Obama gives DOE $406 mln hike, cuts oil tax breaks

WASHINGTON, May 7 (Reuters) – The U.S. Energy Department would see its funding increase $406 million, or 1.6 percent, for the 2010 spending year, under the Obama administration’s proposed government budget released on Thursday.

The administration also proposed ending “unjustified tax loopholes” for oil and gas companies that would raise $26 billion over the next 10 years.

The department’s 2010 budget, which would total nearly $26.4 billion, reflects the White House’s priorities for modernizing the U.S. electric grid and promoting clean energy.

The budget provides government loan guarantees for renewable energy and electric transmission projects and initiatives to reduce air pollutants and greenhouse gas emissions.

Reuters