Richard Lugar on Energy & Oil
Republican Sr Senator (IN)
Lugar has long been at the forefront of pro-ethanol policies, including a proposal to make sure that all cars are "flex-fuel" vehicles capable of running on ethanol. But Mourdock charged that federal policies promoting ethanol are contributing to rising gas prices. "Most of us, especially as Republicans, object to mandates from the federal government," Mourdock said. "And yet suddenly we saw more ethanol being mandated into our gasoline."
The federal government gave gas refiners a subsidy to add ethanol to their product, but that policy was phased out at the start of 2012. Instead, the federal government now mandates only that the industry add some sort of alternative fuel, which often means ethanol derived from corn.
Proponent's Argument for voting Yes:
[Sen. McConnell, R-KY]: The White House is trying to impose a backdoor national energy tax through the EPA. It is a strange way to respond to rising gas prices. But it is perfectly consistent with the current Energy Secretary's previously stated desire to get gas prices in the US up to where they are in Europe.
Opponent's Argument for voting No:
[Sen. Lautenberg, D-NJ]:We hear the message that has been going around: Let's get rid of the EPA's ability to regulate. Who are they to tell us what businesses can do? Thank goodness that in this democratic society in which we live, there are rules and regulations to keep us as a civilized nation. The Supreme Court and scientists at the Environmental Protection Agency agreed that the Clean Air Act is a tool we must use to stop dangerous pollution. This amendment, it is very clear, favors one group--the business community. The Republican tea party politicians say: "Just ignore the Supreme Court. Ignore the scientists. We know better." They want to reward the polluters by crippling EPA's ability to enforce the Clean Air Act.
Status: Failed 50-50 (3/5
Proponent's argument to vote Yes:Sen. LINDSEY GRAHAM (R, SC): The climate change proposal that was in the President's budget would create a massive tax increase on anybody who uses energy, and that would be every American middle-class family, which already has a tough time getting by. This [amendment creates a procedure to block] any bill that would raise the cost of energy on our middle-class families who are struggling to get by. I ask the Senate to rally around this concept. We can deal with climate change without passing a $3,000-per-household energy tax on the families of America who are having a hard time paying their bills.
Opponent's argument to vote No:No senators spoke against the amendment.
Sec. 202 is amended by inserting at the end the following: "The Chairman of the Senate Committee on the Budget shall not revise the allocations in this resolution if the legislation is reported from any committee pursuant to sec. 310 of the Congressional Budget Act of 1974."
Proponent's argument to vote Yes:Sen. LINDSEY GRAHAM (R, SC): This idea to most people of a debate about reconciliation probably is mind-numbing and not very interesting. But there is a process in the Congress where you can take legislation and basically put it on a fast track. It is subject to 50 votes.
The whole idea of the Senate kind of cooling things down has served the country well. In that regard, to end debate you need 60 votes. If 41 Senators are opposed to a piece of legislation, strongly enough to come to the floor every day and talk about it, that legislation doesn't go anywhere. If you took climate change and health care, two very controversial, big-ticket items, and put them on the reconciliation track, you would basically be doing a lot of damage to the role of the Senate in a constitutional democracy.
Senator Byrd, who is one of the smartest people to ever serve in the Senate about rules and parliamentary aspects of the Senate, said that to put climate change and health care reform in reconciliation is like "a freight train through Congress" and is "an outrage that must be resisted." Senator Conrad said: "I don't believe reconciliation was ever intended for this purpose."
I think both of them are right. Under the law, you cannot put Social Security into reconciliation because we know how controversial and difficult that is. I come here in support of the Johanns amendment that rejects that idea.
Opponent's argument to vote No:No senators spoke against the amendment.
Despite the positive elements of this legislation, the main sticking point is whether temporary extensions of tax relief should be offset with permanent tax increases elsewhere. The White House issued a statement recommending a Presidential veto of this bill in its current form. [Vote NAY to] allow the Senate to work its will and pass legislation that can be quickly signed by the President.
But what happens with the DeMint motion, he gives China and India a veto power over what we should be doing. Imagine saying we are not going to do anything about human rights until China acts. Why would we give up our chance to take the mantle of leadership and finally grab hold of this issue? I cannot look into the eyes of my grandchildren and tell them: Sorry, I am giving over my proxy to China & India, and I can't do anything about it.
Proponents support voting YES because:
This legislation seeks to end the unwarranted tax breaks & subsidies which have been lavished on Big Oil over the last several years, at a time of record prices at the gas pump and record oil industry profits. Big Oil is hitting the American taxpayer not once, not twice, but three times. They are hitting them at the pump, they are hitting them through the Tax Code, and they are hitting them with royalty holidays put into oil in 1995 and again in 2005.
It is time to vote for the integrity of America's resources, to vote for the end of corporate welfare, to vote for a new era in the management of our public energy resources.
Opponents support voting NO because:
I am wearing this red shirt today, because this shirt is the color of the bill that we are debating, communist red. It is a taking. It will go to court, and it should be decided in court.
This bill will increase the competitive edge of foreign oil imported to this country. If the problem is foreign oil, why increase taxes and make it harder to produce American oil and gas? That makes no sense. We should insert taxes on all foreign oil imported. That would raise your money for renewable resources. But what we are doing here today is taxing our domestic oil. We are raising dollars supposedly for renewable resources, yet we are still burning fossil fuels.
Status: Bill passed Bill passed, 65-27
Proponents recommend voting YES because:
Our NOPEC bill will authorize filing suit against nations that participate in a conspiracy to limit the supply, or fix the price, of oil. In addition, it will specify that the doctrines of sovereign immunity do not exempt nations that participate in oil cartels from basic antitrust law.
Opponents recommend voting NO because:
No one likes OPEC. But this amendment, in my opinion, would make bad law. The Framers of the Constitution wisely assigned responsibility for formulating foreign policy and conducting foreign relations to the President and to the Congress, not to the law courts.
The amendment before us has its roots in a lawsuit filed by the labor union nearly 30 years ago. The union at that time charged OPEC with price fixing in violation of our antitrust laws. The trial court dismissed the case on the ground that OPEC members are sovereign nations and are immune from suit. Adopting the amendment will undoubtedly be very popular, but it is also very unwise.
In addition, we here in the Senate ought to consider how enactment of this amendment might affect our relations with OPEC members. What will be the international repercussions when the US starts awarding judgments against foreign nations and attaching their assets in this country? Will other nations start to view our trade policies--such as our nuclear trade restrictions--as violations of their antitrust laws?
Proponents recommend voting YES because:
It just seems logical that we ask the Corps of Engineers to include in their analyses, judgments about the potential impact of global climate change. All this amendment seeks to do, as a matter of common sense, is to ask the Army Corps of Engineers to factor climate change into their future plans. Secondly, we are making a statement here to finally recognize the reality of what is happening with respect to climate change.
Opponents recommend voting NO because:
The same people today who are saying we are all going to die from global warming, just back in the middle 1970s were saying another ice age is coming and we are all going to die. Which way do you want it?
If a surge of anthropogenic gases--this CO2, methane, or whatever it is--were causing a warming period, then around 1945 we would have a warming period because in the middle 1940s we had the greatest increase in greenhouse gases. But what happened? It did not precipitate a warming period.
Peer reviewed evidence shows that the sun has actually been driving the temperature change. You don't have to be a scientist to know that the Sun can have something to do with climate change.
Implementing Kyoto would reduce the average annual household income nearly $2,700, at a time when the cost of all goods would rise sharply.
Mr. President: A recent federal court decision regarding energy efficient air conditioners is a significant victory for consumers, for the environment, and for our nation's energy future. We respectfully request that you do not appeal the decision to the U.S. Supreme Court.
Last month, the U.S. Court of Appeals for the Second District (Natural Resources Defense Council et al v. Abraham, Docket 01-4102) affirmed that central air conditioners sold beginning in 2006 must be at least 30% more energy efficient than those available today.
Air conditioners are a necessary modern convenience but are also major users of electricity. On hot days, cooling homes and businesses is the largest category of electricity demand. Requiring air conditioners to be as energy efficient as possible will begin to reduce the stress on the electricity generation and transmission network and decrease the likelihood of blackouts that many regions of the country experience during warm weather conditions.
Air conditioners that meet the Seasonal Energy Efficiency Rating 13 standard will provide benefits for consumers, the environment, and the nation. The SEER 13 standard will alleviate the need for additional electricity production and transmission resulting in as many as 48 fewer power plants required by 2020. This standard will also result in less harmful air pollution being emitted into the atmosphere. Moreover, by 2020 power plant emissions of carbon dioxide will be 2.5 million tons lower as a result, and emissions of mercury, sulfur dioxide, and nitrogen oxides will also be held down resulting in cleaner air and healthier citizens.
Finally, the higher standard can be expected to save businesses and residential consumers $1 billion per year in lower electricity bills. Lower electricity bills will recover the slightly higher purchase cost for the more efficient air conditioners in less than 18 months.
OFFICIAL CONGRESSIONAL SUMMARY: A bill to provide for Flexible Fuel Vehicle (FFV) refueling capability at new and existing refueling station facilities to promote energy security and reduction of greenhouse gas emissions.
SPONSOR'S INTRODUCTORY REMARKS: Sen. OBAMA: We have all heard from folks back home about the high price of gasoline. The bill I am introducing today is designed to do something about fuel prices and our reliance on foreign oil.
Last week, I visited a gasoline station in Springfield, IL, where along with regular gasoline, a new kind of fuel is offered for consumers--a fuel known as E-85. E-85 is a clean, alternative form of fuel consisting of a blend of 85% ethanol and 15% gasoline. Ethanol is made from renewable, Midwestern corn, and it is 40-60 cents cheaper per gallon than standard gasoline. Last week, at this Springfield station, regular gasoline was listed at $2.06 and E-85 was selling for $1.69.
Not every car can run on E-85 fuel--but there are millions of cars that can. They're known as "flexible-fuel vehicles," and the auto industry is turning them out every year. The only problem we have now is that we're in short supply of E-85 stations. While there are more than 180,000 gas stations all over America, there are only about 400 E-85 stations. And although E-85 has many environmental benefits and is a higher performing fuel, the fuel economy of E-85 is slightly lower than that of regular gasoline. An additional incentive is needed to help ensure that the cost of this clean fuel remains competitive with that of regular gasoline.
That is why I'm introducing a bill to provide a tax credit of 50% for building an E-85 fuel station and a tax credit of 35 cents per gallon of E-85 fuel. I think this bill gives us an opportunity to actually get something done about energy independence.
LEGISLATIVE OUTCOME:Referred to Senate Finance Committee; never came to a vote.
OFFICIAL CONGRESSIONAL SUMMARY: A bill to increase fuel economy standards for automobiles.
SPONSOR'S INTRODUCTORY REMARKS: Sen. OBAMA: At a time when the energy and security stakes couldn't be higher, CAFE standards have been stagnant. In fact, because of a long-standing deadlock in Washington, CAFE standards that initially increased so quickly have remained stagnant for the last 20 years.
Since 1985, efforts to raise the CAFE standard have been stymied by opponents who have argued that Congress does not possess the expertise to set specific benchmarks.
To attempt to break this two-decade-long deadlock and start the US on the path towards energy independence, we introduce the Fuel Economy Reform Act of 2006. This bill would set a new course by establishing regular, continual, and incremental progress in miles per gallon, targeting 4% annually, but preserving NHTSA (National Highway Traffic Safety Administration) expertise and flexibility on how to meet those targets.
Under this system, if the 4% annualized improvement occurs over ten years, this bill would save 20 billion gallons of gasoline per year. If gasoline is just $2.50 per gallon, consumers will save $50 billion at the pump in 2018. By 2018, we would be cutting global warming pollution by 220 million metric tons of carbon dioxide equivalent gases.
In order to enable domestic manufacturers to develop advanced-technology vehicles, this legislation provides tax incentives to retool parts and assembly plants. This will strengthen the US auto industry by allowing it to compete with foreign hybrid and other fuel efficient vehicles. It is our expectation that NHTSA will use its enhanced authority to bring greater market-based flexibility into CAFE compliance by allowing the banking and trading of credits among all vehicle types and between manufacturers.
LEGISLATIVE OUTCOME:Referred to Senate Committee on Finance; never came to a vote.
OnTheIssues.org interprets the 2005-2006 CAF scores as follows:
The Campaign for America's Future (CAF) is a center for ideas and action that works to build an enduring majority for progressive change. The Campaign advances a progressive economic agenda and a vision of the future that works for the many, not simply the few. The Campaign is leading the fight for America's priorities--against privatization of Social Security, for investment in energy independence, good jobs and a sustainable economy, for an ethical and accountable Congress and for high quality public education.
About the CAF report, "Energy Independence: Record vs. Rhetoric":
Energy independence has surfaced as a defining issue in the current elections. Are most candidates and both parties truly committed? To help distinguish the demonstrated level of support for homegrown, clean energy alternatives, we examined the voting records of current U.S. Representatives and Senators on bills vital to promoting those interests. Key pieces of legislation included goals for independence, and subsidies for the development of alternatives compared to subsidies for drilling and digging. We then compared votes on these issues with campaign contributions from major oil interests. The results show strong inverse correlations between political contributions from big oil and votes for energy independence.
A bill to address record high gas prices at the pump, and for other purposes. The Gas Price Reduction Act amends the Outer Continental Shelf Lands Act (OCSLA) to prescribe procedures for petition, by the governor of a state with a new producing area within the offshore administrative boundaries beyond the state's submerged land, to make the new producing area available for oil and gas leasing.
Repeals the prohibition against funding: (1) regulations regarding a commercial leasing program for oil shale resources on public lands; or (2) an oil shale lease sale.
Congressional Summary: Requires each automobile manufacturer's annual covered inventory to comprise at least:
Defines "fuel choice-enabling vehicle" to mean an automobile warranted by its manufacturer to be capable of operating on:
Opponent's Comments (Detroit News June 14 2011): The major automakers oppose a bill that would require nearly all vehicles to be capable of running on mostly biofuels. It would cost consumers more than a billion dollars annually. The bill effectively imposes a tax on consumers regardless of consumer demand and fuel availability.
A resolution that it is the goal of the United States that, not later than January 1, 2025, the agricultural, forestry, and working land of the US should provide from renewable resources not less than 25% of the total energy consumed and continue to produce safe, abundant, and affordable food, feed, and fiber. [Governors also signed letters of endorsement at www.25x25.org]
Rep. SALAZAR: "Our resolution establishes a national goal of producing 25% of America's energy from renewable sources--like solar, wind and biofuels--by 2025. The "25x'25" vision is widely endorsed, bold, and fully attainable. If implemented, it would dramatically improve our energy security, our economy, and our ability to protect the environment.
"I am pleased that more than 20 of my colleagues in the Senate, from both sides of the aisle, are cosponsoring this resolution. In addition, the "25x'25" vision has been endorsed by 22 current and former governors and several State legislatures across the country. The Big Three automobile manufacturers--Ford, Chrysler, and General Motors--are all behind "25x'25" So are many agricultural organizations, environmental groups, scientists, and businesses, ranging from the Natural Resources Defense Council to John Deere.
"These Americans understand that we cannot continue to import 60% of our oil from foreign countries, many of which are hostile to the US, if we aim to be strong and secure in the world. They know that we will have to build a clean energy economy if we are to reduce our dependence on foreign oil. It is time for Congress to take a more active role in our clean energy future. Establishing a national goal--"25x'25" is the first step."
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