Policy Priorities

2009 AGA advocacy priorities

Seek to reduce higher natural gas prices by increasing natural gas production and LNG imports

• Support increased access to the OCS and federal lands
• Advocate development of pipelines and other infrastructure needed to deliver diverse natural gas supply sources to American consumers

Make Permanent the Current Low Dividend and Capital Gains Tax Levels,

• The current federal divided tax rate is scheduled to expire at the end of 2010

Support climate change legislation that encourages the efficient and direct use of natural gas

• A strong natural gas supply and infrastructure portfolio, along with support for technology to further enhance the efficiency of natural gas uses, will be important in achieving greenhouse reduction goals as set out by President Obama.
• Advocate for federal, state and regional climate change policies consistent with natural gas utility interests
• Ensure government policies recognize that natural gas should be a cornerstone in any viable greenhouse gas reduction program

Ensure that the Low Income Home Energy Assistance Program (LIHEAP), in combination with weatherization programs, is fully funded at authorized levels and expanded to include additional funds to meet ever growing needs.

• Congress should make the historic $5.1 billion in 2008 funding for the LIHEAP permanent -- the typical beneficiary is working, retired or disabled with below-poverty income and receives $200 per year, on average, to pay toward natural gas, fuel oil or electricity bills. 
• Well-funded home weatherization programs help ensure that LIHEAP does not encourage inefficiency. 

Advocate appropriate demand-side measures

• Advocate the direct use of natural gas focusing on efficiency and air quality advantages
• Support policies and incentives that promote a more diverse mix of energy sources for electric power generation
• Seek federal and state policies that align utility financial incentives with helping customers use energy more efficiently.  Such policies should sustain or enhance utility customers’ incentives to use energy more efficiently while ensuring to utilities timely and predictable cost recovery or earnings for efforts associated with cost-effective energy efficiency savings

Promote energy efficient and safe use of natural gas

• Advocate for codes and standards that help consumers use energy more efficiently and promote growth of the customer base
• Seek addition of carbon footprint information to existing federal appliance labeling standard
• Promote safety and energy efficiency through federal, regional and national standards that maintain the cost of competitiveness of natural gas technologies in end use markets while increasing overall efficiency
• Secure funding for the further development and commercialization of low-carbon, high-efficiency natural gas end use technologies
• Support the development of performance-based “green” building and equipment standards that integrate total energy efficiency and lifecycle greenhouse gas emissions measurements

Ensure a safe, reliable and secure national gas delivery system

• Seek state and federal support for risk-based approaches to safety regulation
• Support simple, flexible and workable distribution integrity management standards and regulations and promote strengthened pipeline safety act provisions to reduce excavation damage incidents
• Participate in other Department of Transportation Office of Pipeline Safety proceedings to help develop safe, reliable and cost-effective regulations

Work with the National Association of Regulatory Utility Commissioners (NARUC) to support state regulatory actions and policies that improve the ability of natural gas utilities to serve their customers

• Provide NARUC with timely information on demand and supply conditions and natural gas operations
• Provide information on LDC efforts to promote energy efficiency, the potential for direct use of natural gas in addressing climate goals, and the need to ensure cost recovery for infrastructure replacement

Support actions by the Federal Energy Regulatory Commission (FERC) that ensure the continued reliability and high quality of pipeline service to bring natural gas supplies to natural gas utility customers

• Promote natural gas deliverability, operational reliability and flexibility, and tariffs and procedures adequate to serve all loads
• Support market transparency measures that ensure well-functioning natural gas markets and bolster public confidence in those markets, while avoiding unduly burdensome administrative or legislative actions

 Letters in Support of AGA Advocacy Priorities

• AGA Request for Obama Administration's Support for Source Energy Analysis in Federal Efficiency Standards (June 2009) Following a successful meeting with Carol Browner, the President's Assistant on Energy and Climate Change, Dave Parker outlined the importance of implementing the source energy analysis recommendations of the recent National Academy of Sciences study.
• Letter to FERC Chairman Wellinghoff on Smart Grid On June 9, Dave Parker submitted a letter to FERC Chairman Jon Wellinghoff regarding FERC’s Smart Grid Policy and encouraging FERC to consider the benefits that natural gas-fired distributed generation can provide to the reliability and efficiency of the nation’s energy grid.
• Letter to Senate Finance and House Ways and Means on Biogas In January 2009, AGA signed on to a letter supporting the extension of a tax credit for the production of renewable natural gas that is used in direct applications.
• Alliance to Save Energy Letters on Energy Efficiency and Decoupling/ Economic Stimulus On January 21, 2009, AGA signed on to a letter supporting Section 6001 (“Additional State Energy Grants”) in the committee print for the economic recovery bill markup by the House Energy and Commerce Committee.
• Tag Letter to Senate Committee on Appropriations On January 23, 2009, AGA signed on to a letter supporting clean energy investments as part of the Economic Recovery and Reinvestment Act of 2009.