The Senate’s consideration of S. 2012, the Energy Policy Modernization Act, has been stalled for weeks over how best to address the ongoing water challenge in Flint, Mich. Early this week, it appeared an agreement on Flint aid had been reached that would allow S. 2012 to move forward. Unfortunately, just a few hours later, the story broke that the bill is now being held up over an amendment that allows revenues from oil and gas exploration off the Atlantic coast to be shared by the federal government and the states where the exploration would occur. The NAM supports this amendment and would like to see it get a vote.
In today’s global economy, manufacturers must be assured of an adequate supply of competitively priced oil and natural gas for industrial and commercial use, such as petrochemical feed-stocks, process gas uses and transportation fuels, and for power and steam generation. The NAM, therefore, supports policies that promote the leasing, exploration and development of the nation’s oil and natural gas resources in an environmentally sound manner. As is currently the case for states with onshore production from federal lands, and for Gulf Coast states with production from federal waters off their coasts, all states with federal offshore leasing and production should share in related federal revenues. It’s a matter of simple fairness.
Manufacturers support revenue sharing for offshore exploration and hope the current Senate disagreement is resolved quickly so that consideration of S. 2012 can move forward.