FOR IMMEDIATE RELEASE MORE
INFORMATION:
Monday,
January 27, 2014 Mike
Berkowitz
248-345-9808
Statement from Sierra Club On Proposed Oil
Industry Sweetheart Bills
Giant Tax Breaks, Eminent Domain Privileges Considered Tuesday By
House Panel
LANSING--Proposals
before a legislative panel Tuesday that would give oil and gas
companies new powers to construct pipelines on private property over the
objections of Michigan landowners--and give new tax breaks to the
industry--were strongly opposed today by the Sierra Club Michigan Chapter,
which issued the following statement from State
Director Anne Woiwode:
On Tuesday the
state House Energy and Technology Committee will hear testimony for the first time on House Bills
4885, 5255 and 5254. House Bill 4885
would reduce state revenues from oil and gas development by dramatically
reducing the so-called severance tax on gas and oil enhanced recovery drilling,
including the controversial fracking process. Under the proposed legislation,
oil and gas companies would get a 40% break on the oil severance tax, from the
current 6.6% to 4% while gas drilling taxes would be reduced by 20%, from 5%
to 4%. This proposed handout to the oil
and gas industry not only gives them an unneeded tax break, but encourages
drilling activities that threaten our Great Lakes system, putting our waters at
risk. We believe fracking is too risky
to continue in Michigan and should be stopped.
Giving tax breaks to the oil industry to encourage more fracking is the
last thing Michigan’s elected officials should be considering. Instead, Michigan lawmakers should take up
legislation introduced last year that would strengthen weak environmental
protections for fracking and invest more money in environmental monitoring of
our water and air and other protections to safeguard human health and our
natural resources.
Moreover, House
Bills 5254 and 5255 pose an alarming new threat for all local Michigan
residents who are facing aggressive oil, gas and related pipeline construction
in their communities. Sierra Club
strongly opposes giving new eminent domain authority to private oil and gas
companies at the expense of the rights of private property owners and the
public. We call on lawmakers to reject
both bills. The proposed legislation would also restrict the amount of
information pipeline companies would have to release to the public. The recent expansion of oil and tar
sands pipelines in Michigan has led to many private landowners witnessing
pipeline construction within a few yards of their homes or businesses. Giving oil and gas companies more ability to
take lands for the transportation of fossil fuels and pipeline development is
the wrong decision for Michigan, for clean water, and for property owners.
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The Sierra Club is the
nation’s largest grassroots environmental organization, with over 150,000
members and supporters in Michigan.
