DOE SECRETARY PROPOSES OIL TAX INCENTIVES

  Energy Secretary John Herrington
  said he will propose tax incentives to increase domestic oil
  and natural gas exploration and production to the Reagan
  Administration for consideration.
      "These options boost production, while avoiding the huge
  costs associated with proposals like an oil import fee,"
  Herrington told a House Energy subcommittee hearing. "It is my
  intention to submit these proposals to the domestic policy
  council and the cabinet for consideration and review."
      "The goal of the Administration policies is to increase
  domestic production. I would like to shoot for one mln barrels
  a day," he said.
      The proposals were based on a DOE study released yesterday
  warning the United States was threatened by a growing
  dependence on oil imports.
      "We project free world dependence on Persian Gulf oil at 65
  pct by 1995," Herrington said.
  

