Support for the Sovereignty, Integrity, Democracy, and Economic Stability of Ukraine Act of 2014 - Motion to Proceed

Floor Speech

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Madam President, one of the true bright spots in our economy right now has been, and continues to be, manufacturing. Manufacturing jobs have been on the rise. We have over 12 million Americans who are now employed with good-paying jobs in the manufacturing sector. Many of them are in my own great State of Michigan.

This renaissance in the kind of good-paying jobs that built the middle class of this country is being powered in a significant way by American natural gas. More than $100 billion in investments, in more than 120 different manufacturing projects, is being fueled by abundant, affordable American natural gas. Thanks to American natural gas, the people in our country have a great new opportunity to go to work, have a good-paying job, and support their families.

Our country is truly blessed with this natural resource. It is critical that we continue to put our American natural gas to work so we can create American jobs, which is why I am confused and concerned by those who are rushing to send this American resource overseas without a careful review of the impact this will have on the costs to our manufacturers, our jobs, and our families.

I am not opposed to exporting some of our natural gas as part of a balanced, well-thought-out plan. A rush to approve every export facility request immediately is not wise. It is not wise for our economy or our people when we know that increased natural gas is needed here at home.

People need jobs in America. We have about 10 million people out of work. We have an awful lot of people who need a job. Good-paying jobs in manufacturing can and will be part of their future if we manage our natural gas resources the right way. It is critical for America that we get this right. We need to export our products, not our jobs, and that is the debate I believe we should be having.

Low-cost natural gas is critical to our Nation's ability to create manufacturing jobs. It is critical. If we start exporting too much of our natural gas without monitoring or evaluating the impact over time, we may be giving up a real advantage we have right now for creating jobs and bringing jobs home from other countries.

What do we hear from a lot of businesses that are making decisions to bring jobs home? They talk about low-energy costs. We don't want to give that up as an advantage for America as we compete in a global economy. Also, if increased exports raise prices to the same level as global oil prices--and obviously some folks would like to see that happen for their own interests--American families will be hit with even higher energy costs at home, and that doesn't make any sense either. Exporting more American natural gas simply doesn't add up.

A study last month by Charles River Associates found that using our own low-cost natural gas to increase American manufacturing is twice as valuable to our economy and creates eight times as many jobs as sending this important American resource overseas. Let me say that again: Using our own low-cost natural gas to increase American manufacturing output is twice as valuable to our American economy and creates eight times as many jobs as exporting this important American resource overseas.

I am particularly dismayed that some people are using the very serious crisis in Ukraine as an excuse to rush through new projects to export our natural gas.

Last week I met with members of the Ukrainian community in Detroit. They are deeply concerned about what is happening. This is personal for them. They have family and friends in Ukraine. This crisis should not be used by those in the oil and gas industry to rush through actions that may be good for them in the long run. It certainly will not be good for some people in the short run. Anything that is approved now will take way too long before it has any impact in Ukraine. Raising prices may be good for some in the long run, but it will not be good for American manufacturers. It is not good if the whole idea is to create American jobs here at home, and it is not good for middle-class families.

I want to be very clear: I am extremely concerned about what is happening in Ukraine. We must stand with the people of Ukraine and our allies in Europe against the outrageous actions of Russia and President Putin. This crisis is very serious and requires a serious response by the Senate. I know colleagues on both sides of the aisle care deeply about this issue. I hope and I assume we will pass a package to help Ukraine as soon as possible.

Again, this crisis should not be used as an excuse to shortcut the permit process or the thoughtful evaluation that I know the Department of Energy is committed to doing to make sure we get this right. This crisis should not be used to rush through new natural gas export facilities that may undercut our effort to create good-paying jobs here at home.

The Department of Energy has already agreed to permit six liquefied natural gas LNG export facilities that will export over 9 billion cubic feet of LNG every day--and that is not counting the other 30 applications that have been approved for export to countries we have free trade agreements with. I am not suggesting that should not have been done; I have not opposed that. But we better be careful on how we move forward and how we evaluate the impact on our economy.

As we all know, LNG export facilities take years to build. We could approve permits for 100 new LNG facilities tomorrow, and unfortunately it would do nothing to address the crisis in Ukraine and potential supply disruptions to our other important allies in Western Europe.

Here is what I am most concerned about: We all know that gas prices are decided by the global marketplace. Prices are high in Asia right now. We don't have the existing infrastructure to get natural gas to Ukraine. The gas in the export facilities that are rushed through are very likely to go to Asia--very likely to go to China.

Should American natural gas be used to lower prices and create jobs in China or in other parts of Asia or should we be using low-cost natural gas to create jobs right here at home? I hope we can all agree on the answer to that question.

Rushing through more natural gas export facilities, unfortunately, would not help Ukraine. However, it could have a negative effect on our own economy in the long run. Increasing exports would reduce our supply here at home and raise consumer prices, and we all know how devastating that would be for our families. Higher prices for natural gas means it will cost more to cook your dinner, heat your home, and power your small business.

The recent propane shortages and dramatic price spikes we saw in States across the country should raise a red flag for everybody. We simply cannot afford to export too much natural gas too fast without truly understanding the impact on our own jobs and families. Plus, sending so much of our natural gas abroad will neutralize the competitive advantage we have right now for cheap and abundant fuel. We have an advantage right now, and we need to keep that advantage.

My concern is that we would be giving the big oil companies a boost because there would be higher prices for natural gas which would keep oil as a viable alternative because there would not be the advantage of natural gas anymore if we go to the global marketplace and all the prices go up.

In the end, the people of Ukraine and our allies who need our help would not be receiving it. Our own manufacturers, businesses, and families would not be receiving it. Instead, it would be going to the oil companies.

Shame on us if we squander the opportunities that low-cost, abundant natural gas resources offer our country. I believe we need to be smart in how we manage our resources.

Again, I am not opposed to exports. It is a question of a balance. It is a question of thinking it through in a thoughtful way and having an American plan where we are balancing out part exports, part keeping natural gas here at home, and making sure our manufacturers have the edge in a global economy because they have lower cost energy. We need to make sure we are bringing jobs back from overseas because of lower cost energy. We need to make sure our families have low-cost fuel and other energy assistance.

We need to be smart at this point in time about our resources. We have the opportunity, I believe, to find the right balance that allows us to both benefit from some exports and benefit from the resources by creating jobs here at home.

Our manufacturers are families, the middle class of this country, the folks trying to hold on, folks trying to get into the middle class who know manufacturing jobs are a part of the way of doing that. They are counting on us. Our economy is counting on the fact that we will be smart about the way we make decisions about our natural resources. Right now with natural gas we have the opportunity not only for the States that have it to do well by exploration and extraction but by leveraging that as we look at the opportunities for manufacturing; leveraging our own resources, which we are told will give us eight times more in benefit in terms of jobs than just having our natural resources in America exported around the globe and the prices floating up to the higher prices of oil.

I thank the Chair. We are going to have a lot of discussion and debate on this issue going forward. I look forward to that. I think this is an opportunity for us to have an American plan on manufacturing, with American low-cost energy, to be able to jump-start our economy moving forward.

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