ACEEE'S GRAPEVINE ONLINE

February 16, 2005

HOUSE AND SENATE TAKE DIFFERENT ROADS ON ENERGY LEGISLATION

For the fifth year in a row, Congress will try to pass an Energy Bill. President Bush called for a bill in his State of the Union Address, and Congressional leaders have made energy a moderate priority for the coming year. Senate Majority Leader Bill Frist placed energy on his top ten list—but in tenth place. Energy Committee Chairman Pete Domenici is holding conferences and hearings on key issues, including a conference on natural gas on January 24, at which ACEEE's Steve Nadel presented recommendations. A committee markup is expected in the spring with floor action taking place in mid-year. ACEEE has been working closely with various offices and committee staff, especially on updating efficiency standards language to reflect recent consensus agreements (see Substantial Progress on State and Negotiated Standards, DOE Lags in this issue), and on tax incentives, among other efficiency provisions. ACEEE joined a broad coalition of energy consumers and environmental groups in early January to call for a balanced natural gas policy centered on energy efficiency. House leaders have decided to quickly re-pass the same basic bill they have worked on since 2001, with minor changes. Energy and Commerce Chairman Barton held a hearing on February 10; Steve Nadel testified for ACEEE. Rapid committee and floor action are expected, most likely by March. If a bill passes the Senate, a conference committee will be appointed later in the year. Beyond enhancing provisions like standards and tax incentives that have been included in recent bills, ACEEE is also working to secure new efficiency provisions in this year's bill, especially measures that save oil, and that that set energy savings targets for utilities.

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