House Passes Energy Tax Legislation

On December 6, 2007, by a vote of 235 to 181, the House passed the Clean Renewable Energy and Conservation Tax Bill of 2007 (HR 6). The legislation includes a package of clean renewable energy production incentives, a package of transportation and domestic fuel security provisions focused on alternatives to oil, and a set of energy conservation and efficiency measures, with some focused on homes and appliances. A set of revenue raisers is included to pay for the tax breaks, several of which take tax breaks away from the oil and gas industry. The Senate is expected to take up the legislation shortly, but passage there is far from certain. The Administration has issued a veto threat with respect to the bill, primarily due to the revenue raisers included.