Sunday, Jul. 06, 2008

Legislators naive about oil drilling

I find it hard to believe that some of our congressional representatives believe that if we punish the oil companies, gas prices will go down (note a recent bill to levy an extra tax on oil company profits).

Oil companies only drill about 30 percent of what they refine; the rest they must buy from foreigners. Members of Congress have to be completely naive about simple economics, or they are dishonest and just trying to fool their constituents, who they think don't understand economics.

Dennis Cardoza, Barbara Boxer and Dianne Feinstein, your constituents are smarter than that. The law of supply and demand is real and true. Please, we must start drilling for oil in Alaska, off the California coast, and in the Gulf Coast. China and Cuba are exploring for oil only 60 miles off the Florida coast. Modern technology will allow pollution-free drilling. I wonder how pollution-free the Chinese drilling will be.

The oil companies are ready to drill, but you won't let them. Although it would take time to get these wells producing, the effect on oil and gas prices would be immediate.

DON ULRICH

Denair