“Energy independence” was first mentioned in the U.S. by Richard Nixon in 1973 when an oil embargo was put in place by oil producing nations in the Middle East. Years later, energy independence – whereby the United States does not consume energy that is not created or found on her shores – is increasingly at odds with reality.

“Energy Security” refers to an association between national and economic security and the availability of sufficient supplies of natural resources for energy consumption at affordable prices. This pertains to our reliance on foreign forms of energy and the implications of supply disruptions and price volatility. “Energy Security” is more widely used now because it is pragmatic and grounded in reality.

Domestic oil output is the highest in eight years, and the United States is the largest producer of natural gas in the world. The U.S. could become the world’s top energy producer by 2020. We met an estimated 81 percent of our energy needs with domestic sources through the first 10 months of 2011. That is the highest level since 1992. In fact, we have increased the proportion of demand met from domestic sources over the last six years, according to data compiled by Bloomberg from the U.S. Department of Energy.

Access to energy at stable and affordable prices is essential to the healthy functioning of modern economies. Throughout the world, the uneven distribution of energy supplies among countries has led to significant vulnerabilities. Turmoil in the Middle East produces uncertainty in the oil market and can cause crude oil prices to soar. The political instability of several energy producing countries, the manipulation of energy supplies and prices, as well as accidents and natural disasters have jeopardized access to these energy supplies.

If natural gas was a larger part of our nation’s energy equation, if we substituted out petroleum fuels for natural gas, we would not be as dependent on energy imports from foreign sources or as susceptible to international incidents and energy market fluctuations as we are now.

The North American natural gas market remains disconnected from the rest of the world, therefore, the political instability in the Middle East does not significantly affect natural gas prices in the United States, which have remained relatively low and stable in the past few years. Making abundant natural gas a larger part of our energy equation should be a cornerstone of energy security.

Energy independence sounds like an admirable goal, but that kind of isolationism could have a negative effect on energy prices, consumers and our economy. What we should strive for is energy security: developing clean, low cost energy here at home while working to secure fruitful, strong trade partnerships in energy and other goods with our global neighbors.

Stable and affordable natural gas prices offer domestic manufacturing a competitive advantage, especially in those industries in which natural gas is used both as a fuel and as a product ingredient. This is particularly true of manufacturers that use natural gas as a feedstock for fertilizers and other products in which natural gas is a major component.

The American Chemistry Council has announced the launch of a new energy advocacy and awareness campaign, From Chemistry to Energy.  They will be advocating for a comprehensive national energy strategy that maximizes all domestic energy resources, with a focus on robust and responsible production of domestic shale gas; improved residential, commercial and industrial energy efficiency; and expanded adoption of energy recovery programs. Each will help meet national energy security, economic and environmental goals.

On February 7, 2012, Cal Dooley, ACC president and CEO, was joined by members of Congress and business leaders at an event on Capitol Hill to launch the initiative.  Jim Gallogly, CEO of LyondellBasell spoke at the event saying, “Abundant, affordable domestic natural gas has created a new competitive edge for American chemistry, and it’s driving a renaissance in U.S. manufacturing.”

For more information about the From Chemistry to Energy campaign, please visit ChemistryToEnergy.com.

Some optimistic economic news emerging this week.

From the Bureau of Labor Statistics, this month’s job report shows U.S. payrolls gained 243,000 jobs in January, and the unemployment rate dropped to 8.3%.  The decreasing unemployment rate is one more indicator that Americans are finding jobs and getting back to work.  In fact, newly revised data shows the U.S. created 1.82 million jobs in 2011.  This is good news for a U.S. economic recovery.

Contributing, in part, to the job growth over the last few years has been the booming energy industry here at home.  See the chart below.  The blue line represents total employment in oil and gas extraction, and the shaded areas indicate periods of recession.

Oil and gas extraction employment has added 67,700 jobs since 2003, a 57 percent increase.  After a slowdown in job additions during the 2007-2009 recession, as there were in other sectors of the economy, oil and gas extraction employment is once again growing, and at increasing pace since 2010.

And remember, these are direct jobs as classified by the BLS.  Direct jobs in turn create other employment opportunities in other sectors – called indirect jobs – which prompts new spending and new job creation yet again – these are induced effects.  Therefore, the full economic and employment effect goes beyond just the direct jobs represented here.  (See the America’s Natural Gas Alliance jobs report for more).

When you add up all the jobs from cleaner energy technologies, including renewables, biofuels, natural gas and others, the positive effect on American is apparent.