Mr. Chairman, I rise today in support of H.R. 3221. This bill is a package of important provisions that will move our energy and climate policies toward a more sustainable future. I strongly urge my colleagues to support this legislation.…
Mr. Chairman, I rise today in support of H.R. 3221.
This bill is a package of important provisions that will move our energy and climate policies toward a more sustainable future. I strongly urge my colleagues to support this legislation.
One of the highlights of this bill is a provision to require royalty payments from oil and gas leases that currently are exempt from royalties. We are losing millions of dollars on these faulty leases that are allowing oil and gas companies to extract taxpayer-owned resources for free. Putting a stop to this is fiscally unsound public policy is a much-needed step in the right direction.
With this measure, we will also establish progressive and sensible policies designed to help families and businesses save energy with new efficiency standards for appliances, lighting and buildings.
This bill puts our priorities back on track in funding new research into renewable fuels, which could be unlimited sources of clean energy if we invest in them properly. This will begin to move us away from the antiquated, dirty sources of energy we use today.
I support this bill and plan to vote in favor of it. I am, however, disappointed that several important provisions were removed from the Natural Resources Committee bill, H.R. 2337, as it was being incorporated into this bill. The colleagues who demanded the removal are primarily from big oil producing states whose interest is to move that product for the corporate interests they represent without thought or consideration for the rights of other Western states, communities, ranchers, farmers and the shared public lands of the American people.
One gentleman in particular represents a vast oil producing district with no real public land, at least 100 hazardous waste sites, numerous former superfund sites, watershed and ground water contamination sites. Perhaps the gentleman feels that is the price of doing the oil industry's business? I and many others in the West prefer a different scenario--where study, consultation, protection of our public lands, public participation, and cost recovery for the tax payer--are an integral part of doing business.
As Chairman of the Subcommittee on National Parks, Forests and Public Lands, I've become concerned about the 2005 Energy Policy Act's impacts on public lands, private landowners and wildlife in the West.
The provisions removed from this bill prior to floor consideration would have made very modest improvements to the Energy Policy Act, a bill largely written by and for the fossil fuel industry.
The first would have simply authorized a study before federal agencies designate energy corridors on federal lands across the entire West. I am deeply concerned that the most recent maps put forth by the agencies identify corridors crossing through National Parks, Wildlife Refuges, Monuments and wilderness areas. Like Dick Cheney's Energy Taskforce, the initial maps of the draft corridors were drawn at the request of the energy industry, with very little public input. The study would have simply put a better, more thorough process in place by requiring agencies to consider congestion and constraints on the system as well as barriers to access for renewables. My provision would have also required the agencies to avoid places like National Parks when designating corridors.
The second provision, specifically requested by the Western Governors' Association, would have required land management agencies to analyze the impacts of oil and gas activities in critical wildlife areas before allowing drilling. I ask unanimous consent that these letters from the Western Governors' Association be entered into the Record.
Under the 2005 bill, the oil and gas industry is able to conduct drilling and other activities on public lands without first ensuring protection of wildlife and other resources. The original provision would have required agencies to avoid wildlife areas and follow appropriate laws to protect the environment.
I am disappointed that these modest reforms of the oil and gas industry's sweetheart package from 2005 were rejected.
Nevertheless, I support the reform provisions of this bill and I know that there will still be opportunity to address some of the shortcomings of the 2005 Energy bill as we move forward. Because once the public is fully aware of the consequences and immense impacts of the energy corridors designations and categorical exclusion provisions, they will demand action.
Congress of the United States,
House of Representatives,
Washington, DC, July 27, 2007.
Hon. Nick Rahall,
Chairman, Committee on Natural Resources, Washington, DC.
Dear Chairman Rahall: I write to urge you to keep the oil
and gas management reform provisions of H.R. 2337, which
contain several modest but important reforms to restore some
semblance of balance to the federal government's oil and gas
development programs.
As you are aware, the overall House Natural Resources
Committee package will restore responsible stewardship to the
development of our publicly owned oil and gas resources.
Unfortunately, some of the criticism from opponents of these
provisions misrepresent the content and anticipated
consequences of these provisions.
These provisions will not increase oil and gas prices. In
fact, oil prices respond to global market forces of supply
and demand, not whether or not oil and gas operators on
public lands are required to pay a small administrative fee
to obtain drilling permits, or a dollar per acre fee to
discourage speculation, or post bonds to repair the damage
done by development to fish and wildlife resources, or make
sure private property owners are treated fairly, or whether
environmental values are properly protected.
It has also been alleged that the oil and gas language in
H.R. 2337 would ``limit energy development on the public
lands in the Intermountain West.'' In fact, no provisions in
H.R. 2337 limit any company's access to federal lands for oil
and gas activities in the region.
Of particular concern to critics are provisions of the bill
that provide some modest protection for the private property
rights of private surface owners who do not own the federal
oil and gas resources under their farms and ranches. These
provisions would not give landowners a veto over oil and gas
development, but would require lessees to minimize impacts on
the surface. In addition, the critics apparently have a
problem with requiring companies that drill on federal lands
to protect water resources that might be impaired by their
operations, and replace resources damaged by their
operations. Critics also have a problem with requirement
financial guarantees from operators on federal lands to
ensure that they clean up after they have completed
operations, and do not leave the clean-up bill for
taxpayers to pay. None of these provisions will impair any
company's access to federal oil and gas resources. They
will, however, ensure the responsible development of these
resources.
Other important provisions of the House Natural Resources
Committee package are the language on energy transmission
corridors and categorical exclusions. This language would
require that a needs assessment of constraints and congestion
in the West's transmission system for the transmission of
various energy resources be finalized, and the data used when
applicants apply for rights-of-way across federal lands. In
addition, the provision contains some commonsense protections
of sensitive areas and resources that could be impaired by
the improper siting of transmission facilities. The provision
for categorical exclusions ensures proper environmental
review for oil and gas in critical wildlife areas.
In summary, the oil and gas management provisions of the
House Resources Committee package contain a modest number of
reforms that will help protect the wildlife, water resources
and other environmental values and private property that can
be impaired by irresponsible oil and gas development.
Sincerely,
Raul M. Grijalva,
Chairman, Subcommittee on National
Parks, Forests and Public Lands.