Powerless against nature

TELEVISION NEWS PROGRAMS have conveyed the havoc and the heartbreak caused by Hurricane Katrina in New Orleans and surrounding areas. Thousands are missing or dead, millions have been forced from their homes and billions of dollars worth of property has been destroyed. And a city with a rich history now finds most of its neighborhoods awash in contaminated water.

The devastation is so great, the problems spilling into states outside Katrina’s path seem trivial. But over the next several months, they are sure to take a toll as well. Among the most notable impacts is the reduced supply of gasoline, fuel oil and natural gas, which in turn increase the pressure for a more sensible national energy policy.

The United States is heavily dependent on the Gulf for energy -- it accounts for more than 25% of the oil and about 20% of the natural gas produced here, and its offshore facilities handle about 10% of the oil imports. The hurricane not only cut off nearly all the oil and gas production and the imports, it shut down eight major refineries and many important pipelines. One of those pipelines reopened Wednesday, but it remained unclear how long the rest of the Gulf’s energy infrastructure would remain sidelined.

Gas stations reacted immediately, boosting prices in some areas well above $3 per gallon. Although wholesale prices dropped back a bit Wednesday, some analysts predicted that most drivers would be paying $3.50 per gallon within weeks.

An extended run of record-high gasoline prices could be devastating to the economy, as higher energy bills force cutbacks in other spending.

We may be able to dodge that bullet, though, if the administration and foreign suppliers can fill the gap in crude oil supplies and the Gulf refineries can be brought quickly back to life. The Bush administration has offered to loan oil companies crude from the Strategic Petroleum Reserve, and it tried to increase the supply of refined fuel by easing the air-quality requirements for gasoline sold outside California.

More insidious is the impact on natural gas, which fuels about 40% of the electricity generated in California. Wholesale prices have already jumped 16% in Southern California, and those increases are sure to be felt by anyone paying for air conditioning.

The disruption of the Gulf drilling platforms and pipelines could mean that less natural gas will be socked away for the winter, when the need is greatest. The country amassed a healthy surplus early this year, but most of that cushion has been consumed by power plants during the unusually hot summer months.

There’s no quick fix for the looming problems with the supply of natural gas. Because there are so few places to stockpile liquid natural gas -- only five in the United States -- we cannot simply import the stuff from a foreign producer to replace what we’re losing from the Gulf. Liquid natural gas storage facilities are controversial; a proposal to put one in Long Beach Harbor has drawn fierce resistance.

Hurricane Katrina has created far more urgent challenges, of course, which President Bush outlined in his remarks to the nation Wednesday. But one of the problems Katrina has exposed is not just the vulnerability of the Gulf’s energy supplies but the need for a comprehensive energy plan that relies on more varied sources of energy.