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Currently, there are no efforts to explore for natural gas off of South Carolina’s coasts. However, earlier this year in response to the fuel crisis, the Department of Interior published a Draft Proposed Program for years 2010 – 2015 that, if implemented, would allow one lease sale in the South Atlantic Region which includes South Carolina. This lease would allow offshore exploration of natural gas off the South Carolina coast.
If natural gas were found, the economic impact would be tremendous. As a result of this type of find, a recent report from ICF International estimates that over 2200 jobs would be created in South Carolina, our state’s Gross Domestic Product would rise by $413 million annually and tax revenues (federal, state and local) would rise by $45 billion. In addition, we could be eligible for royalty sharing from the federal government of up to $250 million annually.
Obviously, we do not want to harm our environment or our tourism industry. From this perspective, natural gas exploration offers distinct advantages over oil exploration especially in the area of potential spills. From a tourism perspective, the exploration activity would be located approximately 50 miles offshore, far beyond the line of sight from our coasts. Furthermore, part of the funds generated from the royalties could be used for land and water conservation efforts and coastal impact assistance.
The Department of Interior has requested input from state elected officials. The deadline for submitting comments is September 21. If we do not make the list for consideration, we will have to wait another five years to be considered again. I will be sending a letter voicing my support for this initiative.