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House Energy Bill Ignores Coal-to-Liquid Fuels
Posted Thursday, August 9, 2007 ; 06:00 AM | View Comments | Post Comment

Renewables gain Congress' support; Capito is critical of legislation.

By Pam Kasey
Email | Bio | Other Stories by Pam Kasey

Energy legislation passed by the U.S. House of Representatives Aug. 4 would require utilities to generate 15 percent of their electricity from renewable sources.

Passed with a vote of 241-172, the bill provides billions of dollars in incentives for renewable energy and conservation. At the same time, the House passed a companion bill with a vote of 221-189 repealing about $16 billion in tax breaks for the oil and natural gas industry over 10 years.

Like the Senate energy bill passed in June, the House bill makes no provisions for liquid transportation fuels from coal.

Democrats hailed the bill's support for renewable energy as progress toward a less fossil fuel-dependent future. Republican opponents said the bill lacked support needed for domestic oil, natural gas and coal that reduce reliance on imported oil and bring energy prices down.

Among the more contentious issues was the renewable electricity standard for investor-owned utilities, a measure that was discussed by the Senate but did not make it into the Senate energy bill.

The standard would require investor-owned utilities to generate 15 percent of their electricity from renewable sources by 2020, with the ability to meet up to 4 percent through conservation.

The House bill provides incentives for the development of the alternative transportation fuels cellulosic ethanol and biodiesel, but it does not fund development of liquid transportation fuels from coal.

West Virginia Republican Shelley Moore Capito expressed regret about the legislation's exclusion of coal.

"This bill does nothing for coal-to-liquid fuels," she said in a news release. "Our country has a 240-year supply of coal. Coal provides over half our nation's electricity and over 95 percent of the power in West Virginia. Yet, where is coal in this bill?"

Other provisions in the bill include new efficiency standards for appliances, lighting and buildings, tax breaks and subsidies for research into better hybrid car batteries and tax credits for the purchase of hybrid cars.

Significant differences between the House and Senate bills are left to be negotiated in conference committee when Congress reconvenes in September. Among these are the renewable electricity standard for utilities and new Corporate Average Fuel Economy standards that are included in the Senate but not the House bill.

The White House indicated that President Bush might veto a bill that makes "no serious attempts to increase our energy security or address high energy costs" and would harm domestic oil and gas production.

Copyright 2010 West Virginia Media. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
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