Coburn & Inhofe Won't Back NGV Bill

[Conan71]

Seems counterintuitive since we are an energy state with plenty of natural gas reserves, but both Senators are against subsidies and tax credits.  I like their logic, especially Inhofe's.  I suspect neither of them will be on the Pickens Family Christmas card list this year.

Oh, and Reid is full of smile, he's got to throw in the "1 million jobs" so he can say Republicans are against job creation again.

Sens. Tom Coburn and Jim Inhofe shun bill to boost natural gas vehicles
Senate majority leaders' bill backed by T. Boone Pickens, but Oklahoma senators believe government should stay out of the market.

BY CHRIS CASTEEL ccasteel@opubco.com      
Published: November 16, 2011

WASHINGTON — Key senators introduced legislation Tuesday to boost natural gas vehicles — an effort backed by energy investor T. Boone Pickens — but Oklahoma's senators declined to get on board.

Senate Majority Leader Harry Reid and a bipartisan group of senators say their bill to provide tax incentives for the production and purchase of natural gas vehicles would create jobs, lower consumer fuel costs, reduce pollution and make the nation more energy secure.

"We cannot afford to continue spending hundreds of billions of dollars a year to buy oil from foreign countries, many of which are unfriendly to the United States,'' said Reid, D-Nevada.

"This bill will create over 1 million jobs by accelerating the development of clean alternative vehicles and fuels here at home, and make our nation more secure," Reid said.

The bill is a companion to one introduced earlier this year in the House by Reps. John Sullivan, R-Tulsa, and Dan Boren, D-Muskogee.

That legislation has 181 co-sponsors in the House, though nearly 20 others have withdrawn their support since many outside organizations have come out against it.

Groups like Taxpayers for Common Sense, Americans for Tax Reform and the National Taxpayers Union have protested more government intervention in the energy market and have urged lawmakers not to support the bill.

Oklahoma's senators are also opposed to using tax credits to steer the market toward the vehicles.

Sen. Tom Coburn, R-Muskogee, who has been calling for broad tax reform that would end or limit numerous tax credits — including those for ethanol — wants to see a transition to natural gas vehicles but has not endorsed the bill because of the tax credits, a spokeswoman said Tuesday.
And a spokesman for Sen. Jim Inhofe, R-Tulsa, said the senator has not changed his position since he told The Oklahoman in July that the case for natural gas was so strong, the industry didn't need tax subsidies.

Chesapeake Energy Corp. Chief Executive Aubrey McClendon expressed frustration in July that Congress had not passed the bill in the three years it has been introduced and reintroduced. This is the second time that Reid and Sen. Robert Menendez, a New Jersey Democrat, have sponsored the legislation.

Pickens — who has put his emphasis on the need to produce heavy duty trucks to run on natural gas as a way to reduce the need for imported oil — said Tuesday that domestic natural gas has the potential to transform the nation's economy.

But, he said, "if past experience is any indication, I have no doubt that special interests that only care about themselves will attempt to create false arguments and false choices to stop this legislation.

"I sincerely urge the Senate to recognize those voices for what they are — obstacles of change and endorsers of the status quo, which is not working," he said.

The Senate legislation, which also includes incentives for building natural gas refueling stations, would impose a temporary fee on liquefied natural gas and compressed natural gas used as vehicle fuel to offset the costs of the tax breaks.

The House bill's cost has been estimated at $5 billion over the five years the tax breaks would be offered.


Read more: http://newsok.com/sens.-tom-coburn-and-jim-inhofe-shun-bill-to-boost-natural-gas-vehicles/article/3623609#ixzz1du2YsSy8

[Teatownclown]

No need for the dims to agree to jack...they will be making the Teabagger/GOP look like the fall guys. Maybe this is just political manuevering because it does not look like them (Inhofe/Coburn)....

Boone sux... go Sooners!

[Conan71]

I forgot you were a Gooner fan.

[Townsend]

I have to wonder if the

Taxpayers for Common Sense, Americans for Tax Reform and the National Taxpayers Union

have much backing from the Oil Lobby.

[Conan71]

I have to wonder if the  have much backing from the Oil Lobby.

Makes one wonder except that most earl companies have extensive NG operations as well.

[Townsend]

Makes one wonder except that most earl companies have extensive NG operations as well.

Which one provides the best profit for them?

[Conan71]

Which one provides the best profit for them?

With natural gas prices right now, it's oil.  All the natural gas movers are doing is trying to get the government to help create demand by mandate and by giving them even more hand-outs.  Like Inhofe was essentially saying: Natural gas is a no-brainer, and the free market should have already been all over this.  But no one wants to spend their own money without the government spending a ton too.

[Townsend]

With natural gas prices right now, it's oil.  All the natural gas movers are doing is trying to get the government to help create demand by mandate and by giving them even more hand-outs.  Like Inhofe was essentially saying: Natural gas is a no-brainer, and the free market should have already been all over this. 

I wouldn't be blown away if we found out NG would be a bit more popular if it weren't for some of the oil guys holding something sparkly and telling everyone to "look over here".

[nathanm]

With natural gas prices right now, it's oil.  All the natural gas movers are doing is trying to get the government to help create demand by mandate and by giving them even more hand-outs.  Like Inhofe was essentially saying: Natural gas is a no-brainer, and the free market should have already been all over this.  But no one wants to spend their own money without the government spending a ton too.

Government funding is much more of a help for a technology which isn't already established and whose potential payoff is far enough in the future that it's almost impossible to get private funding for. Fusion, for example.

[Conan71]

I wouldn't be blown away if we found out NG would be a bit more popular if it weren't for some of the oil guys holding something sparkly and telling everyone to "look over here".

Maybe they just gave them paddle balls.

[dbacks fan]

Every time I hear Gov't and alternative fuel vehicles this comes to mind from what happened in AZ back in 2001:

Here is an interesting article to read. And it really sums the whole fiasco up really well. It also down spins the actual incentive. Oh well, you can not have everything, at least some of the word got out.

When the state legislature passed the 2001 Alternative Fueled Vehicle incentive , little did then Governor Hull realize or foresee that this single piece of legislature would end her political career. In the Propane and Alternative energy bill , The original draft (written by three of the larger car dealerships own political action group) was sponsored by a few well respected State Legislators, the Draft Bill essentially called for a public handout of up to 125% of the cost of conversion of a gasoline powered motor vehicle to a Liquified Petroleum (Propane ) or Compressed Natural Gas (CNG) powered vehicle.

http://www.phoenixcomputerlabs.com/AZBioFuels/Arizona-Fiasco.html

http://www.stateline.org/live/ViewPage.action?siteNodeId=136&languageId=1&contentId=14196

[Conan71]

Then there was the Oklahoma tax credit which was covering, IIRC up to $7500 of over-priced golf carts being sold as electric cars.  When you added in federal credits the cost to the buyer was almost free.

Check out what qualified or qualifies:

http://www.patsarcheryok.com/Bad_Boy_Buggie_XT.html

Tax Commission Changes Credit For Electric Cars


Posted: Sep 18, 2009 5:10 PM CDT
Updated: Sep 19, 2009 2:19 PM CDT
Featured Video
Tax Commission Changes Credit For Electric Cars


It's a small car causing a big uproar. The street-legal electric vehicles have become quite popular in Oklahoma thanks to federal and state tax credits.


Golf carts are not eligible for the credit. But, the tax commission has approved at least three cars that are eligible.

Oklahoma Tax Commission
By Dan Bewley and Scott Thompson, The News On 6

UNDATED -- A lot of Oklahomans scrambled to buy electronic cars after they learned they could get some for practically free thanks to state and federal tax credits.  Now, they're wondering if they're going to get their money back next spring on their newly purchased car.  That's because the Oklahoma Tax Commission passed an emergency rule on Thursday.

Oklahoma has been giving a 50% tax credit on clean-burning vehicles since 1995, but combining that with a recent federal tax credit has some buyers paying practically nothing for an electric car.  That has the tax commission taking a second look at what's eligible.

It's a small car causing a big uproar.  The street-legal electric vehicles have become quite popular in Oklahoma thanks to federal and state tax credits.

"We can't keep them in stock," said Roger Gaddis with Ada Electric Cars.

But, it's the state tax credit of up to 50% of the purchase price that had the tax commission take a second look at the law.  On Thursday it clarified what kind of electric vehicle is eligible.

"If the car that the person is purchasing or the vehicle is more like a golf cart or is more of a sport utility vehicle, those will not be applicable for the credit," said Paula Ross with the Oklahoma Tax Commission.

So golf carts are not eligible for the credit.  But, the tax commission has approved at least three cars that are eligible:  the Wheego electric car, the Club Car Carryall 2, and the Club Car Carryall 6.

"We will try to work with the merchants and the consumers so they do know what will meet the criteria for the tax credit," said Paula Ross with the Oklahoma Tax Commission.

The quick change has some businesses upset.

GKU Electric Vehicles in Oklahoma City has this message on its website for its customers, calling it an unfortunate situation, but adding they are prepared for legal action and hope to get their customers on their side.

"It's been great for business," said Brian Jeffs with Justice Golf Car.

Brian Jeffs with Justice Golf Car says the tax credit has been wonderful for his business.  He has ordered more than 100 eligible cars just in the last few weeks.

"We have been overwhelmed.  Overwhelmed, that's pretty much all we're doing right now," said Brian Jeffs with Justice Golf Car.

The Oklahoma Tax Commission has a list of eligible vehicles on its website.