Congressman Murphy Defends Oilheat and Propane Consumers

[Cromwell, CT] We are pleased to join Connecticut’s 5^th District Congressman Chris Murphy in his effort to secure relief for heating oil and propane consumers in the Markey-Waxman cap and trade legislation currently pending action in the U.S. House of Representatives.

HR 2454, the American Clean Energy and Security Act of 2009, in part involves federal efforts to cap carbon dioxide emissions from all energy sources, reduce carbon dioxide emissions, and establishes a mercantile-type system to trade credits. Recent actions in Congress have seen some of these credits proposed to be distributed to the electric generating industry, the natural gas industry, manufacturing sectors and the like free of charge. Congressman Murphy’s critical and successful amendment to HR 2454 means that heating oil and propane consumers will also be able to receive relief.

It is widely accepted that as the United States establishes a cap & trade system for the reduction and trading of carbon dioxide that such actions will result in increasing all energy costs from electricity to natural gas to gasoline. Congressman Murphy’s efforts to strengthen the legislation’s energy efficiency provisions ensures that some credits will go toward softening the economic impact of rising energy costs at the same time the legislation incentivizes significant improvements in how efficiently we all use the energy we consume.

Significant energy efficiency improvements are the key to success.  Connecticut is the only state in the nation to have enacted a Fuel Oil Conservation fund [http://ctfocb.com] that has, in just six months, documented a better than 3 to 1 savings for the low income energy consumers served. For every $1 of investment, $3 of future energy costs is eliminated. At the same time, we have cut consumption by more than 40%.  While our state’s budget woes have ended state funding for this important program, now we hope for our state to use a portion of the $65 million we received in stimulus funding to continue the record of success the FOCB has begun.

Over the last thirty years the Oilheat industry has cut per-consumer consumption in our state from 1,100 gallons down to 700 gallons per year – a decrease of almost 40%. Improvements in technology continue to come to our consumers – as well as new biofuel made of domestically produced, renewable fuels that will further cut emissions another 25% in the next few years.  With the continued support of Congress to incentivize strong energy efficiency efforts for all fuels, and in supporting the renewable fuels mandates that see real benefits for consumers through the use of biofuels, actions such as those being led by Congressman Murphy will help consumers, the environment, and the 13,000 Connecticut citizens who work in our industry here in Connecticut serving more than 680,000 consumers.

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ICPA represents more than 550 Connecticut based independent businesses. These businesses employ 13,000 Connecticut citizens and supply the majority of our state's 1,600 motor fuels outlets and 350 heating fuels dealers. ICPA's offices are at 10 Alcap Ridge, Cromwell, CT  06416.  For more information about today's Press Release, contact Gene Guilford or Chris Herb.