The Real Energy Problem


Eric Massa's picture

From the diaries -- Larry

A couple of months ago I spoke to you about the energy bill passed by our Republican-led Congress earlier this year which returns billions of dollars in tax cuts to oil and gas companies. While those companies rake in record-making profits, many Americans are bracing for budget-busting gas and oil bills this winter. You can read more here.

The reason I want to talk about this again is that heating costs this winter are projected to be extremely high, but Congress –including my opponent Randy Kuhl – has not acted responsibly to address either the short term or long term issues related to these high energy costs.

Prices for natural gas this winter are projected to hit $1,568, which is 48% more than last year. Homes using heating oil are looking at total costs of around $1,666, which is 32% more that last year.

These dramatic increases in prices for home heating costs amount to an added tax on working families, especially on those already having a tough time meeting their budgets during the holiday season. These extra costs will hit my district, one of the poorest in the nation, particularly hard. But Congress (including my opponent Randy Kuhl, who should be working to protect the people of New York’s 29th Congressional District) recently voted against a proposed increase in home heating assistance for the American people. It is disturbing, especially at this time of year, to see our federal government turn its back to those who most need its help.

This failure to provide necessary home heating assistance is just one part of the much bigger picture of irresponsible behavior and a lack of compassion by our Congress for those who needs its help the most. In total, our Republican-led Congress, including Randy Kuhl, has cut $50 billion from programs that provide vital assistance to the poor. (link) Tax cuts by Congress, mostly for the wealthy, total $90 billion. ( link). Think of it as Robin Hood in reverse: taking from the poor and helpless to give to the rich.

Back to the topic of the rise in heating costs, it is also very important for us to understand that these increases do not just affect home and family budgets. They affect businesses both small and large.

Small businesses make up 90% of the economy in the U.S. and the 29th district, and they are going to be crunched under the rising costs in heating oil. These record increases impact operating expenses, transportation and delivery costs, among other things. Much of these costs will eventually be passed on to the consumer through higher prices for everything from commodities to consumer credit.

The effects of these rising heating costs cover a broad spectrum of various issues. When businesses have to pay more for heating costs, especially with the significant price increases we are already seeing, it is inevitable that people will be laid off in order to make up the difference. Or prices will have to be raised, which makes it harder for them to compete in global markets.

The bottom line is we need to change our outlook on this vital issue. Oil is the driving source for our economy, and until we can move away from it, we will continue to be dragged down by it. Furthermore, no one knows how close we are to tapping all available sources of oil. This is why it is important for us to move away from our oil dependencies.

President Bush has recently mentioned the affects of rising heating costs on families and small businesses. ([link http://www.gop.com/News/Read.aspx?ID=5973]) But, as demonstrated by the priorities set forth in the Energy Bill, his real focus in that section of his speech was on how to help Big Oil and other energy producers. He ignores the short term needs of consumers and offers only token plans on how to move away from dependence on oil.

Senator Ted Stevens of Alaska is even threatening to tie up the Defense Appropriations Bill (link) with his selfish and short-sighted insistence on drilling in ANWR.

We need better leadership to adequately address the needs of the 21st century. There are simple steps we can take that will make our nation cleaner and safer and put more money into our pockets. It could be as simple as phasing in hybrid cars over the next ten years, or beginning to build more energy efficient “green” buildings. Investing in alternative energy and energy efficiency could help grow businesses both big and small, which would provide much needed jobs.

This is not hard, it just takes the right people with new ideas. There are lots of ideas to consider. [Apollo Alliance http://www.apolloalliance.org/], the [Renewable Energy Policy Project http://www.crest.org/aboutus.html], the [Natural Resources Defense Council http://www.nrdc.org/air/default.asp] and even small groups of bloggers ([link http://devilstower.dailykos.com/story/2005/11/6/201459/136]) have offered useful suggestions. And there are many others working on these issues.

But our federal government and its leaders are not adequately addressing either our short term or long term energy needs. Instead they put politically motivated legislation on the House floor, and continue to ignore the real problems we are facing. We can overcome our dependence on oil and provide new jobs at the same time, but not with the current leadership and representation we have today.

icantbelieveimvotingforageneral's picture
Submitted by icantbelieveimv... on December 18, 2005 - 3:16pm.

There are simple things that could be done without turning our lives upside-down. As a nation, we need to admit there is a problem and start doing those simple things. The far left needs to stop acting like we all need to move into communes powered solely by windmills and the right needs to get their heads out of the sand. We can make a huge dent in our dependence on foreign oil by just trying to do better, without any significant impact on our lifestyles.


Eric Massa's picture
Submitted by Eric Massa on December 18, 2005 - 3:37pm.

http://www.massaforcongress.com

I guess what has me the most upset this morning the attempt to attach the authorize to drill in ANWR into the Defense Bill. After such a measure was already rejected to see the Senate hold the military hostage is nothing less than more of the same from this Administration and their Rubber stamping allies on the Hill. For those of you who might think me to liberal and for those of you who find me to moderate I challenge all to understand that moving forward with the things that we can quickly agree upon to immediately help the thousands in my community (and millions around the country) who cannot get heat this winter is not a Republican issue, it is not a Democrat issue - it's an American issue and cutting basic help and services to working families who have already seen their jobs outsourced by NAFTA and CAFTA and then giving huge tax breaks to the top oil companies all the while that we are paying double for home heating is nothing short of pillaging this nation for the sake a few. We can do better but only if we bring a new Democratic majority to the House of Representatives and restore a balance of power to Washington DC.


LJM's picture
Submitted by LJM on December 18, 2005 - 4:15pm.

Actually, there is an ad in the Kansas City Star today saying that KCPL will have their first wind farm online in the fall of 2006. It will generate enough power for 33,000 homes. Obviously in a metroplitan area like ours we need much more power than that, but it's a start. They use clean burning coal now for most of our power. Kansas has a nuclear power plant. I'm not sure who benefits from that power. Kansas also has natural gas. Meanwhile, our energy prices for heating and cooling go up like everybody else. It really doesn't make sense. My priority now is to get my house as energy efficient as I can. Around the time Carter was president, there were community programs to help the elderly and disabled poor to have that done for them in their homes free of charge. I worked in home health care then and I recall one old lady who lived in a huge drafty old house. They came in and built her a nice one bedroom apartment in the space she was using and closed off the rest of the house, so she only needed to heat her space. People want to age in place and community planners need to encourage architecture that conserves energy. The mansionettes just don't do that very well. The reason being given for this year's crunch is still Katrina and Rita. There could be a shortage with rolling brownouts and blackouts in the some places. That would get people's attention.


icantbelieveimvotingforageneral's picture
Submitted by icantbelieveimv... on December 18, 2005 - 4:20pm.

We need to take bites out of the problem. Every little bit helps. I really do think it comes down to the fact that people need to care about this. We need a President and a Congress that tells people this is important, that tells people it's patriotic to save energy. President Carter made people feel guilty. That was an unfortunate move. We need to make people feel good about whatever they can contribute to addressing the energy problem.


Submitted by CentralMass on December 18, 2005 - 9:01pm.

A proposed Wind Mill Farm off the coast of Massachusetts in Nantucket sound seems to have scuttled from all sides of the political spectrum.  It would be comprised of 130 wind turbines that would reportedly generate 3/4 of Caped Cod's electrical needs.

Everyone from an Alliance to protect Nantucket Sound , to  the Govornor and a  Democratic congressman from Mass and another Rep from Alaskaa  seem to be bent on stopping it from being built

.

Sneak attack on wind farm - The Boston Globe

 

Capitol Hill weighing tighter limits on wind farms - The Boston Globe

 

Oily bedfellows :: Cape Cod Today :: Cape Cod News and Information

Knightrider's picture
Submitted by Knightrider on December 18, 2005 - 4:38pm.

Eric,

It's great to see you fully committed towards effective energy policies, as well as addressing its serious neglect by the GOP-led Congress.  Are you aware of any attempts by the the energy lobby in oil and gas industry to deliberately thwart legislation measures that would promote alternative /renewable energy resources and its nascent industries?   Also, shouldn't Congress enact more incentives to home owners and businesses, as well as local and state utilities to seek alternative resources? 

With $100 Billion in profits this year, the oil industry should also be mandated to dedicate efforts towards these initiatives. A pro-energy tax from those who profit (gouge) the most.   Maybe Congress should apportion at least 10% of profits towards renewable energy technologies development, and encourage the industry to take more a moral and responsible commitment to America's independence and future.


Eric Massa's picture
Submitted by Eric Massa on December 18, 2005 - 6:01pm.

http://www.massaforcongress.com

One of the many things that captured my attention with respect to the ongoing challenge of heating costs was the tremendous profits that the oil and large multi-national petroleum companies are raking in. Compound this with the unprecedented tax subsidies that they are receiving it is fairly clear to me that there are many interests here keeping us from developing a true national energy policy.

Remember the Bush "hydrogen economy"? Remember the front page headlines and fan fare that was that announcement. Today, very little if anything is being done at the Federal level to move in that direction - and some will state that the economics of the hydrogen development are what are keeping us from moving forward. Others state that the technology is the problem. Both are valid points, BUT if we do nothing now we will not be able to do anything later on.

I do not have any specifics on moves that individual companies have made to thwart development however, nothing would surprise me. Short term profits are what drive the traditional economic market and that is a recipe for disaster when it comes to a national energy policy.

Eric


Submitted by donjo on December 18, 2005 - 6:32pm.

that if we cut our country's average gasoline usage just 2 mpg, we wouldn't have to import oil from the Mid East. If you want an idea of what these "oil wars" are all about, I recommend a visit to a theatre showing "Syriana." Oh, and watch the film.

Impeach Bush

mad4clark's picture
Submitted by mad4clark on December 18, 2005 - 6:53pm.

It was amazing.....and ultimately very depressing.

This administration is chock a block with 'oil guys'.....hell, Condi has a tanker named after her. And they continued to be 'oil guys' whilst on the public payroll. From the secret energy task force to the invasion of Iraq....it's been all about oil and of course power.

The only chance we've got at hold these miscreants accountable is to change the face of congress. I just hope it isn't too late.

George Bush has had his day and he's bollixed it up.


noelschutz's picture
Submitted by noelschutz on December 18, 2005 - 5:11pm.

On energy, on everything.

Late to the party (overslept here in Taiwan), but wanted to join in at the tail end anyway.

Thanks for informing us about the energy situation. I know generally the lack of interest by our leaders in this issue, but the details are more appalling than I had realized.

One more reason to shake Congress up in Oh Six. 


Submitted by lenitas on December 19, 2005 - 6:21pm.

I'm late, so I'm reading and trying to see the discussions.  This is my first blog.

earlybird's picture
Submitted by earlybird on December 20, 2005 - 1:56pm.

Well Lenitas you  finally arrived - what took you so long   Did you read Wes Clark Blog Dec 19th - I don't remember seeing a question from you but I am depending on memory !!! I have been asking an open question - feel free to pass on it  - it is not a test - why do you think people aren't demanding impeachment of Bush after the revelation that he spied on Americans without court order - people are not yet objecting in a resounding united voice 'that Bush is not a king.'  What kind of feedback are you hearing in your circle of friends-family-coworkers aquaintances?


Submitted by CentralMass on December 20, 2005 - 9:38pm.

Massachusetts Electric just raised their rates by 27.5% last month. My latest bill is roughly $60 more then last month.  Energy costs are really impacting my families budget.  From heating oil to gas for my long commute to work

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