Environment

Last week, the House Energy and Commerce Committee held a hearing on the “American Clean Energy and Security Act of 2009.” One of the individuals invited to testify was former Speaker of the House, Newt Gingrich.

Speaker Gingrich has been a vocal advocate for the environment and alternative energy sources, last year surprising many by joining current Speaker Nancy Pelosi in a commercial arguing for action to protect the environment and promote cleaner energy.

But Speaker Gingrich has also advocated a commonsense and comprehensive approach- encouraging innovation and making sure our policies work with, not against, our economy.

I was surprised that in Speaker Gingrich’s remarks submitted to the Committee, he mentioned action taken by Senator Frank Wagner and myself on the issue of off-shore drilling, as a positive component of a comprehensive, commonsense energy policy.

A portion of Speaker Gingrich’s remarks are below. For the complete remarks, visit Real Clear Politics online: http://www.realclearpolitics.com/articles/2009/04/24/gingrich_house_ener...

“Create public/private partnerships in coastal states to fast track the ability of oil and natural gas companies to develop offshore oil and gas resources. If Congress were to lift the ban on offshore oil and gas development (or at least grant coastal states the right to develop the resources with a plan to share revenue with them), states would move swiftly to set up partnerships that will maximize the best use of oil and gas revenues.

Efforts in Virginia provide a good example. In 2004, two Virginia legislators, Delegate Chris Saxman and Senator Frank Wagner, learned that Virginia manufacturers were warning of the rising costs of energy because of tightening energy supplies. Once they discovered that oil and gas resources exist off Virginia's shores, and that the state could experience rapid economic development from the actual business of energy exploration and development, Saxman and Wagner immediately designed legislation that would have Virginia petition the federal government for permits to drill offshore. In addition, the legislation specified that a significant portion of oil and gas royalties, state fees, and licenses collected by the state would go to improve Virginia's transportation infrastructure, clean up the Chesapeake Bay, and invest in technologies related to new energy production.

The economic potential for Virginia is significant. The oil and natural gas revenue estimated to accrue to Virginia is $13.53 billion dollars over thirty years, or $451 million annually. This is a conservative estimate that could increase with technological advances.

But these are not all the economic benefits that Virginia would reap. In just the Hampton Roads area near Norfolk, it is estimated -- based on experience with the oil and gas industry in Nova Scotia and Louisiana -- that oil and natural gas development would result in around $8 billion in capital investment and 2,600 new, high paying jobs. These new jobs would have an estimated payroll close to $650 million annually. Virginia would thus see $271 million more flow into the state treasury in the form of state and local taxes as a result of this increased economic activity.

This new tax revenue could then be used to fund transportation projects in the Hampton Roads area and throughout the state.

Imagine funding new roads, cleaning up the environment, and making investments in basic research and development science to promote new energy sources - all without raising taxes. How many coastal states besides Virginia would like to achieve that combination of benefits? Coastal states could lower energy costs for their residents as well as the energy costs of fellow citizens across the country, while relieving congestion and cleaning up the environment.”

Preserving and Protecting the Chesapeake Bay – HB 1150 (2006) HB 1650 & HB 1710 (2007)
o Continued effort to fulfill House Republican’s commitment to dedicate more than $500 million to protect and preserve the Chesapeake Bay before 2015 through water treatment plant upgrades and nutrient removal coupled with oversight and performance measures.
o By upgrading sewage treatment plants in the Bay watershed with nutrient removal technology, Virginia can achieve approximately 20% of necessary pollution load reductions.

Advancing Innovative Financing for Land Conservation – HB 2694 & HB 2825 (2007)
o Expanded the financial tools available to fund land conservation and preservation projects and programs throughout the Commonwealth through an innovative Land Conservation Tax Credit.
o Over 420,000 acres of Virginia’s most pristine land has been protected from sprawl and development since 2000 using the market-based land conservation tax credit program, according data compiled by the VA Department of Taxation.

Creating a Natural Resources Commitment Fund – HB 1335 & HB 30 (2008), HB 2351 (2009)
o Established and provided $20 million for cost-sharing programs to implement agricultural best management practices through the Natural Resources Commitment Fund.
o Best management practices are important tools in controlling non-point source pollution – like animal waste, cropland, and forested land – and environmental contamination.

Preserving Civil War Battlefields across Virginia – HB 30 (2008)
o Provided over $5 million for matching grants and $30 million in bonds for land acquisition of open space and preservation of endangered Civil War historic sites.
o Allows for land acquisition for conservation, open space and historic preservation as well as matching grants in partnership with private non-profit organizations for battlefield sites.

Encouraging Energy Conservation – HB 2531 (2009)
o Encourages energy conservation, effective July 1, 2009, by examining development of energy conservation and efficiency targets that can be accomplished by cost-effective demand-side management.
o Helps Virginia conserve 10% or more of its electricity consumption in future years and keep prices competitive through reduced demand and improved efficiency.

Improving Air Quality – HB 1055 (2006)
o Adopted stronger air emissions’ regulations (so-called “Smokestack Bill”) to provide further controls to protect Virginia’s pristine environment.
o Cutting smokestack emissions from power plants will save lives, spare asthma sufferers, help clean up the Chesapeake Bay and protect wildlife.

Reducing Water Pollution – HB 2168 (2009)
o Improves the ability to clean up Virginia’s waterways from storm-water nonpoint pollution through a nutrient offset program that allows compliance through offsets in the same tributary.
o Addressing water quality impairments caused by agricultural and land development activities through a proven free market approach reduces pollution run-off into Virginia’s waterways.

Partnering to Eliminate Environmental Threats – HB 2646 (2009)
o Establishes a market-based betterment loan program to address failing sewage systems in order to reduce threats to public health and ground and surface waters.
o Assisting homeowners’ and businesses’ efforts to eliminate their negative impacts on Virginia’s waters through private financing of system upgrades and improvements.

For Immediate Release
Tuesday, April 21, 2009

STAUNTON, VA: Preceding tomorrow’s observance of Earth Day, Delegate Chris Saxman (R-Staunton) issued the following statement highlighting the numerous accomplishments of Virginia Republicans to encourage a healthy and sustainable environment.

“As we prepare to observe Earth Day, I believe all Virginians share a common and uniting goal of safeguarding and protecting the natural treasures of our Commonwealth. We are truly blessed to enjoy an abundance of natural resources, from our Blue Ridge Mountains, to our beaches, from our rivers, to our scenic mountains, and I believe it is our shared responsibility to preserve and protect these natural treasures so that Virginians and visitors to our Commonwealth will be able to enjoy them for generations to come.

“Since being elected to the House of Delegates, I have worked with my colleagues on policies to preserve and protect our environment- here in the Valley and across the Commonwealth. Working together we have been able to enact practical, forward-thinking measures that are producing real results in preserving Virginia’s natural treasures.

“The Commonwealth has been able preserve over 420,000 acres of open space by putting free market tools to use through innovative land conservation tax credits. Here in the Valley, as well as other parts of the state, we have worked alongside private organizations to preserve our historic Civil War battlefields. We have demonstrated a long-term commitment to cleaning up the Chesapeake Bay through enacting agricultural best management practices and funding upgrades to our wastewater treatment facilities. We have demonstrated a commitment to promoting renewable energy development, exploration and use.

“One of the key issues I worked with my colleagues on in 2006 was an important compromise that will bring cleaner air to Virginia through significant mercury emission reduction standards. HB1055 will result in cleaner air in the Shenandoah Valley and across the Commonwealth three years ahead of the previous schedule. The measure also codifies the Department of Environmental Quality’s regulation for the Clean Air Interstate Rule, which limits sulfur dioxide and nitrogen oxide emissions- which address the concern of smog by limiting the emissions of these toxins.

“During this year’s legislative session, we worked together on a number of initiatives aimed at sustaining and improving our natural resources, including nutrient offsets exchanges, septic system clean-up and energy conservation programs.

"But it's not just about voting on public policy, it's also about living it in your life and business. On a personal level, our family recently bought and set up a composting bin, and for 10 years our company sponsored with WVPT the Young Environmentalist Award. We have also been on geo thermal heating at our business for 10 years as well. We recognize that we can be good coporate citizens by also being good environmental stewards.

“While we have worked together to accomplish many positive steps forward to protect our environment, there is work we must all continue to do. As we observe Earth, we must remain committed to looking forward for new and innovative ways in which we can all do our part to ensure long-term positive results for our environment. We must continue to work together, as individuals, as communities, as businesses and as governments to ensure the natural splendor of our Commonwealth remains for future generations.”

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