Fact Sheet: Promoting Energy Independence and Security

Today's Presidential Action

Today, President Bush Delivered Remarks On Energy Policy At The Small Business Administration's National Small Business Week Conference In Washington, D.C. The President stressed the need to promote greater energy independence by harnessing the power of technology to create new sources of energy and make more efficient use of existing resources. The President outlined his broad vision for moving America toward greater energy independence and announced five new energy policy initiatives:

• The Department of Energy (DOE) will work to reduce uncertainty in the licensing process for new nuclear power plants and to provide Federal risk insurance to mitigate the additional cost of unforeseen delays.

• The Environmental Protection Agency (EPA) will simplify regulations to encourage the expansion of refining capacity, and Federal agencies will work with States and local communities to encourage the construction of new refineries on closed military sites.

• The President will call on Congress to make clear federal authority over siting of new Liquefied Natural Gas (LNG) terminals to increase supply and reduce prices.

• The President will support the extension of his proposed tax credits for energy-efficient hybrid and fuel-cell vehicles to include clean-diesel vehicles.

• The President will encourage the deployment of new and clean energy technologies in the developing world at the G-8 Summit in July.

Background: Our Growing Economy Requires Affordable, Reliable, And Secure Supplies Of Energy

Use Technology To Boost Domestic Energy Production. Over the past decade, America's energy consumption has increased by more than 12 percent, yet domestic production has increased by less than 0.5 percent.

• Nuclear Power Can Provide For Tomorrow's Needs. Technology has made nuclear power safer, cleaner, and more efficient, but America has not ordered a new nuclear power plant since the 1970s.

• The President will encourage construction of new nuclear power plants. DOE will work on ways to reduce the risk of unforeseen delays in the nuclear plant licensing process by modifying existing law, and will also work to offer Federal risk insurance to partially cover the cost of unforeseen delays.
• The President has launched the Nuclear Power 2010 Initiative, a seven-year effort by government and industry to design and license the first new nuclear plants.
• The Bush Administration is also working with 11 other nations on the Generation IV Initiative to develop a safer, more cost-effective, and more proliferation-resistant source of nuclear electricity and hydrogen.

• Expanding Refining Capacity. Demand for gasoline is growing 3½ times faster than the rate of refinery production, and there have been no new oil refineries built in the United States since 1976. The President will direct the EPA to simplify the regulations governing expansion of refining capacity at existing sites, in compliance with environmental laws. The President will also encourage the construction of new refineries on closed military sites, which will create jobs in these communities while producing cleaner fuels with advanced technologies.

• Domestic Production Of Oil From ANWR. Technology now makes it possible to reach energy resources in places such as the Arctic National Wildlife Refuge (ANWR) by drilling on just a 2,000-acre section of 19-million acres of land – less than one percent of ANWR's total area. Production in this one small section of ANWR could eventually yield up to one million barrels of oil a day.

• Natural Gas Offers New Opportunities. Technology makes it possible to cool natural gas into a liquid form so it can be transported on tankers and stored more easily. President Bush will call upon Congress to make clear Federal authority over siting of new Liquefied Natural Gas (LNG) terminals to increase our supply of natural gas and reduce prices for farmers and manufacturers, helping them to create jobs and keep the economy growing.

• Make Clean Use Of Our Coal Supply. America has enough coal for 250 years, and the President's Coal Research Initiative will develop and deploy new technologies that can remove virtually all pollutants from coal-fired power plants. Also, the President's Clear Skies initiative will result in more than 52 billion dollars in investment in clean coal technologies.

Employ Technology To Create New Sources Of Energy. President Bush supports diversifying the nation's energy supply to promote energy independence, including renewable resources such as wind, solar, and geothermal energy.

• Hydrogen And Fuel Cells. Two years ago, the President launched his Hydrogen Fuel Initiative to develop hydrogen-powered fuel cells that can power a car, emitting pure water instead of exhaust fumes. With investment now, it will be possible for today's children to take their driver's tests in completely pollution-free cars in the future. The President's Nuclear Hydrogen Initiative is developing advanced technologies that will work with Generation IV reactors to produce the hydrogen fuel these cars of the future will need.

• Renewable Ethanol And Biodiesel. President Bush has consistently supported a flexible national Renewable Fuel Standard that will expand the use of ethanol and biodiesel, creating new markets for farm products and greater energy security. Advanced technologies under development will make it possible to produce renewable ethanol from agricultural and industrial waste at a cost competitive with today's gas prices.

• Renewable Electricity Sources. President Bush has proposed $1.9 billion over 10 years for renewable-energy tax incentives, including incentives for renewable electricity from wind, biomass, and residential solar energy systems.

Use Technology To Improve Conservation And Efficiency. Technological advances provide products that offer consumers better performance at lower costs while using less energy.

• Promote Residential Efficiency. The average American family used half as much energy to heat a home in 2001 as it did in 1978, and technology offers the possibility of a "zero-energy" home. President Bush will remain committed to research promoting advances in energy efficiency.

• Extend Tax Incentives For Energy-Efficient Vehicles. President Bush has already proposed $2.5 billion over 10 years in incentives for energy-efficient hybrid and fuel-cell vehicles. Building on the success of his Administration's efforts to reduce emissions from diesel engines and fuels, the President will support a new generation of modern, clean-diesel cars by making these vehicles eligible for his proposed tax credits.

Use Technology To Reduce Stress On Energy Markets. The market for energy is a global one, and America is not the only consumer. Today's energy price increases directly result from the fact that both U.S. and foreign demand is growing at a faster rate than the global supply of energy.

• Help Foreign Partners Become More Energy Self-Sufficient. The President will discuss how to encourage the use of new energy technologies in the developing world at the G-8 Summit in July. By forming partnerships with other countries to develop new sources of energy, and by encouraging wider use of technologies like clean coal and nuclear power, the United States can assist other countries in becoming more energy self-sufficient, resulting in lower prices and larger energy supplies for everyone.