Washingon, DC--After voting for legislation that would effectively respond to the catastrophic BP oil spill in the Gulf of Mexico, Congressman Eliot Engel (D-NY-17) introduced his own legislation which would prohibit oil polluters from receiving tax benefits for costs associated with cleaning up an oil spill.  Recently, BP claimed a $9.9 billion tax credit for costs of cleaning their catastrophic oil spill now spreading throughout the Gulf of Mexico, and onto the Gulf Coast shore. 

Rep. Engel voted for the Consolidated Land, Energy, and Aquatic Resources (CLEAR) Act of 2010, (HR 3534) which passed the House by a vote of 209 to 193.  He then introduced his own bill, the Denial of Certain Tax Benefits to Offending Oil Polluters Act of 2010, saying, “BP has not been truthful about what has been happening in the Gulf from the very beginning when the well exploded, killing 11 and sending millions of gallons of oil into the Gulf.  After being responsible for the worst environmental catastrophe in American history, they have used and abused the system, which has for too long permitted oil companies to degrade the environment.  Now they are looking to cut their losses at the expense of the American people.  This is simply shameful.

“Claiming billions of dollars in losses from this spill is an affront to the hard-working people of the Gulf Coast who have lost their livelihood.  I call on BP to show, for once, a glimmer of humanity in this situation and halt its claim for these tax benefits immediately,” said Rep. Engel, a senior member of the House Energy and Commerce Committee. “If they fail to, then my legislation will force them.”

The CLEAR Act includes better offshore and onshore oil and gas leasing practices, measures to hold oil companies fully accountable for spills and badly needed investments in habitat and land conservation. “The oil spill catastrophe in the Gulf of Mexico illustrates the simple fact that drilling for oil and gas is inherently risky, and poses a threat to people, our economy and the environment. This legislation is urgently needed to ensure that we minimize the risk of future oil catastrophes,” added Rep. Engel.

The legislation also includes critically needed funding for the Land and Water Conservation Fund (LWCF) which authorizes a portion of receipts from offshore oil and gas leases to be placed in a fund for conservation that ranges from local parks to national wildlife refuges, parks, forests, monuments and other public lands.   To view Rep. Engel’s comments – http://www.youtube.com/watch?v=wEY2taWFqA4

Rep. Engel said, “This is not a substitute for comprehensive clean energy and climate legislation that will move America away from dirty fossil fuels and to a clean energy economy.  The CLEAR Act is part of the solution, but it is not the end.  It will help prevent future catastrophes, protect our nation’s natural heritage, and curb the free reign the oil and gas industries have enjoyed for far too long.”

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