In the U.S., demand is at 21 million barrels of refined oil a day, output of U.S. refineries at 17.5 million barrels of oil a day, and, the oil companies are not interested in building new refineries. In addition, year over year, demand for oil is steadily increasing, should the government step up in targeting the addition of new refineries in the U.S.?
2007-05-24 04:01:58 · 12 answers · asked by Anonymous in Politics & Government ➔ Politics
Statistics from Energy Policy Research Foundation, funded, by the petroleum industry
2007-05-24 04:06:30 · update #1
Yes, maybe then gas prices would go down!
2007-05-24 04:06:04 · answer #1 · answered by Beautiful Disaster 2 · 0⤊ 0⤋
The government should definitely NOT subsidize this practice directly. If the oil companies wanted to build new refineries, they would. It's not exactly in their best interest. With high crude oil prices, they are making a lot of money (however, they have paid far more in taxes than they have made in profits...the government is probably making more money off big oil than big oil is).
Are they artificially limiting supply? Perhaps, but they have the right to do that. They are a private business, and as such, cannot be coerced by the government to build refineries to lower the cost of gasoline to consumers with an insatiable appetite and a sense of entitlement to low gas prices. What has happened as the price has gone up? People have changed their buying behavior and driving habits. Ehtanol plants are popping up all over the country, as well as research into other viable alternative fuels. This is a good thing, but as long as gas remains cheap, no one will have an incentive to innovate an alternative.
I guess if government wanted to induce oil companies to build more refineries, they could strip away some of the environmental regulations. It's not worth the time and money for oil companies to expand right now.
2007-05-24 05:48:52 · answer #2 · answered by econobran 2 · 0⤊ 0⤋
There is no need for the government to build or subsidize oil refineries. The only help the government should provide id to stream line the permit granting process and allow companies to build refineries regardless of local opposition and resistance from eco-nuts
2007-05-24 04:07:27 · answer #3 · answered by espreses@sbcglobal.net 6 · 1⤊ 0⤋
No -- we should not subsidize them. We should build them and they should belong to the people. The industry has already proven that they cannot be trusted to do what is in our best interest. They say they cannot build refineries without exceptions to the environmental regulations. And they should "pay" us for using them. This is not socialism -- this is taking our future out of the hands of individual companies and foreign governments. This is not deregulation, either. This is putting our money where our mouth is without giving the money away to those who have already proven they cannot be trusted.
P.S. Here is an idea. Take all of the money that would be given to the oil industry and give it to individuals to spend on purchasing alternative-energy based systems for their cars and homes. Wouldn't that serve the same short-term purpose, and a "higher" long-term purpose?
2007-05-24 04:09:49 · answer #4 · answered by whisper2roar 3 · 1⤊ 1⤋
No, but they should pass legislation to allow the oil companies to drill in areas taht have been off limits. They should also encourage the building of new refineries by the oil companies buut not through direct subsidies.
2007-05-24 04:09:46 · answer #5 · answered by booman17 7 · 1⤊ 0⤋
Why don't you ask how many Refineries have the oil companies demolished on their own. Don't be fooled, the capacity is artificially restricted by the Big Oil. This what happens when you allow them to big companies to merge and competition is removed.
2007-05-24 04:09:41 · answer #6 · answered by Laughing Man Copycat 5 · 1⤊ 1⤋
Of course we need to build new refineries and expand existing ones.
Love Jack
2007-05-24 04:15:53 · answer #7 · answered by Jack 5 · 0⤊ 0⤋
Considering the profits the oil companies are making, no. If anything, they should be under invistigation for conspiracy and price-fixing.
Taxpayer money, to the extent it is used to develop or subsidize energy output, should not go to fossilfuels in andy case--it should go to alternative enrgy production and energy conservation efforts.
2007-05-24 04:25:06 · answer #8 · answered by Anonymous · 0⤊ 0⤋
hell no, the oil companies have plenty of money to do this
the reason the oil companies do not build refineries is because they do not want to, they are artificially limiting the supply so that they can drive up the prices
2007-05-24 04:08:10 · answer #9 · answered by Nick F 6 · 1⤊ 1⤋
No. The Oil companies make enough money. Let them do it. The Liberals and NIMBYs have derailed the building of any new refineries.
2007-05-24 04:08:49 · answer #10 · answered by nom de paix 4 · 1⤊ 3⤋
No, but it should curtail restrictions on the building of refineries.
2007-05-24 04:05:29 · answer #11 · answered by Layne B 3 · 1⤊ 0⤋