Democratic Energy Plan Promotes Recycled Ideas | Citizens Against Government Waste

Democratic Energy Plan Promotes Recycled Ideas

Press Release

For Immediate ReleaseContact:  Sean Rushton or Melissa Naudin
May 16, 2001(202) 467-5300


Washington, D.C. – The Council for Citizens Against Government Waste (CCAGW) today rejected the Democratic energy proposal released on Capitol Hill yesterday.  The cornerstone of the Democratic plan is to promote federally regulated price controls, a short-term solution that will exacerbate long-term U.S. energy problems.

"We've already seen recently what a price control policy equates to — California rolling blackouts.

The Democratic plan feeds the growing hysteria over energy and the environment in order to camouflage the core problems that have left families in the dark out west," CAGW President Thomas A. Schatz said.

Long before the present struggle in California, the nation went through the roller coaster ride of price controls on domestically produced oil.  During the 1973 oil embargo, increased U.S. dependence on imported oil made it easier for OPEC to charge higher prices.  The real problem, which is not adequately addressed in the Democratic plan, is the Clinton Administration's failure to reduce onerous regulations that inhibited exploration and the production of new power plants.  This decrease in domestic production, coupled with higher demand, has led to rising prices at the gas pump and in homes. 

"America shouldn't have to experience déja-vu all over again when it comes to energy policies.  Long lines at the pump for daily gas rations should remain a distant memory," Schatz said.

In order for the U.S. to develop a sound energy plan, there must be an increase in domestic production in order to satisfy growing demands and population.  But Democrats favor a blend of government intervention, tax breaks, and additional federal funding to hold down prices, while encouraging energy efficiency and increasing domestic supplies.  Within the proposal, the Democrats recommend a tax credit up to $4,000 for the purchase of energy efficient homes and cars.

"It isn't surprising the Democrats have again resorted to using taxpayer money to solve national problems.  They must be living in Shangri-La if they honestly expect energy to just appear in this country without drilling," Schatz said. 

CCAGW believes the balanced approach of President Bush's energy plan will be far more effective and much less costly than the Democrat's proposal.
CCAGW is the lobbying arm of Citizens Against Government Waste, a nonpartisan, nonprofit organization dedicated to eliminating waste, fraud, mismanagement and abuse in government.

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