Congressman Dennis Cardoza
18th Congressional District of California

“We desperately need a national energy policy, but this bill is a real dog,” Cardoza said. “With the price of gas approaching $3 per gallon in many parts of the country, this is not the time to give additional tax breaks to oil and gas companies.  I agree with President Bush, who said that ‘When the oil price is over $50 a barrel, the oil industry does not need relief.’”

“Gas prices are soaring, and this bill actually makes matters worse,” Cardoza continued, referring to an Energy Information Administration report that predicts gas prices will rise three cents with the passage of the legislation.  “When it costs upwards of $40 to $50 for a full tank of gas, it’s consumers who need relief, not the oil industry.”

Cardoza is also concerned that of the $8.1 billion in tax incentives and royalty relief for energy companies, only a very small percentage is aimed at developing sources for renewable energy.

He voted for a similar energy bill in the House last year, but rising oil prices, heightened concerns about energy independence and fuel efficiency, and the nation’s worsening fiscal crisis increased his already significant reservations with the legislation.  Those factors also make Senate passage even more unlikely than it was last year.

“The American people shouldn’t have to borrow money from countries like China and Japan to fund tax cuts for one of the most profitable business sectors in the world,” Cardoza said.  “We need an energy bill that addresses our future energy needs without gouging consumers.  It’s time to sit down and develop a balanced energy policy that isn’t a giveaway and can actually pass both houses of Congress and get to the president’s desk.”

The House version of the energy bill is H.R. 6, The Energy Policy Act of 2005.  More information can be found on Cardoza’s web site at http://www.house.gov/cardoza/gas.htm.