President Obama promised more money for conservation and renewable energy in his budget outline Wednesday. Moreover the President’s 2010 budget proposal takes direct aim at drugmakers and health insurers to help fund an overhaul of the U.S. healthcare system.

In addition to sending Congress his $3.55 trillion budget plan for 2010, Obama proposed more immediate changes that would push spending to $3.94 trillion in the current year. That would result in a record deficit Obama projects will hit $1.75 trillion, reflecting the massive spending being undertaken to battle a severe recession and the worst financial crisis in seven decades.

His plan, outlined Thursday, calls for lowering Medicare payments to private insurers, allowing consumers to buy cheaper medicines from overseas and preventing drug companies from making deals that block generic competition. Shares of U.S. health insurers suffered and shares of drugmakers also fell.

As far as the energy matter is concerned, the proposed budget released Thursday by the White House would rely on $15 billion a year, beginning in 2012, from auctioning off carbon pollution permits to help develop clean-energy technologies, such as solar and wind power. The document also asks Congress to approve an additional $19 million for the Environmental Protection Agency to measure how much climate-related pollution industries are releasing.

"By investing in groundbreaking research, making homes and businesses more energy efficient and deploying solar, wind, biomass and other clean energy, this budget will help ensure that America once against leads the world in confronting our global economic, energy and climate challenge," said Energy Secretary Steven Chu.

Obama, a Democrat, has committed to expanding health care coverage to all Americans and providing better care while reducing wasteful spending for medical errors, fraud and unnecessary treatments.