Schlesinger Warns Against Iranian Oil Dependency

WASHINGTON--The United States may have to ease domestic environmental restrictions to make up for what may be a permanent loss of Iranian oil supplies due to Iran's domestic crisis, Energy Secretary James Schlesinger '51 said Sunday.

Schlesinger added, however, that environmental concerns are a sensitive issue with the Carter administration and indicated his view is not shared unanimously.

The secretary, in an interview on CBS' "Face the Nation," repeated earlier assurances that the Iranian crisis will not affect U.S. oil supplies for two to three months because of the availability of other sources, including stockpiles.

"I think we have to recognize that Iranian production is unlikely ever to return to the pre-crisis level. If we get production back to five million, 5 1/2 million barrels a day, I think that would be fortunate," he said.

Iran produced about six million barrels of oil a day before the current crisis. Oil production in the country has virtually ceased since the general strike protesting the reign of the Shah.

"We should begin to plan for increasing production elsewhere," Schlesinger added, mentioning California and the North Slope of Alaska specifically as sites worthy of further exploration and development.

Schlesinger expressed concern that red tape would snarl proposals for pipeline construction. There is a "difficulty in getting anything done given the present rules in this country," he said.