House approves refinery bill; New Source Review portion scrapped


By Bruce Geiselman
 
Oct. 7 -- The House narrowly approved a bill Friday afternoon aimed at boosting production at oil refineries by easing environmental regulations.

However, one of the most controversial provisions -- reforming the New Source Review portion of the Clean Air Act -- was removed from the bill. The House passed the measure 212-210. The bill still would require approval from the Senate before it could be sent for President Bushīs signature.

Rep. Joe Barton, R-Texas, proposed the Gasoline for Americaīs Security Act, saying the oil industry needs relief in the wake of hurricanes Katrina and Rita, which damaged refineries and oil drilling operations in the Gulf of Mexico.

An association representing the nationīs refiners said the passage was a step forward but didnīt go far enough. Environmentalists, meanwhile, said the bill would weaken the Clean Air Act and accused House Republicans of exploiting the hurricane tragedy.

The billīs passage indicates America is growing to realize that improving the nationīs energy infrastructure is essential to maintaining a strong economy, said Bob Slaughter, president of the National Petrochemical and Refiners Association. "Although we are disappointed that the very important New Source Review provisions were removed from the bill, we realize that the expedited schedule for this legislation did not leave time for adequate discussion of this complex but crucial language," Slaughter said.

The NSR language would have clarified the definition of "routine maintenance" and narrowed the conditions under which older refineries would need to upgrade air pollution control equipment.

Although the contentious NSR provision was removed, environmentalists still found plenty in the bill they disliked.

It would delay existing smog cleanup deadlines for regions of the country that could demonstrate that pollution drifting from other areas was responsible for their nonattainment.

It also would limit the number of fuel blends that states could require refiners to produce. Areas of the country with ozone pollution problems currently can require a specific "boutique blend" of cleaner-burning fuel for sale in their area. Barton blamed the numerous blends -- 17 nationwide -- for contributing to higher energy costs and supply shortages.

Environmentalists have dismissed Bartonīs arguments.

"The bill does nothing to ease soaring gas prices, while doing everything to roll back clean air safeguards," said Jim Cox, legislative counsel for the environmental group Earthjustice.

Many of the actīs environmental and public-health rollbacks have no relation to the recent hurricanes and no relation to Americaīs gasoline supplies, he said.

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