The American Public Gas Association (APGA), which represents the nation’s public gas systems, urged Interior Secretary Gale Norton to include language in the agency’s next five-year oil and gas leasing plan (2007-2012) that allows for lease sales in areas currently subject to drilling moratoria.

APGA CEO Bert Kalisch told Norton that it doesn’t have to be an “either-or” choice between drilling for gas and environmental protection. “We certainly understand that several coastal states are concerned about drilling in their offshore area,” Kalisch said. “However, the supply challenges that our nation is facing require that we keep all options open, including production from areas currently placed off limits. Given the advances in drilling technology, APGA firmly believes that we can increase access and supplies in an environmentally safe and sound manner.”

Increasing the domestic supply of natural gas has to be done to bring down gas prices, Kalisch said. APGA, a nonprofit trade organization representing about 950 public gas systems in the United States serving more than 4.8 million customers, said gas prices have taken a toll on communities nationwide, “siphoning” off “tens of billions of dollars” that could have been used to support local businesses, infrastructure and education.

“Supply has not been able to keep pace with demand in large part because of federal policies that have restricted the exploration and production of natural gas,” said Kalisch. “This restriction is ironic in light of other federal policies which favor gas use because of its clean-burning properties. These two policies cannot coexist if our economically competitive economy is to continue.”

He noted that in the Lower 48 states an estimated 213 Tcf of gas reserves are off limits because of moratoria or regulatory restrictions. “We are in a crisis and now is not the time to take off the table potential solutions to the crisis.”

The Interior Department is expected to come out with a request for comments for the five-year leasing program in the next few weeks. The five-year plan determines where and when companies can lease OCS lands for energy production. Areas in the plan are considered for leasing but do not necessarily have to be leased. However, areas not included in the plan may not be leased until the plan runs its course.

“The decision is actually being made right now on what area to accept comments for and when that decision is made we will put out a notice in the Federal Register requesting public comments on whatever areas are defined for the next five-year program,” said Curtis Carey, a spokesman for Interior’s Minerals Management Service.

There are two moratoria that affect the leasing in the Outer Continental Shelf through 2012. One is a Congressional moratoria and it is written into an appropriations bill each year so Congress would have to rescind that moratoria. The second is a presidential moratoria that would have to be lifted by the president.

“The president has made it clear that he supports the moratoria and has no intentions of lifting the moratoria,” said Carey.

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