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UPDATE - Bush energy plan said to help industry, not public

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USA: January 24, 2002

 

 

WASHINGTON - The Bush administration's energy plan will make the U.S. economy

more dependent on oil and was designed to help Enron and oil companies, not the

American public, a Democratic senator said this week.

 

 

Massachusetts Sen. John Kerry, a likely presidential candidate in 2004, fired

the opening salvo in what was expected to be a bitter, partisan fight this

winter over a national energy policy that is a legislative priority for both

parties.

Republicans have endorsed a plan to boost oil supplies by drilling in the Arctic

National Wildlife Refuge while Democrats contend more conservation measures and

stricter fuel efficiency for gas-guzzling sport utility vehicles can accomplish

the same goal without ravaging the wilderness.

 

Kerry said the White House has not offered an agenda for energy independence but

instead wants to help energy companies like Enron. The Houston-based firm, which

had close ties to several Bush administration officials, ranked as the world's

biggest energy trader before it filed for bankruptcy.

 

" Old thinking passed through the (White House) doors of 1600 Pennsylvania Avenue

far more often and easily than new thinking. Exxon Mobil , Enron or Chevron

enjoyed an access bonanza at the expense of consumers, " Kerry said in a speech

to the Center for National Policy. The center is a nonprofit group headed by

Leon Panetta, the former chief of staff for ex-President Bill Clinton.

 

The U.S. Senate, which returns from its holiday recess yesterday, is scheduled

to begin debate next month on a Democratic-sponsored energy bill.

 

The Democrats prefer to keep the Arctic wildlife refuge closed and instead

develop more renewable energy sources like wind and solar power, and implement

energy conservation measures. The refuge, which stretches some 19 million acres

(7.7 million hectares) on Alaska's northern coast, is home to polar bears,

migratory birds and other wildlife.

 

The Republican-led House of Representatives last year approved a broad energy

bill that would give oil companies access to the Arctic refuge as well as more

than $33 billion in tax breaks and incentives.

 

Before the full Senate begins debate on its energy bill, the Senate Finance

Committee will first approve between $10 billion and $15 billion in energy tax

breaks and the Senate Committee Committee will strengthen mileage requirements

for vehicles.

 

LABOR UNIONS BACK BUSH PLAN

 

The Teamsters Union told President George W. Bush last week it was close to

getting the 60 Senate votes needed to add language to the energy bill opening

the refuge and block a threatened filibuster by Democrats. The Teamsters back

drilling because of the high-paying union jobs it would create.

 

Kerry is one of several Senate Democrats who have vowed to filibuster to death

any bill to allow drilling in the refuge.

 

Even if the Arctic refuge was opened to drilling, it would not be at full

production for some 20 years, Kerry said.

 

Government estimates say the refuge may hold up to 16 billion barrels of oil.

The United States must import more than half the 20 million barrels of oil per

day that it consumes.

 

" Obviously we all agree that reducing our dependence on foreign oil, especially

oil from the politically toxic Middle East, is a necessity, " Kerry said.

 

" But the American people want honesty about how you do it, not a false security

blanket that promises something undeliverable in the short term and precious

little amounting to real progress in the long term, " he added.

 

But Kerry said if the entire Bush energy plan was implemented, the United States

by 2020 would be more dependent on foreign oil than it is now. Foreign oil

accounts for 60 percent of U.S. petroleum consumed today.

 

A better policy would be to increase mileage requirements for mini-vans and

sport utility vehicles, Kerry said, adding that would save millions of barrels

of oil a year.

 

A national energy policy should also develop more renewable energy like wind and

solar, and set a goal of having 20 percent of U.S. electricity from renewable

sources by 2020, he said.

 

Bush, who has called for funding for ways to make coal a cleaner fuel, was

promoting his energy plan this week in West Virginia, the heart of coal-mining

country.

 

" This nation needs an energy policy, " Bush said. " Jobs depend on affordable

energy. If there's (an energy) price spike or a disruption in supply, people may

not have work. "

 

The administration has also sought to link opening the Arctic wildlife refuge to

national security, saying new domestic sources of crude oil are essential to

U.S. interests.

 

" We're dependent on energy from some parts of the world, where sometimes they

like us and sometimes they don't, " Bush said.

 

 

 

Story by Tom Doggett

 

 

REUTERS NEWS SERVICE