FULL COMMITTEE HEARING ON
"FY 2005 BUDGET PRIORITIES FOR THE DEPARTMENT OF ENERGY"

Mr. Chairman, I commend you for scheduling this hearing, and Mr. Secretary, I welcome you to the Committee and look forward to discussing a number of important topics within the Department of Energy's (DOE) responsibilities.

Of course, the high cost of gasoline is the topic at the top of many members' list of concerns, and is of direct importance to their constituents. As recently as yesterday, OPEC announced it would cut production by four percent, a move that will certainly increase upward pressure on gasoline prices. While the U.S. does not control OPEC, this Administration, like others before it, is in a position to jawbone certain members of the organization and I urge you to do so. This is not the first time consumers have experienced such price volatility, but that does not absolve the Administration from an obligation to do what it can to reduce prices. I also hope the Committee will be vigorous in its oversight of high gasoline prices and their effect on the economy.

I also believe the Administration has been far too passive with respect to the obvious and urgent need to enact electric reliability legislation. It has been nearly eight months since the blackout that affected my state of Michigan and many others, and Congress still has not passed a reliability bill. The economic costs of last summer's blackout were catastrophic, and contributed to higher gasoline prices in the Midwest.

Mr. Secretary, I share your previously expressed concern about the excessive $31 billion price tag for the conference report on H.R. 6. Because of this, and the many controversial provisions included in this mammoth special interest bill, it seems unlikely that this or any similar energy bill will be enacted this year. Even the Heritage Foundation concluded that "Consumers would be better off without an energy bill" than with either H.R. 6 or its slimmed down cousin, S. 2095.

As we head into another summer and the risk of additional blackouts, it is high time for the Administration and the majority in both the House and Senate to stop the blame game, free the reliability hostage, and do what can be done to help protect consumers from future blackouts.

Let me close by enumerating a few additional topics that I hope you will address in the course of the hearing:

• Reform of Yucca Mountain funding: I share the Administration's interest in reforming the funding process for the program, but believe its proposal is too timid in that it only addresses future ratepayer contributions to the Nuclear Waste Fund. Any funding bill also should ensure that the existing $14 billion balance in the Fund, of which more than $500 million came from Michigan consumers, is restored to the program.

• Accelerated cleanup: I am concerned by reports that in its rush to clean up its defense sites, the Department has compromised worker safety, as has been alleged in connection with both Rocky Flats and Hanford. If true, this only compounds prior insult and injury to DOE workers and the surrounding communities.

• Facility Security: It is essential that the Department review and upgrade its preparedness to respond to increased threats to security.

• Worker Safety: While I am pleased that the Department tabled its questionable worker safety rulemaking, I urge you to address its deficiencies promptly, rather than allowing the rule to languish.

With that, I look forward to hearing from the Secretary.