On Tuesday, the House of Representatives approved legislation that would allow the Justice Department to sue OPEC members for limiting oil supplies and working together to set crude prices.

Yes, they really did that.

Trying to sue OPEC for limiting oil supplies and setting crude prices is like a junkie trying to sue his dealer for not giving him enough heroin at a price HE thinks is reasonable.

If you ever needed any evidence that most of our elected officials have absolutely NO clue as to what's really going on here, this is it.

Of course, you and I both know that this is probably more of a dog and pony show than anything else. After all, their first priority really is sedating the voters with fairy dust legislation.

Then on Wednesday we had another "let's blame the oil execs for high prices" puppet show.

Senator Durbin asked the heads of Exxon Mobil, ConocoPhillips, Shell, Chevron and BP if it troubled them when they saw what they were doing to us. I'd like to ask the senator what it is exactly that the oil companies are doing, other than feeding our addiction.

Then again, it has been with great success that Big Oil has lobbied their accusers to keep this addiction strong. But those guys on the Hill don't have to get their pockets lined with oil money. They just choose to do so. And now they have the audacity to pin the blame on the very hand that feeds them.

Suing OPEC for High Oil Prices: But Wait, It Gets Better!

During the hearing, Senator Arlen Specter decided to ask Exxon Mobil why the company's annual earnings increased from $11.5 billion to $40.6 billion over five years.

I don't know about you, but I think I'd be little pissed off if some bureaucrat decided to question me on how I make my money. If they really believed something unethical was going on here, wouldn't you think they'd already have some kind of legitimate and quiet investigation going on? Well, assuming ethics was a priority...which it clearly isn't. Otherwise we wouldn't be having this conversation right now.

That joke isn't funny anymore

This crisis grows bigger and bigger by the hour, and we need a solution yesterday.

And I'm not talking about some ridiculous band-aid publicity stunt either—like the recent bill that was just signed to restrict oil shipments to the strategic petroleum reserve.

Deliveries into the reserve have now been suspended for the rest of the year. That's a whopping 70,000 barrels per day. We consume about 21 million barrels per day.

What a joke!

What should really be putting a burn in our bellies is that some members of Congress are now pushing to release oil from the emergency stockpile.

Rep. Edward Markey from Massachusetts said he didn't understand why the President wasn't releasing oil from the reserve to force down prices.

Hmmm. I don't know. Maybe it's because those reserves are there in case we need to respond to a future supply emergency? They're not there so guys like him can cozy up to voters by temporarily influencing prices!

So let's look at where we are now...

We can supposedly sue OPEC. Suing them should either make them laugh or make them angry. Either way, not a very smart move on our part. Especially since we're no longer backing up our reserves.

But that's alright, because in Washington they're showing the voters how upset they are with the oil companies by making them explain their profits.

Though I should note that Committee Chairman Patrick Leahy did bring up a good point. He said:

"Prices should not skyrocket like this in a properly functioning, competitive market."

And that's the key - a properly functioning, competitive market.

While Big Oil has been getting kick backs since day one (and for those of you who questioned me on this a couple of weeks ago, I urge you to take a look at this article which outlines the very proof you requested.), Congress and the President squabble over a few million dollars worth of tax breaks for Plug-In Hybrid Electric Vehicles (PHEVs.)

Perhaps you've read about the PHEVs in these pages before. These are the vehicles that could allow nearly every U.S. commuter to drive to and from work every day without using a single drop of gas.

Seems to me that this makes more sense than threatening OPEC with lawsuits.

What's next? Judge Judy will be appointed to conduct the legal proceedings?

My friends, as this energy crisis continues to threaten our entire way of life, I do hope you are maintaining a strong, long-term position in renewables. Because at the end of the day, nothing can change the fact that our reliance upon finite, non-renewable resources is quickly coming to an end.

And this isn't just because we're bullish on renewable energy. It's because there is simply no other choice in the matter.

We're backed into a corner, and no amount of political maneuvering or quick fixes can change that.

The time for debate is over.

The time for action is now!

To a new way of life, and a new generation of wealth...

Jeff

 

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I was sent an offer to invest in a way to turn sewer sledge into alge which solves one problem, but to hear the rest of the story. I also got ads from surces that say that if alge is grown under special conditions it gives off hydrogen, now try tying those two together! Respectfully; Gerald Thoureen

I really don't know why we can't sell the oil in the country to ourselves cheaper than the muslims
WAKE UP AMERICA, WE'RE GETTING FUC>ED

The government of the united states is full of bs. We have a president who started a war in which he can't even finish and a republican running for president who says well keep on fighting the war for years. I wonder how much money we are spending in iraq when we can use it to have better communication between the Pentagon, FAA, and NORAD. Great idea when the U.S. helped Bin Laden in a war and trained him and his soldiers. If the government has nothing to hide then why did they steal the survaliance video of a motel by the pentagon. Our own government that is suppose to make us look better is making us look dumb. Honestly, Bush has made nothing better in this country. Like they say, "It takes one person to start a movement, but many to make a statement."

Perhaps you've read about the PHEVs in these pages before. These are the vehicles that could allow nearly every U.S. commuter to drive to and from work every day without using a single drop of gas.

Not so, those "electric" cars will be using up tons of coal, oil or natural gas at the power stations. Of which we are short at least 100. Buy uranium!

Dream on!

Electric car does not move with hot air.

First we must build more power plants, nuclear, n-gas, oil and coal. Contrary to CO2 believers it does not really matter what we do. The planet is warming up while we need more power!

We also need to upgrade our electric grids. Not a small job either. We have the technology but no will.

Then we need major investments into electric storage systems. This technology is there too.

Unfortunately, we are stalled. Someone needs to cast the first stone! And as long as Congres will do everything to play ignorant nothing will happen!

Perhaps UN acts first and with that our profits will suffer.

Get used to over US$200 oil as that is on the way!

Jeff, you put the exact words for describing the actions in the Capitol Hill. I fully agree with you on what you said about suing the OPEC and using our oil reserve. I myself cannot believe that our elected officals came out with this kind of ideas.

from Honolulu, Hawaii

Excuses,

Great article Jeff
Thanks,

Marlin

howdy.Sue OPEC? Sure.That makes as about as much sense as my demanding my grass not to grow more than 1" during this summer. One thing that is VASTLY missing from your missive is our own resources. We have more oil under our own United States than is under our present oil import countries. Get them scare-D-assed, politically motivated, liberals out of the damn way and start drilling for our own resources, in our own country. We're better at it then we used to be! LT

Jeff, you wrote: "Prices should not skyrocket like this in a properly functioning, competitive market." --> Obviously most of our beloved "Free Markets" in Black Energies" has been corrupted by greed, dishonesty, ignorance, stupidity, and apathy - much like in Enron (and in our society and government as a whole).

It turns out that the Club of Rome's computer models were right over 35 years ago, and few listened. The environmentalist's projections were right; and big oil was wrong. Now we (and most of the world) are in for a big fall.

We must immediately stop this sky-rocketing inflation, which can kill any economy in a very short period of time.

Got any ideas, Jeff, other than more commodity speculation? What are you going to do with all your profits when the Banks crash?