[Congressional Record Volume 152, Number 73 (Friday, June 9, 2006)]
[Extensions of Remarks]
[Page E1100]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


[[Page E1100]]
                  REFINERY PERMIT PROCESS SCHEDULE ACT

                                 ______
                                 

                               speech of

                          HON. BETTY McCOLLUM

                              of minneosta

                    in the house of representatives

                        Wednesday, June 7, 2006

  Ms. McCOLLUM of Minnesota. Mr. Speaker, I rise today in opposition to 
the Refinery Permit Process Schedule Act--H.R. 5254. This bill wrongly 
attempts to streamline environmental regulations in an effort to spur 
construction of new refining facilities, while doing nothing to move 
the country toward energy independence.
  The Refinery Permit Process Schedule Act--H.R. 5254--mandates 
additional Federal oversight and requires State and local governments 
to comply with a new Federal schedule for approving permits to site, 
construct or expand a refinery. This bill fails to address legitimate 
concerns over the slow pace of expansion and increasing geographic 
concentration of America's oil refining facilities.
  Supporters of H.R. 5254 blame state and local environmental 
regulations for obstructing the construction of new refining 
facilities. But private oil refining companies are choosing not to 
construct new facilities based on their own economic projections rather 
than local environmental hurdles. The Wall Street Journal recently 
reported that Exxon is not building new refineries because it expects 
growth in U.S. demand for gasoline will be too insufficient to justify 
the capital investment. The chief executive officer for Shell Oil 
testified before Congress in 2005 that he knows of no environmental 
regulations that have prevented his company from expanding refinery 
capacity or siting a new refinery. Clearly, undermining State and local 
laws will do nothing to change the market-forces that are the true 
basis of companies' decisions regarding refinery construction.
  In addition, H.R. 5254 does nothing to promote home-grown biofuels, a 
critical element of America's energy independence strategy. In the last 
30 years, 97 new bio-refineries have been built in the U.S. and more 
are needed. But this bill will not expand America's biofuel industry 
for the same reason it fails to expand oil refining capacity--State and 
local regulations are not the barrier to growth. Biofuel industry 
experts have testified that State and local regulations have not 
prevented the siting or permitting of new bio-refineries.
  It is time for leadership, vision and commitment from Washington to 
make the smart investments that will protect our Nation's economic 
security and our planet's future. In Congress, we should start by 
rescinding the billion of dollars in subsidies for oil and gas 
companies to expand drilling. We must invest in research and extend 
incentives for alternative energy sources such as wind, biomass and 
biofuels that keep energy costs down, create jobs and make us more 
competitive in the global economy. A clean energy future that addresses 
oil dependence and environmental concerns such as climate change is 
achievable.
  But we should not expect our energy situation to change until the 
Bush administration and the Republican leaders in Congress get serious 
about tackling our oil dependence.
  H.R. 5254 is a thinly veiled second attempt by the Republican 
majority to pass the controversial Gasoline for America's Security 
Act--H.R. 3893--which the House narrowly passed in 2005 and the Senate 
ignored. As with that bill, H.R. 5254 has had no hearings, no markups, 
no opportunity for Congress to make necessary inquiries. Real solutions 
to America's energy challenges will result from a transparent 
legislative process, bipartisan cooperation and visionary ideas. The 
Republican majority has once again offered energy legislation that 
falls far short of a real solution.

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