In a letter to Sally Jewel, the governors enlisted her support of their quest to “prudently take advantage of abundant off-shore resources.” They said energy production from the Atlantic’s outer continental shelf would create 140,000 jobs within the next 20 years.
“During your nomination hearings, we will be listening intently to your answers regarding energy exploration off the coasts of our states and hope you will signal your willingness to revise the administration’s current policy to one that is committed to safely harnessing our coast’s vast natural resources,” the governors wrote.
President Obama selected Jewell to succeed Interior Secretary Ken Salazar, who is stepping down in March. She is the president and chief executive of Recreational Equipment Inc. and an outdoor enthusiast.
Waters off Virginia were first in line for oil and gas exploration with the scheduled sale of leases in 2012, but Obama delayed the sale until 2017. The delay came after the 2010 BP oil spill that killed 11 men and led to millions of gallons of oil spewing from an undersea well in the Gulf of Mexico. It was the worst offshore oil spill in U.S. history.
South Carolina Governor Nikki Haley has said an accident shouldn’t stop the drive for drilling. If “there’s a plane crash, we don’t stop all the planes from flying,” she said.
Virginia Governor Bob McDonnell, who has made energy independence a cornerstone of his administration, has repeatedly urged the administration to reconsider the delay, arguing that the industry and government regulators who oversee it have learned valuable lessons from the spill that will reduce the risks of a future accident at sea. The government believes the Virginia leasing area could produce 130 million barrels of oil and 1.1 trillion cubic feet of natural gas. Environmentalists have said that will provide the U.S. with six days of oil and 18 days of natural gas, and it’s not worth the risks.
“There just isn’t much oil out there,” said Jackie Savitz of the environmental group Oceana. “Even opening up all U.S. coasts to drilling won’t lower the price of gas more than a few cents per gallon, and not until 2013.”
The industry has questioned the oil and gas estimates, which they say are based on decades-old seismic studies. They said advanced testing techniques will likely discover more reserves.
McDonnell has argued the administration should at least allow testing.
Jewell’s nomination must be approved by the Senate.