By Ayesha Rascoe

WASHINGTON (Reuters) - The House of Representatives could vote next week on energy legislation that would open nearly all of the U.S. coastline to offshore drilling while repealing some tax breaks for oil companies, Democratic leaders said on Thursday.

Democrats had said they hoped to hold a vote on the energy package this week, but the House will be closed on Friday so Texas lawmakers can return to their districts to prepare as Hurricane Ike approaches.

The package proposed by Democrats would give states the option to allow drilling between 50 and 100 miles off their shores. Areas further than 100 miles from the coast would be completely open to oil exploration.

Democrats previously had opposed drilling on the outer continental shelf.

The bill also would repeal some tax breaks for oil companies to help fund investments in alternative energy.

"So we're saying: OK, you want to drill, this is how it will be. No more subsidies," House Speaker Nancy Pelosi told reporters Thursday.

Republicans, who have been pushing to lift the moratorium on drilling, criticized the proposal because it does not provide a revenue-sharing plan to coastal states as an incentive to allow drilling.

Separately, Senators Max Baucus and Chuck Grassley on Thursday unveiled energy tax legislation that would extend solar and wind energy tax credits and provide $2.5 billion in credits to clean coal facilities.