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Second, the Senate bill included a number of policies to enhance the development of renewable energies and energy efficiency that the House bill did not. The Senate narrowly passed a 10 percent national renewable portfolio standard goal for the year 2020 although it rejected a resolution to reduce U.S. use of foreign oil by 40 percent in 20 years.5 Tax incentives were also substantially larger overall, and specifically for renewable industries, in the Senate bill, at $18 billion over 10 years compared to the House’s $8 billion over 10 years. Finally, the Senate bill included additional incentives for energy efficient commercial buildings, homes, and appliances.6 The Senate version did not include a policy to open the Arctic National Wildlife Refuge (ANWR) in Alaska to oil drilling as the House version did. Both chambers did, however, approve budget resolutions for opening ANWR that had not reached a final vote at the time of the EPAct 2005 debate.7 Finally, the Senate seemed more concerned with acknowledging the findings of emerging environmental studies; Senate bill sponsor Bingaman proposed a plan to “cut emissions of greenhouse gases by 2.4 percent per unit of economic growth beginning in 2010,” a policy expressly opposed by members of the House and the Bush Administration for its potential detriment to industry. Environmental groups and others criticized both energy bills for not going far enough to reduce emissions or dependence on foreign oil in the transportation sector. Both the House and the Senate versions mandated the implementation of biofuels for transportation by 2012. Environmental groups, however, believed that increasing mileage standards for vehicles would be a more effective policy to reduce emissions and U.S. demand for vehicle fuel.8 Factors Assisting Bill Passage On July 28, 2005, differences between the House and Senate versions of the bills were resolved in conference. At this stage, several policy provisions were dropped: 9 • The 10 percent national renewable portfolio standard (Senate) – The RPS provision was most likely abandoned to appease President Bush, who had stated his opposition of this provision in a June 14 statement to Domenici.10 • Liability protection for manufacturers of MTBE provided in the House bill – House Republicans, led by House bill sponsor Barton, “jettisoned” this provision at the strong urging of Senate sponsors Bingaman and Domenici, who felt it might kill the bill.11 House Republicans were, however, able to keep a provision that allowed either party of a future MTBE lawsuit to bring the case to federal court, which was seen as a small “win” for companies that used the gas additive. • Opening of ANWR for oil and gas exploration provided in the House bill. President Bush signed EPAct 2005 into law on August 8, 2005, praising the legislation for “promot[ing] dependable, affordable, and environmentally sound production and distribution of energy for America’s future.”12 123PDF Image | Shaping Energy Technology Transition
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