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View Full Version : New budget has oil industry crying foul




Thomas Veil
Feb 7, 2006, 06:29 AM
WASHINGTON (CNN) -- Oil drilling companies are upset that the Bush administration has proposed killing funding for oil and natural gas exploration research and development programs at the Department of Energy, an industry lobbyist said Monday.

The proposed cuts were included in the $2.77 trillion budget for the 2007 fiscal year that President Bush presented to Congress on Monday...

Additionally, the president has called for more funding toward developing alternative energy sources such as nuclear, solar and cleaner coal technology.

But Mike Linn, chairman of the Independent Petroleum Association of America, counters, "It doesn't make sense to have an Energy Department that doesn't have a portion of its mission directed to America's largest energy resources."

The IPAA, which represents companies that drill most of the oil and gas wells in the United States, said the Bush administration's focus on aiming research dollars toward alternative and cleaner fuels is misguided.

Moreover, Linn said most of the exploration and research money distributed by the department has gone to small, lean exploration companies, not the large integrated oil companies that have been reporting record profits.

(My bold.)

I'm amazed that for once I should find myself supporting Bush on this issue...but the irony of those last two paragraphs is hilarious.

At least it will be until they raise gas prices for what they say is a cut in government assistance.

And of course, it wouldn't be a Bush budget if it didn't have something reprehensible in it:

The 2007 budget, with a projected deficit of at least $354 billion, would increase spending for the military and homeland security, and hold back money for Medicare and other nondefense programs.

The budget proposal also calls for opening Alaska's Arctic National Wildlife Refuge to oil drilling, which Congress has previously rejected. Link (http://www.cnn.com/2006/POLITICS/02/06/budget.oil/index.html)



Thanatoast
Feb 7, 2006, 10:12 AM
The oil industry is mature, established, and rolling in dough. They don't need any more subsidies. On the other hand, dumping money into clean, safe, "alternative" coal kinda pisses me off. It's like trading the chopping block for the guillotine.

IJ Reilly
Feb 7, 2006, 10:26 AM
Yeah, but just wait and see if these subsidy cuts make it through the budget process.

Place your bets.

mactastic
Feb 7, 2006, 08:01 PM
Yeah, but just wait and see if these subsidy cuts make it through the budget process.

Place your bets.
Exactly. I'm guessing we'll get the tax cuts and not the spending cuts, further worsening the US fiscal situation. Then we'll HAVE to cut all those entitlement programs and eliminate the Dept. of Ed. and the EPA, along with maybe BLM and the whole Interior Dept.

solvs
Feb 8, 2006, 05:43 AM
Please. Don't they realize this is all talk? Or is this part of the show? So we didn't get as much oil as we thought we did in Iraq, we don't want to drill in Alaska, and gas prices are going so high people are thinking of voting democrat. Bush puts on a big act pretending he's fighting those big, bad oil companies he pretty much works for even though nothing will change until long after Bush is out of office and probably already dead. Especially since he is one of the people who helped set things back a couple of years in the first place. The greedy oil companies should pay for it themselves. Stupid corporate welfare.

Call me a cynic, but there it is.

mactastic
Feb 8, 2006, 09:16 AM
This group has campaigning down pat, but they can't for the life of them figure out how to govern effectively.