[Congressional Record (Bound Edition), Volume 149 (2003), Part 18]
[Senate]
[Pages 25387-25388]
[From the U.S. Government Publishing Office, www.gpo.gov]




                         ENERGY AND THE ECONOMY

  Mr. CRAIG. Madam President, I am here this morning to talk about the 
reality of U.S. prosperity and how it is so closely tied to a reliable, 
affordable energy supply. The U.S. economy has suffered for the last 3 
years because of severe energy price fluctuations. Energy supplies have 
often been barely adequate and, in most instances, in high demand. I 
believe failure to enact an Energy bill will have dire consequences on 
all Americans, especially our economy, our workforce, and those who are 
building the American dream.
  There is a growing sense of urgency amongst American manufacturers, 
small businesses, and others that they simply cannot remain competitive 
unless we have enough reasonably priced energy to meet their demands at 
a time when certain costs in our energy sector are skyrocketing, and 
that, in my opinion, has been a major factor in contributing to the 
prolonging of a recession.
  Rising fuel costs helped cause the deepening of the recession in the 
past four recessions we have recorded: In the 1970s, in the early 
1980s, in 1990 and 1991, and now the 2000 recession. When we look 
backward, when we talk with economists who study this issue, all of 
them will tie it to a spike in energy prices and the cost of energy 
rippling across the economy.
  Abundant, affordable energy stimulates economic growth. Fluctuating 
energy prices have cost America many jobs in the last 3 years. The 
manufacturing sector has experienced over the past 2 years consecutive 
job losses, having lost over 2 million jobs. The National Manufacturing 
Association said that it has been caused in significant part to energy 
price spikes in 2000.
  During the winter of 2000 and 2001, natural gas prices skyrocketed. 
Curtailments became common in the

[[Page 25388]]

Northeast and in the upper Midwest. Skyrocketing natural gas prices of 
last winter went even higher than 2 years ago. Now many companies that 
have tried to secure this gas are shutting down simply because they 
can't afford to blend it into their stream. They can't afford the 
costs, and their product produced by it becomes noncompetitive. As a 
result, significant job loss has occurred.
  The U.S. chemical, plastics, and fertilizer industries have been 
among the hardest hit, largely due to their dependency on affordable 
natural gas in the face of fierce international competition.
  Electric utilities continue to build natural gas generation. Houses 
continue to be built and are plugged into the gas lines.
  The Energy bill we are working on will both save jobs and create jobs 
by bringing affordable natural gas out of Alaska. The Presiding Officer 
certainly knows about this. Some 35 trillion cubic feet of natural gas 
can be brought to the lower 48 States. That and the construction of 
that pipeline could well create over 400,000 jobs. Federal royalties 
could flow from it at $48 billion, a new Federal revenue to reduce our 
deficit and again create jobs.
  The Energy bill we are completing in conference calls for the 
investment of hundreds of millions of dollars in research and 
development in new energy technologies. This investment creates new 
jobs in engineering, math, chemistry, physics, science, and all related 
fields are tied into this kind of investment, this kind of development.
  The bill increases America's stake in nuclear energy, encouraging the 
construction of a Federal advanced nuclear reactor for the production 
of electricity and hydrogen and new technology, driving that industry 
forward and, once again, allowing America to lead the world in this 
kind of technology, this kind of advancement: Clean, manageable, safe 
forms of electrical production.
  Our bill will facilitate the expansion and the modernization of our 
national electrical grid. It will create additional opportunities for 
investments in pipelines and transmission lines and encourage the 
private investment in electricity transmission--all this creating more 
jobs.
  The Energy bill will provide $2 billion in investment and clean coal 
technology, creating engineering and research jobs. The investment also 
protects existing coal mining jobs and processing jobs to ensure the 
longevity of the American coal industry.
  We protect jobs in the gas and oil industry by encouraging deep well 
exploration of oil and natural gas at a time when domestic oil 
production is dropping and that level of production is flat.
  The PRESIDING OFFICER. The Senator has used 5 minutes.
  Mr. CRAIG. I will proceed for 1 more minute.
  By stimulating our production of oil and gas, we not only produce the 
energy necessary to fuel our economy, we not only protect tens of 
thousands of jobs, but we will create abundant new jobs.
  Lastly, we had Federal Reserve Chairman Alan Greenspan, who spoke 
before the Energy Committee, both of the House and the Senate, and he 
said:

       It is essential that we do not lose sight of the policies 
     needed to ensure long-term economic growth. One of the most 
     important objectives of these policies should be an assured 
     availability of energy . . . Developments in energy markets 
     will remain central in determining the longer run health of 
     our nation's economy.

  We all understand that. Now is the opportunity and the time to 
finalize a national energy policy, to pass it out of the Congress and 
put it on our President's desk. It is our future. It is one of the 
greatest job creators on which the Senate will ever vote.
  I yield the floor.
  The PRESIDING OFFICER. The Senator from Oregon.

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