November 18, 2003

CONGRESSWOMAN HARMAN REJECTS GIVEAWAY
TO ENERGY COMPANIES

Washington, D.C. - Congresswoman Jane Harman (CA-36) today voted “no” on the Republican-authored Energy Bill, which gives billions of dollars in tax breaks to oil, gas and coal producers while shielding MTBE manufacturers from lawsuits, easing environmental regulations for energy producers and doing little to improve America’s energy security. The bill passed the House by a vote of 246 to 180.

“While the House leadership has hyped this bill as a new energy plan for America, all I see is a new boost for energy companies,” said Harman, who pointed to the $11.9 billion in tax breaks for oil and gas companies and $2.5 billion for investment in coal.

Harman, a lawyer, is also concerned Californians will be unable to seek justice in groundwater contamination cases. “MTBE producers have put the safety of our state’s drinking water at risk, and shielding these producers from liability lawsuits sets a terrible precedent,” said Harman. The bill also provides $750 million in taxpayer dollars that will go directly into MTBE producers’ pockets for ‘transitioning’ from production of the soon-to-be banned additive to other businesses.

“This bill creates harmful exemptions for businesses from the Clean Air Act,” said Harman. “It also postpones ozone attainment standards across the country. In the Senate, in a different bill, Dianne Feinstein is continuing to fight the battle against increased pollution in the Senate by opposing a rider pre-empting California’s rule on emissions from lawnmowers, and I support those efforts. All of these provisions are harmful to the environment and give companies methods of circumventing time-honored environmental regulations. ”

Harman, who is a leading House expert on intelligence, homeland security and defense, was particularly concerned about the lack of funding for energy security, a key component of national security. “The events of August of this year, when millions of Americans lost electric power, should teach us all just how vulnerable the electric grid is,” said Harman. “Previous blackouts in California were largely caused by price gouging and manipulation by energy companies like Enron. The bill does nothing to address such practices and the silence is deafening.” The bill will also discourage the creation of new electric transmission, desperately needed throughout the country.

“Energy security also means easing our dependence on foreign oil, and this bill could have encouraged the creation of new energy sources,” said Harman. “I have always encouraged the production of renewable energy sources, and live in a solar-powered home. As it stands, this bill energy and eliminates a Senate provision to reduce U.S. oil consumption by one million barrels per day - a pittance compared to the approximately 20 million barrels we consume daily. The provisions in this bill encouraging new research and drilling for oil are short-sighted and, in the long run, will be harmful to our national energy security.”

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