UPDATE: The House passed this bill 235-181, with 14 Republicans voting with the Democratic majority and 7 Democrats voting against the bill. Bush says he will veto. Will Senate Democrats cave and remove the tax and renewable electricity standard provisions (see below)?
The U.S. House is set to vote on a big energy bill today (Thursday), and it’s the best bill we’ve seen yet on this subject. After the jump I am posting a detailed statement from Speaker Nancy Pelosi’s office describing some of the key provisions in the bill:
http://www.speaker.gov/legisla…
Title XIV would break new ground at the federal level by establishing a “renewable electricity standard”:
Establishes a 15 percent national renewable electricity standard (RES). This market-based mechanism will require electric utilities to use renewable energy to generate 15 percent of their electricity or to purchase renewable energy credits from others to meet this standard by 2020.
That provision will be a major sticking point with Republicans in the Senate, as will this:
Upholding Fiscal Responsibility and Bipartisanship
• This legislation does not add to the deficit and all revenue offsets resulted from bipartisan negotiations.
• Revenue raisers include $13 billion in scaled-back provisions that repeal tax breaks that were needlessly given to Big Oil companies at a time of record profits. The bill also includes other revenue raisers from the President’s budget.
• Specifically, the bill closes a loophole written into the international tax bill (H.R. 4520) and rolls back the 2005 Energy Bill tax break for geological and geophysical expenditures. These provisions are narrowly targeted toward the large integrated oil companies.
• In addition, to ensure that oil and gas companies are paying their fair share of taxes, it closes a tax loophole that allows big oil and gas companies to game the system by understating their foreign oil and gas extraction income.
• Other revenue raisers in the bill come from the President’s budget and from bipartisan negotiations with the Senate, the largest of which strengthens reporting on the value of stock to make sure that gains are taxed.
On the e-mail loop of the Iowa Renewable Energy Association, there has been some discussion of whether these measures could survive a Senate vote. An excerpt from a piece in “Energy & Environment News” (I am not a subscriber so can’t post a link) quotes Tom Harkin as saying that some of the good provisions may be stripped from the bill so that it can be passed this year without President Bush vetoing it.
Although Chuck Grassley apparently would vote for the renewable electricity standard himself, his top priority is securing a multi-billion-dollar giveaway to the corn-based ethanol industry. If the renewable standard or tax credits for solar and wind power have to be stripped from the bill to get it through the Senate, he is likely to go along with that.
Alternatively, Harry Reid may delay consideration of the energy bill if he thinks he doesn’t have the 60 votes to break an expected Republican filibuster. That would make passage of the bill this year very unlikely.
Bottom line: the House picture is encouraging, but the Senate picture is depressing. Please consider donating to one of our fine Senate candidates in other states, so we can elect more and better Democrats to the Senate in 2008.
The full text of the statement from Pelosi’s office is after the jump.
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