That has ALWAYS been Barack's and his Progressive minion's ideological goal in Congress, in the Courts and within his ever-burgeoning and loyal bureaucracy. The tragedy is that nearly 45% of the electorate remain either willfully ignorant or deliberately unwilling to see this clear and present danger. Why? Because so many of his supporters within and without the government are either dyed-in-the-wool socialists and elitists or me-first entitlement types. And these are, indeed, hard nuts to crack. But crack them we must!

      I pray the nation can survive the next two years and the Progressives' likely legislative blitzkrieg following the midterm elections this year. So much to block, to repair and to undo, and I'm not sure we can adequately pull that off. By 2012, the Progressives, like the loathesome ideological lemmings they are, will have willingingly self-destructed leaving in their wake incalculable economic chaos and wreckage.

      Very disheartening and truly alarming. And I am not convinced the Republicans, tainted by years of appeasement and big government policies, are up to the task of repairing the awful damage either. Not unlike the Progressives, too many GOPers are enamored of power and only half-heartedly committed to restoring genuine constitutional and economic order. And therein lies the problem for our nation.

      If our constitutional republic cannot survive with the current crop of politicians, then perhaps we should stop deluding ourselves and simply cut ourselves loose. Along with countless other millions, I'm not kidding about this at all. We should remain indivisible only insofar as unbreakable unity upholds constitutional order. Indivisably socialist would be intolerable! If it's a clear choice between socialist servitude and republican nullification, for most Americans the choice would be glaringly obvious. Let's hope we don't need to grapple with that breaking point. But, in truth, hasn't it already begun?

    13. Timpclimber Provo, U says:

      Lifting the drilling moratorium is just a campaign stunt. Just wait and see how long it takes before a permit is granted. Obama and his cronies will play it like the Central Utah Project that requires the state and water users to pay back every federal dollar spent, a real budget neutral project, that Obama wants to cancel or reduce. They don't know what they are doing. The Utah democratic candidate for the senate was at least honest, he said that the democrats can't run the country without deficit spending and that a balanced budget is impossible. We have to elect fiscal conservatives and those with real business experience to save our grand children from being debt slaves to China.

    14. and2therepublic, ill says:

      "The want of confidence in the public councils clamps every useful undertaking … What prudent merchant will hazard his fortunes in any new branch of commerce, when he knows not but that his plans may be rendered unlawful before they can be executed?" – James Madison – Federalist No. 62.

    15. Judith in Michigan says:

      It will be interesting to see how many ways Mr O & Co can come up with to stall the resumption of drilling in the Gulf.

      But, apparently the moritorium is still in place against shallow-water drilling in the Beaufort Sea off Alaska's coast. Was this administration hoping citizens wouldn't notice? There really wasn't a reason for that halt in the first place, but as Mr Emanual famously said, Never let a serious crisis go to waste. Mr E is gone, but not the philosophy. How unfortunate for America!

      As soon as the mid-term elections are over, I'm sure some "unresolved environmental issues" will come up that need to be resolved first before permits will be issued. Of course!

      Then Mr Salazar will be able to turn his attention to the successful drilling taking place in North Dakota. Will that be halted, too?

    16. Freddel, Walnut Cree says:

      Instead of buying oil from the Middle East, Africa, Southeast Asia and other locations where exploitation is permitted, we should be drilling in the Gulf, off the east and west coasts, and coastal Alaska. Why should we continue to transfer wealth to the rest of the world and diminish our own standard of living? We need oil and gas here and now, and into the foreseeable future. No other nation on this planet pursues such a ruinous policy. Foreigners think we are foolish in allowing our government to ruin our own energy industry and be dependent on outside interests for our needs.

    17. mary,louisa ky. says:

      you know he doesn,t know what he is doing, such a poor president in the w.h. he has given money 2 other countries bfor drilling but the heck with the good old usa . i still say he is a muslm,

    18. Jill, California says:

      This sounds a whole lot like Obama's proclamation that we have ended combat missions in Iraq. It sounds good politically. It doesn't match reality for the American military being targeted by insurgents.

      Obama's proclamations are nothing more than political rhetoric.

    19. willnevergiveup, Ari says:

      Has everyone forgotten that just last month the Interior Department ordered gas and oil companies operating in the Gulf of Mexico permanently plug all inactive wells and production platforms must be dismantled that are not in use? There are currently almost 3,000 inactive wells and 650 production platforms that are not in use.

      There's always more to the story as indicated by this notice by the Interior Department.


    20. Mike, in Idaho says:

      All of this mess that Obama and Co. are creating really is going to put pressure on conservatives to 1) come up with a plan to minimize the immediate damage, 2) develop a long-term plan clearly rooted in conservative principles that will work to get the country back on track economically, and 3) do this in a truly transparent way, explaining the reasoning for every policy. Don't have to have consensus from everyone (it won't happen anyway), but we have to demonstrate extremely clearly that conservatism in government WORKS. The Dems have demonstrated clearly that their policies are abject failures, but unless we can show that we can do a better job, we're toast, and should be.

    21. Blair Franconia, NH says:

      The explosion of the Deep-Water Horizon, resulting fire, and illegal deep-water drilling

      moratorium, means that the Obama Misadministration, proves one thing: This is the

      gang that couldn't shoot straight. The Department of the Interior instituted the drilling

      moratorium in April after the explosion. It was enacted over the objections of its professional scientists. Secretary Salazar lied about it and said it came from the unanimous advice of his scientists. That's not true. If the Chileans can rescue thirty-

      three miners from a collapsed copper mine, without putting in a ban on hard rock mining, why couldn't we have done the same?

    22. Craig Sacramento says:

      Another example of Obama lies and deceptions. Sure he lifts the ban but in reality he makes restarting the drilling difficult or impossible. We need a total Republican landslide come November 2, the alternative, plain and simple is to fail to vote out the Demos, then irretrievably lose the country! Anyone really want to live in a third world type socialist dictatorship? Well that is exactly Obama's goal, so get out on November 2 and kick out all the Democrats! We have to stop this guy before he achieves his goal of wrecking the USA!

    23. KLIMAX Baltimore, Ma says:

      This is typical of NObama he throws up a smoke screen by saying he has lifted the moratorium on drilling to get votes for the November Election !! It would be nice if the news agencies in OUR country reported the "REAL NEWS" not the bias Bull….. that we are bombarded with on a daily basis !!!!! What I would like to know is "When are the American People going to Demand Accountability for Campaign Donations and Spending" ???!!!!!

      Each legitimate candidate should be given 5 Million dollars to spend on his/her campaign and not allowed to go over that no matter how much money they personally have !!! This way it would go back to the candidates standing on their records and going out and meeting the people to get votes not spending Millions of dollars on smear campaigns and deceptive TV statements !!!!

      We need to allow history to repeat its self and go back to the time in OUR Country when every political position was not for sale to the highest spender but open to who had the most integrity and was the most honest unlike the election campaigns that are being run today for November !!!!!!

    24. KLIMAX Baltimore, Ma says:

      NObama wants America to come up with alternative fuels because OUR emissions are to high when he flies around the country campaigning for the Democrats when it is not necessary !!! I would like to know how much fuel is consumed per hour by his entourage flying in private planes, those huge cargo planes that fly his limo and assorted vehicles along with NObama's personal plane ???!!!! The cost has to be in the millions and the fuel has to be in the neighborhood of hundreds of thousands of gallons and the emissions must be staggering to see !!!! NObama does not want to practice what he preaches !!!!!

    25. John Arizona says:

      Isn't this the typical Obama approach to everything? Say something that grabs a headline, and hope nobody reads any further, or asks specific questions.

    26. toledofan says:

      Actions speak louder than words and until there is some definate action, don't hold your breath. Isn't it sad that an American President would actually favor and support the loss of American jobs and show no passion or angst for those out of work and struggling. From TARP through the current campaign, everything has been a disaster, but, the President continues to play golf, throw lavish parties and blame everybody else but his Democratic Congress majority, his administration and himself for the current problems. Talk about One Flew over the Cuckoo Nest; the Democrats own the asylum and now don't know how to manage the dispensery.

    27. Angelmom6-USA says:


      Who do you think the government is? This is a Government Of The People, For and By The People. The Officals in the Administrattion are hired by us, the people to do the Job WE want them to do. It is NOT their place to decide what is RIGHT OR WRONG for the PEOPLE! It is not the Administration that PROTECTS the PEOPLE. It's the PEOPLE who PROTECT the PEOPLE. The PEOPLE with WEAPONS in their HOMES are this Nations first Line of DEFENSE. For LOCAL purposes, They join the POLICE DEPT., SHERIFF"S DEPT., or whatever organization is used to enforce the laws WE THE PEOPLE deem necessary. But no matter whether its LOCAL LAW ifnorcement or the U.S. Military or the State National Guard or Coast Guard. The people with weapons in their homes are still the first line of defense. The number of personal in law inforcement and the military is not great enough to respond at any given moment or at any given location. In the event of a wide spread local or national emergency, such as large scale rioting or foriegn invasion.

      Do you feel as safe under this administration than you did the Bush Administration? Do really believe that the Obama Administration is keeping "We The People" safe? After the 9/11 attack, I believe the Bush Administration responded appropriately. Why? Because it was not United States who initially declared war. It was the fanitcs of Islam who declared war on the US and Israel saying they would DESTROY us COMPLETELY. So,which Administration has kept us the safest? Also, under whose watch did the loss of jobs become so severe? Can you count how many times we have had terrorists to try to commit another act upon the good ole USA? Answer these questions truthfully for yourself and for the good of America.

    28. Norm Klevens says:

      It is all part of the plan. Everything he does and all his decisions are intended to break America down. I agree with the person who asked have any permits been issued. If so, we would be told about it. Obama does what is good for Obama at the time he does it. His only care about the upcoming election is can he hold the majority; not to help other dems get reelected; if it was, he would not waste fuel to go and stand next to the incumbent. Can he blame Bush, the eviiil oil companies, Karl Rove or the nasty Republicans for something. He got a bad response to his speech where he said h8e would allow drilling off of the east coast and it is doubtful he meant it in the first place. Are you guys in the gulf going to forget what he did there this time, two years from now ?

    29. Charles Nystrom, Sum says:

      It must not be the position of the our States to "wait" for the Obama Administration to "give permission" to re-strt drilling. No, the States must act in their own best interests, Obama's Administration positions not-withstanding.

      The reason is clear. Under the Obama Administration drilling will permenently dismantled, albeit slowing but inevitably. States and the United States cannot allow that to happen..

    30. Randy White Virginia says:

      I don't believe that it is in the interest of America to allow any president to decied on policies for Energy or any other area of government. How did congress alllow a single person to make decisions affecting the entire nations energy supply ,economy,or military? Democrat or Republican , NO single person should have this much power. Presidential orders, Signing statement and other actions giving any President unauthorized power ,must go. The Congress must take action on this in the next Congressional session. America will NOT accept this tyranny from Republicans or Democrates . Millions of Americans Will make this an issue for the new Congress. The Founding Fathers gave us checks and balances in our Government . Under the current system the executive branch is obviously able to legally ignore the balance and go around it. When a bill is sent to the president he has 3 choices Pass , Reject, Reject with suggestion for change to be accepted or rejected by both the House and the Senate Period! Approval for oil exploraton on land or sea should only be made by the represenatives of We The People. If we disagree with our Representatives , we fire them and hire the ones that will vote for our interest. All REGULATIONS from federal and state governments must be the subject of strict review and subject to be immediately revoked if not supported by the Law Of The Land, The Constitution ! God Bless America!

    31. Renny MD says:

      Why are we sitting around talking about this guy when he continues to go forward with the "Alinsky theory of Heaven on Earth!!!" Why are we tippy toing around his adjenda? It's right in front of our nose and we look elsewhere????

    32. DixieCol says:

      I am a bit confused here! I have read and re-read Article II of the U.S. Constitution (Powers and Responsibilities of the POTUS), and I cannot find a mention anywhere in the Constitution of the POTUS being delegated the power to determine who may or may not drill for oil in the waters off the coast of the U.S., nor any mention of his being delegated the power to decide when such work will be stopped or started.

      That being the case, it would appear that the POTUS has no such constitutionally-delegated power, and therefore any such orders emanating from his office would be without constitutional authority. Since the POTUS derives his powers from the Constitution, and the Constitution does not give him this particular power, it would appear to me that his actions are unconstitutional and therefore illegal.

      If I am wrong in this opinion, perhaps someone who believes the POTUS does, in fact, have this power delegated to him by the U.S. Constitution (which he is sworn to obey and uphold), could provide me with the "chapter and verse" from which this power is derived.

    33. Pingback: Morning Bell: The Oil Drilling Moratorium Doesn’t End Till the Permits Begin

    34. Chet "Ski,&quot says:

      When is someone going to get him out of office so we can go back to our American principles and values we had before.

    35. Joseph America, Flor says:

      We sit on our thumbs while our country goes up in smoke. How many millions of comments will be left on how many millions of anti-leftist emails; and how many people will have to go through the pain of carpel tunnel before we realize that this is a complete waste of time. So why am I writing this? I guess as a release from the frustration and impotence I feel – the same as everyone else!

    36. Tenn Slim says:

      As of this date, no permits have been re issued, or new permits processed

      The beat goes on.


      Semper FI

    37. Rebecca Roberds says:

      I am a geologist and do research on the deepwater Gulf of Mexico. BOEMRE may have lifted the Moratorium, but they are definitely not issuing permits…of course except for 2 water injection wells. Instead, they are making operators submit a seemingly endless series of amendments and modifcations. Clearly, they they are not letting anybody know what exactly has to be done in order to get a permit approved.

    38. Pingback: Obama Launches Justice Task Force To Look Into Gas Prices, BUT THEY NEED TO LOOK INTO OBAMA — ExposeTheMedia.com

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