Question 5: Mr. Roscoe Bartlett (D-MD)
Summary: Peter Brooks of the Heritage Foundation made the observation that all the oil producing countries in the world except Saudi are now tapped out. That only Iraq has ability to surge in oil production. Do you think he is correct?
(question summary by incap)
Play Audio
Response from General Wesley Clark
Transcript by Melange
I haven’t done a detailed study of the oil industry in the last couple of years but just from my reading there are still reserves that are out there, it’s a question of price and whether investors believe that the price of oil will stay high enough to justify tapping those reserves. So what we’ve seen in the past is there is significant price elasticity on the supply of oil that if the price stays high we’ll get more oil.
Response from Richard Perle (not transcribed but available on audio)
Question 6: Mr. Roscoe Bartlett (D-MD)
Summary: In the 40’s and 50’s, M.Q. Hubbard predicted peak oil production in 1970’s in US. In 1973, he predicted that world oil production would peak in 2000. Observers now believe peak oil production has occurred. India and particularly China are heavy users. If it is true that the world has reached peak oil production, shouldn’t we be considering the geopolitical ramifications of that?
(question summary by incap)
Play Audio
Response from Richard Perle (not transcribed but available on audio)
Response from General Wesley Clark
Transcript by Melange
If I could just add to that, I think that we do need a wholesale look at the energy policy and its geopolitical ramifications in this country.
We need a comprehensive energy policy that will move us towards less reliance on hydrocarbons that are imported in this country, using renewable energy, emphasizing renewable energy sources, conservation and other energy sources.
We could do a lot and we need to – it’s an important component of national security and our economic well-being in the future.
