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  • Year After Obama Lifted Drilling Ban, Pace of Permitting Is Worse

    The Obama administration is approving only 37 percent of the deepwater drilling plans submitted this year — a figure that falls below even last year’s low approval rate. It’s also taking federal bureaucrats an average of 115 days to approve the plans, nearly double the historical average.

    Greater New Orleans Inc. reported the numbers as part of its Gulf Permit Index, a measure of permit issuance. The data was provided by the Bureau of Ocean Energy Management, Regulation, and Enforcement, which oversees shallow-water and deepwater permits.

    Last year’s numbers were down sharply, a result of the worst oil spill in U.S. history and a drilling moratorium that lasted until Oct. 12, 2010. But they have continued to take a nosedive in 2011. A few highlights:

    • Over the past five years, 73.4 percent of plans submitted to BOEMRE were approved. That number dropped to 52 percent in 2010 and stands at 37 percent in 2011.
    • The federal government approved these plans in an average of 60.6 days over the past five years. That number increased to 67 days in 2010. But it skyrocketed to 115 days this year.
    • So far in October, the government has issued just one deepwater drilling permit. The average over the past three years is seven new permit approvals per month.

    The only good news for job creators involves shallow-water permits. Ten of these permits have been approved in October, reaching double digits for the first time since the April 2010 oil spill.

    Greater New Orleans Inc. estimates that each deepwater drilling rig provides 700 jobs in Louisiana. A shallow-rig provides 350 jobs. There are indirect beneficiaries across the country as well.

    Heritage’s Nick Loris recently wrote about the importance of increasing energy exploration — both for job creation and raising much-needed revenue for the federal government.

    Allowing access for exploration and creating an efficient regulatory process that allows energy projects to move forward in a timely manner will not only increase revenue through more royalties, leases, and rent; it will also create jobs and help lower energy prices in the process.

    The Gulf of Mexico isn’t the only area facing bureaucratic delays. Loris notes that onshore drilling and natural gas production are also suffering from Washington’s inertia.

    Posted in Scribe [slideshow_deploy]

    8 Responses to Year After Obama Lifted Drilling Ban, Pace of Permitting Is Worse

    1. PippN says:

      Of course US oil exploration is moving like molasses, we wouldn't want to interfere with the rigs OBama approved for Chavez now, would we?

    2. Dwana Townsend says:

      Yesterday a permit was issued to guess who? BP!!!! How do you think that happened? Pay to Play ring a bell? I am from Louisiana and I can tell you first hand that the money that was supposed to help people that made a living through the seafood industry, either directly or indirectly i.e. restaurants, as well as oilfield workers who have lost their jobs as a direct result of BP's negligence with regard to safety went to the wrong people. I have seen pizza delivery staff get checks for $5,000, hotel maids with checks for $10,000, lawn service providers $25,000. I work in the financial industry and have seen many of my seafood wholesalers go out of business, never receiving a single dime from the BP Claims.

      • Mike, Wichita Falls says:

        I would have never guessed that the $20B escrow fund would be misappropriated by our just federal government.

    3. Dwana Townsend says:

      Other strange things that aren't being reported by any media source: the shrimp being caught in the gulf don't have EYES!!! Dolphins are washing up on our shores everyday dying from an unexplainable illness, dead fish are being found in large quanities especially in our marsh where lots of species come to feed. Just recently a 19 year old boy died after eating fish but the autopsy was inconclusive. They keep telling residents that the Gulf is safe and there is no oil (well where did it go?)

      BP shouldn't be allowed back into the Gulf of Mexico as far as I am concerned. There are other Petrolium companies with much better safety records that should be granted permits AHEAD of a company that has possibly poisoned the Gulf of Mexico with the disbursements, as well as been the nail in the coffins of many seafood businesses and the oilfield industry itself.

      From the very beginning of this catastrophe you could predict exactly how this was going to play out, and don't think for one minute British Petroleum isn't in bed with this current Administration!!

      • Lloyd Scallan says:

        I also live in Louisiana. I agree with most of what you say except for that BP was fully at fault for either the spill or the way the Obama appointee gave out the money. Don't blame BP without blaming Obama and his administration for the pure manipulatiion and deliberate actions or nonaction to make__the spill damage as bad as it was. Obama had to justify the moretoreum which was done in conjuction with his collapsing our economical system. That includes the way Obama refused foreign help, prevented the local government from blocking oil from reaching shore, including shutting down skimming operations by the Coast Guard for a little as not enough life jackets onboard the vessels. But most important is__the reason the BOP failed to shut in the well after the blow out. The Obama approved "offical report__was pure cover up, very much like the "magic bullet" theroy. BOP, in particular hydrailic operated BOP don't just fail. ____Regardless of which drilling company or oil company involved, that spill was deliberate to shut down__the oil industry, which us to buy crude from foreign sources, which is exactly what Obama wants to__continue his ideology to "redistribute the wealth".

      • Dustin May says:

        I agree. I live in Covington, La, the Northshore of New Orleans. The jobs have dried up in Offshore industry. I use to work as an office manager for an offshore oil and exploration company. He had to declare bankruptcy because he couldn't get any permits! I was laid off, thankfully I was blessed to have gotten another job, but not has good as that job.

    4. Bobbie says:

      there is nothing this man can do to change my mind about who he and his agenda, is!

      Hey Americans, we all have to sacrifice (whoever "we all" are) because the president says so to protect his favorite skin colors of who "we all" aren't!

    5. Lloyd Scallan says:

      I was born and raised down here. I spent my younger years working and playing in the offshore oil fields. I see what Obama has done to deliberately cripple this industry as the means to an end. His end is to collapse our economic system by making it almost impossible for oil companies to do what they do that will in turn allow us to become energy independent. Obama will not allow independence because it would fly into the face of his Marxist ideolgy to "spread the wealth" to third world countries. Obama has a hatred of all fossil fuels. His hatred is based on his true agenda to destroy capitalism. This is exactly why he had to make sure the BP spill cause as much damage as it did and to make the permitting process as difficult as he could since political pressure forced him to lift the moratorium. Seahawk is one of many oil field related companies that Obama has intentionally harmed to complete his goal of a total government controlled socialist society through the destruction of our American way of life..

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