TRENTON - In a letter to U.S. Secretary of Interior Dirk Kempthorne, Governor Jon S. Corzine has renewed his objections to oil and gas exploration in the North and Mid-Atlantic region, citing threats to the environment, national security, and ultimately the New Jersey economy via the tourism and fishing industries.

“I write today to express my continued opposition to any actions to weaken the current moratorium on offshore oil and gas leasing in the North and Mid-Atlantic Planning Areas,” Governor Corzine wrote. “I remain very concerned that an energy plan that is focused on drilling in those areas is not only short-sighted but will, despite public desire to the contrary, increase our country’s dependence on foreign oil over the long-term.”

Governor Corzine wrote in response to a request for comment sent by Secretary Kempthorne in July. The Secretary’s request solicited New Jersey’s views on the Department’s initiation of a new five-year leasing program, which could include the waters near and adjacent to New Jersey’s shores.

In his response, the Governor urged the federal government to address the domestic energy situation through a balanced approach that includes energy conservation and encouraging the development of renewable and alternative energy sources. Governor Corzine also noted that, contrary to public will, increased capital investment in new domestic drilling leases would further stoke domestic demand, ultimately increasing the country's reliance on foreign oil while offering no price relief to American citizens.

Ultimately, Governor Corzine said, an aggressive offshore drilling program could be devastating to the New Jersey economy. He pointed out that tourism pumps $38 billion a year into the state’s economy, and the commercial and recreational fishing industries adds another $4.5 billion annually – two industries both heavily dependent on water quality.

“Due to the potential impacts of drilling to the future energy security of New Jersey ’s residents, our coastal heritage, economy and environment, I continue to oppose leasing in the North and Mid-Atlantic Planning Areas and ask that you exclude these areas from the next five year program,” Governor Corzine said.


The text of the letter follows:

Honorable Dirk Kempthorne
Secretary of the Interior
U.S. Department of the Interior
1849 C Street N.W.
Washington , D.C. 20240

Dear Secretary Kempthorne:

Thank you for your letter of July 31, 2008 soliciting New Jersey ’s views on the Department of the Interior’s initiation of a new 5-Year Outer Continental Shelf Oil and Gas Leasing Program (5-Year Program) for oil and gas development on the OCS. I write today to express my continued opposition to any actions to weaken the current moratorium on offshore oil and gas leasing in the North and Mid-Atlantic Planning Areas. I remain very concerned that an energy plan that is focused on drilling in those areas is not only short-sighted but will, despite public desire to the contrary, increase our country’s dependence on foreign oil over the long-term.

Your letter and the associated Federal Register request for comments indicate that the Program is part of the Federal government’s actions to address the existing domestic energy situation. Now, more than ever, I urge the federal government to champion a comprehensive and forward-looking approach to meeting our country’s energy needs. I urge you to adopt a balanced energy policy, encouraging and even mandating energy efficiency and conservation and investing aggressively in renewable and alternative energy. Such approaches are being adopted by many states and, in fact, are the cornerstone of New Jersey ’s draft Energy Master Plan, released in April of this year. Opening up the east coast OCS to drilling flies in the face of such a balanced policy since it will reinforce an economy that is based on increasing the supply of fossil fuels. Further, in a global, competitive market, any new deposits that might be extracted will not force domestic prices down or ease domestic demand. Only one outcome is certain, increased investment in OCS fossil fuel drilling will reinforce our domestic economy’s focus on oil as a commodity – including foreign oil and, as proposed, will actually slow our nation’s vital move away from fossil fuels toward a new energy future.

In addition, I urge the federal government to consider air pollution, greenhouse gasses and climate change when considering its domestic energy policy. New Jersey’s Global Warming Response Act, which I signed into law on July 6, 2007, adopts proactive and ambitious goals for the reduction of green house gas emissions in New Jersey . It calls for reducing greenhouse gas emissions to 1990 levels by 2020, approximately a 20 percent reduction, followed by a further reduction of emissions to 80 percent below 2006 levels by 2050. In short, New Jersey and many northeast and Atlantic states have been leaders in looking at the true cost of the energy we use. I encourage the Federal government to consider climate-related impacts more fully in its domestic energy strategy by mandating that new energy investments be direct to low carbon, alternative energy sources, shifting from the focus on leasing areas in the Atlantic Ocean for oil and gas exploration and production to renewables. I strongly support the proposed MMS program for alternative energy uses of the Outer Continental Shelf.

Finally, New Jersey ’s economy is heavily dependent on tourism, with expenditures reaching $38 billion a year. Our oceanfront counties contribute almost 65% of these expenditures. Moreover, 71% of each tourism dollar spent is retained in the state and travel and tourism is NJ’s third largest private sector employer. Our commercial fisheries, recreational fisheries, and aquaculture have an economic impact valued at $4.5 billion annually. We have major fishing ports and seafood processing plants. All of these industries are heavily dependent on maintaining good water quality and protecting our living marine resources and access to those resources. In addition, offshore drilling would leave New Jersey and its marine ecosystem and aquatic life vulnerable to damage caused by drilling-related incidents in nearby waters.

The Interior Department’s Request for Comments on the Preparation of a 5-Year Outer Continental Shelf Oil and Gas Leasing Program, published in the Federal Register on August 1, 2008, seeks comments on whether Congressional restrictions should be eliminated or modified. If restrictions are to be lifted to expand the oil and gas leasing program, such an expansion should first be considered in the Gulf of Mexico, an area with proven untapped reserves and where most OCS production already occurs. The Request for Comments also indicated that deference should be paid to coastal states with regard to an offshore oil and gas leasing program. This is certainly true but it is important to note that New Jersey would be affected by oil and gas activities in both the North Atlantic Planning Area and the Mid-Atlantic Planning Area. Therefore New Jersey needs to have a substantial role in the determination of whether to proceed with a leasing program in either of these Planning Areas, not simply off the New Jersey shore.

In summary, due to the potential impacts of drilling to the future energy security of our New Jersey’s residents, our coastal heritage, economy and environment, I continue to oppose leasing in the North and Mid-Atlantic Planning Areas and ask that you exclude these areas from the next five year program.

Than you for the opportunity to comment.

Sincerely,

Jon S. Corzine
Governor