Tax Breaks for Oil Companies Won’t Solve America’s Energy Needs

Tax Breaks for Oil Companies Won’t Solve America’s Energy Needs

With the his approval ratings sinking and his Social Security privatization plan going nowhere, President Bush has decided to move back to more familiar terrain—helping out his oil buddies in the name of energy independence. If the president’s ideas are anything like those of right-wing leaders in the House, Americans can expect energy legislation that does nothing to address long term needs and instead focuses on protecting the energy industry’s profits.

• The right-wing’s definition of energy independence is freeing ExxonMobil from tax requirements. The energy legislation passed by the House would hand $8 billion in new tax breaks to oil companies, less than $500 million of which would go to promote renewable energy sources or conservation efforts. Measures which would have made a difference, such as a provision to require the Transportation Department to strengthen fuel economy requirements starting in 2015 model year cars, were voted down.
  
  
• While oil executives and their political backers struggle to protect industry profits, concerned Americans from across the political spectrum are breaking new ground on renewable energy. As Time magazine reports, "an unlikely alliance of neoconservatives, farmers and union and environmental leaders" are getting together to support the next generation of vehicles and fuels. Rather than defend outdated technology and auto production, these Americans recognize that more efficient, cleaner energy alternatives can be produced in a way the benefits the economy, workers, and the environment.
  
  
• America’s long term energy needs will only be met by reducing our demand for oil and investing in alternative energy sources and technology. President Bush should level with the American people: we cannot drill our way to a better energy future. No matter how many tax breaks we give to oil companies, our long term energy needs cannot be met by fossil fuels alone. We must dramatically increase development and use of hybrid and alternatively-fueled automobiles and expand research and investment into new fuel technology from biomass and hydrogen. Investing in new energy technology is a win-win for consumers and the environment.