Letter: Student advocates government aid for a sustainable American future

03/10/09 -To the Cigar,

A habit occurs within all human beings when we become dependent upon the luxury of a system with minimal pain. We observed this during the oil and gasoline crisis of the 1970s and again just last year when crude oil prices reached $141 a barrel, which caused the price of gasoline to rise.

Nationwide, there was mass concern over who was benefitting from the extreme prices Americans were paying for gas. There was a demand for alternative energies and for the government to prosecute CEOs of major oil/gas corporations.

But now, the situation is very different. The price of oil stands at $40 a barrel and the price of gas has fallen below $2 a gallon. With regard to this aspect of our economy, it could be classified that times are good in comparison to last year's crisis. However, it must be remembered that the current trend of oil and gas prices are at the behest of the recession and the tremendous fiscal problems we are facing.

Furthermore, we must realize how the market works and prepare ourselves for the times when the situation could get worse. As I mentioned, the current price of oil is roughly $40 a barrel, down $101 from where it was almost a year ago. What will happen if the price of oil reaches somewhere from $175 to $300 a barrel? This is not an unrealistic question to ask.

As of now, the current bid or contract for crude oil is $38.10 and next year's bid is set at $50.26. Bids or contracts for this particular market item are set some time in advance.

There are many factors which can influence the price of oil. One of which is the continual demand from high growth areas such as the United States, China and India. Another guiding force within this future dilemma will be the enormous demand for oil from Organization of Petroleum Exporting Countries, that recently cut production. Also, the supply they have been trading is running low.

It can be anticipated that as our national economy begins to recover we may observe an increased demand for oil. Discussion will return of using our own reserves and exploring the Arctic Circle.

First, we do not have enough oil within our reserves to sustain demand and our economy. Second, usage of the word "explore" is deceiving and the appropriate word of "drill" should be used more frequently. The fact of the matter becomes ever more apparent. We need to push ever further into green industries and alternative energies.

The figures suggest that we are on the right path because 10 years ago, 40% of the world's energy was in oil. That figure dropped to 39% in 2006. Still, the mere fact that we have been able to decrease our dependency on oil by one percent is not a reassuring statistic.

We need more commitments from our government to provide a society that maximizes our potential and safeguards our welfare. I am not denouncing the current initiatives underway, but merely suggesting that we need to maintain this sentiment so that if the time does come when oil reaches $300 a barrel we will not be so dependent on it.

Surely we can agree that we have one shot on this planet, for it is our only home within the universe that we know of. Scientists have made vast discoveries and expanded our knowledge regarding the universe and its mysteries. They have seen the far side of our sun, distant galaxies, discovered clues that life may have existed on Mars and a planet that closely resembles Earth but cannot sustain life.

Despite all these advances, we have not found the key to true space travel that would grant us the opportunity to search the horizon in the wake of devastation or exploration. This means that attention must be given to how we treat our planet, our home. We choose not to live within a confined space that does not have clean water, clean air, no waste and no garbage. So, must this be the policy, with regard to our environment and that of maintaining a watch over it, the use of energy and its cost?



Ryan Drugan