The Oil Drum

Big hat tip to the Energy Bulletin (original link) for this story:

Richard Bell, Communications Director for Post Carbon Institute, reports on the Senate Committee on Energy and Natural Resources' hearing into “The Geopolitics of Oil.” (here's a link to a video recording of the committee hearing itself...the hearing begins at about 17:30 minutes into the recording--before that, it's just dead time). Just how bad are the geopolitics of energy, from the perspective of the United States? This morning the Senate Committee on Energy and Natural Resources launched its New Year with an unusual hearing into “The Geopolitics of Oil.”
The consensus conclusion of the witnesses: the United States is in deep, deep trouble, facing the emergence of an “axis of oil” that threatens to recreate the bi-polar world of the Cold War, complete with Russia as a principal actor.

Normally the Committee deals with less weighty matters, like fuel efficiency standards for cars. But the incoming chairman, Senator Jeff Bingaman, decided to go for the big picture, and the big picture is not pretty. There was an almost palpable sense of graveness and alarm that lent a chill to the room.

For the rest of the report, go to original article [link] on Global Public Media (free access). Energy is beginning to get serious consideration, as Dick Bell reports. Also, note that two major studies of the prospects for world energy supplies are currently underway in Washington.

Senator Maria Cantwell (D-WA), Chair, Energy Independence 2020

As a companion to the post about the House Democrats plan on transportation and energy, there is the Senate Democrats plan on Energy Independence by 2020. With the Senate now definitely being run by Democrats, we might as well get a head start on what the Senate Democrats think about energy policy.

Here is a link to Lugar's introductory statement (.pdf).

Witnesses called included (click on name for testimony):
Milton R. Copulos (.pdf), President, National Defense Council Foundation, Alexandria, VA
Dr. Hillard Huntington (.pdf), Executive Director, Energy Modeling Forum, Stanford University, Stanford, CA
Dr. Gary W. Yohe (.pdf), John E. Andrus Professor of Economics, Wesleyan University, Middletown, CT

A couple of days ago, Gristmill's Tom Philpott reported on a Wall Street Journal article suggesting that the Chinese demand for oil is slackening this year.

Environmental Economics has a great quote from Sen. Pete Domenici, who asked the oil company execs to explain to him how the price of oil is determined, since "my constituents and, I believe, most Americans think that somebody rigs these prices".

Both of these blogs also mention that the provision to drill in the Arctic National Wildlife Refuge has been removed from  the spending bill (just in case you hadn't heard).

Oil industry executives summoned to Capitol Hill are expected to receive a grilling Wednesday -- perhaps unlike any they have faced before -- over their record profits at a time of high oil prices.

But the questions won't just be coming from the usual critics. Some of the industry's traditional Republican allies are eager to demonstrate that they too share their constituents' anger.