New Carter plan places emphasis on synthetics

Journal Article · Mon Jul 23 04:00:00 EDT 1979 · Oil Gas J.; (United States)

OSTI ID:7037982

Bachman, W A

President Carter, in his latest energy plan of a series stretching over 2 yr, proposes to reduce US imports by 4.5 million bpd in the next 10 yr and to finance a massive $142-billion conservation and synthetic fuels program with revenues from the proposed excise tax on decontrolled crude oil. The President left price controls on gasoline and, via the proposed excise tax, on crude oil as well. He proposed to use most of the revenues from the excise tax to finance oil substitutes costing $25 to $35/bbl for oil shale and from $27 to $45/bbl for synfuels from coal while holding net prices to crude-oil producers to a fraction of those costs. Presidential aides insist that, even with the excise tax, producers still have adequate incentives to drill for new reserves, but they also concede that US production will continue to decline. The conlusion is that refiners will face an uncertain future of crude shortage in which competing for supply, through import quotas and allocation of domestic crude, will be the principal mode of operation. The President's new strategy was greeted with many misgivings by US oil men, business executives, and some economists. It is sure to face some changes in Congress, which must approve authorizing legislation.

• OSTI ID: 7037982
• Journal Information: Oil Gas J.; (United States), Journal Name: Oil Gas J.; (United States) Vol. 77:30; ISSN OIGJA
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
021000* -- Petroleum-- Legislation & Regulations
29 ENERGY PLANNING, POLICY, AND ECONOMY
290200 -- Energy Planning & Policy-- Economics & Sociology
293000 -- Energy Planning & Policy-- Policy
Legislation
& Regulation
294000 -- Energy Planning & Policy-- Fossil Fuels
BITUMINOUS MATERIALS
CARBONACEOUS MATERIALS
COAL
ECONOMIC POLICY
ENERGY CONSERVATION
ENERGY POLICY
ENERGY SOURCES
FOSSIL FUELS
FUELS
GOVERNMENT POLICIES
IMPORTS
MATERIALS
NORTH AMERICA
OIL SHALES
PETROLEUM
PRICING REGULATIONS
REGULATIONS
SYNTHETIC FUELS
TAXES
USA