January 18, 2007

Ellsworth Votes to Cut Big Oil Subsidies

Supports Home-Grown Energy Development

WASHINGTON -- Rep. Brad Ellsworth (D-Evansville) today voted to cut government subsidies and close tax loopholes for oil companies and instead, invest in home-grown energy and conservation. The House passed the bill, 264-123.

"It's a matter of priorities. At a time when budget deficits are soaring, it's unreasonable for Congress to give away billions of dollars in government subsidies to companies that are already making record profits," said Ellsworth. "Instead, we must reduce our dependence on foreign oil, and look within our own borders to meet our energy needs. It's time we get serious about kicking our foreign oil habit."

The bill ensures oil companies awarded 1998 and 1999 drilling leases pay their share in royalties. In addition, it closes tax loopholes and giveaways for oil companies, and uses the savings to create a Strategic Renewable Energy Reserve. The Reserve will be used to invest in renewable energy sources, promote emerging technologies, increase the development of home-grown energy sources, increase energy efficiency and improve energy conservation.

"Indiana farmers are at the forefront in developing home-grown energy sources, but they need our support with increased investment," said Ellsworth. "Relying on these home-grown sources is good policy, both from an economic and from a national security standpoint. It's just good common sense and I'm proud to support it."

Ellsworth is a member of the Subcommittee on Conservation, Credit, Energy, and Research of the House Agriculture Committee with jurisdiction over energy and bio-based energy production.

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