Mitt Romney was pilloried mercilessly during the 2012 presidential campaign for pointing out that Russia was America’s number one geopolitical foe. President Obama went so far as to ridicule him in one presidential debate, declaring, “The 1980s are calling, they want their foreign policy back.”
But no one is laughing now. Russian President Vladimir Putin has since kidnapped officials from neighboring countries, invaded Ukraine, annexed Crimea, and mobilized his military in large wargames operations designed to cause panic in the west. He has also interfered in U.S. efforts to bring calm to other regions, as when he cleverly helped rescue Syrian dictator Bashar Assad from any consequences for the war crime of using chemical weapons against civilians.
Putin has also repeatedly threatened to cut off Europe’s gas supply, and this week he made good on his promise, shutting off the supply to most of southern Europe. If this doesn’t demonstrate the ill intentions of America’s greatest geopolitical foe, it is hard to imagine what would.
As we have noted many times on this page, America must view the current situation as an opportunity. With world oil prices plunging, now is the time to fight back economically and take advantage of Putin’s most acute weakness. Oil and gas revenues made up 68 percent of Putin’s government budget in 2013.
It is time to lift as many restrictions as possible on the export of fossil fuels, including both oil and natural gas, as a simple matter of national security. This includes the expedited permitting of liquid gas terminals, which will help U.S. producers supply Europe in its time of need and reduce its dependency on Russia for the long term.
This also includes government approval of the privately funded Keystone pipeline, which will help American and Canadian producers reduce their transportation costs. On top of that, Obama can stop his administration’s obvious slowdown of permits for cheaper conventional (non-fracking) oil production on government lands and offshore. By simply removing a few government-created obstacles, Obama can help North American producers compete more effectively at the current low prices in the oil market, thus taking full advantage of Russia’s over-dependence on oil and gas revenues.
If Obama wants to build a legacy in his lame-duck years, this is the way to do it. Not only will it improve America’s national security, it will also reduce the trade deficit, create new jobs and wealth for Americans, and create additional revenue for the U.S. Treasury.
The environmentalists who funded Obama’s party in the 2014 elections would look askance at such a policy. But their opinion is not worth considering. History will take a much harsher view of Obama if he fails to do what he can now out of misguided political concerns.
Europe will remain Russia’s hostage until the day America unleashes its untapped potential as an energy giant. Russia’s intentions are most certainly bad, and there will be no better time than now to strike an economic blow that thwarts them and weakens Putin’s hand for good.
