FES BRIEFING| WASHINGTON Disaster in the Gulf – Inaction in Congress Who to Trust? EMILY PECKENHAM JULY 2010 Television reports and the newspapers have been plastered with images of stinking, brown waves of crude oil lapping at the pristine white sands of the barrier islands in the Gulf of Mexico near Louisiana and Alabama. In the same papers, one can read stories about the continued partisan infighting over a proposed Senate climate and energy bill. US energy and climate policy seems to be stuck in a stalemate, which hardly seems possible after 2009, a year when hopes were high for the Waxman-Markey House Climate Bill, the Copenhagen negotiations, and the promise of“green jobs”. Only one year later, in addition to a sense of failure surrounding energy legislation, the US is facing the worst environmental disaster in history as a result of an accident on a deep-sea oilrig in the Gulf of Mexico. The Deepwater Horizon accident affects an area of the US with miles of sensitive wetlands and estuaries. The oil release has also triggered a human and economic disaster – not only the employees and families of those killed on the Deepwater Horizon, but of thousands of people who made their livings in the waters and swamps of the Gulf Coast. Due to repeated failures to pass a comprehensive energy bill and the additional pressure of the ongoing oil disaster, public trust in government, industry and the Obama administration seems to be faltering. Status of US Legislation Voters, renewable energy industries, and environmental groups alike are growing weary of the foot-dragging and bipartisanship that has thus far prevented the US Congress from passing comprehensive energy and climate legislation. In June 2009, the US House of Representatives released the“American Clean Energy and Security Act”(H.R. 2454), which proposed renewable portfolio standards as well as a cap-and-trade system to achieve a goal of increasing energy efficiency and reducing certain greenhouse gas emissions sources by 83% of 2005 levels by 2050. Almost a year later, the Senate finally released its own bill,“The American Power Act”, on May 13, 2010. There had been false starts along the way, as Senator John Kerry(D-MA) struggled to create a tri-partisan group to support the new bill. One partner in the effort Joe Lieberman(I-CT) stuck with the“American Power Act”, but sole Republican supporter Lindsay Graham(R-SC) pulled out of the negotiations shortly before the bill was released, citing a difficult political climate and increased pressure to deal with immigration. The Senate bill is a lens through which to view many of the larger issues in the environmental and energy policy realm that have plagued the legislative process. The bill aims to reduce carbon dioxide by creating a system of credits and permits, as well as targeting research and development in clean energy technology. However, there are no current Republican supporters for any bill that would put a price on carbon. For many environmentalists, the bill appears to be too easy on business and fossil fuel industries and has been criticized as being a compromise bill that seeks industry support by including major provisions for coal, nuclear, and offshore drilling. Confusingly, the bill promotes clean energy sources, yet also safeguards domestic oil and gas production – for energy security reasons. President Obama has publicly stated that he supports the American Power Act, and has also made the link to the oil disaster. As the President said in May 2010:“Americans know what’s at stake by continuing our dependence on fossil fuels. But the challenges we face – underscored by the immense tragedy in the Gulf of Mexico – are reason to redouble our efforts to reform our nation’s energy policies.” Despite the President’s support, observers