As Offshore Drilling Debate Is Eclipsed by Economy, Lawmakers Look to
Round Two...

Written By: Coral Davenport, CQ Staff...

WASHINGTON, DC (NS/CQP) -

Republicans declared victory after getting Democratic leaders to drop
a ban on most new offshore drilling, but the political benefit has
quickly faded and both sides are already looking to revisit the issue
next year.

Support for offshore oil and gas drilling remains high, but with
public attention shifting to the economic crisis, the energy issue may
lose some of its political punch, experts say.

“There is more support for drilling than there has been for some time,
and this is the best angle Republicans have for policy domestically,”
said Andrew Kohut, director of the Pew Research Center for the People
and the Press. Pew released a poll Wednesday that showed 67 percent of
Americans now favor offshore drilling. “Whether it’s enough to stem
the tide of Democratic advantage that seems to be growing out of the
situation with the economy remains to be seen,” Kohut said. “It’s not
that this is unimportant, but at this point, Wall Street is where the
attention is.”

The continuing resolution (HR 2638) to fund the government until next
March, which the House passed Wednesday, did not include a moratorium
on oil and gas drilling off the Atlantic and Pacific coasts.

That ban has been renewed in spending bills since fiscal 1982, but
Democratic leaders dropped their plan to include such restrictions in
the latest stopgap funding measure.

But the Interior Department’s Minerals Management Service, which would
lease and manage offshore energy production, says the process of
completing environmental reviews, holding lease sales, conducting
geologic studies and building new infrastructure could take five to 10
years before any new offshore drilling could actually begin.

That gives lawmakers a window to work out a new deal for a ban.

“The ban will expire, but nothing’s going to happen for a while,” said
Rep. Henry A. Waxman , D-Calif., a member of the Energy and Commerce
Committee and a leading environmentalist in his party. “We’re going to
work with the next president to get it reinstated.”

Meanwhile, policy experts and moderate Democrats said that once the
moratoriums have been lifted, it’s unlikely that they could ever be
reinstated wholesale — even under a Democratic Congress and president.

“Not if oil prices stay they way they’ve been,” said House Natural
Resources Chairman Nick J. Rahall II , D-W.Va. Rahall sponsored a bill
(HR 6899), which the House passed last week, that would allow drilling
off the Atlantic and Pacific shores but with more restrictions than
what would be allowed by letting the ban lapse entirely.

Rather than a wholesale reinstatement of the ban, experts say Congress
is more likely to pass a bill that would package drilling with some
new protections and boost conservation and renewable energy.

The urgency of knowing the ban has been lifted — a situation that
could allow drilling as close as three miles from shore — could help
give momentum to such measures next year, especially with election
year politics no longer a factor.

“The lifting of the moratorium may compel Congress to reach a deal
earlier next year on broader energy legislation,” said Paul Bledsoe,
communications director for the National Commission on Energy Policy,
a nonpartisan think tank that advises Congress on energy matters.

As Offshore Drilling Debate Is Eclipsed by Economy, Lawmakers Look to
Round Two
In addition to the offshore drilling moratorium, a ban on developing
oil shale deposits in the Rocky Mountains also will expire with
enactment of the continuing resolution.

Supporters say producing petroleum from the shale deposits could
provide a domestic energy windfall, but environmentalists say
developing the shale deposits would be more ecologically hazardous
than other fossil fuels.

“When Congress reconvenes in January, we will fight to restore an
orderly process for oil shale development so that Colorado’s land,
water and communities are protected,” Colorado Democratic Reps. John
Salazar and Mark Udall and Sen. Ken Salazar said in a statement.

Republicans vowed to fight to keep the land and water open for
drilling.

“You get the impression from listening to the majority that it is
their intention to restore these moratoria later in this year,” said
Senate Minority Leader Mitch McConnell , R-Ky. “We don’t think the
American people will like this.”

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