Republicans block energy bill, GOP fights for Big Oil tax breaks

December 13, 2007

The House passed an energy bill last week, which is a solid piece of legislation. It included the first increase in federal fuel efficiency standards in three decades, encourages the use of renewable energy sources, and rolls back $13.5 billion in tax breaks for the five largest U.S. oil companies, redirecting the money into conservation and development of renewable fuels.

Last week, Dems tried to quickly move the bill onto the White House, but came up short after a Republican filibuster over a provision that requires electric utilities to get some of its power from renewable energy. This morning, the Senate minority blocked the bill again, insisting that oil companies keep billions of dollars in tax breaks.

Republicans were able to stall a broad energy bill in the Senate on Thursday morning, prompting Senator Harry Reid of Nevada, the Democratic majority leader, to excise controversial parts of the measure in hopes of moving the legislation forward quickly.

The unsuccessful move to advance the bill failed by one vote. Supporters managed to get 59 “yes” votes, but 60 were needed to invoke cloture, or move to consideration of the bill itself. Forty senators voted “no.” The only senator not voting was John McCain, Republican of Arizona, who is campaigning for president in Iowa.

Among other things, the bill would require automakers to meet a fleet average of 35 miles a gallon by 2020, up from the current 25 miles per gallon. Supporters of the legislation hail it as the first meaningful improvement in fuel-efficiency standards in three decades.

It’s worth pointing out a key detail: Dems needed 60 senators to shut down the GOP and vote on the bill, and they got 59. Sen. Mary Landrieu (D-La.), the chamber’s most vulnerable Democratic incumbent, was the only Dem to vote with Republicans to block an up-or-down vote. If she had stuck with the party, we would have had 60. Instead, Dems are going to cave on tax breaks for Big Oil so that the GOP will let the Senate approve the bill.

As for what happens next:

Senate Republicans refused to budge on the tax issue, arguing that the bill as written would amount to a “massive tax increase” for Americans, as Senator Mitch McConnell of Kentucky, the minority leader, put it.

After the cloture vote failed by one vote, Senator Reid said the tax provisions would be removed. And that step, Senator McConnell said, would guarantee “broad bipartisan support” for the legislation and speed its passage.

It’s frustrating as hell to see McConnell and his caucus hold the chamber hostage over tax breaks for Oil Companies already swimming in cash, but it’s even more frustrating to see them rewarded for it.

Oh, and for those keeping score at home, this was the 60th Republican filibuster of the 110th Congress. The current record in U.S. history is 62 — which took two years to reach (this Senate minority has nearly broken the record in less than half the time). It’d be impressive if it weren’t so pathetic.

Have any of our honorable Senators of either party heard of the concept of tough love? Tough love is exactly what our oil industry needs right now – if not thirty years ago when E.F. Schumacher (sp?) penned his work “Small is Beautiful.” As long as our political leaders aid and abet the oil industry’s – and its related industries such as auto makers and electric power plants – bad habits, these industries have no incentive, or as the case allows disincentive, to change their profit driven behavior. Making prudent, far-reaching decisions even at the risk of losing in the next election cycle is how political courage is defined. It’s just too bad such honorable politicians as Sen. Landrieu doesn’t get this part of the equation. -Kevo

  • What the hell is it going to take to get Senate Dems to take Nancy Boy McConnell and the rest of the GOP to the mat on these ridiculous implied filibusters???

    Make them sweat it out, Reid. Make them actually filibuster all night long. Then repeat the process.

    Cripes.

  • As we’ve seen many comments over the last several days about this nonsense, it’s again too bad that the Dems didn’t force a real filibuster. I guess they’re really going to get something done in 2009. Right? The bumper sticker that says “Invest in America — Buy a Congressman!” should be updated by adding “and a Senator!” to the sentence.

  • House Ways and Means Committee Chairman Charles B. Rangel (D-N.Y.) accuses Senate Democratic leaders of developing ‘Stockholm syndrome,’ showing sympathy to their Republican captors by caving in on legislation to provide middle-class tax cuts paid for with tax increases on the super-rich, tying war funding to troop withdrawal timelines, and mandating renewable energy quotas. If Republicans want to filibuster a bill, Rangel said, Reid should keep the bill on the Senate floor and force the Republicans to talk it to death …

    “If there’s going to be a filibuster, let’s hear the damn filibuster,” Rangel fumed. “Let’s fight this damned thing out.”

    WaPo link

  • “…after a Republican filibuster over a provision that requires electric utilities to get some of its power from renewable energy.”

    They filibustered? When?

    Although there may be some small merit to the GOP fight against eliminating the tax breaks. If my pea-brain remembers correctly, a large part of the tax breaks is broad based and not specific to the oil industry–it is just that some of the operations of the oil companies fall within these provisions. Is it really good tax policy to simply exclude one industry from such a provision? Legit arguments exist on both sides of that issue.

  • Why on earth does Landrieu think that voting w/Repubs is going to endear her to her constituents? I hope she loses royally.

  • McCain talks a good line on global warming, but he can’t show up to vote for a plan to fight global warming.

    Jerk.

  • Apparently I jumped the gun posting this on the Obstruction thread earlier, so here it is in a better place. . .

    Here is a perfect example of where the Dems simply must learn to fight better or find entirely new leadership.

    Despite the Dems having 59 votes, Senate Republicans get “credit” for blocking the energy bill.

    Why did the Rethugs block the bill? Because it sought to roll back tax breaks given to Big Oil companies.

    The oil companies had pressed lawmakers to oppose repeal of the $13.5 billion in tax breaks provided them by Congress in 2004 and 2005. They argued the tax relief was essential as an incentive for domestic oil and gas production and refinery expansion and that rolling back the tax breaks would lead to higher energy prices.

    Yep, it would have gotten back for the general public $13.5 billion in total over time from all oil companies. In the event that sounds remotely onerous, in one quarter, Q2-2007, one company, ExxonMobil, had $10 billion in profits. And the oil companies have only had the tax break since 2004 – it isn’t exactly part of their long-term business model.

    To review, in a time where Jack and Jill Mainstreet are paying $3.00 for gas and aren’t happy about it, oil companies are making record profits. A decent, far-reaching energy bill gets held up because Rethug leaders want to protect not the environment, not the average Americans paying energy bills, but the record profits of Big Oil companies.

    And we are so unable, unwilling, or unsure we can sell our case to the public that we immediately back down instead and pass the bill without the tax provisions? (which also makes use vulnerable to yet another charge that we violated our own PayGo rules)

    Reid and his team have got to go. And the Washington Dems collectively have to learn (a) messaging and (b) how to fight. This is the most ridiculous cave-in ever.

    (sorry, I did not move the URL ref for the jump cite, but you can get there on the Obstructionist thread below)

  • “Why on earth does Landrieu think that voting w/Repubs is going to endear her to her constituents?”

    She does not think that. She is voting solely on behalf of her loyalties to her oil industry masters (and financiers) who reign supreme in Louisiana. She at least could have voted for cloture and then voted against the bill itself, forcing el presidente to veto.

  • I’m tired; tired of reading about how our illustrious Dem Senate Majority can’t get a clue. from this moment on—until they can earn my respect, which I now doubt they’ve the ability to do—they shall be known as “Harry and the Wimps”—and that bootlicker with the gavel shall be labeled “Harry Nary”—as in “Nary an iota of courage.”

    If they ever remake the Wizard of Oz, then Harry gets my vote to play the Lion.

    That Reid guy sure must love the taste of GOP shoe-leather—since he’s been licking them so much….

  • Does anyone else get the feeling that these clowns are on the same team and are simply sparring to keep us distracted ??

  • “Oh, and for those keeping score at home, this was the 60th Republican filibuster of the 110th Congress. The current record in U.S. history is 62 — which took two years to reach”

    The 61st filibuster occured earlier today, when the Senate filibustered the Dorgan-Grassley amendment to the farm bill which would have capped farm subsidy payments at $250,000 per farm per year. This filibuster, however, had significant support from Democrats (like friend of the ultra-wealthy Sen. Lincoln). Another spineless performance from the Democrats: talk about helping the ‘little guy’ and then vote against limiting federal subsidy payments to mega-farms.

  • I am so glad that the profits of the oil companies are being protected. If you’ve followed their profit margins over the span of the Bush administration, they have been woefully tiny.

    And I have a bridge to sell you.

  • How ironic. An energy bill is proposed to fight global warming by developing alternative fuels and suppressing emissions in one way or another, and yet the lion’s share of the tax incentives go to the oil companies to develop greater petroleum capacity, which is the root cause of the crisis. This is insanity. The tax incentives should go to those developing alternatives. But it’s not really insanity. It’s capitalism allowed to run wild, fed by greed, greed and more greed.

    We’re being brought down by our greedy corporate masters. Our government is complicit. Actually, our government ‘r them, Democrats and Republicans alike.

  • So much for that worthless piece of gila monster ca-ca McCain and his campaign as a “Republican environmentalist.” Here was his chance to prove he can walk the walk and he futzed it. Now he can’t be attacked by his newfound “supporters” on the far right (most of whom detest him).

    What a scummy schmuck.

  • Does anyone really care?

    I keep reading about people wanting to save energy but when I tell them about an Air Recycling Technology that can save 1.5 Terawatt of electricity a year in the UK alone, that is about £150,000,000. (One hundred and fifty million pounds worth at 10p a unit) and 650,000 Tons of CO2, (20 million Tons a year world wide) I fail to get any practical response.

    It has been tested on behalf of the Government DTI and DEFRA for the Market Transformation Program and the tests support the above energy efficiency predictions.

    I have spent 15 years on this project building prototypes at my own expense and now at 80 years of age I may never see the final results of my work.

    All I can do now is to inform as many people as possible and hope that I can find someone to manufacture and market this machine. Not to difficult as prototypes have already been made and tested.

    I have approached airline companies for support but so far without any response, perhaps if others joined me we could get a hearing.

    In addition to being energy efficient it is also safe for use by people suffering from respiratory diseases.
    To see more information please go to my web page at
    http://www.edginton.info/arc

    Ben.

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