Obama’s New Energy Plan
Sen. Barack Obama (D-IL) recast his energy plan on Monday in a major speech (PDF) in Lansing, Michigan. Obama said his “New Energy for America” plan includes measures to reduce U.S. dependence on foreign oil and confront the problem of climate change.
- Under the plan, Obama would implement a windfall profits tax on oil companies and use the proceeds to provide a $1000 tax rebate for married couples and a $500 tax rebate for individuals. Those rebates would “offset the entire increase in gas prices for a working family over the next four months; or pay for the entire increase in winter heating bills for a typical family in a cold‐weather state,” Obama said.
- In an apparent shift of position, Obama said the United States should sell 70 million barrels of oil from the Strategic Petroleum Reserve “for less expensive crude, which in the past has lowered gas prices within two weeks.” In July, Obama said he did not believe the United States should use that reserve supply.
- The plan also calls for a “Use it or Lose It” approach to existing oil company leases. Obama said he will tell oil companies to drill on the 68 million acres “they currently have access to but haven’t touched.” If they do not use those areas, “we should require them to give up their leases to someone who will,” he said.
- Obama briefly mentioned the use of nuclear energy, pledging to “find safer ways to use nuclear power and store nuclear waste.” The energy plan says Obama will “develop requirements to ensure that the waste stored at current reactor sites is contained using the most advanced” technology available.
