Thursday, April 06, 2006

The Hidden Costs of Oil

This past Saturday at a Senate Foreign Relations Committee hearing, Milton Copulos presented figures suggesting the actual cost of a gallon of gasoline is much higher than the $2 - $3 we pay at the pump. According to Copulos' study, there are massive "hidden" costs associated with importing foreign oil, including but not limited to military expenditures to keep the Persian Gulf area stable. Copulos, president of the National Defense Council Foundation, estimates these hidden costs added $7.41 per gallon last year, and will rise to $8.35 in 2006.
While Copulos' numbers are estimates, it is certainly interesting to consider these "hidden" costs when comparing the various fuels available to us.


No comments: