Federal Energy Price Protection Act of 2006

FEDERAL ENERGY PRICE PROTECTION ACT OF 2006 -- (Extensions of Remarks - May 05, 2006)

* Mrs. CAPITO. Mr. Speaker, I rise today to address the tremendous impact that the cost of gasoline is having on my West Virginia constituents and on working families across the country. Rural communities that make up a large portion of my congressional district are especially hard hit by rising fuel costs because of the distance many people must travel to work and school and the limited public transportation options.

* In addition to high prices, gas stations in some areas have run out of fuel all together. It is vital that we take every possible step to ensure that the gasoline market is priced fairly and it is important that we take steps to increase the supply of gasoline available to the market.

* This week in my district I highlighted a 5-point plan to reduce the price of fuel. These steps include:

* 1. Take tough action against price gougers.

* 2. Waive boutique fuel requirements so that supply can be easily transferred between regions of the country.

* 3. Temporarily waive the 2.5 percent and 54 cent per gallon tax on ethanol so that imported ethanol can help make up the difference with the recent phase-out of MTBE in our gasoline supply.

* 4. Make use of coal--West Virginia's natural resource--as part of our fuel supply. Coal liquefaction technology has been available for many years and our government has invested in research that would allow for fuel to be produced now. Our nation has a 250-year supply of coal that already provides over half of our nation's electricity. Coal is an answer to the gasoline problem as well.

* 5. Allow for responsible drilling in ANWR and the Outer Continental Shelf to increase our domestic supply of crude oil.

* I am pleased that the House took action today on two elements of this important plan. I strongly support H.R. 5253, passed by the House today that will punish price gougers with tough fines or jail time. Provisions of the bill will allow for enforcement by either the Federal Trade Commission or state Attorney Generals to provide the maximum possible protection for consumers. We must investigate and punish instances of gouging wherever they occur on the energy supply chain.

* I am extremely disappointed that the House did not take action today on H.R. 5254 to improve the permitting and approval process for new refineries. Our nation has not built a new refinery since 1976 and it is clear that the regulatory process is a major reason why. This improved permitting process would also have applied to coal liquefaction facilities--another step that should be taken to increase our fuel supply. Once again opponents of increased fuel supplies and lower prices blocked action on common sense energy solutions.

* Passage of price gouging legislation is a positive first step. I urge my colleagues to support further legislation to increase supply by allowing new domestic exploration and waiving tariffs and boutique fuels.

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