Press Releases

Congressman Roscoe Bartlett Participates in Future of Energy Field Hearing

Washington, Feb 29 -

Congressman Roscoe Bartlett participated in a future of energy field hearing in Houston, Texas on February 29, 2009. The hearing was held by the House Science and Technology Subcommittee on Energy and the Environment. Congressman Bartlett is a senior member of the House Science and Technology Committee and one of three scientists in the Congress. He is also the cofounder and cochairman of both the Defense Energy Working Group and the Congressional Peak Oil Caucus. A copy of his prepared opening statement is below.

HOUSE COMMITTEE ON SCIENCE AND TECHNOLOGY
SUBCOMMITTEE ON ENERGY AND ENVIRONMENT

Hearing on “Energizing Houston: Sustainability, Technological Innovation and Growth in the Energy Capitol of the World”

February 29, 2008

10:30 a.m.

James A. Baker III Institute for Public Policy

Rice University

Opening Statement

Congressman Roscoe G. Bartlett

I want to thank my colleague Chairman Lampson for organizing this hearing. I believe energy is the biggest challenge facing our country and the world in the 21st Century. When I was first elected to Congress, I believed that the great wisdom in our country lies outside of the Route 495 Beltway that encircles Washington, DC. That is a belief that has been strengthened during my 15 years serving the citizens of the Sixth District of Maryland in the House of Representatives. We have a distinguished group of witnesses. I appreciate each of you taking the time to provide us with your perspectives about how the energy industry and cities like Houston are working to address challenges in areas such as energy supply and security, global climate change, and rapid economic growth.

I began studying energy and prospects for future oil supplies when I was a Professor 40 years ago. As a scientist, I knew that oil is forever. I wondered when should I worry about oil running out? In a thousand years? A hundred years? I didn’t know then. Evidence has steadily mounted that we are near the “peak” or half-way point -- about 150 years -- into what may come to be known as the Age of Oil. I have been talking frequently about peak oil in speeches and hearings and conferences since 2004.

With oil over $100 a barrel and near it’s all-time high price and over $3.00 for a gallon of gas, many other people are concerned about energy.

I am particularly pleased that Bob Hirsch is here to discuss the ramifications of global peak oil which will cause a shortage of liquid fuels for transportation with unprecedented negative consequences for the United States and the world. Bob is the principal author or co-author of two separate studies since 2005 that warned of imminent danger and an urgent need for dramatic policy changes to mitigate the consequences of global peak oil. Those studies were commissioned and ignored by our own Department of Energy. Two other separate studies by the U.S. Army Corps of Engineers and the National Petroleum Council have also warned about an uncertain future for expanding oil supplies.

I took note that Mr. John Hoffmeister, President of Shell Oil Company, said in his prepared testimony, “We are balanced on a razor’s edge of growing demand and tightening supply.” You also wrote in your testimony of your concerns about “the more than five-fold increase in the amount of alternative fuels, such as ethanol” in the new energy bill. I share these concerns. I voted against the Energy bill precisely because of this very unwise mandate in the Renewable Fuels Standard that was added by the Senate

Mr. Hoffmeister’s testimony reminds me of a January 22, 2008 “Shell Energy Scenarios” letter by Jeroen van der Veer, Chief Executive, Shell Oil that was sent to all Shell employees and posted on the Internet. Mr. van de Veer wrote, “We are experiencing a step-change in the growth rate of energy demand due to population growth and economic development, and Shell estimates that after 2015 supplies of easy-to-access oil and gas will no longer keep up with demand. As a result, society has no choice but to add other sources of energy.”

Since October 2007, chief executives from Total, ConocoPhillips and Hess have expressed similar doubts about the ability of future supply to keep up with rising world demand.

Just yesterday, Deutsch Bank issued a new report, “The 100mb/d peak oil market.” This report focused on economic impacts if world production increased from the current 88 mb/d to a plateaued level of 100 mb/d. This is very interesting speculation to me because the International Energy Agency and our Energy Information Agency have both previously documented that world oil production has been flat for the past 30 months. Deutsch Bank found easy prospects for demand to rise to 100 mb/d in 2015 while prospects for supply to reach that level were much lower because of declining production from mature fields. The report noted, "Even with today's 5% decline rate, to sustain a 100mb/d oil market will require some 8mb/d of new annual supply growth, a level that has never been achieved.” The report outlined economic factors for its conclusion that oil prices are likely to run up to $150/barrel before a recession in the US or China and demand destruction would cause oil demand to falter.

I am really glad to be here in Houston. I look forward to invigorating and informative exchanges with my colleagues and the witnesses. Thank you again for your participation.

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More details about the hearing are available through the Energy and Environment Subcommittee at http://www.science.house.gov/publications/hearings_markups_details.aspx?NewsID=2102