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State / Region
Friday, June 30, 2006 - Last Updated: 7:13 AM 

House approves bill to boost offshore drilling

BY BO PETERSEN
The Post and Courier

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A controversial bill to allow more offshore drilling for oil and natural gas - and pay the states that do - passed the U.S. House on Thursday with voting split largely along party lines. The vote was 232-187.

The bill now moves to the U.S. Senate, which is expected to take it up in July.

"This is a good first step in becoming energy independent from foreign sources. It's a states' rights issue - it allows states to control their offshore," said Rep. Henry Brown, R-Hanahan, who pushed the bill and supports drilling for natural gas off the South Carolina coast.

"You just saw the House of Representatives shred the offshore drilling moratorium," said Jim Presswood, of the Natural Resources Defense Council, an environmental advocate that opposes the bill.

The Deep Ocean Energy Resources Act would give individual states the option of overriding the 1981 congressional offshore drilling moratorium, which bans opening new areas of the ocean to drilling. The moratorium was renewed in a bipartisan Congressional vote a few weeks ago.

The states would have one year to decide whether to permit leases for natural gas drilling from 50 to 100 miles out to sea, and three years to decide whether to allow oil drilling. The bill also would give states a share of the revenue from drilling. It would keep the moratorium in place within 50 miles of the coast.

Offshore drilling now takes place in the Pacific and off western Gulf of Mexico states. Oil advocates and environmentalists have long warred over expanding that range. That battle heated up earlier this year with pressure by the oil industry as hurricane-battered Gulf Coast state representatives sought a bigger share in federal revenue from the drilling.

Industry representatives say the need for more oil and gas is vital, and new technology makes it safe. Environmentalists say the pollution risk is too high for an economy built on tourism and fishing, and that cutting back oil and gas consumption would free up as much fuel as drilling would provide.

Methane deposits off South Carolina suggest natural gas can be found there. Generally, at least some deposit of oil is found wherever natural gas is found.

Brown added a provision to the bill that 30 percent of the state revenue be distributed among coastal communities within 25 miles of the coast where the drilling occurs, he said.

"That's a tremendous amount of revenue for the coast of South Carolina," he said. The coast could also expect an economic boom from manufacturers moving to the coast because of the natural gas.

Elliott Negin, of the natural resources council, called it a threat to a tourism economy that generated $9.6 billion for South Carolina in 2003.

"The vast majority of offshore gas and oil reserves already are available for development. More than 80 percent of oil and 75 percent of natural gas reserves are located in areas currently open to the oil and gas industry," he said in a news release. "There are faster, cheaper and cleaner ways that already have been proven to ease the energy price burden on business and consumers."

The bill has the support of South Carolina's two senators, Lindsey Graham and Jim DeMint, and state legislative leaders said the General Assembly would consider whether to allow drilling. Gov. Mark Sanford opposes it.

"Any way you cut it, the risk is unacceptable," said Randy Maatta, the Democratic opponent for Brown's 1st Congressional District seat in November, in a news release.

"Offshore drilling in South Carolina increases the risks of oil spills that would devastate the state's coastline. The state's ports, fishing and tourism industries, which pump billions into the state's economy each year, could be potentially jeopardized by one accident, or even a terrorist attack. Onshore oil refineries and processing facilities would result in a nightmare for coastal communities."

Jeff Eschelman, of the Independent Petroleum Association of America, which had pushed for the bill, said "it's going to be a tighter race in the Senate to get this bill passed" in an election year. In the Senate, the bill would need 60 votes to overcome a filibuster.

"We salute the House for taking a necessary step forward towards greater energy security. The environmentally safe development of urgently needed oil and natural gas supplies through access to the deep sea is a vital component of an effective national energy strategy," said Barry Russell, association president, in a news release.

"We now need the Senate to follow the House's lead and support energy production in deep seas. Let American energy companies do their jobs and produce American energy to improve the lives of American consumers, strengthen our economy and reduce our dependence on foreign energy."

 

How they voted

The South Carolina delegation of the U.S. House of Representatives on the vote to allow increased offshore drilling for oil and natural gas:

Republicans voting yes
Gresham Barrett, Henry Brown, Bob Inglis and Joe Wilson

Democrats voting no
Jim Clyburn and John Spratt

 

Reach Bo Petersenat 745-5852 or bpetersen@postandcourier.com.