Congress lacks urgency as chances for OCS bill wane: Boehner

Congress lacks urgency as chances for OCS bill wane: Boehner

Washington (Platts)--26Sep2006

US House Majority Leader John Boehner Tuesday said in a veiled swipe at
the Senate that a lack of urgency has been the reason for a more than
two-month stalemate in passing a bill to open portions of the Outer
Continental Shelf to oil and natural gas drilling.

Speaking to reporters, the Ohio Republican expressed hope that lawmakers
would reach a compromise before Congress adjourns this week to campaign for
the November elections.

"We're trying to get people together, there's been a lot of conversation,
but I don't think there's been the kind of urgency that there needs to be,"
Boehner said. "For something to happen, somebody has to do something," he said
referring to the Senate, after saying he wanted to choose his words carefully
so as not to offend his counterparts there.

Senate leaders have said that the bill they passed in July is the only
bill that can clear their chamber and that they cannot alter the bill to meet
House demands. The Senate bill would open 8.3 million acres in the Gulf of
Mexico and the House measure would open the OCS within 100 miles of the entire
US coastline. The House bill also would enable the government to collect
billions of dollars from leases issued in 1998 and 1999 that did not have
provisions for revenue collections.

Pete Domenici, the chairman of the US Senate Energy and Natural Resources
Committee, Tuesday acknowledged there had been no progress on the OCS bill. "I
don't see any movement," said Domenici, Republican-New Mexico, who as energy
committee chairman was a top negotiator.

Senator Trent Lott, Republican-Mississippi, whose state stands to gain
considerable revenues from drilling in federal waters said the bill's chance
of passage was 50-50. "It would be a terrible admission of incompetence if we
don't get it done," Lott said.

Lawmakers in both chambers have been discussing tacking House-favored
provisions, such as the one to recover the lost revenues, onto the Defense
Authorization bill, now being debated. That could clear the way for passage of
the Senate bill, according to proponents.

"Rest assured, my royalty recovery language will remain intact in any
compromise that is reached, or there will be no compromise," Representative
Richard Pombo, chairman of the House Resources Committee and a main House
negotiator on the bill, wrote to Democrats last week, who accused him of being
soft on industry in responding to the royalty issue.

Pombo, a California Republican, has been adamant that no bill is
preferable to the Senate-passed language.

--Daniel Whitten, daniel_whitten@platts.com

For more news, request a free trial to Platts Inside Energy at
http://insideenergy.platts.com or subscribe now at
http://www.platts.com/infostore/product_info.php?cPath=23_33&products_id=61

Please visit: www.platts.com

Their coverage of energy matters is extensive!!.