After a 4-month delay, Congress this month finalized spending levels for the 2003 fiscal year that ends Sept. 30. The $397 billion measure funds most government agencies, including energy-related programs within the departments of Interior and Energy. President George W. Bush is expected to sign the bill into law.
Within the Department of Energy, oil and gas research is continuing but at generally more modest levels. DOE's fossil energy office is reorganizing, and some existing programs may be influenced by a $500,000 National Academy of Sciences review.
Meanwhile, DOE's oil technology account includes overall spending this fiscal year of $42.3 million, $13.7 million less than the last fiscal year but $6.9 million more than the White House requested.
Agency highlights
Within the oil program, research supporting exploration and production receives $23.4 million, $9 million less than last year but $7 million over the administration's request. For the reservoir life extension program, DOE has $9 million to spend, $3.9 million less than last year, and about $500,000 under what the White House asked for. On the natural gas side, overall program money is $47.3 million, $2 million more than last year and $24.7 million higher than what the White House wanted. Within the gas program, E&P continues to be the primary emphasis, with $23.5 million allocated for that area, $3 million more than last year and $8 million over the administration's request.
In addition, a program that studies infrastructure challenges—for which the White House requested no money—is funded at $9 million; last year, the program was budgeted at $10 million. Congress also is giving the agency's gas hydrates program $9.5 million and a technology application program $2.7 million. Another DOE program that works with industry to use effective environmental practices is getting $9.9 million on the oil side and $2.6 million for gas.
The Bureau of Land Management this year receives $86.8 million to administer oil and gas leases; lawmakers added $1 million for overseeing permits "principally" in the Powder River basin. BLM also has $47.5 million for resource management planning this year, a $14.5 million increase from a year ago. At the Environmental Protection Agency, the leaking underground storage tank fund is receiving $72 million, and $16 million is earmarked for oil spill response.
Other energy items
Also of interest to industry are three energy security measures, authored by Sen. Jeff Bingaman (D-NM). These include a 5-year reauthorization of both the Strategic Petroleum Reserve and Northeast Home Heating Oil Reserve and a 5-year reauthorization of US participation in the International Energy Agency.
"The FY03 appropriations bill is the biggest such bill ever, and it's not easy to tell what's in it," notes Bill Wicker, spokesman for the minority (Democratic) side of the Senate Energy and Natural Resources Committee. "Although the same cannot be said for everything in this spending package, including these energy items was the responsible thing to do," he said.
