August 01,2003

Baucus Applauds Passage of Energy Legislation, Includes Energy Tax Package

(WASHINGTON, D.C.) U.S. Senator Max Baucus, ranking member of the Senate FinanceCommittee, said he was pleased by the passage of the 2002 energy bill late last night. The bill includesimportant energy tax provisions and Baucus said he will work with Chairman Chuck Grassley andenergy conferees to look at including additional energy tax provisions that the Finance Committeedeveloped this year, such as excise tax reform and changes to ethanol and biodiesel incentives.

"The Senate took the unusual step last night of abandoning the energy bill that had been underdebate and instead took up and passed last year's energy bill that had passed last year withoverwhelming, bipartisan support, but never made it to the President's desk," Baucus said. "While theenergy bill we passed last night by a vote of 84 to 14 includes important energy tax provisions, I lookforward to examining additional opportunities to further strengthen our energy tax incentives beforefinal passage of the bill."

The 2002 energy bill passed last night includes approximately $20 billion in tax incentives forproduction of domestic oil, natural gas, nuclear power, clean coal, renewable sources, purchase ofenergy efficient appliances, homes and buildings, hybrid automobiles, fuel cells and combined heat andpower systems.

Senator Baucus said that he plans to also look at ways to offset costs of the energy taxpackage by including legislation such as the anti- tax shelter and corporate inversion provisions.

"The passage of an energy bill that will benefit consumers, protect the environment, andpromote energy efficiency is a great accomplishment," Baucus said. "I look forward to workingwith the House and Senate conferees to strengthen our energy tax incentives to even furtherpromote energy conservation and increase affordable energy options. Tax incentives form the coreof a strong national energy policy. "