Carson oil refinery on August 7, 2006, in Carson, California. (David McNew via Getty Images)

In RealClearEnergy, Hudson Senior Fellow Brigham McCown, director of the Initiative on American Energy Security, explains that the United States needs a realistic domestic policy centered on energy for the country to have an effective foreign policy.

Key Insights

1. America’s Energy Independence Boosted Prosperity

Thanks to both innovative extraction methods for fossil fuels and a boom in renewables, the US reached near energy independence by 2019. That independence brought available, reliable, and affordable energy, which helped return manufacturing jobs to the US. It also eased consumers’ pocketbooks directly and indirectly by lowering the price at the pump while making consumer goods and industrial supplies less expensive. Moreover, low energy prices strengthened the economy and inoculated the country from global instability. It removed a lever for our geopolitical enemies to exploit. They say that the best defense is a good offense, and the best foreign policy is good domestic policy. That starts with energy security.

2. Poor Policy Choices Threaten America’s Energy Security

The recent volatility in energy prices was entirely preventable and directly resulted from poor policy choices. Restrictions and burdensome permitting are hamstringing both fossil fuels and renewable deployment. Energy-thirsty supply chains are raising the cost of goods and resources. All the while, many fear imminent harm as temperatures drop. But it does not have to be this way. America hosts some of the deepest and most diverse reserves of natural resources of any nation. From fossil fuels to nuclear and rare earth elements necessary to produce renewables, from vast flat plains to wind-brushed coasts, we have the means of energy independence entirely within our grasp.

3. For America to be an “Arsenal of Democracy,” It Needs a Better Energy Policy

The future belongs to a new generation of energy, predominated by renewables and alternative energy already in use, such as hydropower and nuclear. But today’s shortages cannot be dismissed. Today and in the near term, the fastest route to energy is tapping our reserves and promoting the exploration and production of oil and natural gas. By showing strength at home, America is better equipped to aid our allies while increasing our footing to ward off would-be adversaries. American energy security is integral to being an “Arsenal of Democracy.” But this can only occur when the current administration understands it has a role to play in promoting a true “all of the above” approach to energy. Throwing stones at the fossil fuel industry is unwise and creates uncertainty. Regulations aimed at kneecapping the industry intentionally create ambiguity about the viability of investing in additional capacity. This uncertainty has deliberately raised financial risk in capital markets required to finance other production and the infrastructure needed to transport it to the market.

Quotes may be edited for clarity and length. 

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