During the last few weeks of congressional activity addressing the financial markets crisis, the crucial debate over drilling and energy exploration both offshore and in Western states like Utah has been momentarily forgotten.
Prior to the financial crisis, the U.S. House passed an energy bill, which then stalled in the Senate. Energy issues have since been overshadowed by more immediate national needs, but will return. While the bill passed by the House is seriously flawed, Rep. Jim Matheson deserves praise for adding an amendment that would open federal lands in Utah to responsible oil shale development. Utah's congressional delegation has been united on working toward a solid U.S. energy future, while at times disagreeing on some particulars.
The American people up to 80 percent strongly support greater development of domestic energy resources. With gasoline prices bound to remain high, voters recognize the need to loosen the stranglehold of foreign oil by developing our own nation's resources in environmentally sound ways.
The two biggest flaws in the bill passed by the House are billions in new taxes on offshore energy producers, and the minimum 50-mile offshore limit far beyond coastal horizons that restricts drilling where the most viable reserves are located.
This pending measure grants small increases in offshore exploration and drilling, while tagging on excessive "no drill zones" and new taxes on offshore oil/energy producers. It is as if some in Congress are saying, "We'll allow you to drill offshore, but not where there is any oil or gas, and we'll tax and fee away any financial incentives to drill." The agenda for some appears to be the near-term elimination of fossil fuels such as Utah's oil and oil shale, coal and natural gas.
Things have changed temporarily since the bill passed the House, partly due to public pressure. The moratoria on offshore drilling and oil shale leases on federal lands were allowed to expire. The bailout package did hike some oil taxes, but not to the extreme levels some would like to see. Both issues will be back on the table after the November elections. We are calling upon Utah's delegation, especially our senators, to continue to fight for low energy taxes and responsible energy development in Utah.
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