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FOR IMMEDIATE RELEASE
8 , 2006
CONTACT:
Annie E. Strickler (415) 977-5619

Lame-Duck Congress Passes Offshore Drilling Bill On Way Out

Departing Gift to Big Oil Symbolic of 109th Congress

The House today passed the Senate's offshore drilling bill as part of a $45 billion "tax extenders" bill (367-45). The Senate is expected to take up the measure tonight. The offshore drilling provisions -- which include opening up 8 million acres in the Gulf of Mexico -- are much narrower in scope than the bill passed by the House this year, and the drilling moratorium still protects the Atlantic and Pacific coasts.

Statement of Carl Pope, Sierra Club Executive Director:

"We are disappointed that Congress is finding it so difficult to cut ties to the oil and gas industry and to think outside the drilling rig when it comes to America’s energy policies. Just last month Americans cast their ballots in a call for a new direction, not more of the same. Let’s hope this is Congress’ one last fling with Big Oil and that we can make a fresh start to achieving true energy security with the new year and the new Congress.

"Every day and dollar this country spends on increased drilling is a day and dollar not spent on smart energy solutions. Unfortunately, passing a bill that benefits the oil and gas industry is a fitting way to close the door on this Congress. We look forward to an agenda in the new Congress that focuses on ending the outrageous subsidies to Big Oil and jump-starting investments in energy efficiency and clean, renewable energy.

"The Sierra Club supports funding coastal restoration efforts in the Gulf Coast region. However, we believe that tying coastal restoration funding to money derived from new offshore drilling is not the answer and, indeed, would simply exacerbate the problem. There is agreement that oil and gas drilling in the Gulf of Mexico has contributed to the destruction and loss of Louisiana wetlands. Thus, we don’t see the logic in funding restoration when the tradeoff is incentives for new drilling that would jeopardize other coastal areas. In fact, we support other legislation being circulated by Sen. Landrieu that would recapture the lost royalties from the poorly-negotiated offshore drilling leases in the late 90s and dedicate that money to coastal restoration. In addition, this proposal specifies that only a limited portion of the funds could be used for planning and infrastructure so that the bulk of the money would go to the much-needed coastal wetlands restoration work."

"One of the bright spots in the bill is a provision that prevents the Forest Service and Bureau of Land Management from offering new oil and gas drilling or hard rock mining leases in a section of Montana’s Rocky Mountain Front, an area cherished for it's tremendous wildlife habitat and hiking, hunting and fishing opportunities."

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