U.S. Energy Industry's Lobbying Pays Off With $11.6 Bln in Aid

Oil and utility companies such as Exxon Mobil Corp. and Southern Co. spent $367 million over the last two years pushing the U.S. Congress to pass energy legislation. For many, the money was a good investment: lawmakers are poised to pass a measure providing about $11.6 billion in taxpayer subsidies.
House and Senate negotiators approved compromise legislation yesterday and President George W. Bush, who has been seeking an energy bill since the start of his first term, will have it on his desk by July 29, Senator Charles Grassley said. Supporters said the measure, the Energy Policy Act, would help secure energy supplies and ultimately lead to lower fuel prices.
The legislation includes subsidies for oil and gas exploration that benefit companies such as Irving, Texas-based Exxon Mobil, which contributed $935,266 to federal candidates for the 2004 elections, more than any other oil company. Southern, which contributed $1.1 million to candidates in 2004, more than any other utility, won repeal of a 1935 law prohibiting utility holding companies from using revenue from customers to subsidize non-regulated businesses.