Remembering the 1973 Arab Oil Embargo

40 years ago Israel fought Egypt and Syria in the 1973 Yom Kippur War.  Israel was on the ropes and needed a resupply from the United States.  Nixon hesitantly agreed to resupply Israel.  This infuriated the Arab World that they instituted a boycott of the West.  In other words, they stopped shipping oil from their hellholes to Western nations.  A move that can happen again.

This fall marks the fortieth anniversary of the Arab oil embargo, a painful episode in American history that had a profound effect on both the economy and psyche of the United States. It began in mid-October 1973, following the US decision to resupply Israel with weaponry after Egypt and Syria launched a surprise attack on Yom Kippur, the holiest day of the Jewish year.

In response to President Nixon’s decision, the Organization of Arab Petroleum Exporting Countries, the Arab members of OPEC, declared an embargo and cut off oil supplies to the United States and its allies.

In the three months after the embargo was announced, oil prices quadrupled from $3 to $12 per barrel. Yes, twelve bucks would be a monumental bargain in these days of $100-a-barrel crude, but back then it sent shock waves through developed country economies.

Meanwhile, the supply disruptions forced motorists to wait for hours in long lines to get gasoline. The US government response was largely limited to attempts to reduce consumption, by lowering the national speed limit to 55 mph and asking people to refrain from decorating with holiday lights, to reduce the use of oil that then powered many generating plants.

During the 1970s, Washington also launched efforts that still continue today. Those efforts would purportedly increase the nation’s energy independence by promoting conservation and energy-efficient appliances, nuclear power, and “alternative” energy development via tax breaks, mandates and subsidies for ethanol, wind and solar energy. Our three branches of state and federal government did very little to expand leasing and drilling, onshore or offshore, in the Lower 48 States or in Alaska; much to block such development; and little to encourage these activities.

In August 1973, just before the embargo, even enacting a law to end incessant lawsuits over the Trans-Alaska Pipeline passed Congress by a single vote (by Vice President Spiro Agnew, following a 49-49 Senate vote). After the embargo hit, Congress finally authorized building the pipeline.

Of course, policies aimed at addressing the nation’s long-term energy needs did nothing to alleviate the crisis of late 1973. The United States and most of the developed world desperately needed liquid fuels – to power cars, trucks and tractors, generate power, produce electricity, and safeguard jobs and living standards. Nuclear power could do nothing to feed their transportation network, and wind and solar installations provided barely measurable amounts of electricity. Lack of preparation hurt us badly.

Environmentalist opposition to all things nuclear and hydrocarbon continues. So does their refusal to acknowledge the land, raw material and wildlife impacts of wind and solar power, or even require an honest accounting of how many birds and bats wind turbines slaughter each year. Even as (or because) fracking proves the United States still has vast untapped riches of oil, natural gas and natural gas liquids, they do all they can to delay, block or ban this safe, proven technology.
Now, four decades later, America is still vulnerable to a major and prolonged oil supply disruption. While the Strategic Petroleum Reserve stands ready to cushion an oil shock, it contains barely enough oil to replace imported crude for 93 days. Furthermore, since oil prices are determined globally and affected by political instability, the US economy could still suffer severe repercussions from an oil price spike.

Why does the threat of oil disruptions still plague us? Because of political bickering, regulatory overkill, anti-hydrocarbon ideologies, courts putting almost any ecological argument (no matter how minor or far-fetched) above our need for hydrocarbons – and our government’s systemic inability to focus on the most important issues facing our nation: economic growth, job creation and preservation, and protecting people’s overall health and welfare. Even though petroleum still supplies 63% of the energy that powers our economy, our politicians and policy makers remember the embargo, but ignore its lessons.

Despite the fact that the United States owns some of the world’s largest collective oil resources, about 51% of our oil still comes from other countries. Canada is our largest supplier, but Persian Gulf oil still accounts for almost one-third of total imports. The risk of supply disruptions remains very real.

However, that is just a small part of the problem. Over fourteen million working age Americans are still unemployed, are involuntarily working part-time below their potential and preference, for less pay than with their old jobs – or have simply given up looking for a job. Washington is spending some $3.6 trillion a year, while bringing in a meager $2.6 trillion in annual revenues.

The USA could be producing much more of its own oil and natural gas – creating millions of jobs and generating hundreds of billions of dollars in royalty and tax revenues. But it has lacked the political will to open the vast majority of the Outer Continental Shelf. Even the Eastern Gulf of Mexico and the entire East and West Coasts are off limits to leasing and drilling.

The vast majority of US onshore lands owned or controlled by the federal government are likewise off limits, including ANWR and even the Alaskan National Petroleum Reserve. The Obama administration has even increased the regulatory burdens and delays on the few areas it has technically left open, onshore and offshore – while expediting permits and waiving endangered species laws for wind and solar projects. Oil and gas projects have been delayed or scrapped, and virtually all have seen their costs skyrocket.

As a result, our economy has lost hundreds of thousands of jobs and hundreds of billions in salaries. The US Treasury has lost hundreds of billions in bonus, royalty and tax payments. Meanwhile, we continue to subsidize “green” energy, amass debt, and convert millions of jobs from full-time to part-time or no-time. The adverse impacts on people’s lives, livelihoods, living standards and life spans continue to increase.

Were it not for drilling and fracking on state and private lands – in spite of the federal government and constant environmentalist attacks – US oil and gas production would have continued the decline that began in 1970. Instead, due to advanced drilling and production technologies, dedicated entrepreneurs have safely extracted billions of dollars worth of oil and natural gas from shale formations, created 1.7 million jobs, ramped petroleum production back up, and sent almost $100 billion to state treasuries.

Rather than meet our country’s needs for oil and gas, President Obama’s Interior and Energy Departments, EPA and other agencies have strangled our economy in red tape and poured billions of taxpayer dollars down the toilet of ill-conceived, crony-corporatist wind, solar, battery, “green” car and “renewable” fuel projects. Many went belly-up without ever producing any jobs, products or revenues. Worse, the “green” jobs (ie, subsidized by greenbacks) kill 2-4 jobs for every “renewable” job created.

But they ensure that millions of tax dollars return to “green” politicians via campaign contributions, to keep the schemes alive. Tens of millions more are funneled annually through government agencies to eco-activists who work full time to promote renewable energy, oil depletion and climate change myths.

To top it off, five years after the first permit application was submitted, Mr. Obama still refuses to make a decision on the Keystone XL Pipeline. That one project would create tens of thousands of high-paying jobs and transport over 800,000 barrels of US and Canadian crude to Texas refineries, which are currently paying $100 for every barrel they refine into gasoline and myriad other products.

In 1973, America learned a shocking truth. Our nation was not prepared to control its own energy, economic, employment, trade and revenue destiny. In 2013, even amid deepening crises in the Middle East, Africa and other regions, we could be poised to repeat mistakes and painful lessons of the past.

Our energy and economic problems continue today, but not because America lacks the resources. They continue because our “leaders” have put their anti-hydrocarbon attitudes and political alliances ahead of the best interests of the American nation and people.

SOURCE

The truth be told is that Nixon wasn't going to resupply Israel and told then Prime Minister Golda Meir so.  Golda told Nixon in that case she would authorize the Samson Option and hung up on him.  Literally 2 minutes later Nixon called back saying the supplies will be delivered immoderately.  The Arab world was lucky then.  They were nearly destroyed by Israel.

Today we are more dependent on oil from the Arab world.  We need not be.  We could be self-sufficient in our energy needs if we had leaders with the balls to drill.  Fracking is safe!  It is the eco-nazis who keep this nation dependent on Arab oil in the name of "Mother Earth"!

40 Years Ago Today

In the Jewish calendar today is Yom Kippur.  40 years ago on this date Egypt and Syria attacked Israel in the hope to destroy that nation.  They almost succeeded.

On October 6, 1973, Yom Kippur (the Day of Atonement), the holiest day on the Jewish religious calendar, Egypt and Syria took advantage of optimal circumstances to launch attacks that took Israel by surprise. So complete was the element of surprise that when war erupted, Israel was only beginning to mobilize the reserve forces which form the bulk of the IDF. The thin forces stationed along the two fronts had to contain the invading armies until the IDF was prepared to meet them in force. The IAF was hampered by the dense anti-aircraft missile system which the enemy had deployed close to the front.

Egyptian forces succeeded in crossing the Canal and establishing beachheads on the Israeli-held east bank. On the Golan Heights, the Syrians pushed past the cease-fire lines and occupied a large area. They also seized the key Israeli intelligence- gathering position high on Mt. Hermon.

Within two days, the IDF, now fully deployed, blocked the Egyptian and Syrian

advances and took the offensive. Because of the huge quantitative superiority of the Syrian forces, a situation compounded by the proximity of Jewish settlements on the Syrians' path of advance, it was decided to give priority to the northern front. By October 10, the Syrians had been pushed back and the entire Golan was again in Israeli hands, except for the Hermon position, which was only recaptured toward the end of the war. Between October 11 and October 14, the IDF pushed the Syrian forces across the cease-fire lines and penetrated Syrian territory. An Iraqi expeditionary force dispatched to reinforce the Syrians was also successfully blocked.

On the southern front, an early Israeli counter-offensive failed. But Israeli units managed to overcome an attack by Egyptian tank forces, destroying 200 enemy tanks in the process. Shortly afterward, on 15 October, the IDF renewed the counter-offensive. The main thrust of the fighting now was to push across the Canal and strike at Egyptian forces on the other side.

A gap between the Egyptian 2nd and 3rd Armies was chosen as the crossing point. It was a difficult operation, preceded by heavy fighting to clear the approach lines. The Engineering Corps constructed a bridge across the Canal in the face of concerted Egyptian resistance. By October 19, Israeli troops were well established on the west bank. Until the first scheduled cease-fire on October 22, the IDF enlarged the territory under its control. Although the Egyptians had agreed to the cease-fire, it did not take effect at the designated time. By the time an effective cease-fire was actually implemented, on October 24, the IDF had completely surrounded the Egyptian 3rd Army.

On the northern front, the IDF regained control of the Hermon by October 22, removing the last Syrian forces from the area they had seized at the start of the war. The war ended on October 24 in a decisive victory for the Israeli Army. In the north, the Syrians failed to achieve any territorial gain, while the IDF had crossed the old cease-fire lines into Syrian territory, acquiring new vantage points on the Golan. The Syrian Army suffered major losses of manpower and equipment.

Lessons of the War
In the first months after the war, Egyptian and Syrian forces renewed the War of Attrition along the cease-fire lines. The IDF focused on building its force on an unprecedented scale. The enemy attempted to prevent the IDF from conducting a war of movement dominated by tank and air power. Arab armies made extensive use of infantry equipped with anti-tank weapons, exploiting their inherent numerical superiority. In response, the IDF took steps to upgrade and increase its manpower utilization. Extensive and intensive training programs were initiated, focusing on the doctrine of combined operations in which the various branches of the IDF were integrated in a harmonious whole.

A special central training base was established to advance this doctrine. Another lesson of the war was a renewed awareness of the importance of the Infantry. Rearmament continued apace, including the purchase of ground-to-ground and ground-to-air missile systems.

SOURCE

This was the last major war that Israel and her neighbors have fought.  The last war in which armies actually lined up and fought tank to tank, plane to plane and man to man.  Unlike her enemies, Israel held a commission to discover why they were unprepared for war.  And corrected the problems and vow never to be unprepared again.  The wars that Israel fights now are against terrorist and not "freedom fighters" and not an military.  They are fighting pseudo-military men.  Men who have no honor, no military skills and only want to kill civilians.  They can be defeated, but it takes the resolve to shake off the fake pictures of children killed.  The world screams when Israel defends itself.  No tears for dead Israeli children, but tears for dead terrorists.  It is no longer wrong to be an anti-Semite.  In fact it is a badge of honor.

Israelis cannot rely on others for their protection.  For 2000 years Jews have done that with disastrous results.  Such protection brought about rapes, murders, theft of property, dislocation from homes, with the final horror of the Holocaust.  All because Jews were told not to fight and let others protect them.

Once again Israelis are being told to let others protect them.  President Barack Hussein Obama has told Israel that he will prevent Iran from obtaining a nuclear weapon.  Yet he has lifted some of the sanctions on Iran and Russia is sending Iran S-300 anti-aircraft missiles.  The meaning behind this is that Obama is happy with a nuclear Iran and with the idea of genocide against the Jews.  Israel has to realize that they have no friends and have to act alone in this matter.

If Israel acts soon she will be condemned by every nation on Earth.  But will have saved the Jewish people and the Middle East from Nuclear Annihilation by the hands of the Iranians.

Am Yisrael Chai!