Democrats unveil scaled down energy bill in Senate

After failing to push through a comprehensive climate change bill, Senate Democrats unveiled scaled back energy legislation. The measure is mostly geared to the BP oil spill. But as FSRN’s Leigh Ann Caldwell reports, this version has both Republicans and environmentalists on the same side: opposed:

TRANSCRIPT:

Less than a week after Senate Majority Leader Harry Reid unveiled his outline for an energy bill, he released the details.

The bill drops all efforts at comprehensive. It has no cap on carbon emissions, no mandates for renewable energy, no fuel efficiency standards.

Instead, it mostly deals with the 100-day-old BP oil spill.

Senate Majority Leader Harry Reid:

“Polluters, not the taxpayers, are going to be responsible for cleaning up the Gulf. We’re not about to bail out one of the richest companies in the world, and we’re not apologizing for it either.”

With news of two more smaller-scale oil spills, one in the Gulf and one in Michigan, the measure addresses the BP spill and aims to streamline and enhance regulation of all oil drilling.

The measure breaks up the oil industry regulators, Minerals Management Service, into three parts. It creates a streamlined process for victims to file claims, and decreases the time to receive compensation to 30 days.

The oil spill measure also does away with the $75 million cap on liability for an oil spill.

The scaled-back measure was intended to be less controversial, and crafted so it could obtain the support of 60 Senators for passage.

But, in this political environment, even measures that were once considered bi-partisan, are no longer.

Republican Lisa Murkowski of Alaska admits that she likes parts of the bill, including incentives for electric vehicles. But she slams the Democrats’ efforts:

“I think it’s offensive. It demonstrates there is no real sincerity that we’re going to pass this. If there’s no amendments allowed, and no bipartisan input in the process, what’s been put forth is just a sham of a bill.”

Senate Majority Leader Harry Reid responded. He said the Republicans are creating an alternate reality:

“I’m disappointed that the Republicans are still in Alice in Wonderland rather than here in the Senate.”

Senator Murkowski says the Republicans' biggest complaint is getting rid of the liability cap. She says monetary responsibility needs to be capped:

“That’s one of those key provisions we’ve got to be able to have discussion  [on], because if the answer to them is no liability and no amendments, I think it’s going to be very difficult to reach compromise.”

Instead of placing the cost on the oil company responsible for a spill, Murkowski and other Republicans prefer that the entire industry pay into a liability fund.

That’s something that some Democrats, including Louisiana’s Mary Landrieu, would prefer as well.

New Jersey Democrat Robert Menendez says he’s open to discussing it:

“I’m open to figuring out a process to which the taxpayers are never held responsible, as well as making those who are damaged have the access to be fully compensated. If I am shown a liability scheme that meets those standards, I’m willing to consider it.”

Meanwhile, BP said it will pay $10 billion less in U.S. taxes this year due to loss in revenue.

Meanwhile, environmentalists are discouraged at the Democrats’ bill.

“[It} is not going to cut our dependence on oil. It’s not going to address the threat of climate change and it’s not going to create clean energy jobs.”

Brendan Bell is with the Union of Concerned Scientists:

" Effectively this is nothing. What we’re talking about is incentives for advanced vehicles, but nothing that’s really going to transform how we produce energy in our country, which is what we really need and what President Obama promised the American people.”

Senate Majority Leader Harry Reid defends the measure.

Leigh Ann Caldwell, FSRN, Washington.

Photo: U.S. Capitol

photo credit: cliff1066