Is It Greed, Lack Of
Foresight, or Both?
Page 3

Some folks believe that the most likely reason for the sudden rise in petroleum and natural gas prices is GREED. Others say it's lack of FORESIGHT. Both of these things may be responsible for the sharp and seemingly unfair increases we are now seeing in natural gas and gasoline prices.

First and foremost, says the natural gas industry, is the fact that they failed to plan ahead. They did not drill new wells that would further support our natural gas needs.

Faber went on to say that "we haven't built anything," meaning, I assume, that the oil and gas producers failed to plan and prepare ahead for this event, despite the fact that they knew long ago that the electric utilities were going to have to exchange coal for natural gas.

For example, in 1993, President Clinton vowed to curb the use of carbon-based fuels, for the sake of reducing pollution that allegedly causes global warming.

"Aides said the emission-reduction plan administration officials will devise by August (1993) will emphasize voluntary industry efforts to increase energy efficiency, and promotion of technologies that will help the nation cut its output of carbon dioxide, methane, chlorofluorocarbons and other greenhouse gases" (Clinton Vows Greenhouse Gas Curb, Los Angeles Times, April 22, 1993).

In September, 1997, the EPA (Environmental Protection Agency) announced tougher pollution controls in 25 states east of the Mississippi. These rules were aimed at reducing emissions from more than 40 aged electric utility company's coal-fired power generating plants. If these plants do not use coal, what else are they to use? The natural selection would be natural gas, is that not true? Of course, it takes time to explore, acquire, and drill new wells.

So, you and I are assessed a higher rate for electricity by the utilities because they have to pay more to produce our electricity using natural gas. Thus, we roundaboutly have to pay for the change over from coal to natural gas. Then, once again, due to the natural gas companies' lack of foresight, or the fact that companies like Belden & Blake will not drill new wells--unless the market price is high, as it is now--we, the end users, are assessed a rise in natural gas, termed Gas Cost Recovery (GCR), which is necessary to cover the added fuel being used by the electric utilities!!

There are other questions that the public should ask. To learn what they are, click HERE.

Brief Article Index

• Why Do Gas Prices Continue To Rise?
• So What's Ahead?
• Is It Greed, Lack Of Foresight, or Both?
• What a Circle, What a Racket!
• Prior Knowledge of the AT&T Breakup
• Could It Be Covert Carbon Taxation?
• Global Warming, Real or Contrived?
• Global Warming? Forty Six Independent Scientists Say No!!
• Forty Six Independent Scientists Say No!! Here They Are!