ABSTRACT
This chapter demonstrates that the promotion of energy security provides for innovations and future production of both fossil fuel resources and renewable energy resources that subsequently would lead to strong supplies from multiple sources, eventually leading to price competition and higher levels of consumption of all forms of energy, including fossil fuels. The United States Navy and the United States Marine Corps have announced their goals to “lead the Nation in sustainable energy". The oil and gas sector has long received certain tax treatments from the United States tax code that are either obvious incentives for additional volumes of production, obvious incentives for technological enhancements that maintain the competitive cost structure of oil and gas investments, or are suspected incentives for increased levels of production, such as the depletion allowance. The Internal Revenue Code provides a range of tax credits uniquely applicable to oil and gas producers.
