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Copyright 2001 Gannett Company, Inc.  
USA TODAY

May 16, 2001, Wednesday, FINAL EDITION

SECTION: NEWS; Pg. 8A

LENGTH: 495 words

HEADLINE: Democrats unveil energy plan Quick-fix proposal targets rising gas prices, blackouts

BYLINE: Jonathan Weisman

DATELINE: WASHINGTON

BODY:
WASHINGTON -- House Democrats laid out a national energy strategy
of quick regulatory fixes for soaring gasoline and electricity
prices Tuesday. The emphasis drew clear distinctions between their
plan and the one President Bush is proposing.


The Democratic document is a pre-emptive political strike on Bush's
plan, which he formally unveils Thursday, as much as it is a legislative
program. Its reliance on regulatory mandates and attention to
environmental protections contrasts sharply with the president's
push for oil and gas production and regulatory relief for energy
industries.


The Democrats emphasized that their plan would address the immediate
problems of rolling blackouts in California and rising fuel prices.
Vice President Cheney has said the White House plan would offer
no quick fixes.


"This administration needs to act," House Democratic leader
Richard Gephardt said. "We call on the president to move away
from the special interests and put the interests of the American
people first."


White House officials were not taking the bait. Bush spokesman
Ari Fleischer chose to emphasize what the plans had in common:
tax credits to spur energy conservation and increased federal
funding to insulate houses.


"The energy plan offered by the Democrats on the Hill today has
some areas of overlapping commonality with the plan that the president
is about to propose," Fleischer said, "and the president looks
forward to working with Congress on those areas."


The Democrats' plan has more contrasts than similarities to the
Bush proposals, however. It resolutely opposes the centerpiece
of the Bush plan: opening the Arctic National Wildlife Refuge
in Alaska and other protected federal lands to oil and gas drilling.
And it would assert a heavier government hand by:


* Instructing federal regulators to cap wholesale electric
power rates in California and to reclaim windfall profits gained
by power producers during the state's electricity crisis. On Tuesday,
California officials approved hikes for some residential users
of as much as 80%.


* Asking the president to tap the Strategic Petroleum Reserve
and pressure oil-producing nations to open the spigot and push
down gasoline prices.


* Demanding a Justice Department investigation into allegations
of price-fixing by oil companies.


* Establishing fuel-efficiency standards specifically for
light trucks, sport-utility vehicles and minivans, which consume
more gas than smaller cars. Current regulations permit an automaker
to average the mileage of all models in a fleet.


The Democrats would use federal tax credits to encourage the purchase
of energy-efficient homes, appliances and vehicles, to promote
investment in renewable energy sources such as wind and solar
power, and to promote the construction of a natural-gas pipeline
from the North Slope of Alaska, where vast natural-gas reserves
have gone untapped.





GRAPHIC: PHOTO, B/W, Hillery Smith Garrison, AP; Pump politics: Democrat Richard Gephardt pitches energy plan Tuesday at a Capitol Hill service station.

LOAD-DATE: May 16, 2001




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