U.S. Energy Policy: Potential Headache in Coming Years

The U.S. energy policy thus far has relied primarily for the vast majority of its energy to come from fossil fuels:  Coal, oil, and natural gas while lawmakers largely give token or nominal support for renewable and alternative sources of energy. This is a dangerous policy to have because all three are exhaustible and finite resources, meaning that at some point there will be high demand and relatively low supply. Some experts are now saying that gas prices will be going up exponentially over the next few years, and this is clearly of great consequence to the current U.S. energy policy of relying on fossil fuels to meet current energy needs and demands.

In particular, the price of gas at the pump is likely to increase exponentially over the next few years.  For example, experts believe "oil prices would surge to more than $120 a barrel before the end of 2012, which could contribute to higher prices for drivers at the pump. John Hofmeister, chief executive of the nonprofit organization Citizens for Affordable Energy and a former Shell Executive, said in a recent interview with Platts Energy that he expects gas prices to hit $5 a gallon by 2012."   What Mr. Hofmeister shows is that oil is a finite resource and with increasingly diminishing supply, it is clearly time that the U.S. energy policy in the coming year find ways to mitigate the coming onslaught of higher and higher prices at the pump.

Therefore, as experts like Hofmeister show, oil prices are likely to go up for the next few years, and consequently there needs to be a serious discussion and dialogue where all individuals become aware that the era of cheap gas is likely over. Right now, therefore, the current U.S. energy policy is going to have a ripple effect for all consumers simply because everytime they fill up their tank of gas they will likely continue to see higher and higher gas prices. The result of higher gas prices means consumers are going to have less money to spend on other necessities such as food and clothing. Clearly, there is no denying that since oil is an exhaustible and non-renewable resource, the quantity in the future is going to be less. How we define future--1 year, 5 years, etc. is a subject of debate among all kinds of experts like Hofmeister. There is no denying, however, that in 2011 and beyond the current U.S. energy policy is likely to be a coming headache for all individuals if nothing is done to rectify the situation from a policy standpoint.

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