The Bush administration and Democratic lawmakers said oil and gas companies should not receive lucrative incentives for drilling on federal lands when energy prices are at record highs.

Under a "royalty relief" program, the Interior Department plans to give away $7 billion in royalties from now until 2011. Officials say there is nothing they can do about the situation, citing existing regulations.

Democrats are writing legislation to change the regulations to get rid of the incentives. President Bush also opposes incentives due to high energy prices, a spokesperson said.

Get the Story:
Lawmakers Plan an Effort to Reverse Royalty Relief (The New York Times 2/15)
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