Republicans Back Bill to Help Oil Sector

by Kelsey Tamborrino (Politico's Morning Energy) REPUBLICANS BACK BILL TO HELP OIL SECTOR: Texas Sen. John Cornyn introduced legislation on Tuesday to help the hard-hit oil sector during the coronavirus pandemic by reducing the royalty rate for payments due from oil, gas, minerals and coal during a national emergency. The bill would also extend the deadline for recalculation of royalty payments under the 2016 Valuation Rule until July 1, 2022.

The bill, dubbed the SAVE Jobs Act, would extend the commence-construction window for the 45Q tax credit by one year and would reduce the required deposit of certain motor fuel excise taxes paid every two weeks by taxpayers from 95 percent to 25 percent. It would also provide temporary relief related to intangible drilling costs. EPW Chair John Barrasso (R-Wyo.) and Energy Chair Lisa Murkowski (R-Alaska) are among the original co-sponsors. READ MORE