U.S. Chamber: Nation's energy security stronger amid surging oil, gas production

The U.S. Chamber of Commerce’s energy policy affiliate, the Institute for 21st Century Energy, published its annual Index of Energy Security Risk this week, indicating higher domestic fossil fuel production has benefitted U.S. energy security.

The report covers market activity from 2014 and said energy security risk in the U.S. fell for the third year in a row, driven by a booming oil and gas sector that reduced energy security risk by decreasing oil and gas imports. This helped stabilize energy prices. The index shows U.S. crude oil production grew by 17 percent in 2014.

Karen Harbert, president and CEO of the Institute for 21st Century Energy, said increased U.S. output is pushing costs lower and breaking U.S. dependence on foreign oil.

“It is now possible to foresee a world in which America produces more energy than we consume,” Harbert said. “Now that the ban on crude oil exports has been lifted, we will be in a position to see economic growth and continued reduction in our energy security risk — if the federal government resists the temptation to regulate hydraulic fracturing.”
As an affiliate of the U.S. Chamber, the Institute for 21st Century Energy is quick to dismiss the importance of government energy sector regulation while championing the interests of energy business in the halls of the Capitol.

The institute is particularly critical of the Obama administration’s efforts to move the U.S. away from fossil fuels as a major source of the nation’s energy. While the administration’s position is that a focus on renewable energy sources is necessary to secure America’s energy future, the institute’s view is that the way forward is with a diverse array of energy production modes – including coal and oil.

“While the news has been very good over the last several years, there are still some risk factors that remain between now and 2040,” Stephen Eule, vice president for climate and technology at the institute. “Unprecedented levels of regulation of the electric power sector could lead to decreased generation diversity, which is why we’re projecting an increased risk in that area. To increase energy security, policymakers should place an emphasis on maintaining the viability of all sources of energy.”