Big oil. It's a big issue for Democrats on Capitol Hill and one of their announced targets for reform. Today-they're taking up the issue in the House. They're "after" oil they say because of record company profits and high gas pump prices.
What are they proposing to do? They want to raise $12.7 billion for research in alternative energy sources. To do that, they want to eliminate some $6.6 billion in oil company tax breaks and get another $6.1 billion from increasing oil production royalties. This is what they say is a correction to the 1998-1999 oil deal worked out during the Clinton administration. (some $2 billion dollars in royalties have been lost to the U.S. from the deal.)
After they get the money approved through legislation, the Democrats say they will target areas of research for alternative energy. Needless to say, the oil industry isn't on board. Mark Kibbe of the American Petroleum Industry says such a move will certainly cut oil production.