I have introduced legislation that would freeze the corn-based biofuel mandate at current levels, instead of steadily increasing it through 2015, which is the present policy. This is a commonsense measure that will reduce pressure on global food prices and restore balance to America's energy policy.
The rush to embrace corn-based biofuels stemmed from a belief that America must increase its use of alternative fuels to reduce our dependence on foreign oil. But if that's the mission - and it's a worthy one -we must embrace more economically-viable energy sources such as solar power, wind power, and especially nuclear power - which, in addition to being a reliable and affordable energy source, emits almost no carbon gasses. The best way to broaden our energy portfolio is through American ingenuity, not Washington bureaucracy.
On all of these energy-related issues - preventing tax hikes, reducing government regulations, repealing mandates, and accelerating innovation - the American people are solidly behind us. The Democrats, however, have an ace up their sleeves - or so it seems. They feel empowered to challenge plans to increase supply - instead preferring to demagogue the profits of oil companies.
In 2007, the oil industry's profit margins were 7.6 percent of revenues, which is not much higher than the 5.8 percent profit margin for all U.S. manufacturing. In fact, if you exclude the financially troubled auto industry, the oil industry actually appears less profitable than most manufacturers, which are earning 9.2 cents on every dollar of sales. America's energy problem isn't oil company profits; it's a changing global energy market - in which demand is surging while supply is remaining largely stagnant. As President Reagan might say, the simple solution is to increase the domestic energy supply to lower prices - precisely the opposite of what the Democrats are advocating.
Conservatives are well poised to lead a pro-growth energy program that could create millions of jobs and secure our economy. But wherever possible, we should look for allies across the political spectrum. We can find allies among national security Democrats who understand that energy independence is a vital component of winning the War on Terror. We could also find friends in the environmental community, where concerns over corn-based ethanol and the carbon emissions necessary to produce it have grown considerably. Respect for nuclear power has also accelerated.
This year, we will spend about $500 billion to import oil. All of those dollars should stay here in America, instead of being sent to corrupt regimes that are hostile to our interests. We need energy for Americans by Americans, and we need it now. At a time when conservatives are playing defense on so many issues, energy is one issue where we can go on offense and win. Victory would be good for our party, and better yet, it would be good for our country. |