His speech was a prelude to the release today of a wide-ranging [image-nocss] energy plan by a new coalition of industry and environmental players called the U.S. Climate Action Partnership. Mulva did not provide details of the group's proposal. But he outlined a plan that calls for concessions by oil companies and green activists alikea compromise designed to prod Washington to act.
"The train is leaving the station," he said. "We think it's very important as a provider of energy that we participate in this process."
According to the report, Mulva said he has concluded that voluntary efforts by companies, cities and utilities are not enough. The new plan, he said, will call for "a mandatory national framework to slow, stop and then reverse the growth of greenhouse gas emissions."
Though he did not explicitly say so, he hinted that the group will propose some kind of cap-and-trade system that would set limits on greenhouse gas emissions and let industries buy and sell emissions permits. Congressional Democrats and the incoming Obama administration also support a cap-and-trade approach, said the report, but others prefer a tax on carbon dioxide emissions rather than caps as a way to force emissions down.
Mulva said the Climate Action Partnership's plans "are neither a one-sided, pro-industry approach nor a solely pro-environmental approach. They are balanced."
Mulva conceded that the proposal will raise the cost of energy, reported the Chronicle. But he said it is necessary for the long-term future of the U.S. economy and the global environment.
ConocoPhillips is the only domestic petroleum giant involved in the diverse coalition, which also includes General Electric, NRG Energy, Dow Chemical Co., the Environmental Defense Fund and others. Europe-based BP and Royal Dutch Shell are partners in the group, but Exxon Mobil Corp. and other U.S. producers have remained on the sidelines. Indeed, Exxon Mobil CEO Rex Tillerson last week endorsed a carbon tax instead of the cap-and-trade mechanism, the newspaper said.
Mulva called for aggressive development of alternative energy sources and immediate conservation measures. At the same time, said the report, he pushed for increased exploration in the Gulf of Mexico and new exploration off the East and West U.S. coasts, which have been off-limits until recently, as well as development of shale and oil sands.
"Our economy requires readily available energy todaynot just the promise of it 10 or 20 years from now," Mulva said.
He cautioned against re-imposing a ban on new offshore drilling, which he said would be "a mistake of historic proportions."
Mulva conceded that energy and climate change, which topped vital issues just six months ago, have "taken a back seat" in Washington policy deliberations because of declining oil prices and the nation's economic woes.
He said it is unlikely that Congress will get around to adopting a comprehensive energy plan this year. "It may not be 2009," he told reporters after his speech. "It may be 2010."
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