The NAM today sent a “Key Vote” letter to the U.S. House of Representatives, telling House members that the conference report on H.R. 6, the Energy Security and Independence Act, is bad legislation and votes on it would be used to judge their records on manufacturing issues.
Here’s the substance of the letter, signed by Jay Timmons, Senior Vice President for Policy and Government Relations:
The National Association of Manufacturers (NAM), the nation’s largest industrial trade association representing small and large manufacturers in every industrial sector and in all 50 states, urges you to oppose the conference report to H.R. 6, the Energy Independence and Security Act.
NAM members support energy policies that: 1) expand domestic supplies; and 2) lower costs for U.S. consumers and for U.S. manufacturers, which use one-third of our nation’s energy. Access to competitively priced energy helps U.S. companies compete in the global economy and preserves high-paying jobs here at home.
H.R. 6 fails to meet those key tests.
If enacted, the bill would result in higher energy costs, fewer energy supplies, a weakened domestic energy industry and more job losses for U.S. factory workers.
U.S. manufacturers already face a 31.7 percent cost disadvantage when compared to our major trading partners. By increasing the cost of energy, this bill would drive the cost disadvantage even higher, putting quality American jobs at risk.
The NAM strongly opposes provisions in the bill that would:
Increase taxes on energy producers, including limiting or ending the Sec. 199 deduction and changing depreciation rules for the geological and geophysical costs incurred in energy exploration. This will directly add to the costs to energy production, discourage new domestic oil and natural gas production and make domestic energy investments less competitive economically with foreign opportunities. Create a mandatory 15 percent federal renewable portfolio standard. This provision will directly add to the cost of electricity for manufacturers and consumers by mandating a renewable standard in regions of the country that do not have adequate resources to comply. In effect, it would translate into a new tax on electricity, passed on to U.S. manufacturers and consumers.
While we are pleased with the energy efficiency initiatives in the bill, we are strongly concerned about the absence of any meaningful provisions to expand domestic energy supplies. The NAM remains committed to proposals that enhance U.S. energy security through increased production of all types of energy, improved conservation and efficiency, more research on technology and alternative energy, increased access to domestic sources with continued environmental protections, and improved distribution.
Correction: It’s not a conference report. Conferees never met. The House is voting a measure with amendments, as we understand it.
Latest posts by NAM (see all)
- Manufacturers Win Several Website Design Awards - June 15, 2011
- China Makes Commitments on Trade, Intellectual Property - December 16, 2010
- ITC Details Widespread Theft of Intellectual Property in China - December 14, 2010