Bill to promote alternative fuels would be offset by ending some tax breaks for oil and gas industry From CQ Politics: The measure includes tax incentives for carbon sequestration, plug-in hybrid vehicles, conservation, wind energy, solar energy, nuclear energy and biofuels. It would extend expiring provisions and create some new breaks as well, with the costs offset largely by higher taxes on the oil and gas industry. [Senate Finance Committee Chair Max] Baucus and [Senate Finance Committee ranking member Chuck] Grassley want to inject their proposal into an upcoming Senate debate on energy policy, and it could get added to a bill that would expand offshore drilling. [...] Like the new Baucus-Grassley approach, previous versions have relied on revenue increases affecting the oil and gas industry. Grassley, who usually opposes offsets being used to extend existing tax policy, said this issue is different. "What we have done is used production incentives in one area of energy and move them to another area of energy," said Grassley. Baucus has attempted to pass similar energy tax measures in the Senate, but Big Oil supporters mounted (just barely) successful filibusters, blocking reductions of tax cuts for oil and gas companies. The new twist here is that with Grassley onboard, 60 votes may be in the offing. For those with subscriptions, CongressDaily ($) has a more detailed write up. Image by Flicker user anh quan used under a Creative Commons license