Notes Written in Oil

Some points about the ongoing dispute over oil drilling off the California coast:

--Oil companies are cutting back their exploration budgets because of the drastic drop in oil prices. Do not, however, expect the industry to ease its demands for leasing of California offshore tracts from the U.S. Department of Interior. “Sound national energy policy would open the most promising federal lands--offshore and onshore--to leasing on a continuing, adequately sized schedule,” the American Petroleum Institute says.

--There is danger in the oil glut because it can entice the nation into forgetting that the cheapest and most efficient energy program is conservation.

Meanwhile, the Reagan Administration defies all logic by suspending the storage of more crude oil in the strategic petroleum reserve when foreign oil is so cheap.

--Welcome Gov. George Deukmejian back into the fold, for now. He has joined Atty. Gen. John K. Van de Kamp in threatening to sue the Interior Department if it proceeds with plans next month to solicit oil-industry interest in leasing off the Southern California coast before adoption of its new five-year leasing program. Earlier, Deukmejian joined industry forces by appealing to Congress to lift its moratorium on leasing environmentally sensitive areas off the coast.

Deukmejian can confirm his interest and concern by supporting legislation by state Sen. Gary K. Hart (D-Santa Barbara) to give local governments a voice in leasing decisions affecting their areas. The governor vetoed a similar bill last year as unnecessary. The U.S. Supreme Court since has ruled that preliminary leasing plans do not have to be reviewed by the California Coastal Commission. This makes it even more critical that local areas have some input.

--Beware Interior Department pledges of environmental protection. Interior has proposed a revision of offshore oil- and gas-drilling rules, including “elimination of outdated requirements where experience has shown they are not needed to ensure safety and protection of the environment.” The new rules should be carefully screened by California public agencies before they are adopted.

It is worth noting that the Oil & Gas Journal, which generally echoes the industry viewpoint, said in an editorial in its March 17 issue that the Reagan Administration had taken the position that “leasing and drilling pose serious environmental threats.” This was news to environmentalists who see the Administration pursuing oil leasing without enough concern for the environment.

--Finally, Californians should know that it is not just environmentalists and local government officials who are seeking to block drilling in many coastal areas. Of more than 11 million acres of outer continental shelf proposed for leasing in recent years, more than 7 million acres off the coast of Orange and San Diego counties have been put off limits for alleged military security, because of maneuvers conducted west of Camp Pendleton.

To be continued . . . .