Washington, DC – Rep. Pete Olson today joined his colleagues on the American Energy Solutions Group to unveil a comprehensive energy bill to address America’s energy needs.  The American Energy Act would increase production of American-made energy in an environmentally-sound manner.  The bill promotes new, clean and renewable sources of energy such as nuclear, clean-coal-technology, wind and solar, and encourages greater efficiency and conservation.

“American families need affordable and reliable sources of energy,” Rep. Olson said.  “The American Energy Act is an ‘all-of-the-above’ solution that offers more affordable energy, more well-paying jobs, energy independence, and a cleaner environment.  We must utilize every energy resource available to reduce our dependence on foreign energy sources and bring down electricity and fuel costs for working families.  This legislation provides a comprehensive framework for a national energy policy.”

The American Energy Act comprehensively taps into every energy source in America to provide greater supply and alternative energy incentives by:

? Increasing production of nuclear energy, an environmentally beneficial source
? Increasing production of traditional energy sources like oil and gas
? Increasing production of America’s alternative fuels
? Including tax provisions for new and expanding technology

Nuclear:  The 104 nuclear reactors in America today provide the United States with 20 percent of its electricity and 73 percent of its CO2-free electricity, yet no new reactors have been ordered since 1978.  This bill establishes a national goal to bring 100 new nuclear reactors online over the next 20 years to strengthen America’s commitment to clean, reliable energy. 

New and Expanded Technologies: The bill creates a Renewable and Alternative Energy Trust Fund to provide funding for energy programs authorized by federal law, such as biomass, hydroelectric, clean coal, solar, wind, geothermal and other forms of renewable energy.  The fund will encourage the development of renewable, alternative and unconventional fuels, and new energy sources, using receipts from the new federal oil and gas leasing in the Arctic Coastal Plain and the Outer Continental Shelf (OCS).  

Alternative Fuels:  The bill spurs the development of America’s alternative fuels by repealing the “Section 526” prohibition on government purchasing fuels derived from sources such as oil shale, tar sands and coal-to-liquid technology.  The bill also encourages the use of clean coal-to-liquid technology by allowing federal agencies to enter into long-term contracts to buy coal-derived fuel and by authorizing the Secretary of Energy to enter into loan agreements with coal-to-liquid projects.      

Tax Provisions for New and Expanding Technology:  The bill encourages new and expanding energy technologies by making tax credits for the production of renewable electricity, like wind, solar, and biomass permanent.  The bill also makes investment tax credits for solar energy and for fuel cell properties, and extends the biodiesel and renewable diesel tax credits permanently. 

Outer Continental Shelf: The Interior Department estimates that the OCS holds up to 115 billion barrels of oil and 566 trillion cubic feet of natural gas.  Significant portions of the OCS remain unavailable because the current Administration continues to delay leasing activities.  The bill increases the supply of American energy by immediately moving forward with a leasing program on the already open OCS.  The bill also simplifies and harmonizes the OCS mileage restrictions, expanding state territorial waters to 12 miles offshore (most state borders stop at three miles) and gives coastal states a share of the receipts from such energy exploration.  A portion of the revenues created by OCS exploration would go to a renewable energy trust fund to pay for a variety of renewable, alternative and advanced energy programs.     

Arctic Coastal Plain:  The bill increases American energy by opening the Arctic Coastal Plain to exploration in an environmentally-sound manner, which could provide an additional 1 million barrels of oil per day.  The bill requires timely lease sales, provides for revenue sharing with the State, designates a fund to mitigate the effects of exploration and development and provide for local community support, and devotes a portion of the revenues for a renewable energy trust fund to pay for renewable, alternative and advanced energy programs.  

Oil Shale:  It is estimated that more than 70 percent of American oil shale lies on federal lands which contain an estimated 1.23 trillion barrels of oil, more than 50 times the nation's proven conventional oil reserves.  The bill codifies the oil shale lease program and restores leasing activities that were already underway prior to being halted in February 2009, by the current Administration.  The bill mandates that a lease sale be held within 180 days of enactment.