U.S. Energy Independence
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U.S. Energy Independence is a hypothetical scenario in which the United States of America would eventually, through policy shifts, become completely self-sufficient in producing at least the amount of energy that it consumed, leaving it largely naive to global energy supply disruptions. Such self-sufficiency, it is claimed, would prevent major supply disruptions, such as the 1973 oil crisis and the 1979 energy crisis from reoccurring. Though the concept of U.S. Energy Independence has more recently been tied to the wider use of alternative energies such as ethanol fuel, biodiesel, alternative propulsion, and a general decrease in consumption fossil fuels (including increasing levels of plastics recycling), it is important to note that some proponents do not consider such a shift a necessary condition for domestic self-reliance.
Some proponents of energy independence who do not favor the broader use of alternative energies look to largely untapped domestic oil reserves, either known or potential. Those who favor the increasing domestic production in this nature often suggest removing many of the limitations on oil exploration in the Gulf of Mexico and the Arctic National Wildlife Refuge (see: Arctic Refuge drilling controversy).
Though many American politicians have recently spoken out in favor of working toward energy independence, the discussion among proponents often overlooks the trade implications, focusing more on means and ends. It is rarely discussed whether the effort would be to make the United States into a net neutral/net exporter of energy, where the U.S. would produce and consume equivalent or less energy than it produces, or instead to make the United States completely self-feeding, where U.S. consumers would purchase energy solely from U.S. producers, either through wide embargos/autarkies or tariffs. The conversation among proponents also often disregards macroeconomic factors, such as incentives for American companies to produce in other nations, which offer access to the other ¾ of global demand and an estimated 97% of global fossil fuel reserves.
Opponents of U.S. Energy Independence argue that a major supply disruption has not occurred for more than two decades, and contend that the movement is one towards isolationism and protectionism. Other contentions include that the movement towards greater acceptance of alternative technologies is being hindered by a protectionist embargo against Brazilian ethanol fuel produced largely from sugarcane (which is argued to be more efficient than the corn-based ethanol fuel which has become common in the United States). However, opponents tend to dismiss the potential for OPEC-initiated supply disruptions in the future. Though the U.S. does produce roughly 40% of the oil that it consumes, the potential for political unrest in other major suppliers, such as Saudi Arabia (15% of domestic consumption), Venezuela (13%), and Nigeria (10%), is abundant, and often moves crude oil prices (especially in the short-term), despite having the risk-potential factored into market prices as a matter of course.