Obama touts fuel-efficient technology

Reuters President Barack Obama.

NEW YORK (MarketWatch) � President Barack Obama used his weekly radio and Internet address Saturday to tout fuel-efficient technology as one way to reduce energy costs and the nation�s dependence on foreign oil.

In an address recorded during a trip Friday to a jet-engine component factory in Virginia, the president said the parts manufactured at the Petersburg plant would be used in �lighter, faster and more fuel-efficient� next-generation planes. Read transcript of Obama�s address.

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�Whether you�re paying for a plane ticket, or filling up your gas tank, technology that helps us get more miles to the gallon is one of the easiest ways to save money and reduce our dependency on foreign oil,� said Obama, adding that the recent rise in gasoline prices illustrated the reasons for investing in technological solutions.

Defending himself from Republican criticism of his energy policies, Obama said under his administration, U.S. oil production is at an eight-year high, and millions of acres have been opened up for drilling.

But, �with only 2% of the world�s oil reserves, we can�t just drill our way to lower gas prices � not when we consume 20% of the world�s oil,� said the president, calling for a strategy less reliant on foreign oil and more on American-made energy, including solar, wind, natural gas and biofuels.

In the Republican response, North Dakota Gov. Jack Dalrymple accused Obama of blocking projects that would facilitate more domestic oil production, pointing to the Keystone XL pipeline project deferred by the administration until after the election.

North Dakota has doubled its oil production is the last four years, and the state�s oil producers were scheduled to feed the Keystone pipeline with 100,000 barrels of crude oil a day, Dalrymple said. But the state �cannot effectively market our crude oil domestically without a large north-south pipeline,� Dalrymple said. Read transcript of GOP�s reply.

Gasoline prices have risen in recent weeks along with the cost of crude, as concern the international standoff with Iran over its disputed nuclear program among the factors driving concern of possible supply disruptions.

On Friday, oil futures � ended at $107.40 a barrel on the New York Mercantile Exchange, up 0.7% for the week.

In California, the average price of regular unleaded gasoline currently stands at $4.355, compared to $3.370 in Colorado, according to a list of state averages complied by the motorist group AAA. See AAA�s list of current state averages.