email Doug                                                                                                        March 2008
 
On two separate occasions, the Chicago Tribune has chosen to feature stories on the front page, above the fold, questioning the expansion and modernization program at BP's Whiting, Indiana refinery. I wrote a letter to the editor in response (below), because Illinois is an energy rich and significant energy producing state. It is in our state's economic interest to promote all forms of energy expansion and modernization to embrace the latest and greatest technology available to encourage continued research and development to promote the growth of energy producing companies in Illinois.
  
Imported Canadian oil is a reliable and plentiful resource to meet our nation's growing energy demands. Contrary to conventional wisdom, Canada is the nation's number one supplier of oil, not Saudi Arabia. Access to this oil is particularly important to Illinois because we are home to four major refineries. Illinois is the fourth largest refining state in the nation, and 70% of Canadian oil production coming to the US makes its way to Illinois via pipelines. New pipelines necessary to bring more of that resource to America are under construction.

Our refineries need to be allowed to modernize and expand their production facilities to accommodate Canadian crude as our nation's energy demands continue to grow. Canada is our most reliable source of oil and it has the capacity to meet our growing demands. Disruption from hurricanes or political turmoil in Africa or the Middle East is lessened due to our access to Canada.

The Illinois Chamber has recognized energy production and distribution as a cornerstone for the state's economy and has been deeply engaged in the many public policy debates and political arguments swirling around the future of environmental and energy related matters. To that end, the Illinois Chamber will launch a new issue council this year: the Energy Council will join the ranks of our other key policy issue councils, and we will devote a full time staff person and other resources to the subject.

My letter begins below:


Your recent front-page article (Refinery Pollution May Soar, February 12) about the growing number of Midwest refineries investing in equipment to refine crude oil from Canada missed an important perspective.  The article focused almost exclusively on environmental challenges while almost totally ignoring the economic and national security benefits of increasing crude oil imports from our friendly neighbor to the north, Canada.

Business, environmental groups and elected officials all need to work hard as individuals and businesses to conserve energy, reduce cO2 output, encourage new alternative energy ventures and innovative new designs and technologies. But we also need to face facts: we’re a country that will need crude oil and coal for the foreseeable future.

For years, people of all political stripes have lamented the dwindling supply of crude oil coming from domestic sources and our growing dependence on oil from less-than-desirable countries.  Because of new economic realities and technological advances, production of crude oil from Alberta’s oil sands is increasing and could continue for years.

A growing source of energy from our most reliable trading partner makes sense. I think environmental non-government groups (E-NGOs) tend to forget the basic facts that our economy needs energy to thrive and for the foreseeable future, fossil fuels will be the primary source.

 The E-NGOs don’t just want to point out environmental challenges; they want to shut down imports from oil sands.  What I haven’t heard is how they intend to replace oil and coal that power our economy. What alternative energy resource is ready to the capacity needed? Should we import more from overseas?

We need a balance here.  It’s not a matter of whether we should take advantage of the increased supply from Canada.  It’s a matter of how we produce, transport and refine the resource in the most environmentally conscious manner possible using the best available technology.

If environmental non-government organizations continue to erect unrealistic barriers to investment in our energy infrastructure and national energy security, perhaps we should acknowledge E-NGO essentially stands for “economic no-growth organizations”.

Message from the President - Copyright © 2008 The Illinois Chamber of Commerce
Deb McCarver, Editor