Honorable Richard G. Newell Administrator U.S. Energy Information Administration 1000 Independence Ave, SW Washington, DC 20585 Dear Dr. Newell: I am writing to request that the Energy Information Administration (EIA) update the report entitled Federal Financial Interventions and Subsidies in Energy Markets 2007 with the latest available data, preferably for fiscal year 2010. The information in this report has been used extensively by legislators and the public, providing a compendium of data on federal financial involvement in electricity markets that has proven invaluable. An update using the same approach as the previous report would be very beneficial to Congress and the energy community. As in the 2007 report, I am requesting that you provide a comparison of the subsidies in the electric power sector for each fuel type (oil, natural gas, coal, nuclear, wind, solar, geothermal, etc.), reporting both the overall annual cost of the subsidy and the annual cost per unit of electricity generated (e.g. cost per megawatt hour). As with the previous report, the scope of the study should be limited to subsidies provided by the federal government that are energy-specific and that provide a financial benefit with an identifiable federal budget impact. The analysis should include the following type of subsidies: tax expenditures, (e.g. deductions, credits, and loan guarantees), direct expenditures (e.g. direct grant programs), federal research and development programs targeting electricity and its fuel inputs, and federal electricity programs (e.g. support for the Bonneville Power Administration). If a significant change to the amount or scope of the subsidy since the 2007 report has occurred, a detailed explanation for the change should be documented in the report. It would be most helpful if the updated report could be made available to the Congress no later than the beginning of 2011. Thank you for your assistance in this matter.Should you have any questions, please contact Mike Jerman in Rep. Jason Chaffetz’ office at [email address] or [telephone number]. Sincerely, [Signed Congressmen Jason Chaffetz, Marsha Blackburn, and Roscoe G. Bartlett] |