Iran war brings questions on Trump's focus on fossil fuels
The average cost for a gallon of gas on Long Island was $3.52 on Saturday, up from $2.85 a month ago, according to AAA data. Credit: Bloomberg/David Ryder
WASHINGTON — President Donald Trump’s strikes on Iran and ensuing oil price increases are reigniting a debate over the wisdom of ramping up domestic oil drilling while deemphasizing renewable energy sources.
Clean energy advocates say the conflict in Iran — which has increased oil prices by 40% globally since the U.S. and Israel launched a joint strike on Feb. 28, according to industry monitor GasBuddy — underscores the need to reduce the country’s reliance on oil and gas by investing in renewable energy sources. But Trump and Department of Energy officials maintain that the strikes on Iran will be short-lived and energy prices will quickly stabilize.
Trump this past week authorized the release of 172 million barrels of oil from the United States’ strategic petroleum reserve over the next four months, a move designed to address immediate cost concerns, but industry experts note even those moves may only go so far in easing prices at the pump.
"Even with strong domestic production of oil and refined products, gas prices are heavily influenced by the price of crude oil," said Jillian Young, director of public relations for AAA Northeast, the roadside assistance and travel planning service.
WHAT NEWSDAY FOUND
- President Donald Trump’s strikes on Iran are reigniting a debate over the wisdom of his efforts to ramp up domestic oil drilling while deemphasizing renewable energy sources.
- Clean energy advocates say the conflict in Iran underscores the need to reduce the country’s reliance on oil and gas by investing in renewable energy sources.
- But Trump and Department of Energy officials maintain that the strikes on Iran will be short-lived and energy prices will quickly stabilize.
Trump ran for re-election on a platform of "energy dominance" — promising to ramp up domestic oil drilling and lower energy costs. His administration over the past year has increased permitting for oil drilling on federal lands and invested more than $625 million to upgrade coal energy plants. It has simultaneously scaled back federal investment in renewable energy sources like wind and solar, and eliminated tax credits aimed at encouraging consumers to purchase electric vehicles.
But with increasing conflict in the Middle East, oil prices are up, not down. The average cost for a gallon of gas on Long Island was $3.52 on Saturday, up from $2.85 a month ago, according to AAA data.
Young said in a statement that although the U.S. has ramped up its own production, "global supply issues caused by the conflict in the Middle East could cause additional export pressure on the United States as more countries look to different sources to meet their energy needs."
'No shortage of oil'
The head of the International Energy Association said at a March 11 press briefing that despite the disruption of oil shipments from the Middle East over security concerns, supply shortages are not the main driver of cost increases.
"There is no shortage of oil globally. The issue is the dislocation," said IEA executive director Fatih Birol.
Adrienne Esposito, executive director of the Citizens Campaign for the Environment, a Farmingdale based nonprofit, said the current "volatility in the energy market is a prime example of why wind and solar need to be part of our energy mix, because they're not subject to geopolitical circumstances or wars."
"The bottom line here is that we have to diversify our energy portfolio and include solar and offshore wind because it stabilizes the rate base," Esposito said in a phone interview.
Esposito criticized Trump for demanding that lawmakers eliminate the 2008 electric vehicle tax credits as part of the mega tax package Congress passed last summer, saying the current spike in gas prices points to the need to promote the use of E.V. and hybrid vehicles.
"If you really believe in helping Americans and creating a stable, affordable energy market, you would use an all-of-the-above formula, which means including these renewables that we know work," Esposito said.
Electric vehicles
Previously the federal government offered a $7,500 tax credit for the purchase of a new e-vehicle and $4,000 for a used vehicle. But Trump has argued the credits were "wasteful" spending, and last year he issued an executive order rolling back a Biden-era policy that had set a goal for 50% of new vehicles to be electric by 2030.
Trump argued that consumers, not the government, should set the demand for the vehicles. "You'll be able to buy the car of your choice," Trump said last year in his inaugural address when speaking about eliminating the electric vehicle goals.
The president's supporters say that while there may be some immediate pain at the gas pump, they believe Trump’s push to dismantle Iran’s long-standing anti-American regime will ultimately pay off by diminishing a national security threat.
"As time goes on, as things start to fall into place, the fruits of [the administration’s] labor are really going to show. But it never happens overnight, and you got to give it the time," said John Jay LaValle, the former Suffolk GOP chairman who for the past year worked for the Department of Energy as a liaison between the agency and the White House.
Asked whether the conflict pointed to the need to include more clean energy development in the country's energy portfolio, LaValle said in a phone interview that Trump is choosing to prioritize national security because "if Iran gets its hands on a nuclear weapon, then New York City and Long Island would no longer exist."
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