Posted on 09/22/2004 6:28:45 AM PDT by Theodore R.
Tauzin unveils energy plan
Incentives for deep wells in coastal shallows included
By PATRICK COURREGES pcourreges@theadvocate.com Acadiana bureau
Billy Tauzin III, a Republican candidate for Louisiana's 3rd District congressional seat, said Tuesday he wants to give oil and gas companies reason to dig a little deeper closer to shore.
Tax breaks and relief from royalty requirements for businesses willing to go to the extra expense of drilling deeper inshore and in the shallow coastal area of the Gulf of Mexico are part of the energy plan Tauzin unveiled this week.
Tauzin, a Thibodaux Republican and lobbyist for BellSouth, is one of six candidates running to succeed his father -- U.S. Rep. Billy Tauzin, R-Chackbay, who is retiring at the end of the year.
The other five are fellow Republicans Kevin Chiasson, a former doctor from the Thibodaux area; state Sen. Craig Romero of New Iberia; and Democrats state Rep. Damon Baldon of Houma; Charmaine Caccioppi of Raceland, a senior staffer for longtime U.S. Sen. J. Bennett Johnston; and Charlie Melancon of Napoleonville, former president of the American Sugar Cane League.
Tauzin said he wants to find ways both to encourage deeper drilling inshore and shallow-water sites, but also to expand drilling sites in the Gulf.
He said that expansion will mean more jobs in Louisiana, less dependence on foreign oil and more stable oil and gas prices.
Tauzin said he wants to plead that case to other coastal states to get help in freeing up the industry to expand domestically.
He said new technology means the drilling can be done in a safer and more environmentally sound manner.
Another part of Tauzin's energy plan calls for a different strategy in dealing with a fuel source -- more importation of natural gas.
Tauzin said he wants to give natural gas companies incentives, in the form of tax breaks, to build and use offshore terminals to bring in natural gas.
He said that Louisiana consumers of natural gas, either as fuel or as part of other products, use domestic natural gas almost exclusively.
Tauzin said that means supply problems can lead to skyrocketing prices, but that the ability to more easily access foreign natural gas during supply crunches would mean more stability in prices.
He said that producers could be brought on board with the plan because it would mean more people and businesses could afford natural gas and companies using it could expand, meaning a better market for producers.
Tauzin said a similar argument could be made to back his plan to get oil companies back in the business of building and expanding refineries.
He said permitting regulations can mean that a company looking to build a refinery might have to wait 10 to 20 years to get it built.
Tauzin said he wants to streamline that permitting process. More refining capacity could mean lower fuel prices.
He said he also wants to work to support the effort to find renewable sources of energy, such as bio-fuels and making use of the wind energy in the Gulf.
Tauzin said oil platforms and pipelines already in position could be used to bring wind energy into the state, creating more jobs and cheaper energy.
The election for the district, which covers 10 southern and southeastern coastal parishes and parts of three more, is set Nov. 2. A runoff, if necessary, will be held Dec. 4.
This is a good energy strategy.
That will make no difference to the EnviroLeftists that will reflexively oppose all aspects of the proposal.
Isn't the profit motive supposed to drive investment decisions? Why do we need government incentives (other than help jumping through the enviro regulatory hoops) to develop fuel imports?
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.