People on the streets on Washington say what they think Congress should do about high oil prices. (2:28)

 

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A second day of speeches in the House Chamber continued as GOP members told Speaker of the House Nancy Pelosi (D-Calif.) to call for a vote on the American Energy Act, the GOP’s “all of the above” energy strategy.  Representatives repeatedly said that given the current energy costs faced by Americans, now is not the time for Congress to take a five-week paid vacation.  Rep. Jeb Hensarling (R-Texas) said “I don’t know how they think in the salons of San Francisco,” a reference to Pelosi’s district, adding that the people in the coffee shops of Dallas recognize America’s energy crisis.

Hensarling, speaking to Capitol tourists seated in the House chamber, asked why Pelosi was unable to find time to debate energy in the past months.  He told those assembled that Congress found time to debate National Sanitation Week and other frivolous topics, ridiculing decisions made by Democratic leadership.  Hensarling said the people of America deserve a vote and gave Pelosi’s Washington office phone number to those in attendance, telling people to call and voice their concern.

In a press statement, Pelosi called Republican actions a “hoax” that does not warrant serious debate. She said Republican proposals give public lands to oil companies and would only reduce prices at the pump by two cents in 10 years. In addition, her statement says that House Republicans have opposed requiring oil companies to drill on the 68 million acres of land they already control. She also notes the GOP has blocked efforts to increase fuel efficiency standards, improve mass transit, and release oil from government reserves.

Rep. Mark Kirk (R-Ill.) said presidential candidates John McCain and Barack Obama both support provisions in the American Energy Act, including offshore drilling. He said one person (Pelosi) should not work against the opinion of a majority of Americans.  Kirk referenced challenges previously faced in the House of Representatives including the Louisiana Purchase, the Civil War, and World War II, saying now is the time for Congress to take initiative and solve America’s energy crisis.  He said Congress has come to a fork in the road concerning energy policy and, instead of debating which road to take, is refusing to debate a course of action at all.

Sen. Richard Durbin (D-Ill.) reads an official Senate transcript, saying it will help people understand how the Senate is dealing with high oil prices. He says Democrats have repeatedly tried to debate energy bills, 12 times in the past two months. He says Republican continue to block debate on Democratic energy bills that would lower gas prices, increase domestic supply of gas and renewable energy, and create new jobs for Americans. (1:02)

 

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Sen. Richard Durbin (D-Ill.) discussed energy prices and promoted an economy run by renewable energy sources at an event hosted by progressive think-tank NDN. Durbin said gas at $4 per gallon is killing the US economy and that gas prices are shipping $700 billion to foreign suppliers of oil. He said Republicans in Congress, in the last two months, have blocked 12 Democratic attempts to debate bills that would lower gas prices and create green jobs. He added that Republicans have used a record number of filibusters this session, frustrating Democrats and the American public.

Durbin said in the first four months of 2008, 1.6 million barrels of US oil were exported daily. He also stated that since the United States only has three percent of the world’s oil supply, OPEC could react to increased American supply by lowering their production in an effort to keep gas prices high. He added that 700 million barrels of oil in the Strategic Petroleum Reserve are ready for use and that 34 Senate Democrats sent a letter to President Bush asking him to release 10 percent of the reserve. Durbin suggested that a partial opening of the reserve would show the international community that the US is tired of inflated oil prices.

Durbin cited a report that says three million jobs can be created in the next decade if greater investments are made in green technology. He said following the Arab oil embargo in the early 1970s, oil imports from the Persian Gulf fell 87 percent and GDP grew 27 percent. He suggested that the United States can benefit once again by making energy security a priority. He added that increased energy security is a technology deal and that Republicans have opposed tax incentives that promote increased technology, energy conservation, and renewables.

Sen. Richard Durbin (D-Ill.) says legislation increasing the taxes of companies sending jobs overseas would spur economic growth and that Republicans are unable to accept the notion that anybody’s taxes will go up, adhering to a “death before taxes” strategy. (0:35)

 

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Exxon spends more money on its Chief Executive Officer than it does on energy research, according to Senate Democratic Conference Vice Chairman Charles Schumer (D-N.Y.). Schumer said that he was not surprised with the profits oil companies are making but rather, he was surprised about how oil companies are spending their profits. According to Schumer, oil companies are using the profits to buy back their own stock and increase their share prices. (more…)

The Energy Daily and Covanta Energy hosted a media breakfast with Senate Energy and Natural Resources Chairman Jeff Bingaman (D-N.M.) to discuss the congressional outlook on energy. At the forefront of discussions was the Outer Continental Shelf (OCS) Moratorium. The OCS Moratorium was put in place by Congress in 1981 to protect America’s coasts from threats of oil and gas developments as well as to prevent leasing of coastal waters for fossil fuel development. (more…)

Senators Byron Dorgan (D-N.D.) and Amy Klobuchar (D-Minn.) held a press conference to discuss the Stop Excessive Energy Speculation Act. Dorgan said the act’s future lies in Republican support, saying that ending speculation is the first step in lowering oil prices and emphasizing that the need to halt excess speculation in the oil futures market is separate from calls for increased domestic drilling.

Dorgan said speculative oil prices have increased from 37 percent in 2000 to 71 percent in 2008. He called the market “infested with excess speculation,” saying though United States must develop alternative energies, a short term solution rests in controlling oil futures. Without high speculative costs, Dorgan said prices at the pump could be reduced by 20 to 40 percent.

Klobuchar, in response to suggestions that oil prices are reflective of the law of supply and demand, said American demand for oil has not increased by 25 percent, an increase she said would warrant higher prices at the pump. She cited oil executives statements that oil should be $50 per barrel and said the Stop Excessive Energy Speculation Act would put 100 “cops on the beat” who would oversee the activity of traders in the oil market. “Follow the money and you’ll find the bad guys” was the advice given by Klobuchar in reference to traders on Wall Street who, she said, are running away with Americans’ money.

Mark Cooper of the Consumer Federation of America says that the United States is a crucial market for the oil industry and that Congress has the ability and right to regulate trade in the United States, saying those that disagree are asserting that the United States does not have national sovereignty. (0:47)

 

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Acting Chairman Walter Lukken of the Commodity Futures Trading Commission (CFTC) says that the volume on futures exchanges has increased 8,000 percent since the CFTC began to function 33 years ago while staffing levels have decreased by 12 percent and that additional staffing is necessary to implement new initiatives. (0:56)

 

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