Petroleum, imported or local dictates economies.  Governments, businesses, institutions, and homes need petroleum to keep running.  In the US alone, 19.5 million barrels are demanded daily and the US oilfields yield less than five million barrels per day.  If you look at the numbers, there’s no way the demand for imported liquid fuel will fall.

The Good News?

Finally the US is stirring up from its over reliance on imported liquid fuel.  Daily, some 11.1 million imported barrels per day sustain demand.  Should exporters increase the price of imports, economies already on their knees have no other way to go but sink lower.  But here’s good news, the US and other countries already battered by the rising prices of oil, have finally stirred to increase local oil production and explored and tested other sources for energy with positive results.

To reinforce this development, the US Energy Administration Information (EAI) reports that imports will fall because of increased domestic production and the use of ethanol and other biofuels.  EAI also projects that by 2016, the US will be able to save per day, some two million barrels.  To be energy independent, the US has explored all possibilities to reduce oil imports and this is just a beginning to break free from this nerve and brain numbing position.

Face it, even if the US is able to tap local sources, it won’t still be enough to sate the ever growing demand for gasoline.  The transportation industry for one will be paralyzed and huge losses will be incurred.  Think of the countless other industries that hugely depend on oil and refined fuels on a global scale!

It’s Time to Act

The high and mighty on the Hill may put their heads together but still the numbers are stupefying.  There is no magic bullet that can solve this mess or dependence on imported oil.  But things can be done to wean the country away from this dependence, although results cannot happen overnight.  On your end, you might think that making your home energy efficient can cost you packets and it becomes a lonely battle if others don’t follow your lead.

The proposal to use liquefied coal or ethanol sounds feasible but unfortunately it will take years before these can be commercially produced and meanwhile demand for imported oil will continue to rocket.  Furthermore, there is no assurance that there will be enough profit from liquefied coal or ethanol or oil shale from which low-grade hydrocarbon can be extracted.

But here’s something to chew on — the US government is encouraging the populace to resort to solar and wind energy to energize their homes and industries.  Participation is rewarded with tax rebates on the purchase and installation of solar panels and wind turbines.  Solar and wind energy is renewable - and does not pollute the air.

It will take years before the populace and industries come to heel and adopt new energy resources that are available to them.  It is also time for the US government to divert its finances to better uses and explore more options to be energy independent and create more jobs for its people.  That’s the real score.