Excerpts from Jimmy Carter's speech 18 April 1977
I know that some of you may doubt that we face real energy shortages. The 1973 gasoline lines are gone, and our homes are warm again. But our energy problem is worse tonight than it was in 1973 or a few weeks ago in the dead of winter. It is worse because more waste has occurred, and more time has passed by without our planning for the future. And it will get worse every day until we act.
The oil and natural gas we rely on for 75 percent of our energy are running out. In spite of increased effort, domestic production has been dropping steadily at about six percent a year. Imports have doubled in the last five years. Our nation's independence of economic and political action is becoming increasingly constrained. Unless profound changes are made to lower oil consumption,
we now believe that early in the 1980s the world will be demanding more oil that it can produce.
The world now uses about 60 million barrels of oil a day and demand increases each year about five percent. This means that just to stay even we need the production of a new Texas every year, an Alaskan North Slope every nine months, or a new Saudi Arabia every three years. Obviously, this cannot continue...
Because we are now running out of gas and oil, we must prepare quickly for a third change, to strict conservation and to the use of coal and permanent renewable energy sources, like solar power.
The world has not prepared for the future. During the 1950s, people used twice as much oil as during the 1940s. During the 1960s, we used twice as much as during the 1950s. And in each of those decades, more oil was consumed than in all of mankind's previous history.
World consumption of oil is still going up. If it were possible to keep it rising during the 1970s and 1980s by 5 percent a year as it has in the past,
we could use up all the proven reserves of oil in the entire world by the end of the next decade.
I know that many of you have suspected that some supplies of oil and gas are being withheld. You may be right, but suspicions about oil companies cannot change the fact that we are running out of petroleum...
Each new inventory of world oil reserves has been more disturbing than the last.
World oil production can probably keep going up for another six or eight years. But some time in the 1980s it can't go up much more. Demand will overtake production. We have no choice about that...
Now we have a choice. But if we wait, we will live in fear of embargoes. We could endanger our freedom as a sovereign nation to act in foreign affairs.
Within ten years we would not be able to import enough oil -- from any country, at any acceptable price...
If we fail to act soon, we will face an economic, social and political crisis that will threaten our free institutions.
But we still have another choice. We can begin to prepare right now. We can decide to act while there is time.
That is the concept of the energy policy we will present on Wednesday. Our national energy plan is based on ten fundamental principles...
The fourth principle is that we must reduce our vulnerability to potentially devastating embargoes. We can protect ourselves from uncertain supplies by reducing our demand for oil,
making the most of our abundant resources such as coal, and developing a strategic petroleum reserve.
The sixth principle, and the cornerstone of our policy, is to reduce the demand through conservation. Our emphasis on conservation is a clear difference between this plan and others which merely encouraged crash production efforts. Conservation is the quickest, cheapest, most practical source of energy. Conservation is the only way we can buy a barrel of oil for a few dollars. It costs about $13 to waste it.
The seventh principle is that prices should generally reflect the true replacement costs of energy. We are only cheating ourselves if we make energy artificially cheap and use more than we can really afford.
The eighth principle is that government policies must be predictable and certain. Both consumers and producers need policies they can count on so they can plan ahead. This is one reason I am working with the Congress to create a new Department of Energy, to replace more than 50 different agencies that now have some control over energy.
The ninth principle is that we must conserve the fuels that are scarcest and make the most of those that are more plentiful. We can't continue to use oil and gas for 75 percent of our consumption when they make up seven percent of our domestic reserves. We need to shift to plentiful coal while taking care to protect the environment, and to apply stricter safety standards to nuclear energy.
The tenth principle is that we must start now to develop the new, unconventional sources of energy we will rely on in the next century.
These ten principles have guided the development of the policy I would describe to you and the Congress on Wednesday.
These are the goals we set for 1985:
-Reduce the annual growth rate in our energy demand to less than two percent.
-Reduce gasoline consumption by ten percent below its current level.
-Cut in half the portion of United States oil which is imported, from a potential level of 16 million barrels to six million barrels a day.
-Establish a strategic petroleum reserve of one billion barrels, more than six months' supply.
-Increase our coal production by about two thirds to more than 1 billion tons a year.
-Insulate 90 percent of American homes and all new buildings.
-Use solar energy in more than two and one-half million houses.
We will monitor our progress toward these goals year by year. Our plan will call for stricter conservation measures if we fall behind.
I cant tell you that these measures will be easy, nor will they be popular. But I think most of you realize that a policy which does not ask for changes or sacrifices would not be an effective policy.
This plan is essential to protect our jobs, our environment, our standard of living, and our future...
And we have been proud of our vision of the future. We have always wanted to give our children and grandchildren a world richer in possibilities than we've had. They are the ones we must provide for now. They are the ones who will suffer most if we don't act...
Other generation of Americans have faced and mastered great challenges. I have faith that meeting this challenge will make our own lives even richer. If you will join me so that we can work together with patriotism and courage, we will again prove that our great nation can lead the world into an age of peace, independence and freedom.
http://www.pbs.org/wgbh/americanexperience/features/primary-resources/carter-energy/
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