Republicans Renew Push for Energy Legislation

Yahoo! News ^ | 6/16/04 | Chris Baltimore - Reuters

[NormsRevenge]

WASHINGTON (Reuters) - Republican-backed bills that would clear away environmental constraints for building new U.S. oil refineries and drilling in an Alaskan wildlife refuge were expected to win approval in the U.S. House of Representatives on Wednesday.

But both measures were largely symbolic with virtually no chance of approval this year by the U.S. Senate, according to lobbyists and congressional aides.

Faced with voter concern about record-high gasoline prices in recent weeks, House Republicans also sought to blame Senate Democrats for blocking a broad energy bill that would be the first major overhaul of U.S. energy policy in a decade.

Senate Democrats, however, contend that a $14 billion energy bill could be approved if Republicans were willing to drop a provision shielding major oil companies from liability lawsuits for the gasoline additive MTBE, which has contaminated underground water supplies.

House Majority Leader Tom DeLay of Texas, whose district includes some refiners, has refused to compromise on the MTBE liability issue.

"We need to see the Senate finish the job now," Energy Secretary Spencer Abraham (news - web sites) told reporters after meeting lawmakers at the Republican National Committee (news - web sites). "They need to bring a bill to the floor."

On Wednesday, the House was scheduled to vote on a Republican-written bill to encourage construction of the first new U.S. refineries since the 1970s. The measure would let the Energy Department override objections from the Environmental Protection Agency (news - web sites) or state governors to approve permits for building new refineries in areas with high unemployment.

Democrats said the bill would give the Energy Department unprecedented power to ignore environmental protections.

The oil industry contends that a maze of state and federal regulations have squelched any plans to build new refineries. The lack of new refining capacity has contributed to tight supplies and higher prices, they say.

"You can do this -- you can help them build a new refinery to bring down prices," said Rep. Billy Tauzin, a Louisiana Republican.

The average U.S. retail gasoline price hit a record $2.06 per gallon three weeks ago. Prices have since eased and are expected to continue declining gradually this summer, barring any unexpected global supply problem, according to the U.S. Energy Information Administration.

The House was also expected to approve -- again -- a measure that would open the Arctic National Wildlife Refuge to oil drilling. The refuge, which sprawls across 19 million acres, is home to migratory birds, polar bears, caribou and other animals.

A third measure before the House would cap the number of "boutique" gasoline blends required by states to satisfy local air pollution rules. The industry says the dozens of kinds of blends now required make it difficult to ship gasoline supplies across regions or cities when supplies are tight.

Sen. John Kerry (news - web sites), the expected Democratic presidential candidate, accused Republicans of playing politics with an issue that affects every American household.

"It looks like House and Senate leadership have turned control of the Congress over to the Republican National Committee," a Kerry spokesman said.

[Cicero]

I love the way Reuters phrases these things.

"House Republicans also sought to blame Senate Democrats for blocking a broad energy bill." Earth to Reuters: Democrats ARE blocking the energy bill, and have been doing so ever since Bush came into office.

As for MBTE, that was the work of government regulators and environmentalists. Why should the oil companies pay the price after having been forced to use the stuff? And why should the trial lawyers profit?

Oh, because they will donate to Democrat campaigns?

[JohnnyZ]

AND --

a measure that would open the Arctic National Wildlife Refuge to oil drilling. The refuge, which sprawls across 19 million acres, is home to migratory birds, polar bears, caribou and other animals.

It is my understanding that only a tiny portion of those 19 million acres would be opened to drilling under the proposed legislation; that article implies otherwise. I guess the article was turned over to the DNC.

[Mister Baredog]

They want our cars to run on wind power, or pedals.

[Jackson Brown]

Senate Democrats, however, contend that a $14 billion energy bill could be approved if Republicans were willing to drop a provision shielding major oil companies from liability lawsuits for the gasoline additive MTBE, which has contaminated underground water supplies.

So...why would they deserve shielding? Because the adding of MTBE to gasoline is MANDATED by the government!! It is highly toxic and VERY hard to store in the quantifies required with NO leakage what so ever. BTW, this bill did pass the house.

[thackney]

Only the Coastal Plain is desired for oil production.

The Coastal Plain area, comprising 1.5 million acres on the northern edge of ANWR, is bordered on the north by the Beaufort Sea, on the east by the U.S. Canadian border, and on the west by the Canning River. The Kaktovik Inupiat Corporation and Arctic Slope Regional Corporation (both Alaska Native corporations) own 94,000 acres in the Coastal Plain surrounding the village of Kaktovik.

Also footprints of the drilling facilities have gotten very small compared to earlier North Slope Production. Direction Drilling and pre-fabricated modules are now the standard for these drill sites. I am working on a design team that is trying to make new drill sites even smaller for use on and near the National Petroleum Reserve, Alaska.

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