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A powerful congressional chairman has joined a growing number of Democrats who want to sharply increase the cost of drilling leases that the government provides on federal lands, a move vigorously opposed by Big Oil and Republicans.
Rep. Nick J. Rahall II, West Virginia Democrat and chairman of the House Natural Resources Committee, has proposed a plan to boost royalty rates by 50 percent and to cut the lease periods to five years from the current 10 years or more. His recommendation would be part of a sweeping overhaul of the $22 billion, scandal-tarred oil and gas drilling program that the Interior Department oversees.
The plan also appears in line with the broader energy goals of Interior Secretary Ken Salazar, who is conducting a review of the Interior Department's handling of oil and gas leases and royalties as the House prepares to push through a bill to address climate change and the Senate works on its own energy legislation.
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