Letter to Congressional Leaders Transmitting Studies on Emergency Contingency Plans in Case of Interrupted Petroleum Imports.

SECTION 201 of the Energy Policy and Conservation Act (EPCA), 42 U.S.C. 6261, contemplates development of emergency contingency plans that could be implemented if a major interruption of petroleum imports should occur. Under this section, plans for mandatory conservation measures and gasoline rationing are to be prepared and transmitted to Congress.

Since early last year, extensive studies have been undertaken by the Federal Energy Administration to develop plans that are fair, effective and efficient. As might be expected, each approach raised numerous questions.

On balance, however, I believe the following three approaches to contingency conservation plans, including emergency restrictions on heating, cooling and hot water, emergency commuter parking management and carpooling incentives, emergency boiler combustion efficiency, and the rationing proposal, all of which are enclosed, represent substantial and noteworthy efforts. Accordingly, I wanted the Congress to have the benefit of this important work.

At the same time, I recognize that modified or substantially different proposals may more effectively meet the criteria of fairness, effectiveness and efficiency. For example, reliance on taxes or fees with appropriate adjustments to minimize the impact on low-income individuals could be a worthwhile approach.

Sincerely,

GERALD R. FORD