Landrieu weighs options after drilling-revenue push stalls

Sen. Mary Landrieu (D-La.) is vowing to pursue other avenues to expand offshore oil-and-gas revenue-sharing with coastal states if the plan can’t be revived in the Energy and Natural Resources Committee.

The battle over the revenue-sharing plan prompted a meltdown in the committee Thursday, where debate on offshore drilling-safety legislation adjourned without a vote on Landrieu’s plan.

Landrieu told reporters later Thursday that she hopes the measure will still move through the panel, but added: “We have many plans. There are many, many, many, many, many, many paths to success in the United States Senate.”

“We hope to go through the committee process. If not, there are many ways to get a bill to the president’s desk,” Landrieu said.

She’s pushing the proposal with Sen. Lisa Murkowski (Alaska), the top Republican on the Energy panel, who wants Alaska to see royalty revenues from planned oil-and-gas projects in federal waters off its shores.

Landrieu’s plan would also provide coastal states a share of revenues from ocean renewable-energy projects — which is now just a fledgling industry — in addition to oil-and-gas royalties.

It’s an effort to win support from lawmakers from coastal states where oil-and-gas drilling isn’t in the offing.

Landrieu told reporters that interest displayed by some coastal Democrats is a sign of progress for her plan.

Sen. Ron Wyden (D-Ore.) backed the concept of revenue sharing during Thursday’s energy committee debate.

“I start with the proposition that Senator Landrieu and Senator Murkowski are correct in saying the states should receive a share of the revenue from resources extraction that affects them,” said Wyden. But he also expressed concern about how the plan could affect the federal Treasury.

Landrieu argues that coastal states deserve compensation for the impact of oil development in federal waters off their shores, and revenue-sharing backers also hope it will provide more states incentive to back drilling.

Louisiana and other Gulf states with offshore drilling already won some revenue-sharing in a 2006 law.

Andrew Restuccia contributed to this story.