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Energy
National Energy Policy
The continuing problem of high fuel costs in the Northeast and elsewhere, the growing need for power in the changing economy, and our increasing dependence on foreign oil, should be a wakeup call to the United States government. It is inconceivable that we do not have a coherent national energy policy. Establishing such a policy should be an urgent priority of the Congress and the Bush Administration. But the residents of New York's 22nd Congressional District will not benefit from this national plan unless it focuses on reducing the demand for oil and promoting technologies for renewable energy and energy efficiency.
Reducing the Demand for Oil is the Key
Any serious energy plan must focus our efforts on reducing our demand for oil rather than on increasing our supplies, as the Bush Administration seems determined to do. Oil is a global commodity, and its price will always be driven by world market factors beyond our control. The United States has only 2 percent of the world's oil reserves but generates about 25 percent of world demand, while Gulf State OPEC members control about two-thirds of proven reserves. We currently depend on imports for over half of our oil supplies and by 2015 this dependence is expected to increase to more than 68 percent. While the U.S. currently produces 12 percent of the global oil, domestic production will continue to decline, whether or not we open more federally protected lands for production. These facts tell us that we cannot simply drill our way to energy independence. Our energy security depends on reducing our oil addiction. The following measures will help us accomplish that task and will strengthen our economy along the way.
Promote Energy Efficiency and the Development of Renewable Energy Technologies
By promoting renewable energy technologies and gains in energy efficiency, the United States can become a global energy leader and strengthen our economy instead of spending tens of billions of dollars on foreign oil every year. Increased funding and incentives for renewable energy technologies could create millions of high-wage jobs, while saving energy, reducing pollution, cleaning up the environment, and ending our addiction for foreign oil. Unless President Bush and Congress act to take the lead in developing these technologies, the United States risks losing out on this enormous global market. In Congress, I am supporting numerous bills that should be part of any comprehensive energy package. These bills would provide:
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tax credits for the production of renewable energy such as wind, solar and fuel cells;
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incentives for the purchase of energy efficient appliances, and upgrades of heating, cooling and hot water systems that would help families reduce energy consumption and their utility bills;
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tax credits for energy-efficient building equipment, including electric heat pumps, hot water heaters and natural gas heat pumps;
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tax credits for energy efficiency improvements to existing homes and for the construction of new ones.
Not only would these steps greatly reduce our energy demand, they would create jobs as well. Energy and environmental technologies are poised to become one of the largest, if not the largest, source of new high-wage, high-tech jobs.
The federal government should be doing much more to promote this industry. Currently our spending priorities are skewed -77 cents of every energy research dollar from 1973 to 1997 has gone to nuclear and fossil fuels. In 1980 we were headed in the right direction, spending $1 billion on renewable energy programs. But subsequent Administrations gutted these programs and twenty years later we have not yet fully reversed these cuts. If the U.S. is serious about energy independence and leadership in creating these high-tech jobs, we must dramatically increase funding renewable energy research and provide incentives for better efficiency.
Arctic National Wildlife Refuge
The centerpiece of the Bush Administration's energy plan is to drill for oil in Alaska's Arctic National Wildlife Refuge. This move would simply be a gift to the oil companies that would do little, if anything, to affect our energy prices or security. The U.S. Geological Survey estimates that the amount of oil that could be recovered from the Arctic Refuge would amount to less than a six-month supply for American consumers. It will take 7 to 10 years for any oil from the Arctic Refuge to make it to market - and it wouldn't even help our region. None of it is shipped east of the Rocky Mountains and no Alaska oil is refined into home heating oil. At no time would oil from the refuge be expected to meet more than 2 percent of U.S. demand. The Arctic Refuge is one of our national treasures and it deserves to be protected as wilderness, not despoiled for a few months worth of oil.
Raise Fuel Efficiency Standards
Congress must act to raise the Corporate Average Fuel Economy (CAFE) standards, particularly for light trucks and SUVs. This is the single most effective way to promote our energy independence in the short-term. Current standards save more than three million barrels of oil a day. But instead of continuing this progress, the Republicans have prevented the Department of Transportation from even examining the need to raise CAFE standards for the past five years.
When Congress passed the CAFE law in 1975, it required stepped increases for cars, but not for light trucks, because they accounted for such a small percentage of the market. But light truck and SUV sales have exploded, and now SUVs and other light trucks guzzle 20% of the oil we use. Because of the growing market share of SUVs and the Republicans' prohibition on raising efficiency standards, the average fuel economy of all new passenger vehicles is at its lowest point since 1980.
Raising CAFE standards would spur technological innovation, save consumers money, and lead to cleaner air and lower levels of greenhouse gases.
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