You're watching...
Manhattan Institute Senior Fellow Robert Bryce and Institute for Energy Research President Thomas Pyle on the factors driving up the price of oil.
Also in this playlist...
Auto-advance: ON
Auto-advance
This transcript is automatically generated
Week ago joining us now to talk about these -- gasoline prices.
Slack demand and ample supply.
And the Obama administration's -- the above energy policy which seems in many quarters to mean none of any.
Available.
Robert -- senior fellow with the center for energy policies and the environment at the Manhattan institute.
Author of the book power hungry the miss the Green energy and the real rules of the future.
Thomas -- the president of the institute for energy research.
Good to have opportunity -- -- both the rear of a Robert you're there and Austin, Texas energy central.
Tell us real -- -- -- why in the world we have to put up with fifteen year low demand.
-- run up in crude oil inventories ample supply and record gasoline prices near record gasoline price.
Well.
Sure that's that's a key issue Lou and I think as your previous guests discussed -- -- a lot of that is the the issue of Iran and that the the fear of of military conflict with the -- But I hope we can also talk about the moment we're gonna run remember Robert Robert don't do that every man yeah.
Oh sorry I didn't and other financial straight forward question you know as your thoughts of others.
But -- I wanna hear from two energy experts on what the Dickens is going on here because this is taking money out of folks pocket.
Time give us give it a shot I mean I can't believe energy experts can't succeed -- say to us why in the world with fifth.
Demanded a fifteen year law.
Supplies at this level that we have to put up with working men and women this country.
Having to pay these prices.
Well I think you have a look at the global demand.
Its -- is going up and other places in Europe and here it's down.
-- -- skyrocketing in Asia and this price as a -- price so even though the price of crude is level.
Frankly I saw this Palin -- I don't know little because it was.
So why are we trying to reduce demand -- -- -- -- messing with this you're saying our destiny is in in our own -- our destiny that we don't have that actually we -- do more here.
By having our government sends strong signals to the market that we are in the number three how -- but we want to be the number one -- Mr.
well look let me I don't know if I can -- that I wanted to -- I would jump in for a second.
What -- the answer is that what what you do -- to happen in the global oil market was that we traded just crude.
Now what's happened in the last decade in particular last five years or so.
And the US is a leader in this trend.
Is that the refined products market is a global market now.
So that that US consumers are vying for the same gallon of gasoline as motorists in moon by Shanghai and brand and Rio di Janeiro so I think this is not weak weak weak if we could we could set.
We -- that the point is.
We cannot set the price the price of oil is always going to be set in the global market and that's what's -- that's what.
We're seeing now that we -- that you're just saying to us that we looked know we have president and I don't think you know -- I -- I think that's what I'm suddenly loves what he's saying he's set by the market each one of us wants to see greater our oil production right we wanna see more acceleration we wanna see more joining.
So how we create the incentives how to we awakened this administration or the next to the reality.
That we're going to reconvene the laws of supply and demanded that we will put the American consumer first because as you.
And I are talking here.
The world is deleveraging.
Right now.
The world -- leverage and -- and we're watching globalization.
Roll back -- and we've got to take control of our own future and no one is talking honestly about that reality personally talk about but -- one million barrels.
A finished a petroleum products and export.
We all agree on the supply issue and we've got anymore in this country right can't.
The other thing we need to do is take a look at the regulations that are being hammered.
Down on the refinery industry -- looking at a rule for example where the refineries have to pay a fine.
Tend to blend a product that doesn't exist in the marketplace yet.
And excellence are -- for the summer and others several plans and a regional and they're all over the place and in the blending issue.
Is is a concern but the bigger concern is these these layers upon layers of -- regulations on the -- and it's -- in.
I think this is -- so you're saying it is time Robert what I hear you saying is we could wipe out all those -- we can get rid of all of those regulations.
And we still would be subject to global.
Demand.
Rather than how well I think all of our own.
Our only natural resources.
And the way in which they are produced refined in the American people aren't aren't we can have a an energy Renaissance in this country it's happening on -- hands right now.
And the industries that follow the main effect -- -- we don't have control of our resource is time absolutely.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Well -- I do agree or disagree rather a little bit with Tom here I think one of the key issues is the issue of boutique and regional blends.
The US has been most balkanized motor fuel market in the world.
We have at least fifteen different blends of gasoline that are used during this during the year.
That amounts to about 45 different grades.
Why are we having this I think this is something that could easily.
B -- addressed by the EPA on or and or the Obama administration.
Simplify logistics and ease the flow of motor fuel throughout the.
Us president gardening yet union organized -- this president's already said he's not gonna come up with a silver bullet a magic solution.
A short term solution in fact the EPA's going out trying to kill the coal industry and terror -- -- Our -- our utilities in this country which are or forty -- 43%.
The depended upon coal as the source board power generation.
What can be done here I mean American people -- it would we're getting we're hit murdered by this administration.
We need a change in direction of the leadership in this country are we need new leadership in this country because if you look at the significant problems in the energy space.
They all tied back to how the government has mismanaging micromanaging.
The energy sector in this country.
Do we as a global.
