Offshore Energy Exploration: Myth vs. Fact
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By Institute for Energy Research —— Bio and Archives--December 21, 2018
Myth: There’s not enough energy in the outer continental shelf (OCS) to make exploration worthwhile.
Fact: The Bureau of Ocean Energy Management (BOEM) estimates that the OCS contains 90.55 billion barrels of oil and 327.58 trillion cubic feet of natural gas. These estimates are likely very conservative, as bans on offshore leasing have made it illegal to explore and determine how much more energy is available. In other words, this is just the tip of the iceberg—history has proven that when people are allowed to look for energy, they generally find it. The best way to stop them from finding it is to stop them from looking for it.
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Myth: Offshore energy development would do nothing to lower prices because it would take too long for the energy resources to make it into the market.
Fact: Economists have long disputed the notion that offshore energy development would not affect consumer prices. Both economic theory and now empirical evidence demonstrate that government policies promising future oil production lead to immediate price relief. (Economist Robert Murphy made this point in an IER blog.)
https://canadafreepress.com/article/offshore-energy-exploration-myth-vs.-fact
