Bipartisan Group Of Lawmakers Unveil Energy Plan As Congress Goes On Recess

August 1, 2008 4:20 p.m. EST

Washington, D.C. (AHN) - Seeking to break the deadlock among Democrats and Republicans, a bipartisan group of 10 senators introduced an alternative energy proposal on Friday just as Congress began its August recess.

The group, led by Sens. Kent Conrad (D-ND) and Saxby Chambliss (R-GA), proposes a bill to lift the moratorium on offshore drilling in the Gulf of Mexico. The measure also gives Georgia, North Carolina, South Carolina and Virginia the option to allow exploration at least 50 miles off their coasts.

The plan, the New Energy Reform Act of 2008, provides $20 billion for improving fuel-efficiency in cars and proposes that 85 percent of vehicles use non-petroleum based fuel in two decades.

The bill has no provisions curbing speculation in oil markets, which Democrats say is the root cause of rising oil prices.

Offshore drilling is prohibited by a legislative moratorium adopted in 1981 and an executive order issued by former President George H.W. Bush in 1990. President Bush lifted the executive order early this month.

A bill curbing excessive speculation in oil markets has been pending in the Senate for two weeks amid bickering between Democrats and Republicans about a vote on offshore drilling. Senate Majority Harry Reid (D-NV) had vowed not to allow any vote on drilling but then offered Republicans four votes, one of which is on coastal exploration, earlier this week in order to break the impasse.

Republicans have been demanding that they be allowed full debate on the measure and to offer provisions lifting the legislative ban on drilling in the Outer Continental Shelf (OCS) and Alaska's Arctic National Wildlife Refuge (ANWR), as well as tapping into the oil shales in the Green River Basin of Colorado, Utah, and Wyoming.

Democrats have argued that that oil companies should first drill on the 68 million acres of land already leased to them and that releasing oil from the nation's stockpile would provide quick relief.

The Strategic Oil Reserve (SPR) is currently 97 percent full with 702 million barrels of oil. The U.S. consumes 20 million barrels daily.

Reid told Politico that he is "hopeful" that the alternative plan offered by Conrad's group "can begin to break the current legislative stalemate" once session resumes in September.

"The American people deserve a real debate with productive Senate action," he added.

Sen. Lindsey Graham (R-SC), a member of Conrad's group and a high-profile surrogate for Sen. John McCain (R-AZ), said their plan is "not perfect" but is "a bipartisan start on the road to a comprehensive energy," according to The State.

Sen. Barack Obama (D-IL) said in an emailed statement the plan includes many of his proposals but also includes provisions he does not support.

"I remain skeptical that new offshore drilling will bring down gas prices in the short-term or significantly reduce our oil dependence in the long-term, though I do welcome the establishment of a process that will allow us to make future drilling decisions based on science and fact," he said.

President George W. Bush rebuked Congress on Wednesday for failing to lift the moratorium on drilling in the month since he first made the proposal. Citing growing public support for expanding coastal oil exploration and the increased employment that it would bring, he told lawmakers not to go on recess without lifting the ban.