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7337773
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Statement by the President regarding energy issues [Ford Speech or Statement]
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7337773
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Statement by the President regarding energy issues [Ford Speech or Statement]
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White House Press Releases (Ford Administration)
Press Releases
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1975-01-21
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1975
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Digitized from Box 7 of the White House Press Releases at the Gerald R. Ford Presidential Library
FOR IMMEDIATE RELEASE
JANUARY 21, 1975
Office of the White House Press Secretary
THE WHITE HOUSE
STATEMENT BY THE PRESIDENT
Before we go into the questions, I would like to take a moment to briefly review
with you several critical energy issues.
The energy decisions I announced as a part of my State of the Union Address
resulted from the most comprehensive review this Nation has ever made of
its energy problems.
This study demonstrated that there are only three basic alternatives. The first
is to do essentially what we have been doing. I have rejected this because, if
we follow that policy, we will be importing 25 percent more oil by 1977. By
1958, we will be dependent on foreign sources for more than half of our oil.
This would subject the economy of the United States to very serious disruption if
these supplies were once again curtailed. The embargo of 1973 occurred during
a period when a little more than one-third of our oil came from foreign sources.
The disruptions we suffered then were just a small taste of what would likely
happen in the event of another embargo when we would be far more vulnerable.
Some have suggested rationing as the second alternative. I can understand why
many in Congress, and elsewhere, are attempting to find a solution which does
not entail sacrifice and hardship. But there is no easy solution. I never
promised one.
I believe that those who propose rationing do not have a clear understanding of
what their plan would entail for the American people.
Many of us, of course, remember rationing during World War II, and I have no
doubt that this Nation is capable of sustaining a rationing program during a
short emergency. However, to really curb demand, we would have to embark
on a long-range rationing program of more than five years. Those favoring ration
ing must be thinking of a short-term program, not a serious long-term effort to
end energy dependency.
Further, there is simply no way to reach our goals by rationing. Rationing pro-
vides no stimulus to increase domestic petroleum supply or accelerate
alternative energy sources. By concentrating exclusively on gasoline rationing
many other areas for energy conservation are overlooked.
In addition to being ineffective, gas rationing is inequitable. Even a rationing
system that is designed with the best mo tives in mind and implemented by the
most conscientious administrators would not be fair. If you were to go around
the country and ask individuals what they should get under a "fair" rationing
system, you would find that there would simply not be enough gasoline to go
around. In fact, to reach our 1975 goal of reducing oil imports by one million
barrels per day, a gas rationing system would limit each driver to an average
of less than 9 gallons a week.
Incruities would be everywhere -- how would people in remote areas of the
country get enough gas to drive into town? How would farmers get enough gas
to harvest their crops? What would happen to people who must drive a long
way to work? And who would make those decisions?
MORE
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It is essential that we recognize the size of the problem which we are attempting
to solve. As a consequence, we must evaluate each energy program to see
whether, in fact, it confronts -- and solves -- the problem. It does us little
good to impose rationing or a gasoline tax or simply shutdown gas stations on
Sunday. These will not give us energy independence. The alternative I
have chosen relies on freedom of individual choice, giving people and businesses
an incentive to save energy. That is the only way to achieve our energy
goals. The need for action now is clear.
Therefore, later this week I will sign a Presidential Proclamation which will
set in motion the most important and far reaching energy conservation program
in our Nation's history. It is the first step toward regaining our energy
freedom.
We must reverse our increasing dependency on imported oil. It seriously
threatene our national security and the very existence of our freedom and
leade rship in the free world.
The Proclamation is designed to impose higher fees on imported oil which
are equitable and fair. For example, it will contain special provisions to
avoid undue hardships on certain regions of the country, -- such as the
Northeast which are heavily dependent upon high-cost foreign oil. On
Thursday, I will meet with the governors of the northeast states on their
special problems.
However, it is absolutely critical that Congress act quickly if we are to achieve
energy independence. The increased revenues which the government wi 11
collect from energy taxes must be returned to consumers and businesses
through my proposed tax cut. To insure speedy enactment of the program,
I will work with Congress.
I will not sit by and watch this Nation continue to talk about an energy crisis
and do nothing or take half-way measures which will not change the direction
that has put our Nation in this position. We have the resources in this country,
the technological capability and the spirit to regain our energy independence.
I will use all of my powers as President to make certain that we succeed.
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