Monday, February 28, 2022

Impoverish Russia by Drilling for Oil

The biggest export from Russia is oil and natural gas.  In 2015, that constituted about 60% of exports.  As the price of oil rises, Russia's economic fortunes improve.  The same goes for the Middle East.  Oil producers love when the gas price goes up.   As we know that Russia is enriched by high oil and natural gas prices, it follows that we should try to keep the prices as low as possible.  Heck, if we could drive the price down far enough, we might even make it unprofitable to continue producing oil.  Can we do that?  Yes.  A couple of years ago, the US was a net exporter of energy, for the first time in decades.  Now, we are buying Russian oil!  We are funding Russia.  Why?  Because we canceled the XL Pipeline, we reduced fracking, we're back on the Climate Change bandwagon.  Russia's not on that bandwagon and they are benefiting from our reduced production.  As supply goes down, price goes up.  More profit for Putin.

It has been reported that Russia has funded anti-nuclear and anti-fracking groups in Europe and the US to hamstring competition.  As Europe reduces its ability to provide power for itself, Russia steps in with the Nord Stream 2 pipeline.  Wow, look at that.  Russia and the Middle East benefit immensely when the West limits domestic energy production and thus become beholden to these foreign sources who don't give a damn about climate change.

If we are serious about hobbling Russia, we have to stop buying oil from Russia and return to being a net exporter of energy.  We've done it before, very recently, therefore we can do it again.  Drive those oil prices down and Russia won't be able to afford invasions.

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