Oil companies require long lead times to plan investments and develop strategies to meet future needs. Regulation of refineries is a case in point. The federal government has imposed layer upon layer of regulations on U.S. refineries without sufficient regard as to how these regulations impact refiners' ability to meet the full range of needs of American consumers. In many cases, companies have simply given up and closed their doors. It has robbed our industry of needed flexibility, leaving our nation vulnerable to serious supply concerns.
Conservation is another important component of a national energy policy.
If we fail to speak up about the energy situation, government will see no reason to correct current problems. And, as these problems worsen, the U.S. oil and natural gas industry will have a much more difficult time in maintaining the trust and good will of the American public as suppliers of available, affordable energy. The opinion research API has undertaken over the past couple of years shows that the American public views us as the supplier of gasoline and other products that provide them with desired mobility and other benefits important to their way of life. However, the lack of an effective, comprehensive national energy policy will make it increasingly difficult for us to meet the public's expectations. This, in turn, will make it much harder in the future to craft a public policy framework that ensures U.S. energy needs are met.