Gushing about America's energy future

Article Highlights

  • The IEA is now projecting that U.S. oil production will increase markedly to over 11 million barrels a day by 2020.

    Tweet This

  • Since 2008, U.S. oil production has increased by around 25 percent.

    Tweet This

  • The economic benefits being derived from the U.S. move to energy independence are considerable.

    Tweet This

A triumph of market forces rather than government planning.

In November, the International Energy Agency (IEA) recognized the remarkably positive developments in the U.S. energy sector of the past few years. Not only did the IEA project that U.S. oil production would exceed that of Saudi Arabia by 2020, it also projected that the United States would become virtually energy independent by 2035. However, what the IEA did not do was emphasize how much of this good news has occurred as the result of market forces rather than government planning aimed at securing energy independence.

The IEA is now projecting that U.S. oil production will increase markedly to over 11 million barrels a day by 2020. That should allow U.S. oil imports to decline to 4 million barrels a day from their present level of around 10 million barrels a day. The IEA is also forecasting that the United States will become a major natural gas exporter over the next few years.

Whether or not the IEA’s bold projections materialize, there can be little doubt that major change is underway in the U.S. energy sector. At the start of the Obama administration in January 2009, the expectation was that U.S. oil production would continue its decline of the past two decades and that oil imports would continue to increase. Instead, there has been a veritable boom in U.S. oil and gas production that has already significantly reduced U.S. energy import dependence.

The full text of this article is available at The American's website.

Also Visit
AEIdeas Blog The American Magazine
About the Author

 

Desmond
Lachman

What's new on AEI

Poverty in America—and What to Do About It
image GDP for second quarter: Strong headline, weak innards
image Paul Ryan and the emerging conservative reform agenda in higher education
image Democrats' impeachment fixation
AEI on Facebook
Events Calendar
  • 28
    MON
  • 29
    TUE
  • 30
    WED
  • 31
    THU
  • 01
    FRI
Tuesday, July 29, 2014 | 10:00 a.m. – 12:00 p.m.
Is Medicare's future secure? The 2014 Trustees Report

Please join AEI as the chief actuary for Medicare summarizes the report’s results, followed by a panel discussion of what those spending trends are likely to mean for seniors, taxpayers, the health industry, and federal policy.

Friday, August 01, 2014 | 10:30 a.m. – 12:00 p.m.
Watergate revisited: The reforms and the reality, 40 years later

Please join us as four of Washington’s most distinguished political observers will revisit the Watergate hearings and discuss reforms that followed.

No events scheduled this day.
No events scheduled this day.
No events scheduled this day.
No events scheduled this day.
No events scheduled this day.
No events scheduled this day.

Don't Miss...