U.S. House of Representatives

HR 5437 incorporates provisions for nuclear power, solar power, renewable energy and biofuels among others.  It is perhaps a more realistic attempt to address the nation’s energy demand where all sources of energy production need to be considered to reasonably supply our economy and society with its needs.  

Representative Nunes’ office state in order to stop the rise in importation of energy into this country and the subsequent outflow of funds, America needs to strive to produce its own energy.  The bill includes the creation of a trust fund from lease sale revenue and oil production royalties in the 10-02 Area of ANWR and the outer continental shelf (OCS).  This trust fund would be used to fund provisions in the bill such as development of bio-fuels, tax credits for solar cell use, tax credits for nuclear plant construction, and tax credits for purchasing alternative fuel vehicles. 

ANWR is unique among energy sources in that it has no negative financial impact on the government.  The cost for development to the tax payer is zero as all production and development costs are met by the industry privately.  The potential revenue from lease sales and bonus bids alone in the 10-02 Area was estimated at over $4 billion last year by OMB  Director Joshua Bolten.  ANWR would further produce royalties which in 2006 were estimated by the Congressional Research Service to total over $111 billion over 30 years based on a mean price of $60 a barrel.  This revenue figure uses the mean average estimate of 10 billion barrels of oil estimated  in the 10-02 Area as stated in the 2001 USGS report. 

HR 5437 will now be introduced to the following committees in the House for debate: Energy & Commerce, Science & Technology, Oversight & Government Reform, Armed Services, Agriculture, Natural Resources, and Ways & Means Committee.  The Committees must act on the bill and finalize the wording of the bill before the next Congress convenes in January or it will be removed from the books.  HR. 5429 passed the House in 2006 with a vote of 225-201, after winning a previous resolution H Res. 835 (234-184) allowing oil and gas lease sales to take place in the 10-02 Area of ANWR.   The Senate version languished in committee.

A brief review of the points of HR 5437 can be read here.

The actual bill can be reviewed here.