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Energy

Murray's Work


Gas & Oil Prices

Consumers in Washington state and across the nation have seen dramatically higher gasoline prices in recent months, a result of a number of converging factors. Increased demand at home has been compounded by instability in petroleum-rich nations abroad and recent decisions by the Organization of Petroleum Exporting Countries (OPEC) to reduce production. Together with the war in Iraq, consumers are finding higher prices at the pump.

To help alleviate the burden on consumers, Senator Murray has:

  • Pushed the Administration to halt filling the Strategic Petroleum Reserve (SPR): Earlier this year, Senator Murray joined many of her Senate colleagues in sending a letter to Energy Secretary Spencer Abraham, requesting that the Administration either halt filling SPR or reduce the rate of fill in order to increase flow at the pumps and help ease gasoline prices. The SPR is already near full capacity.

  • Advocated stronger executive action against OPEC: Senator Murray is a cosponsor of S.Res.364, which urges the President to challenge decisions by the Organization of Petroleum Exporting Countries (OPEC) to cut production. Recent decisions to cut production have had significant impacts on oil and gasoline prices at home and abroad.

  • Advocated stronger consumer protection controls for the federal government: Senator Murray is a cosponsor of the Gasoline Free Market Competition Act of 2003 (S.1737), which would give the Federal Trade Commission (FTC) and the Attorney General broader authority to prevent market manipulation by oil companies in tight gasoline markets.

While other recommended actions include opening additional lands for oil exploration, rescinding the federal gasoline tax, and passing the Energy Bill, Senator Murray believes these are inappropriate solutions to a much larger problem.

ANWR

Opening the Arctic National Wildlife Refuge (ANWR) for energy exploration has been a topic of contention in Congress for years. Senator Murray has consistently opposed drilling in ANWR and other sensitive areas, maintaining that there are more appropriate and responsible solutions available. Studies have shown that even if ANWR is opened for drilling immediately, it will take at least ten years before any gasoline reaches the pumps. Not only is this not an immediate solution, but its long-term effects on the environment could prove devastating.

More on ANWR

Gas Tax

Senator Murray believes that rescinding the gas tax would only provide meager benefits to consumers suffering at the pump. Without the revenue gained through the gas tax, our nation's interstate highway and management programs would be in jeopardy. Federal gas taxes are dedicated to the Highway Trust Fund, and a cut would seriously undercut efforts to improve safety, reduce traffic congestion, and identify and correct problems in our nation’s highway system.

Energy Bill

Senator Murray agrees that we must work to pass a comprehensive national energy policy that will help reduce our dependence on foreign oil and traditional fossil fuels. Unfortunately, the current versions of the Energy Bill in Congress fall severely short of creating a sensible plan that promotes renewable energy and responsible use. Government studies have shown that even if enacted, the current Energy Bill would have a negligible effect on domestic gas prices. Senator Murray will continue to work to fix this flawed energy policy and find alternatives to addressing the gas crisis.

More on the Energy Bill below

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National Energy Policy

During the Senate debates on the Energy Policy Acts of 2002 and 2003, Senator Murray worked hard to shape our national energy policy so that it adequately emphasizes conservation, efficiency, renewable energy, consumer protection, and environmental safeguards.

In November, Senator Murray and other opponents successfully defeated the Energy Bill (H.R.6). The immensely costly bill contains no real energy policy for the future, instead emphasizing traditional fossil fuels and doing little to promote renewable energy and efficiency. With our national security, economy, and environment all in precarious situations, we need a comprehensive policy that provides real solutions. This bill fails to do this, which is why Senator Murray did not support its passage. Click here to read Senator Murray’s remarks.

During debate on national energy legislation, Senator Murray has fought to:

  • Secure renewable energy tax credits: Because so many residents of Washington are served by public power utilities, Senator Murray supported renewable energy tax credits that are available for the first time to public power utilities. The energy tax credit package included in the Energy Bill was passed in June as part of the Jumpstart Our Business Strength (JOBS) Act (S.1637), which Senator Murray supported. She supported a similar package in the 2002 Energy Bill.

  • Supported increased borrowing authority for Bonneville Power Administration (BPA): This borrowing authority, later provided in the Fiscal Year (FY) 2003 Omnibus Appropriations bill, enables BPA to build additional power lines to serve customers throughout the state and to expedite the flow of energy throughout the transmission grid.

  • Advocated expanded tax credits for energy efficiency: During debate on the 2002 Energy Bill (S.517), Senator Murray offered an amendment (S.Amdt.3326) that expanded tax credits for energy efficient fuel cells. Her amendment was accepted by the Senate.

  • Supported increased consumer protection: Senator Murray voted for an amendment (S.Amdt.3047) during debate on the 2002 Energy Bill that would have provided increased electric reliability and consumer protections. The amendment failed.

  • Opposed oil and gas exploration in Arctic National Wildlife Refuge (ANWR): Senator Murray opposed an amendment to the 2002 Energy Bill that would have allowed for oil and gas exploration in ANWR. The amendment failed. No ANWR provision was included in the 2003 Energy Bill.

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West Coast Energy Crisis & Consumer Protection

The West Coast energy crises of 2000 and 2001 had a devastating impact in Washington State. Because of the skyrocketing energy rates, we lost thousands of jobs and businesses faced dire financial situations. Entire industries threatened to be idled, just to prevent massive rate increases. According to one estimate, Washington state could lose another 42,000 jobs over the next ten years unless we take action and fix the volatile markets.

Consumers in Washington and throughout the West were forced to make dramatic cuts in energy use, looking for alternative, more efficient products. Public Utility Districts agreed to reduce their energy loads in order to ease the costs on consumers. The people have done their part to address the crises, and yet we still await strong action from the Administration to ensure that we don’t experience a similar crisis in the future. While rates have fallen, they are too high for many people in our state.

Standing Up to the Federal Energy Regulatory Commission (FERC)

During the energy crises, the Federal Energy Regulatory Commission (FERC) did little to protect West Coast consumers. Documents confirm what we have suspected for a long time. Enron was gouging West Coast consumers by manipulating the electricity markets.

Senator Murray, with other Western senators and governors, has repeatedly pushed FERC to act. Senator Murray advocates extending wholesale electric price caps currently in effect, and voiding the long-term high-cost contracts entered into by Washington utilities.

In 2001, on the Senator Murray testified before the Senate Government Affairs Committee impact the crisis has had on Washington state. She has repeatedly pushed FERC to protect consumers, urging strong federal action that will help prevent another crisis.

Senator Murray has:

  • Supported increased electricity reliability standards: Senator Murray is a cosponsor of the Electric Reliability Act of 2004 (S.2236), which would improve reliability standards and help ensure protection against blackouts like that which occurred on the East Coast in 2003. It would establish an Electric Reliability Organization (ERO), which would create mandatory electric reliability standards for the interstate transmission grid.

  • Stood up against FERC’s electricity transmission policy: Concerned that FERC’s one-size-fits-all electricity transmission policy will lead to higher electricity prices for Washington residents, Senator Murray joined with Congressman DeFazio (OR-4) and 22 other members of Congress from the Northwest in sending a letter to FERC urging the agency to change its plan so it won’t penalize Northwest ratepayers.

  • Demanded relief for consumers: In 2001 and 2002, Senator Murray sent letters to FERC demanding relief for Western energy consumers. As Washington state consumers paid the highest next-day wholesale power rates in the nation in 2001, Senator Murray called on FERC to fulfill its obligation to ensure “just and reasonable rates.”

  • Called for price caps on skyrocketing energy rates: In 2001, Senator Murray cosponsored legislation (S.764) to impose temporary price controls on the high energy costs in Western states.

  • Requested an investigation of FERC’s inability to protect consumers from Enron’s energy market manipulation in the West: In May 2002, Senator Murray sent a letter to the Chairman of FERC calling for a review of the agency’s sluggish consumer protection investigations.

  • Called for a criminal investigation of Enron’s market manipulation: In May 2002, Senator Murray joined Senator Maria Cantwell (D-WA) in sending a letter to the Department of Justice requesting a criminal investigation of Enron’s illegal activities.

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Washington Utilities & Power

Senator Murray has been leading efforts to protect Washington State Utilities and the consumers they serve. She has repeatedly opposed proposals that threaten Northwest interests, working with our state’s utilities to ensure they have the best tools available to deliver plentiful, low-cost energy to Washington state residents.

Senator Murray is working for Washington energy interests by:

  • Protecting our Washington state utilities;

  • Defending Washington power and;

  • Working to improve Washington’s electric transmission system.

Protecting Washington State Utilities

The Federal Energy Regulatory Commission (FERC) has been pushing to develop Regional Transmission Organizations (RTOs) in all parts of the country. Those proposals are based on energy systems along the East Coast. Because they do not reflect the unique characteristics of the Northwest electricity grid, Senator Murray has worked with the Bonneville Power Administration (BPA) and Northwest utilities to ensure that Northwest interests are not disadvantaged by FERC’s policies.

Senator Murray has stood up for Washington state utilities by:

  • Objecting to federal national transmission recommendations: When the Department of Energy (DOE) issued a study on national transmission that included recommendations disadvantaging the Northwest, Senator Murray and the Northwest congressional delegation sent a letter to the Energy Secretary explaining the unique characteristics of the Northwest grid and objecting to the recommendations.

  • Standing up for a successful Northwest RTO: When Northwest Utilities filed an RTO West application with FERC, Senator Murray and the Northwest delegation sent a letter to FERC identifying a list of “must haves” for a Northwest RTO to be successful.

  • Standing up to unfair price mitigation mechanisms: When price mitigation mechanisms imposed by FERC in the Northwest were too heavily influenced by the California Independent System Operator, Senator Murray led the Northwest delegation with a letter to FERC requesting relief.

Defending Washington Power

Senator Murray has long been a champion for Washington power and regional interests. She has:

  • Stood up against FERC’s electricity transmission policy: Concerned that FERC’s one-size-fits-all electricity transmission policy will lead to higher electricity prices for Washington residents, Senator Murray joined with Congressman DeFazio (OR-4) and 22 other members of Congress from the Northwest sent a letter urging FERC to change its plan so it won’t penalize Northwest ratepayers.

  • Defended regional preference to ensure the delivery of low-cost energy: Politicians from other states have tried to eliminate the “regional preference” and “cost-based rates” which ensure our region gets affordable power from its dams. Senator Murray has defended the Bonneville Power Administration (BPA) from these attacks. In 2000 and 2001, when California’s congressional members attacked BPA, Senator Murray reached out to California’s senators to explain BPA’s role in saving California from crisis. Without BPA’s help, California would be in far more dire straits.

  • Opposed proposals to privatize BPA: Organizations from the Northeast and Midwest have long envied the Pacific Northwest’s cheap power. They continue to attempt to undermine regional preference and cost-based rates. Many have supported privatizing BPA. Senator Murray will defend BPA from these attacks and will work to educate congressional members about BPA’s importance to the Pacific Northwest.

  • Supported energy programs that benefit Washington residents: Senator Murray supports programs that benefit our state’s residents, such as the Low Income Home Energy Assistance Program (LIHEAP). Senator Murray, along with other Senators, sent a letter to President Bush requesting that appropriated LIHEAP funds be released. She also sent a letter to the Labor, Health and Human Services, and Education Appropriations Subcommittee requesting additional LIHEAP funding.

  • Worked with utilities and local leaders to represent Washington interests: Senator Murray has reached out to Washington state’s public and private utilities and Governor Gary Locke to understand and represent their concerns.

Working to Improve Washington’s Electric Transmission System

The Pacific Northwest has more than 40 electric transmission bottlenecks. The Bonneville Power Administration (BPA) needs additional borrowing authority to upgrade the transmission system. Senator Murray has worked with the Northwest congressional delegation to obtain additional BPA borrowing authority. She has:

  • In February, 2002, Senator Murray and the Northwest Senate delegation requested the support from the Energy and Natural Resources Committee requesting support for additional BPA borrowing authority.

  • In March, Senator Murray and the Northwest Senate delegation requested support from the Senate Budget Committee for the additional BPA borrowing authority.

  • In April, the work of Senator Murray and the Northwest Senate delegation paid off when the Senate Energy Bill was passed with an increase in BPA borrowing authority.

    More on the Energy Bill

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Renewable Energy & Energy Efficiency

As a member of the Senate Renewable Energy and Energy Efficiency Caucus, Senator Murray believes we must invest significant resources toward the development and promotion of renewable energy, efficiency, and conservation. Consumers must be able to make choices in the marketplace that help them reduce energy use in affordable ways. At the federal level, this means we need to provide significant incentives for businesses and consumers that promote alternative energy sources and efficiency, and we must develop a national energy policy that strongly reduces our dependence on traditional fossil fuels.

In the West, the electricity crisis was aggravated because we are too dependent on hydro-electric power. Senator Murray knows that investing in renewable energy will reduce that dependence on hydro-electric power and help prevent future price swings.

Senator Murray has repeatedly supported important initiatives that promote renewable energy and energy efficiency.

For example:

  • In FY 2004, Senator Murray secured $750,000 for the Straw-to-Energy project in the Energy and Water Appropriations Bill. The demonstration project in Spokane, Washington, will help utilize new technologies to convert waste, excess grass, or wheat straw into value-added energy.

  • In May, 2004, Senator Murray voted in favor of the energy tax incentive package in the Jumpstart Our Business Strength (JOBS) Act (S.1637). The legislation provides important tax incentives for renewable agricultural energy production, such as biomass, waste nutrient, and irrigation hydro energy.

  • In Fiscal Year (FY) 2003, Senator Murray, with a number of other Senators, requested the Energy and Water Appropriations Subcommittee provide additional funding for the Renewable Energy Production Incentive. Senator Murray also sent a letter to the Senate Committee on Finance to request support for renewable energy tax credits.

  • During the debate on the 2002 Energy Bill (S.517), Senator Murray offered an amendment (S.Amdt.3326) that expanded tax credits for energy efficient fuel cells. Her amendment was accepted by the Senate, but the bill was never signed into law.

Protecting Washington’s Environmental Needs

Senator Murray has fought hard to balance our state’s unique energy and environmental needs.

With a limited amount of water in our rivers and reservoirs, Senator Murray advocates responsible use of these resources. We need water to generate electricity through our dams, but we also need that water to promote salmon recovery throughout our state. Throughout her time in office, Senator Murray has repeatedly secured significant funding for salmon recovery efforts, recognizing the cultural and economic importance the fish hold throughout our region.

More on Environment