Offshore staff
(US, Washington, D.C.)- The US House of Representatives voted to restore a ban on offshore natural gas drilling that covers both coasts and most of the eastern Gulf of Mexico.
However, the offshore drilling plan won more support this year than it did when it reached the House last year. That is seen by some energy industry insiders and other supporters of wider coastal leasing as a sign that Congress is coming closer to relaxing longstanding outer continental shelf restrictions.
The chamber voted 217-203 in favor of Reps. Adam Putnam (R-Fla.) and Lois Capps' (D-Calif.) amendment to the Interior Department spending bill to reinstate the coastal leasing ban, which has been in place since the early 1980s. Their amendment overturned Rep. John Peterson's (R-Pa.) successful effort in the Appropriations Committee last week to remove the gas drilling ban.
Capps called the vote, "a triumph for sound energy policy and protection of our priceless coastal areas from needless drilling."
Peterson had introduced a natural gas drilling plan on the House floor last year, but it was beaten by a much larger margin then, with a vote of 157-262. This is seen as a reason for growing optimism by proponents of offshore drilling.
"I think it is a seismic shift in the position of the House of Representatives," said Jack Gerard, president of the American Chemistry Council, in a brief interview. "The tide is turning, and it is no longer if Congress will address the crisis, but when."
Similarly, the American Gas Association said the vote "signals growing support for re-examination of OCS restrictions."
Still, others said the vote does not show House members are closer to changing the offshore leasing moratoria. Rep. George Miller (D-Calif.) sees the vote as a reaction to high energy costs, arguing the willingness to back restrictions may ebb and flow. But he believes there is enough backing to keep them in place, and noted the opposition of several coastal governors to removing offshore bans.
"I don't think there is much of a signal there," he said of the vote.
House Majority Leader John Boehner (R-Ohio) expects to address offshore drilling as part of a broader energy package the House leadership hopes to bring to the floor next month. House Resources Committee Chairman Richard Pombo (R-Calif.) favors an approach that would allow coastal states to opt out of leasing bans. Last year he negotiated on a plan with several Florida House members in an effort to reach a compromise on offshore exploration activities.
Putnam recently attacked the Peterson plan but indicated he is open to some changes in OCS policy. He said he is open to a measure that offers a "comprehensive" approach rather than Peterson's effort to simply lift the drilling bans.
The entire fiscal 2007 Interior and Environment spending bill passed 293-128 last night.
Opponents of Peterson's effort said it could damage coastal environments, restrict tourism and interfere with GoM military training needs. "We support the ban because we know our coasts are the economic engines of our communities and that is threatened by new drilling," Capps said.
Opponents also questioned the viability of leases that only allow natural gas production, given that Peterson's plan leaves oil production bans in place, and said it could lead to crude production near state shores as well.
Drilling backers said lack of greater natural gas supplies are harming several industries and driving up home heating costs. During the floor debate, advocates of the Peterson plan said several industries are hurt by natural gas prices, which have been on an upward trend in recent years.
Peterson pointed to cheaper natural gas as a means of keeping more jobs in the US. He mentioned a trend that jobs in key industries are moving to other nations where natural gas is cheaper. Gas is used to make a range of industrial goods, including many chemicals and fertilizer.
"It is the mother's milk of everything we make in this country," Peterson said. "This is about the economy of America."
Peterson's plan was aimed at beginning discussions over greater offshore access. He opposed trying to allow drilling as close as three miles from state shores, which is where federal waters begin in some areas. "I can only start this debate tonight," Peterson said. Actually allowing production would require several other steps, such as lifting presidential leasing bans in place through 2012.
But opponents said the plan represented an immediate threat despite Peterson's claim that his measure is only an opening salvo in a needed debate over offshore energy policy.
"I can't depend on the president. The president is an oil man," said Rep. Frank Pallone (D-N.J.), responding to the claim that the executive branch leasing withdrawals would remain in place even if the congressional moratoria were lifted.
A separate amendment by Rep. Ted Poe (R-Texas) to remove the bans for oil drilling as well as natural gas failed on a 141-279 vote.
5/22/2006