Congressmen Devin Nunes, representing California’s 21st District, is stepping up to the plate on an energy bill that would service to provide great supply and a solid movement toward energy independence.  An article in the Wall Street Journal today explains the program and frankly, its got a creative touch to it not often seen in new legislation.  The measure creates an "Energy Independence Trust Fund" to receive oil and gas royalties from the oil companies once the energy is pulled out of the ground.  Of course, Congress being what it is, there has to be ironclad rules against stealing (Congress calls this "borrowing") the cash out of this fund.

Its time now for Nunes and other young, articulate and energetic Members of Congress to step up on the immigration issue and develop a lasting solution that deals with the lack of federal government infrastructure to handle either a guest worker or deportation program.

The full article appears below:
Congress Talks Up Alternative Fuels

Republicans Hope to Open
ANWR and Use Proceeds;
Democrats Take Own Tack
By JOHN J. FIALKA
July 26, 2006; Page A11

WASHINGTON — House lawmakers, sensing that fuel prices will be a top voter concern in the fall elections, are rushing out two energy bills that would fund projects to develop alternative fuels or ease reliance on imported oil.

With only about 25 legislative days remaining before Congress adjourns, the chances of either bill passing Congress are slim. House Republicans said they will try to pass theirs in September. Democrats say that their bill will be used to rally voters for elections, and that if they win control of the House, they will relaunch the measure early next year.

House Republicans are renewing a push to open part of the Arctic National Wildlife Refuge in Alaska to oil and gas exploration. They say the government would receive billions of dollars in royalty payments and bonus bids from companies that want to drill in ANWR that could finance an "Energy Independence Trust Fund." The fund would provide tax credits to help reduce the risks of companies that build plants to make cellulosic ethanol or liquid fuels derived from the nation’s abundant coal reserves.

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Question of the Day: Should the Arctic National Wildlife Refuge be opened to oil drilling?Rep. Devin Nunes (R., Calif.), a lead sponsor of the bill, said that over a decade or more, ANWR could generate as much as $40 billion in federal payments. He said the fund would be used to create "a bridge" to more domestic energy sources "so that we can find ways to wean ourselves from foreign oil and oil in general." One such option, cellulosic ethanol, comes from a process that can break down a variety of farm wastes and even municipal garbage into a feedstock that can be distilled into ethanol.

The fund, Mr. Nunes said, would provide production tax credits that would rise if international oil prices suddenly dropped, reducing the capital risks of new domestic fuel industries. It would also extend tax credits for solar energy, set to expire next year, for another five years.

Meanwhile, Rep. Steny H. Hoyer (D., Md.), the second-ranking Democrat in the House, unveiled a bill to spend billions of dollars in the next 10 years to develop cellulosic ethanol and a national ethanol distribution system; expand municipal rapid-transit systems; and give U.S. auto makers grants to make more fuel-efficient vehicles.

Rep. Hoyer described the measure as a program "akin to the Manhattan Project" that developed the atom bomb in World War II. The measure calls for a national commission to develop proposals; Congress would be required to consider them on an expedited basis, similar to a process used for military base closings. As yet, Mr. Hoyer said, the Democrats haven’t worked out how they would finance the measure.

Write to John J. Fialka at john.fialka@wsj.com

This entry was posted on Wednesday, July 26th, 2006 at 12:00 am and is filed under Blog Posts.