GOP to try again to drill for oil in Alaska refuge

By H. Josef Hebert
The Associated Press

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If he is successful, it would be a stinging defeat for environmentalists and an energy triumph that eluded Bush during his first four years in the White House. A broader agenda that includes reviving nuclear power, preventing blackouts and expanding oil and gas drilling in the Rockies would be more difficult to enact.

Republicans in the House and Senate said this week they plan to push for Alaska refuge drilling legislation early next year, and they predict success, given the 55-44 GOP Senate majority in the next Congress. Democrats and some environmental activists say continued protection of the refuge has never been as much in doubt.

"It's probably the best chance we've had," said Rep. Richard Pombo, R-Calif., chairman of the House Resources Committee and a vocal drilling advocate.

Sen. Pete Domenici, R-N.M., chairman of the Senate Energy and Natural Resources Committee, said he will press to open the coastal plain of the Arctic National Wildlife Refuge (ANWR) as part of the government's budget deliberations early in 2005. That would enable drilling proponents to skirt an otherwise certain Democratic-led filibuster that would be difficult to overcome.

"With oil trading at nearly $50 a barrel, the case for ANWR is more compelling than ever," Domenici said. "We have the technology to develop oil without harming the environment and wildlife."

Bush is also expected to renew his call for Congress to act on a broader, largely pro-production, energy agenda — from easing rules for oil and gas drilling on federal land in the Rocky Mountains to expanding clean-coal technology and improving the reliability of the electricity grid.

New tax incentives to spur construction of next-generation nuclear-power plants also are expected to be back on the table after Democrats and some moderate Republicans scuttled them last year. Greater use of corn-based ethanol in gasoline also has wide support at the White House and in Congress.

Drilling in the Alaska refuge has been all but dismissed as unachievable since drilling opponents two years ago beat back a pro-development measure by a 52-48 vote. Bush did not make an issue of the refuge during the presidential campaign.

But with four new GOP senators expected to support ANWR drilling and the loss of a Republican moderate who opposed it, drilling advocates think they now have at least 52 votes in the Senate, enough to get the measure through Congress as part of the budget process. By Senate rules, opponents of drilling cannot filibuster a budget measure. ANWR qualifies as a budget measure because it would generate income for the government from oil companies.

Interior Secretary Gale Norton said yesterday that drilling in the Arctic refuge remains a Bush priority, particularly now that oil prices are high.
 
"I've seen the oil prices go up and down over time, and people seem to assume that when prices get high, they always stay high," she said. "But you need to get the investments done at that point so you've got the projects that are continuing on when the prices are low."

Environmentalists already are gearing up to intensely lobby to keep oil rigs out of the refuge's coastal plain, a breeding ground for caribou, home to polar bears and musk oxen and site of an annual influx of millions of migratory birds.

"This is as serious a threat to the refuge as any that has come before," said Jim Waltman of the National Wildlife Federation. "But the facts haven't changed. This is still a magnificent area and it can still be damaged by oil drilling."

Geologists think 11 billion barrels of oil lie beneath the refuge's tundra and ice, and drilling supporters contend they can be tapped without damage to the environment or wildlife.

Regardless of the outcome in the Alaska-refuge dispute, the path to getting a comprehensive energy bill is likely to be full of potholes. Twice in the past four years, lawmakers have agreed on 85 percent or more of an energy package only to see final action derailed over narrow issues.

Some lawmakers, including Sen. Jeff Bingaman of New Mexico, senior Democrat on the Energy Committee, argue that lawmakers should focus instead on passing separate bills on the most urgent and widely supported measures.

Some of that already has occurred, such as the recently approved loan guarantees for a proposed $20 billion natural-gas pipeline from Alaska to the Lower 48 states.

Despite the GOP's new strength, Senate Democrats can still put the brakes on energy measures they strongly oppose through filibusters such as the one that blocked an energy bill in 2003. The issue then in dispute was liability protection for makers of the MTBE gasoline additives, which have been found to contaminate water systems.

However, given the stronger GOP majority, sustaining such filibusters may be more difficult.