Yesterday (10/15), the Administration sent a letter to House Speaker Nancy Pelosi (D-CA) indicating its commitment to work with Congress to produce balanced energy legislation that improves the nation's energy and economic security and protects the environment." This is a significant development on the energy bill, as it indicates the Administration's interest in working with the Democratic leadership.
The letter addressed the "Twenty in Ten" legislation, which the Administration submitted to Congress earlier this year and encourages this be used as a guide for conference. Moreover, the letter specifically offered a list of recommendations that Congress should include in order to avoid a Presidential veto.
Specifically, the Administration said the bill should include; an ambitious alternative fuel standard, strengthened fuel economy standards for cars but maintain a separate attribute-based standard for cars and light trucks, and ways to increase domestic energy production.
The letter then goes on to say the bill should not:
- Raise taxes nor use the tax code to single out specific industries;
- Contain provisions that encourage retaliation against American businesses abroad;
- Impose price controls on gasoline;
- Expand the application of the Davis-Bacon Act prevailing wage requirements; and
- contain a mandatory Renewable Portfolio Standard (RPS).
This last statement regarding an RPS is "softer" than a previous Statement of Administration Policy and is being interpreted to mean that there will not be a veto if an RPS is included.