Cummings Repeals Billions of Dollars in Handouts to Oil Companies, Invests in Nation's Future

Press Release

Today, Congressman Elijah E. Cummings (D-Md.) joined a majority of his colleagues in passing the Renewable Energy and Energy Conservation Tax Act of 2008 (H.R. 5351). The bill, which passed by a vote of 236-182, invests in energy independence, creates and preserves hundreds of thousands of new jobs, and repeals billions of dollars of subsidies to oil companies.

"The prices of gas, home heating oil, and crude oil under the energy policies of President Bush and the previously Republican-led Congress have continuously skyrocketed--along with the profits of big oil companies," Congressman Cummings said. "Today's legislation takes substantial steps toward helping hardworking families cope with these rising costs, while also improving our energy independence and repealing the billions of dollars in government handouts that are lining the pockets of oil companies."

Since 2001, oil imports have risen by 1.6 million barrels a day, and the share of liquid fuel consumed by the United States that is imported has increased from 52% to 60%. The Renewable Energy and Energy Conservation Tax Act reduces the nation's dependence on foreign oil, thereby increasing national security by investing in renewable electricity production such as wind, solar, geothermal, and fuel technology.

The legislation will preserve about 116,000 jobs that would be lost if current renewable energy incentives are allowed to expire. Additionally, the new investments in renewable energy are expected to create hundreds of thousands of additional green-collar jobs.

To uphold fiscal responsibility in paying for these investments, H.R. 5351 repeals billions of dollars gained by unnecessary subsidies and tax loopholes narrowly-targeted to companies such as ExxonMobil, which just reported $40.6 billion in profits for 2007--the largest corporate profit in American history.

"While big oil companies have seen profits increase by 300% under the poor policies of the Bush Administration, Maryland families have seen gas prices increase by 114%," Congressman Cummings said. "This legislation is great for our families, great for our national security, and great for our economy. In fact, the only parties who may not benefit from this critical investment in our nation's future are the big oil companies who reported record profits this year."

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