U.S. President to end tax preferences for oil

Almaty. January 27. Kazakhstan Today - The U.S. President, Barack Obama, has called to end tax preferences for oil, gas, and coal producers and to boost renewable-energy investments, the agency reports.

In his pledges in the State of the Union address Obama said he seeks to increase U.S. electricity from "clean" power sources to 80 percent by 2035, part of a plan to cut reliance on fuels such as oil while expanding the use of nuclear energy and natural gas, Bloomberg informs.

Obama said he will seek to boost renewable-energy investment by more than 85 percent, funded partly by ending about $4 billion a year in tax subsidies to fossil-fuel producers led by oil and gas.

Obama, unlike last year, didn't mention expanding offshore oil and gas development. The American Petroleum Institute, a Washington-based trade group for oil and gas companies, called the omission a "missed opportunity.'

''Natural gas and renewables are important components of our energy mix, but we will need our nation's vast oil resources for decades to come."

The U.S. president's call to end tax preferences for oil, gas and coal producers renews an appeal that failed a year ago.

Obama also will set a goal of putting 1 million advanced- technology vehicles on U.S. roads by 2015, setting the U.S. on a path to cutting oil consumption by 785 million barrels by 2030.

This information may not be reproduced without reference to Kazakhstan Today. Copyright of materials of News Agency Kazakhstan Today.