Article Excerpt
We often hear that energy is the lifeblood of our economy and that is quite true. Our economic growth and our economic and social well-being depend on safe, affordable and dependable supplies of energy. Fortunately, we have had that, for the most part, throughout the history of our nation. It's a major reason for America's success through the years. And as leaders of the energy sector we have a tremendous responsibility to see that it continues. But we cannot make sure it continues by doing things the way we have always done them. The status quo clearly is not working.

A dominant theme in today's headlines is high energy prices, especially for gasoline and other transportation fuels. High energy prices are straining family budgets and the profits of many companies and keeping businesses from creating as many new jobs.

So, the big question these days, if you're the Secretary of Energy, is, "What are we doing about the problem of high energy prices?" Well, I submit that high energy prices are not the problem. High energy prices are a symptom of the problem. The real problem is very large, very complex, and has been years in the making.

A simple explanation of this very complex problem is that we're using energy faster than we're producing it. Economies and populations around the world are increasing rapidly and the demand for energy is rising accordingly. This is why we are working to develop new sources of energy and pursuing energy-efficiency and conservation measures as major components of our energy policies. But despite our efforts so far, demand continues to grow and our means of energy production are having an ever-harder time keeping up. This is especially true with the oil supply. Petroleum, because it is virtually the only fuel for the rapidly expanding transportation sector, is the world's most critical energy resource. It is also the most vulnerable.

Up through the 1960s, the United States produced all the oil it needed and exported large amounts to other countries, which helped fuel our nation's economic growth. But, since U.S. oil production peaked in the 1960s, we began depending more and more on imports. We import 56 percent of our oil today and it's projected that we'll be importing 68 percent by 2025.

So an increasing percentage of the oil revenue that had...

NOTE: All illustrations and photos have been removed from this article.
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