December 10, 2010 09:35 PM UTC

Colorado Leads National Average in New (& Old) Energy Jobs

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• by: ClubTwitty

A new report out by the Colorado Energy Coalition shows that energy jobs created in Colorado grew at a much faster rate than the national average, according to an article by Cathy Proctor in the Denver Business Journal.   This is especially true in the clean energy sector, which saw an increase over the last year of nearly 9% versus less than 1% nationwide.

The report also puts holes in the silliness which believes that protecting our land, water, wildlife and communities is chasing roughnecks and miners out of the state, according to the Business Journal:

Colorado’s direct employment in coal, oil and natural gas grew by 20.6 percent between 2005 and 2010, compared to a 11.9 percent growth nationwide, according to the report, titled “Resource Rich Colorado.”

In the article, a spokesman from the Metro Denver Economic Development Corp., which directs the Coalition, cites not regulations or a lack of drilling sites as the primary obstacles to growing Colorado’s energy economy, but the need for investment in education and infrastructure.

Meanwhile, of course, natural gas remains glutted resulting in low prices at market.  Shale plays back east and an abundance from other sources across North America means it’s simply not as profitable as it was a few years ago to drill the tight sands of the Mountain West.  The Marcellus, for instance, costs a fraction to develop as drilling in the Piceance.  

Not that any of this is keeping the fossilized gang from calling for more access to public lands, weaker regulations, and greater tax breaks.  

Also on the tubz today, the Western Energy Alliance, an industry group, has issued a Chicken Little report on oil and gas leasing on federal lands in six western states (including Colorado), claiming it has declined by 79% since 2005.  

The article in Platts-an energy news service-fails to mention that energy companies have massive acreage in the West already under lease, most of which has yet to be put into production.  

In Colorado, for instance, some 70% of the federal mineral estate already leased is not yet developed. Much of this is in the heart of the Piceance Basin, in areas with a high likelihood to produce. Williams alone-still one of the region’s most prolific drillers-had a ten-year stockpile of lands already under its control at the height of the boom, when drilling was occurring at a faster rate.

Nor does the article mention that natural gas prices are down substantially since the production heydays and under the lease-everything regime of the Bush administration.  This is the public’s estate we are speaking of, after all, and selling off our resources now at bargain basement rates is a rip-off for everyone but the oil and gas industry.  

Demand is low (supply is high) and rates are cheap-surely the prudent steward of the taxpayers’ treasure would hang onto what are likely to be valuable resources in the not-too-distant future, rather than dump them now when the return is low.

Nonetheless, expect to hear more on the ‘gut regulations’ and ‘drill all of the above’ front, as prominent Colorado Republicans spin through the revolving door to go to work for the industry and born-again sagebrush rebels take the helm of relevant House committees.  

In Garfield County industry has been busy, not only drilling at substantial rates, but also challenging neighborhood groups and health studies, even as people suffer the consequences

The Invisible Hand: So convenient when you need to, say, shove people off unemployment insurance. But not so useful when it actually cares to sort through the ledger.  

To recap: the energy industry is doing fine in Colorado, better than in most states.  Our old-school resources are being developed, and-to a large degree as the ‘Hand’ directs-at the pace the market allows, all things considered.  More exciting, new energy resources-those of the future-are also being researched and developed here in Colorado.  A part of our New Energy Economy, one of our outgoing governor’s greatest achievements .  

Meanwhile, responding to those cherished market principles, the federal government-managing the national estate in the public’s trust-is leasing lands and minerals at a slower rate than in boom times under a different administration: Seventy-nine percent less, according to one industry group. Yet leasing revenue only declined by 46%.  Sounds like someone is paying some attention, and getting more value for the public’s resources.  

But still the drill shills complain.  Their representatives in Congress and state houses across the land come hat in hand, demanding more tax breaks and public beneficence.  

With due respect to Mr. Smith, the Invisible Hand-of course-cannot operate without a brain.  Such things as the health of citizens, the safety of workers, the quality of our environment  all have real value that a really ‘free market’ would ponder and weigh.  America cannot afford more handouts to the carbon bosses of old.  Building a new energy future is good for Colorado, even as we continue to sensibly develop the fossil energy of the past, with strong public oversight and meaningful stewardship of all our shared and public resources.