Proposal in Michigan seeks to boost oil processing
Written by Associated Press   
Monday, 22 July 2013 06:22

LANSING, Mich. (AP) — A proposal in Lansing would use tax incentives to prompt construction of a new oil processing facility as part of an effort to keep gas prices in check.

The Lansing State Journal and The Detroit News report legislation proposed last week by Republican state Sen. Rick Jones of Grand Ledge aims to attract a new, relatively small refinery to the state. The proposal would use a 10-year property tax and business tax abatement.

Jones says it would be a "leaner, cleaner operation that would make gasoline for the Michigan market."

Some oil industry representatives, however, say there's no need for an additional refinery in Michigan. Industry officials say that the oil refinery business has been contracting and consolidating, not expanding. And there's already a big refinery in Detroit.

Copyright 2013 The Associated Press.


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