Expert: Louisiana minus oil and gas equals Mississippi

HAMMOND –– Even though the oil and gas industry has been in Louisiana for more than 100 years, that doesn’t mean it will always be here, according to Marc Ehrhardt of the Grow Louisiana Coalition.
“We may be taking the industry for granted in Louisiana,” he said in a presentation to the Hammond Rotary Club at Tope’ La Catering on Wednesday. “We need to protect and grow the oil business here.”
Ehrhardt said that 15 years ago, Louisiana, Texas and Alaska were the top three oil producers in the country. Louisiana and Texas still have their spots, but Alaska has since dropped out of the top 20 completely, he said, as a point that the business might move on to greener pastures.
He said Louisiana is hugely dependent on the industry, which employs more than 300,000 people through all 64 parishes. The size of the workforce is comparable to the entire U.S. Navy, he said.
“If you want to know what Louisiana would look like without the energy sector, all you have to do is look one state to the East,” he said, quoting Louisiana State University economist Loren Scott.
Ehrhardt said the industry provides 15 percent of the state budget and puts $3 million dollars into the economy from direct and indirect sources.
The workers also make more than the state average.
“The average Louisiana worker makes $824 a week or $45,000 a year,” he said. “Oil and gas extractors earn $2,140 a week and well over $100,000 a year.”
He urged business owners to support the opening of supply companies in the parish that would provide oil and gas industry jobs to Tangipahoa Parish.
“Oil companies are not building new facilities anymore,” he said. “It’s expensive and difficult. Instead they are expanding existing facilities, which need supply companies to operate.”

This story was written by Sarah Wilson of the Hammond Daily Star.