AEA: USPS TROUBLES TIED TO FAILED ENERGY POLICIES

WASHINGTON, D.C. — American Energy Alliance President Thomas Pyle released a statement today in advance of a default by the United States Postal Service, which is expected to skip more than $11 billion in mandatory contributions for employee retirement benefits between now and Sept. 30 to remain solvent. There are competing measures in the U.S. House and Senate to address the postal service’s long term fiscal crisis. A May 2011 GAO report revealed that USPS compliance with congressionally authorized energy policies substantially increase postal operating costs. Congress has mandated that 75 percent of new light duty vehicle acquisitions run on alternative fuels like biodiesel and ethanol. Moreover, replacement costs for these expensive alternative fuel vehicles complicate USPS’s long term sustainability.

“If Congress wishes to address long term problems at USPS, it will require long term solutions. The alternative fuel mandates on USPS are another example of bad energy policy crippling efficient government services and opening the door to more taxpayer bailouts,” Pyle said.

“Immediately granting USPS the freedom to continue its constitutionally-authorized responsibility to deliver the mail with an affordable fleet of vehicles that use affordable fuels is a no brainer. A five day delivery — which USPS has considered but Congress resists — is another viable cost-cutting measure that would reduce fuel demand. On the other hand, proposals to meet USPS fleet fuel demands with offshore wind farms like Sen. Carper (D-Del.) recently suggested on the Senate floor are laughable, and green roof reforms at the postal service do nothing to affect the bottom line. USPS knows that it cannot deliver the mail if it is forced to plug into wind mills or burn algae and other biofuels in its fleet. To save USPS, Congress should reverse course and replace failed energy policies with commonsense solutions based on free market principles.”

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