Offshore Drilling: State Perspectives 24 February 2009
As the moratorium on drilling on the outer continental shelf (OCS) expired in September 2008, the House Committee on Natural Resources is investigating new potential possibilities. On 24 February, the Committee held a hearing on “Offshore Drilling: State Perspectives” during which various officials from coastal states testified on their state's position on offshore drilling. Witnesses included Congressman Sam Farr (D-CA) as well as state officials from California, Louisiana, Maine, New Hampshire, and Virginia.
To begin, Congressman Farr was adamant that “the debate on fossil fuel extraction seems almost archaic given our understanding of the adverse effects of their consumption on our atmosphere.” In addition to urging for an extension of the moratoria on offshore drilling, Congressman Farr also mentioned H.R. 21, which he authored, entitled the Ocean Conservation, Education, and National Strategy for the 21st Century Act. This bill proposes the creation of an Ocean Trust Fund which would reinvest OCS revenue into the fund and be a source of revenue for state and federal ocean conservation programs. Similarly, Mike Chrisman, the Secretary for Natural Resources for the State of California, stated "there should be no ambiguity about where California stands on the issue of new offshore oil and gas leasing off California—we oppose it.” Instead, California is evaluating options for sustainable offshore energy, such as wave and ocean current technology. California hopes that by continuing to be a national leader in energy conservation, renewable energy development, and sustainability, that it can assist other states and the federal government in crafting new energy policies.
Ted Diers, Manager of the New Hampshire Coastal Program on behalf of the Coastal States Organization (CSO), maintained the importance of retaining state sovereignty in this issue. He noted that “the development of offshore renewable traditional energy must be part of a comprehensive plan in which the states are full partners” and that “Congress and the Administration consult with coastal states in the development of any new leasing program or formula of revenue sharing.” Similar to Congressman Farr, CSO would also like to see the establishment of an Ocean Trust Fund that would reinvest revenues toward protection of communities and coastal resources.
Speaking for New Hampshire's neighbor, the State of Maine, was Dr. Robert Marvinney, State Geologist and Director of the Maine Geological Survey. From Maine's perspective, investing in new offshore drilling off its coast may produce profitable quantities of oil and natural gas, however these quantities would be so modest that they barely warrant the effort. Furthermore, Maine is concerned about the impact new drilling would have on the Georges Bank, one of the most significant fisheries in the northeastern US. As such, Dr. Marvinney recommends “oil and gas development efforts should be focused in the areas with greatest potential and where infrastructure is already in place to support the activity" and, finally, “the resources of the Gulf of Maine are most suitable to renewable energy development” and not to new oil and gas exploration.
Conversely, Frank Wagner, State Senator from Virginia, and Garret Graves, Director of the Office of Coastal Activities of Louisiana, are not entirely opposed to expanding offshore drilling. Louisiana has an active “working coast” including fishing, tourism, and energy. Although the state does lose 35 square miles of coastal lands per year, Louisiana recommends continuing the production of all forms of domestic energy and, again, energy revenues should be shared with host states. Similarly, the state of Virginia would like to see an expansion of natural gas exploration of its coast. Virginia State Senator Wagner said, “This Congress has authorized revenue sharing with the coastal states as part of opening more areas of the OCS. We sincerely hope you continue this program.” He noted that other nations like Canada and Cuba are moving forward in this direction and so ought the US.
While witnesses and members may never come to a unanimous consensus on the issue of offshore drilling, its potential expansion, and investing in renewable and clean energy sources, legislation in regard to offshore drilling expansion has already been proposed. Congressman Ken Calvert (R-CA) has introduced H.R. 797, the Maximize Offshore Resource Exploration Act of 2009, which would “greatly enhance the Nation's environmental, energy, economic, and national security by terminating long-standing Federal prohibitions on the domestic production of abundant offshore supplies of oil and natural gas.” Finally, Congressman Ted Poe (R-TX) has introduced H.R. 1143, the DRILL NOW Act of 2009, which would limit “presidential withdrawals of offshore lands from disposition for exploration, development, or production of oil and gas, authorize States to petition for authorization to conduct offshore oil and natural gas exploration and extraction in any area that is within 50 miles of the coastline of the State and within the seaward lateral boundaries of the State extended, and to share offshore oil and gas revenues with States.”
