Gerald Ford on Energy & Oil President of the U.S., 1974-1977; Republican Rep. (MI)

Strip mining & high emissions OK if labor & management agree

FORD: I vetoed the strip mining bill because it was the overwhelming consensus of knowledgeable people that that strip mining bill would have meant the loss of literally thousands of jobs, something around 140,000 jobs. Number two, that strip mining bill would have severely set back our need for more coal. The auto emissions--it was agreed by the head of the UAW, and by the heads of all of the automobile industry--we had labor and management together saying that those auto emission standards had to be modified.

CARTER: The strip mining law would have been good for the country. The claim that it would have put 140,000 miners out of work is hard to believe when at the time Mr. Ford vetoed it, the United Mine Workers was supporting the bill. And I don't think they would have supported the bill had they known that they would lose 140,000 jobs.

Need more oil and gas production in comprehensive program

CARTER: We're gonna run out of oil. We now import about 44% of our oil. We need to shift from oil to coal. We need to concentrate our on coal burning and extraction, with safer mines, but also clean burning. We need to shift very strongly toward solar energy and have strict conservation measures. And then as a last resort only, use atomic power.

FORD: In 1975 I submitted to Congress the first comprehensive energy program recommended by any president. It called for an increase in the production of energy in the United States. If you're going to increase domestic oil and gas production--and we have to--you have to give those producers an opportunity to develop their land or their wells. I think you have to have greater oil and gas production, more coal production, more nuclear production, and in addition you have to have energy conservation.

No gas tax increase to solve energy crisis

1. Increase our domestic supply of energy
2. Conserve and manage energy demand
3. Establish standby emergency programs similar to the gas rationing.

12% investment tax credit for nuclear power plants

In recent months, utilities have cancelled or postponed over 60% of planned nuclear expansion and 30% of planned additions to non-nuclear capacity. Financing problems for that industry are worsening. I am therefore recommending that the 1-year investment tax credit of 12% be extended an additional 2 years to specifically speed the construction of powerplants that do not use natural gas or oil. I am also submitting proposals for selective reform of State utility commission regulations.

To provide the critical stability for our domestic energy production in the face of world price uncertainty, I will request legislation to authorize and require tariffs, import quotas, or price floors to protect our energy prices at levels which will achieve energy independence.

Higher taxes on oil to reduce imports

I was well aware that this plan contained risks. The increased taxes on energy could boost inflation by hiking the cost of oil and could deflate the economy by leaving industry with less money to spend in other areas. But I would have to accept these risks.

[In the State of the Union speech], "America needs a new direction," I concluded, "a change of course which will put the unemployed back to work, increase real income and production, and achieve energy independence."

Require oil marketing to independent contractors

• Provides that no refiner who was in the business of furnishing any petroleum product to controlled marketers for resale or sale to the public shall fail to offer to supply that product to independent marketers at reasonable prices in reasonable quantities, as long as he continues to furnish that product to controlled marketers.
• Violations of this Act shall be deemed to be an unfair act or practice in commerce.

Let Big Three automakers collaborate on reducing emissions

• Permits a limited exemption to the antitrust laws which would allow motor vehicle manufacturers to enter into any contract or other arrangement for the purpose of developing motor vehicle engines and devices which will meet or exceed standards which relate to the control of motor vehicle emissions.
• Authorizes procedures to be followed by manufacturers in entering into such contracts through Dec. 31, 1975.