Re: SC34

http://www.globalpublicmedia.com/articles/836

The Rise of “The Axis of Oil”—Big Trouble for the United States

Just how bad are the geopolitics of energy, from the perspective of the United States?

This morning the Senate Committee on Energy and Natural Resources launched its New Year with an unusual hearing into “The Geopolitics of Oil.”

The consensus conclusion of the witnesses: the United States is in deep, deep trouble, facing the emergence of an “axis of oil” that threatens to recreate the bi-polar world of the Cold War, complete with Russia as a principal actor.

Normally the Committee deals with less weighty matters, like fuel efficiency standards for cars. But the incoming chairman, Senator Jeff Bingaman, decided to go for the big picture, and the big picture is not pretty. There was an almost palpable sense of graveness and alarm that lent a chill to the room...........

..........Having disposed of energy independence, the panel turned to the growing threat to the U.S. as the world’s only superpower. Dr. Leverett laid out a concise history of the rise of “resource nationalism” and “resource mercantilism.” Countries with oil are beginning to use oil for political leverage, like Russia’s cut-off of gas to the Ukraine—resource nationalism.. And national oil companies in oil-importing states are cutting deals with producers outside the commercial market for oil, particularly China and India—resource mercantilism.............

“…there is no economically plausible scenario for a strategically meaningful reduction in the dependence of the United States and its allies on imported hydrocarbons during the next quarter century.” ...................