Tuesday, November 18, 2003
Energy Policy

Energy Policy Act of 2003 Will Cost Americans Billions

Congress is expected to vote soon on final adoption of the Energy Policy Act of 2003. Although discussions of the costs of this pending energy bill have focused primarily on the tax title of the bill, tax subsidies for energy industries are only one of the ways in which the energy bill will increase the federal budget deficit or otherwise burden Americans with higher costs. In total, the energy bill will cost over $140 billion over the next decade — six times the cost of the tax provisions alone. These costs include industry subsidies, tax-breaks, authorizations for new government spending, and mandates that increase consumer prices for gasoline and electricity.