B. DrUling CapabiUties VU-205 



C. Production Capabilities .... VII-205 



D. Transportation Capabilities . . VII-207 

 rV. Economics of Marine Oil and Gas 



Development VII-207 



A. Physical Limitations VlI-208 



B. Economic Limitations .... VII-208 



C. Competitiveness of Domestic 



Offshore OU and Gas . . .VII-211 



D. National Security, Import Quotas, 



and Prorationing VII-212 



V. Legal and Administrative 



Framework VII-214 



A. State Regulation VII-214 



B. Federal Regulation VII-216 



C. International Regulation . . .VlI-218 



VI. Future Improvements in Marine 



Petroleum Capabilities . . . .VII-2I8 



A. Future of Exploration . . . .VII-218 



B. Future of Drilling VII-218 



C. Future of Production . . . . VII-219 



D. Future of Transportation . . .VII-219 



E. Pollution Control and 



Prevention VII-219 



VII. Relative Roles of Industry and 



Government VII-220 



A. Relative Role of Industry . . .VII-220 



B. Relative Role of Government . . Vn-220 



Section 4 Fresh Water from Marine 



Resources VII-223 



Findings and Reconmiendations .... VII-223 



I. Present Levels of Fresh Water 



Utilization VII-224 



II. Demand Projections VII-224 



III. Alternative Supply Prospects . . . VII-224 



A. Water Diverted from Areas of 



Surplus VII-224 



B. Submarine Aquifers VII-224 



C. Desalted Water VII-225 



IV. Uniform Costs Comparisons . . . VII-227 



V. Value of Desalted Water . . . .VII-230 



VI. Compatibility of Desalting Plants 



with Environment VII-231 



VII. Present Level and Structure of 



Government Activity .... VII-231 



VIII. Present Level of Private Sector 



Activity VII-232 



Section 5 Direct Power from the Sea . VII-233 



Findings and Recommendations .... VII-233 



I. Present Requirements VII-233 



A. Tidal Power VII-233 



B. Thermal Differences VII-234 



C. Currents and Waves VII-234 



D. Geo thermal Energy VII-234 



II. Present Level of Government 



Activity VII-234 



Section 6 Recreation VII-235 



Findings and Recommendations .... VII-235 



I. Introduction VII-236 



A. Scope and Importance .... VII-236 



B. Conflicts VII-237 



II. Demand VII-238 



III. Supply VII-240 



A. Existing Coastal Recreation 



Areas VII-240 



B. Potential Coastal Recreational 



Areas VII-241 



IV. Government Programs VII-242 



A. Federal VII-242 



1 . Land and Water Conservation 



Fund VII-242 



2. President's Council on 



Recreation and Natural 



Beauty VII-243 



3. Department of the Interior . VII-243 



4. Other Federal Agencies . . . VII-244 



B. State VII-245 



C. Interstate Agencies VII-246 



D. Local VII-246 



V. Private Enterprise VII-246 



VI. Role of Federal, State, and Local 



Governments and Private 



Sector VII-247 



VII. Acquisition VII-248 



A. Financing VII-248 



B. Alternatives to Acquisition . . VII-250 



VIII. Underseas Recreational Activities 



and the Need for Safety 



Measures VII-250 



IX. Research VII-251 



Appendix A Contributors to Panel 



Report VII-253 



