A critical driver of energy challenges "is a U.S. energy policy somewhat detached from reality," said Thomas A. Petrie, vice chairman of Merrill Lynch & Co. Inc., at the IPAA's annual Oil & Gas Investment Symposium in New York. Current energy policy embraces the notion of introducing alternative forms of energy with no realistic timeline and shows a disturbing lack of cohesive, comprehensive planning. "It's hard to open a newspaper without seeing another article about today's energy challenges," said Petrie. "These challenges are enormous, well beyond anything I've seen in decades past." The modern resurgence of environmentalism is exemplified by the popularity of Al Gore's movie An Inconvenient Truth, he said. Some scientists have suggested that the movie may have stopped somewhat short of scientific fact, he quipped. Nonetheless, global warming and environmental alarmism is a political reality, typified by the recent U.S. Supreme Court decision on C02 emissions regulations. Both corporate and national energy companies are taking into account a new generation of politically savvy constituents. They should be prepared with acceptable conservation and alternative fuel, he said. For more on this, see the June issue of Oil and Gas Investor. For a subscription, call 713-260-6441.

Comments