As many as 50 million people in eight U.S. states and Ontario lost electrical service on Aug. 14-15, the largest outage in North America. That incident focused new attention on the often-derailed energy legislation, which has broad support among both parties for mandatory electric reliability standards and incentives to build new transmission lines.But the separate energy bills passed earlier this year by the Senate and House differ sharply on many non-electricity issues.
At the first meeting of House and Senate energy bill negotiators last week, Democratic Rep. John Dingell said their top priority should be "swift enactment" of new reliability standards. The Michigan lawmaker is sponsor of a stand-alone bill, which would empower an industry group - the North American Electric Reliability Council - to set such standards for utilities and enforce them.
But Senate Energy Committee Chairman Pete Domenici, chosen to oversee all 58 negotiators from both chambers, said he wanted a comprehensive bill.
"We are not here to pass out pieces," said the New Mexico Republican. "We are here to pass out a bill."
Domenici and House Energy Committee Chairman Billy Tauzin, Louisiana Republican, said they want to complete work on a final version of an energy bill before the end of the month.
"I think 70 percent of the work is already done," Tauzin told reporters in the Capitol.
He acknowledged that a half-dozen major obstacles remained, including the Bush administration's demand to open the Arctic National Wildlife Refuge, known as ANWR, to oil and gas drilling.
After the hearing, Domenici said it would be "very, very difficult" for Congress to pass an energy bill if the House insists on drilling in ANWR. Some Democratic senators have threatened to talk the bill to death with a filibuster if it includes drilling in the pristine Alaskan wildlife refuge.
Domenici said he did not know if the White House would be willing to drop ANWR drilling if that is what it took to get an energy bill cleared through the Congress.
"We're charged with getting an (energy) bill, not charged with getting a bill with ANWR on it," Domenici said.
A group of five Republican senators said last week they will work to prevent ANWR drilling language from being part of a final energy bill.
The lawmakers - John McCain of Arizona, Peter Fitzgerald of Illinois, Lincoln Chafee of Rhode Island and Maine's Susan Collins and Olympia Snowe - said the refuge was a "pristine wonderland" that must be protected.
Other contentious issues include Democrats' push for stricter automobile fuel standards, a proposed greenhouse gas emission inventory, billions of dollars in federal loan guarantees for nuclear power plants and incentives for wind power and other alternative energy sources.
Republicans insist that agreement on the first major overhaul of U.S. energy policy in a decade is close and accused Democrats of slowing progress.
"This summer, we saw the result of their inaction and obstructionism," said House Majority Leader Tom DeLay, referring to the blackout. "Democrats ignored this issue until it was a crisis and now just want to govern by the headlines."
"Anybody who stands in the way of this one ought to get burned in the next election," Tauzin said.
The Senate-House negotiating panel is comprised of 13 senators and 45 representatives. If the group is able to agree on a final version of an energy bill, each chamber will have to approve the legislation before it can go to the president's desk for his signature.