9/17/2008
Washington, D.C.
News

REYES BACKS HISTORIC COMPREHENSIVE ENERGY LEGISLATION

 Washington, D.C. - Congressman Silvestre Reyes joined a majority in the U.S. House of Representatives in passing H.R. 6899, the Comprehensive American Energy Security and Consumer Protection Act.  This historic measure repeals tax breaks for large oil companies, and invests in renewable energy sources to reduce America's dependence on foreign oil.  The bill passed by a vote of 236 - 189. 

"El Paso families have been struggling to cope with high fuel and food costs, and the comprehensive energy bill that we passed today will help bring some relief," Congressman Reyes said.  "This important legislation strikes a balance between Republican and Democratic proposals, and includes measures to expand domestic drilling while also investing in renewable energy.  Americans want solutions to the current energy crisis, and this bill is major step in the right direction."

The Comprehensive American Energy Security and Consumer Protection Act repeals tax breaks and royalty exemptions for large oil companies.  America's largest oil companies have been reaping record profits at the expense of American consumers, and this legislation rescinds tax breaks and also requires them to pay royalties owed on leases issued in 1998 and 1999 in the Gulf of Mexico that are costing taxpayers approximately $15 billion.  These measures will help pay for critical investments in renewable energy. 

This historic legislation also invests in a variety of clean and renewable energy sources by providing tax incentives for businesses and individuals that encourage the use of wind, solar, and natural gas to meet energy needs.  Congressman Reyes urged the House leadership to extend tax credits for renewable energy.  These investments in 21^st century energy sources will help create millions of new jobs in the United States.  The bill also requires companies to generate 15 percent of electricity from renewable sources - such as wind power, biomass, geothermal and solar energy - by 2020, which will save American consumers approximately $13-18 billion and reduce dangerous global warming emissions.

The bill will also help increase U.S. oil production by expanding domestic drilling both offshore and on land.  The measure will also help bring immediate relief at the gas pump by temporarily releasing nearly 10 percent of the oil from the Strategic Petroleum Reserve (SPR), and replacing it later with heavier, cheaper crude oil.    

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Vincent M. Perez
202-225-4831
vincent.perez@mail.house.gov