U.S. Senator Susan Collins tonight released this statement following her vote in favor of a motion to consider a bill to close tax loopholes for big oil companies.
"Soaring oil and gas prices are placing a heavy burden on Maine families, truck drivers, farmers, fishermen, schools, small businesses, mills, and factories. In just the last six months, the price of regular gasoline in Maine has increased by about $1 to a statewide average of around $4 per gallon. The average price of home heating oil is $3.60 per gallon.
"I have long supported eliminating certain tax subsidies for major oil companies. I previously sponsored legislation to repeal such tax breaks for large oil companies, and along with Senator Carl Levin, I offered a related bipartisan amendment to the Fiscal Year 2009 Budget Resolution. Our proposal would have reallocated funds from these subsidies to provide tax credits for consumers to invest in renewable energy and energy efficiency, as well as to support the research and development of alternative fuels.
"Reducing or eliminating unnecessary subsidies and outdated tax breaks is a commonsense step toward deficit reduction. That is why I have also long called for the elimination of wasteful and expensive subsidies for ethanol producers. I have cosponsored legislation that would repeal the 45-cent per gallon subsidy for corn ethanol, saving taxpayers approximately $6 billion a year.
"It is important to note, however, that the Democrats' proposal, considered tonight, would not reduce gas prices. By contrast, I have joined with Senators Ron Wyden and Maria Cantwell in an effort to curb excessive speculation in the energy futures market that would have an impact on oil prices."
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