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Background
The Persian Gulf, with roughly two-thirds of the
world's oil reserves, is not only the world's primary source of energy, it is a diverse
cultural and historical ecosystem that cannot be seen through the lens of energy alone.
The United States must engage in culturally sensitive, appropriate development and
trade with Arab Gulf states to create sustainable development, jobs, income distribution,
and prosperity to stabilize the region.
Recommendations
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Stop useless and economically nonsensical discussions
about "changing U.S. energy imports to sources outside the Arab Gulf". A
fungible commodity market is like a freshwater lake, no matter where you dip your cup, it
is the same water and the ripples spread everywhere.
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Destroying America's natural habitat in the Arctic
National Wildlife Refuge (ANWR) and the continental shelf for a few drops of new petroleum
that would then be exported to China does little to expand global energy reserves,
and much less than sensible demand reduction.
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Refocus the debate on domestic demand. A 66%
increase in fuel efficiency is now possible. However, US SUV and light truck
subsidies have destroyed market incentives for fuel efficiency.
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Be prepared to sell military capacity to Gulf states to
secure and protect the Arab Gulf oil infrastructures against terrorist groups such as
al-Qaeda that may attempt to seize or destroy them. Discount Israeli lobby chaff,
and let states closest to the threat defend their own interests.
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Exit Iraq as soon as possible, leaving behind a stable,
secure, and corruption free state petroleum ministry willing to develop resources in the
most transparent and beneficial way for Iraqis.
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Engage Iran's export oriented energy strategy and tone
down the "axis of evil" rhetoric. Find a way to support Iran's domestic
nuclear energy program while removing regional factors signaling that states should
acquire nuclear weapons as deterrence to invasion.
Talking Points
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The discredited US pretexts for the Iraq invasion and the
Cheney energy task force have made many global energy consumers suspicious of US
intentions in Iraq. A smooth exit that allows the energy market to function
naturally will do much to ally fears and enhance American "soft power" in the
world.
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The 2004 Jobs Creation Act can now be seen as executive
branch and congressional folly: promoting gas guzzling SUV's and light trucks and
distorting the domestic vehicle market has reduced feet efficiency to 1960's era
levels. Letting market forces signal consumer and commercial vehicle purchases
requires a "hands off" regulatory approach in Congress and the Executive branch.
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Saudi Arabia is not only the biggest exporter of oil, but
also the US's largest trading partner in the region. Shutting down US Saudi Trade
and commerce through the "Accountability Act" and other ZOA led initiatives
damages relations and could destroy a quarter million jobs in the US supported by exports
to Saudi Arabia. Congress must be careful that their invective, vitriol and
pandering to Israeli lobbies does not derail real US interests in trade and regional
relations.
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Institute for Research Middle
Eastern Policy, Inc. (IRmep)