H.R.6
Energy Independence and Security Act of 2007 (Engrossed Amendment as Agreed to by House)
, passed by the House 314-100 on Tuesday, December 18, 2007
SEC. 202. RENEWABLE FUEL STANDARD.
(a) Renewable Fuel Program- Paragraph (2) of section 211(o) (42 U.S.C. 7545(o)(2)) of the Clean Air Act is amended as follows:
(1) REGULATIONS- Clause (i) of subparagraph (A) is amended by adding the following at the end thereof: `Not later than 1 year after the date of enactment of this sentence, the Administrator shall revise the regulations under this paragraph to ensure that transportation fuel sold or introduced into commerce in the United States (except in noncontiguous States or territories), on an annual average basis, contains at least the applicable volume of renewable fuel, advanced biofuel, cellulosic biofuel, and biomass-based diesel, determined in accordance with subparagraph (B) and, in the case of any such renewable fuel produced from new facilities that commence construction after the date of enactment of this sentence, achieves at least a 20 percent reduction in lifecycle greenhouse gas emissions compared to baseline lifecycle greenhouse gas emissions.'.
(2) APPLICABLE VOLUMES OF RENEWABLE FUEL- Subparagraph (B) is amended to read as follows:
`(i) CALENDAR YEARS AFTER 2005-
`(I) RENEWABLE FUEL- For the purpose of subparagraph (A), the applicable volume of renewable fuel for the calendar years 2006 through 2022 shall be determined in accordance with the following table:
Applicable volume of renewable fuel
`Calendar year:
(in billions of gallons):
2006
--4.0
2007
--4.7
2008
--9.0
2009
--11.1
2010
--12.95
2011
--13.95
2012
--15.2
2013
--16.55
2014
--18.15
2015
--20.5
2016
--22.25
2017
--24.0
2018
--26.0
2019
--28.0
2020
--30.0
2021
--33.0
2022
--36.0
`(II) ADVANCED BIOFUEL- For the purpose of subparagraph (A), of the volume of renewable fuel required under subclause (I), the applicable volume of advanced biofuel for the calendar years 2009 through 2022 shall be determined in accordance with the following table:
Applicable volume of advanced biofuel
`Calendar year:
(in billions of gallons):
2009
--0.6
2010
--0.95
2011
--1.35
2012
--2.0
2013
--2.75
2014
--3.75
2015
--5.5
2016
--7.25
2017
--9.0
2018
--11.0
2019
--13.0
2020
--15.0
2021
--18.0
2022
--21.0
`(III) CELLULOSIC BIOFUEL- For the purpose of subparagraph (A), of the volume of advanced biofuel required under subclause (II), the applicable volume of cellulosic biofuel for the calendar years 2010 through 2022 shall be determined in accordance with the following table:
Applicable volume of cellulosic biofuel
`Calendar year:
(in billions of gallons):
2010
--0.1
2011
--0.25
2012
--0.5
2013
--1.0
2014
--1.75
2015
--3.0
2016
--4.25
2017
--5.5
2018
--7.0
2019
--8.5
2020
--10.5
2021
--13.5
2022
--16.0
`(IV) BIOMASS-BASED DIESEL- For the purpose of subparagraph (A), of the volume of advanced biofuel required under subclause (II), the applicable volume of biomass-based diesel for the calendar years 2009 through 2012 shall be determined in accordance with the following table:
Applicable volume of biomass-based diesel
`Calendar year:
(in billions of gallons):
2009
--0.5
2010
--0.65
2011
--0.80
2012
--1.0
`(ii) OTHER CALENDAR YEARS- For the purposes of subparagraph (A), the applicable volumes of each fuel specified in the tables in clause (i) for calendar years after the calendar years specified in the tables shall be determined by the Administrator, in coordination with the Secretary of Energy and the Secretary of Agriculture, based on a review of the implementation of the program during calendar years specified in the tables, and an analysis of--
`(I) the impact of the production and use of renewable fuels on the environment, including on air quality, climate change, conversion of wet lands, eco-systems, wildlife habitat, water quality, and water supply;
`(II) the impact of renewable fuels on the energy security of the United States;
`(III) the expected annual rate of future commercial production of renewable fuels, including advanced biofuels in each category (cellulosic biofuel and biomass-based diesel);
`(IV) the impact of renewable fuels on the infrastructure of the United States, including deliverability of materials, goods, and products other than renewable fuel, and the sufficiency of infrastructure to deliver and use renewable fuel;
`(V) the impact of the use of renewable fuels on the cost to consumers of transportation fuel and on the cost to transport goods; and
`(VI) the impact of the use of renewable fuels on other factors, including job creation, the price and supply of agricultural commodities, rural economic development, and food prices.
The Administrator shall promulgate rules establishing the applicable volumes under this clause no later than 14 months before the first year for which such applicable volume will apply.
`(iii) APPLICABLE VOLUME OF ADVANCED BIOFUEL- For the purpose of making the determinations in clause (ii), for each calendar year, the applicable volume of advanced biofuel shall be at least the same percentage of the applicable volume of renewable fuel as in calendar year 2022.
`(iv) APPLICABLE VOLUME OF CELLULOSIC BIOFUEL- For the purpose of making the determinations in clause (ii), for each calendar year, the applicable volume of cellulosic biofuel established by the Administrator shall be based on the assumption that the Administrator will not need to issue a waiver for such years under paragraph (7)(D).
`(v) MINIMUM APPLICABLE VOLUME OF BIOMASS-BASED DIESEL- For the purpose of making the determinations in clause (ii), the applicable volume of biomass-based diesel shall not be less than the applicable volume listed in clause (i)(IV) for calendar year 2012.'.
(b) Applicable Percentages- Paragraph (3) of section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)(3)) is amended as follows:
(1) In subparagraph (A), by striking `2011' and inserting `2021.'.
(2) In subparagraph (A), by striking `gasoline' and inserting `transportation fuel, biomass-based diesel, and cellulosic biofuel'.
(3) In subparagraph (B), by striking `2012' and inserting `2021' in clause (ii)(I).
(4) In subparagraph (B), by striking gasoline' and inserting `transportation fuel' in clause (ii)(II).
(c) Modification of Greenhouse Gas Percentages- Paragraph (4) of section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)(4)) is amended to read as follows:
`(4) MODIFICATION OF GREENHOUSE GAS REDUCTION PERCENTAGES-
`(A) IN GENERAL- The Administrator may, in the regulations under the last sentence of paragraph (2)(A)(i), adjust the 20 percent, 50 percent, and 60 percent reductions in lifecycle greenhouse gas emissions specified in paragraphs (2)(A)(i)(relating to renewable fuel), (1)(D) (relating to biomass-based diesel), (1)(B)(i)(relating to advanced biofuel), and (1)(E) (relating to cellulosic biofuel) to a lower percentage. For the 50 and 60 percent reductions, the Administrator may make such an adjustment only if he determines that generally such reduction is not commercially feasible for fuels made using a variety of feedstocks, technologies, and processes to meet the applicable reduction.
`(B) AMOUNT OF ADJUSTMENT- In promulgating regulations under this paragraph, the specified 50 percent reduction in greenhouse gas emissions from advanced biofuel and in biomass-based diesel may not be reduced below 40 percent. The specified 20 percent reduction in greenhouse gas emissions from renewable fuel may not be reduced below 10 percent, and the specified 60 percent reduction in greenhouse gas emissions from cellulosic biofuel may not be reduced below 50 percent.
`(C) ADJUSTED REDUCTION LEVELS- An adjustment under this paragraph to a percent less than the specified 20 percent greenhouse gas reduction for renewable fuel shall be the minimum possible adjustment, and the adjusted greenhouse gas reduction shall be established by the Administrator at the maximum achievable level, taking cost in consideration, for natural gas fired corn-based ethanol plants, allowing for the use of a variety of technologies and processes. An adjustment in the 50 or 60 percent greenhouse gas levels shall be the minimum possible adjustment for the fuel or fuels concerned, and the adjusted greenhouse gas reduction shall be established at the maximum achievable level, taking cost in consideration, allowing for the use of a variety of feedstocks, technologies, and processes.
`(D) 5-year REVIEW- Whenever the Administrator makes any adjustment under this paragraph, not later than 5 years thereafter he shall review and revise (based upon the same criteria and standards as required for the initial adjustment) the regulations establishing the adjusted level.
`(E) SUBSEQUENT ADJUSTMENTS- After the Administrator has promulgated a final rule under the last sentence of paragraph (2)(A)(i) with respect to the method of determining lifecycle greenhouse gas emissions, except as provided in subparagraph (D), the Administrator may not adjust the percent greenhouse gas reduction levels unless he determines that there has been a significant change in the analytical methodology used for determining the lifecycle greenhouse gas emissions. If he makes such determination, he may adjust the 20, 50, or 60 percent reduction levels through rulemaking using the criteria and standards set forth in this paragraph.
`(F) LIMIT ON UPWARD ADJUSTMENTS- If, under subparagraph (D) or (E), the Administrator revises a percent level adjusted as provided in subparagraph (A), (B), and (C) to a higher percent, such higher percent may not exceed the applicable percent specified in paragraph (2)(A)(i), (1)(D),(1)(B)(i), or (1)(E).
`(G) APPLICABILITY OF ADJUSTMENTS- If the Administrator adjusts, or revises, a percent level referred to in this paragraph or makes a change in the analytical methodology used for determining the lifecycle greenhouse gas emissions, such adjustment, revision, or change (or any combination thereof) shall only apply to renewable fuel from new facilities that commence construction after the effective date of such adjustment, revision, or change.'.
(d) Credits for Additional Renewable Fuel- Paragraph (5) of section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)(5)) is amended by adding the following new subparagraph at the end thereof:
`(E) CREDITS FOR ADDITIONAL RENEWABLE FUEL- The Administrator may issue regulations providing (i) for the generation of an appropriate amount of credits by any person that refines, blends, or imports additional renewable fuels specified by the Administrator and (ii) for the use of such credits by the generator, or the transfer of all or a portion of the credits to another person, for the purpose of complying with paragraph (2).'.
(1) IN GENERAL- Paragraph (7)(A) of section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)(7)(A)) is amended by inserting `, by any person subject to the requirements of this subsection, or by the Administrator on his own motion' after `one or more States' in subparagraph (A) and by striking out `State' in subparagraph (B).
(2) CELLULOSIC BIOFUEL- Paragraph (7) of section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)(7)) is amended by adding the following at the end thereof:
`(D) CELLULOSIC BIOFUEL- (i) For any calendar year for which the projected volume of cellulosic biofuel production is less than the minimum applicable volume established under paragraph (2)(B), as determined by the Administrator based on the estimate provided under paragraph (3)(A), not later than November 30 of the preceding calendar year, the Administrator shall reduce the applicable volume of cellulosic biofuel required under paragraph (2)(B) to the projected volume available during that calendar year. For any calendar year in which the Administrator makes such a reduction, the Administrator may also reduce the applicable volume of renewable fuel and advanced biofuels requirement established under paragraph (2)(B) by the same or a lesser volume.
`(ii) Whenever the Administrator reduces the minimum cellulosic biofuel volume under this subparagraph, the Administrator shall make available for sale cellulosic biofuel credits at the higher of $0.25 per gallon or the amount by which $3.00 per gallon exceeds the average wholesale price of a gallon of gasoline in the United States. Such amounts shall be adjusted for inflation by the Administrator for years after 2008.
`(iii) 18 months after date of enactment of this subparagraph, the Administrator shall promulgate regulations to govern the issuance of credits under this subparagraph. The regulations shall set forth the method for determining the exact price of credits in the event of a waiver. The price of such credits shall not be changed more frequently than once each quarter. These regulations shall include such provisions, including limiting the credits' uses and useful life, as the Administrator deems appropriate to assist market liquidity and transparency, to provide appropriate certainty for regulated entities and renewable fuel producers, and to limit any potential misuse of cellulosic biofuel credits to reduce the use of other renewable fuels, and for such other purposes as the Administrator determines will help achieve the goals of this subsection. The regulations shall limit the number of cellulosic biofuel credits for any calendar year to the minimum applicable volume (as reduced under this subparagraph) of cellulosic biofuel for that year.'.
(3) BIOMASS-BASED DIESEL- Paragraph (7) of section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)(7)) is amended by adding the following at the end thereof:
`(E) BIOMASS-BASED DIESEL-
`(i) MARKET EVALUATION- The Administrator, in consultation with the Secretary of Energy and the Secretary of Agriculture, shall periodically evaluate the impact of the biomass-based diesel requirements established under this paragraph on the price of diesel fuel.
`(ii) WAIVER- If the Administrator determines that there is a significant renewable feedstock disruption or other market circumstances that would make the price of biomass-based diesel fuel increase significantly, the Administrator, in consultation with the Secretary of Energy and the Secretary of Agriculture, shall issue an order to reduce, for up to a 60-day period, the quantity of biomass-based diesel required under subparagraph (A) by an appropriate quantity that does not exceed 15 percent of the applicable annual requirement for biomass-based diesel. For any calendar year in which the Administrator makes a reduction under this subparagraph, the Administrator may also reduce the applicable volume of renewable fuel and advanced biofuels requirement established under paragraph (2)(B) by the same or a lesser volume.
`(iii) EXTENSIONS- If the Administrator determines that the feedstock disruption or circumstances described in clause (ii) is continuing beyond the 60-day period described in clause (ii) or this clause, the Administrator, in consultation with the Secretary of Energy and the Secretary of Agriculture, may issue an order to reduce, for up to an additional 60-day period, the quantity of biomass-based diesel required under subparagraph (A) by an appropriate quantity that does not exceed an additional 15 percent of the applicable annual requirement for biomass-based diesel.
`(F) MODIFICATION OF APPLICABLE VOLUMES- For any of the tables in paragraph (2)(B), if the Administrator waives--
`(i) at least 20 percent of the applicable volume requirement set forth in any such table for 2 consecutive years; or
`(ii) at least 50 percent of such volume requirement for a single year,
the Administrator shall promulgate a rule (within one year after issuing such waiver) that modifies the applicable volumes set forth in the table concerned for all years following the final year to which the waiver applies, except that no such modification in applicable volumes shall be made for any year before 2016. In promulgating such a rule, the Administrator shall comply with the processes, criteria, and standards set forth in paragraph (2)(B)(ii).'.
SEC. 203. STUDY OF IMPACT OF RENEWABLE FUEL STANDARD.
(a) In General- The Secretary of Energy , in consultation with the Secretary of Agriculture and the Administrator of the Environmental Protection Agency, shall enter into an arrangement with the National Academy of Sciences under which the Academy shall conduct a study to assess the impact of the requirements described in section 211(o) of the Clean Air Act on each industry relating to the production of feed grains, livestock, food, forest products, and energy .
(b) Participation- In conducting the study under this section, the National Academy of Sciences shall seek the participation, and consider the input, of--
(1) producers of feed grains;
(2) producers of livestock, poultry, and pork products;
(3) producers of food and food products;
(4) producers of energy ;
(5) individuals and entities interested in issues relating to conservation, the environment, and nutrition;
(6) users and consumer of renewable fuels;
(7) producers and users of biomass feedstocks; and
(8) land grant universities.
(c) Considerations- In conducting the study, the National Academy of Sciences shall consider--
(1) the likely impact on domestic animal agriculture feedstocks that, in any crop year, are significantly below current projections;
(2) policy options to alleviate the impact on domestic animal agriculture feedstocks that are significantly below current projections; and
(3) policy options to maintain regional agricultural and silvicultural capability.
(d) Components- The study shall include--
(1) a description of the conditions under which the requirements described in section 211(o) of the Clean Air Act should be suspended or reduced to prevent adverse impacts to domestic animal agriculture feedstocks described in subsection (c)(2) or regional agricultural and silvicultural capability described in subsection (c)(3); and
(2) recommendations for the means by which the Federal Government could prevent or minimize adverse economic hardships and impacts.
(e) Deadline for Completion of Study- Not later than 18 months after the date of enactment of this Act, the Secretary shall submit to Congress a report that describes the results of the study under this section.
(f) Periodic Reviews- Section 211(o) of the Clean Air Act is amended by adding the following at the end thereof:
`(12) PERIODIC REVIEWS- To allow for the appropriate adjustment of the requirements described in subparagraph (B) of paragraph (2), the Administrator shall conduct periodic reviews of--
`(A) existing technologies;
`(B) the feasibility of achieving compliance with the requirements; and
`(C) the impacts of the requirements described in subsection (a)(2) on each individual and entity described in paragraph (2).'.
SEC. 204. ENVIRONMENTAL AND RESOURCE CONSERVATION IMPACTS.
(a) In General- Not later than 3 years after the enactment of this section and every 3 years thereafter, the Administrator of the Environmental Protection Agency, in consultation with the Secretary of Agriculture and the Secretary of Energy , shall assess and report to Congress on the impacts to date and likely future impacts of the requirements of section 211(o) of the Clean Air Act on the following:
(1) Environmental issues, including air quality, effects on hypoxia, pesticides, sediment, nutrient and pathogen levels in waters, acreage and function of waters, and soil environmental quality.
(2) Resource conservation issues, including soil conservation, water availability, and ecosystem health and biodiversity, including impacts on forests, grasslands, and wetlands.
(3) The growth and use of cultivated invasive or noxious plants and their impacts on the environment and agriculture.
In advance of preparing the report required by this subsection, the Administrator may seek the views of the National Academy of Sciences or another appropriate independent research institute. The report shall include the annual volume of imported renewable fuels and feedstocks for renewable fuels, and the environmental impacts outside the United States of producing such fuels and feedstocks. The report required by this subsection shall include recommendations for actions to address any adverse impacts found.
(b) Effect on Air Quality and Other Environmental Requirements- Except as provided in section 211(o)(13) of the Clean Air Act, nothing in the amendments made by this title to section 211(o) of the Clean Air Act shall be construed as superseding, or limiting, any more environmentally protective requirement under the Clean Air Act, or under any other provision of State or Federal law or regulation, including any environmental law or regulation.
SEC. 205. BIOMASS BASED DIESEL AND BIODIESEL LABELING.
(a) In General- Each retail diesel fuel pump shall be labeled in a manner that informs consumers of the percent of biomass-based diesel or biodiesel that is contained in the biomass-based diesel blend or biodiesel blend that is offered for sale, as determined by the Federal Trade Commission.
(b) Labeling Requirements- Not later than 180 days after the date of enactment of this section, the Federal Trade Commission shall promulgate biodiesel labeling requirements as follows:
(1) Biomass-based diesel blends or biodiesel blends that contain less than or equal to 5 percent biomass-based diesel or biodiesel by volume and that meet ASTM D975 diesel specifications shall not require any additional labels.
(2) Biomass based diesel blends or biodiesel blends that contain more than 5 percent biomass-based diesel or biodiesel by volume but not more than 20 percent by volume shall be labeled `contains biomass-based diesel or biodiesel in quantities between 5 percent and 20 percent'.
(3) Biomass-based diesel or biodiesel blends that contain more than 20 percent biomass based or biodiesel by volume shall be labeled `contains more than 20 percent biomass-based diesel or biodiesel'.
(c) Definitions- In this section:
(1) ASTM- The term `ASTM' means the American Society of Testing and Materials.
(2) BIOMASS-BASED DIESEL- The term `biomass-based diesel' means biodiesel as defined in section 312(f) of the Energy Policy Act of 1992 (42 U.S.C. 13220(f)).
(3) BIODIESEL- The term `biodiesel' means the monoalkyl esters of long chain fatty acids derived from plant or animal matter that meet--
(A) the registration requirements for fuels and fuel additives under this section; and
(B) the requirements of ASTM standard D6751.
(4) BIOMASS-BASED DIESEL AND BIODIESEL BLENDS- The terms `biomass-based diesel blend' and `biodiesel blend' means a blend of `biomass-based diesel' or `biodiesel' fuel that is blended with petroleum based diesel fuel.
SEC. 206. STUDY OF CREDITS FOR USE OF RENEWABLE ELECTRICITY IN ELECTRIC VEHICLES.
(a) Definition of Electric Vehicle- In this section, the term `electric vehicle' means an electric motor vehicle (as defined in section 601 of the Energy Policy Act of 1992 (42 U.S.C. 13271)) for which the rechargeable storage battery--
(1) receives a charge directly from a source of electric current that is external to the vehicle; and
(2) provides a minimum of 80 percent of the motive power of the vehicle.
(b) Study- The Administrator of the Environmental Protection Agency shall conduct a study on the feasibility of issuing credits under the program established under section 211(o) of the Clean Air Act to electric vehicles powered by electricity produced from renewable energy sources.
(c) Report- Not later than 18 months after the date of enactment of this Act, the Administrator shall submit to the Committee on Energy and Natural Resources of the United States Senate and the Committee on Energy and Commerce of the United States House of Representatives a report that describes the results of the study, including a description of--
(1) existing programs and studies on the use of renewable electricity as a means of powering electric vehicles; and
(A) designing a pilot program to determine the feasibility of using renewable electricity to power electric vehicles as an adjunct to a renewable fuels mandate;
(B) allowing the use, under the pilot program designed under subparagraph (A), of electricity generated from nuclear energy as an additional source of supply;
(C) identifying the source of electricity used to power electric vehicles; and
(D) equating specific quantities of electricity to quantities of renewable fuel under section 211(o) of the Clean Air Act.
SEC. 207. GRANTS FOR PRODUCTION OF ADVANCED BIOFUELS.
(a) In General- The Secretary of Energy shall establish a grant program to encourage the production of advanced biofuels.
(b) Requirements and Priority- In making grants under this section, the Secretary--
(1) shall make awards to the proposals for advanced biofuels with the greatest reduction in lifecycle greenhouse gas emissions compared to the comparable motor vehicle fuel lifecycle emissions during calendar year 2005; and
(2) shall not make an award to a project that does not achieve at least a 80 percent reduction in such lifecycle greenhouse gas emissions.
(c) Authorization of Appropriations- There is authorized to be appropriated to carry out this section $500,000,000 for the period of fiscal years 2008 through 2015.
SEC. 208. INTEGRATED CONSIDERATION OF WATER QUALITY IN DETERMINATIONS ON FUELS AND FUEL ADDITIVES.
Section 211(c)(1) of the Clean Air Act (42 U.S.C. 7545(c)(1)) is amended as follows:
(1) By striking `nonroad vehicle (A) if in the judgment of the Administrator' and inserting `nonroad vehicle if, in the judgment of the Administrator, any fuel or fuel additive or'; and
(2) In subparagraph (A), by striking `air pollution which' and inserting `air pollution or water pollution (including any degradation in the quality of groundwater) that'.
SEC. 209. ANTI-BACKSLIDING.
Section 211 of the Clean Air Act (42 U.S.C. 7545) is amended by adding at the end the following:
`(v) Prevention of Air Quality Deterioration-
`(A) IN GENERAL- Not later than 18 months after the date of enactment of this subsection, the Administrator shall complete a study to determine whether the renewable fuel volumes required by this section will adversely impact air quality as a result of changes in vehicle and engine emissions of air pollutants regulated under this Act.
`(B) CONSIDERATIONS- The study shall include consideration of--
`(i) different blend levels, types of renewable fuels, and available vehicle technologies; and
`(ii) appropriate national, regional, and local air quality control measures.
`(2) REGULATIONS- Not later than 3 years after the date of enactment of this subsection, the Administrator shall--
`(A) promulgate fuel regulations to implement appropriate measures to mitigate, to the greatest extent achievable, considering the results of the study under paragraph (1), any adverse impacts on air quality, as the result of the renewable volumes required by this section; or
`(B) make a determination that no such measures are necessary.'.
SEC. 210. EFFECTIVE DATE, SAVINGS PROVISION, AND TRANSITION RULES.
(a) Transition Rules- (1) For calendar year 2008, transportation fuel sold or introduced into commerce in the United States (except in noncontiguous States or territories), that is produced from facilities that commence construction after the date of enactment of this Act shall be treated as renewable fuel within the meaning of section 211(o) of the Clean Air Act only if it achieves at least a 20 percent reduction in lifecycle greenhouse gas emissions compared to baseline lifecycle greenhouse gas emissions. For calendar years 2008 and 2009, any ethanol plant that is fired with natural gas, biomass, or any combination thereof is deemed to be in compliance with such 20 percent reduction requirement and with the 20 percent reduction requirement of section 211(o)(1) of the Clean Air Act. The terms used in this subsection shall have the same meaning as provided in the amendment made by this Act to section 211(o) of the Clean Air Act.
(2) Until January 1, 2009, the Administrator of the Environmental Protection Agency shall implement section 211(o) of the Clean Air Act and the rules promulgated under that section in accordance with the provisions of that section as in effect before the enactment of this Act and in accordance with the rules promulgated before the enactment of this Act, except that for calendar year 2008, the number `8.5' shall be substituted for the number `5.4' in the table in section 211(o)(2)(B) and in the corresponding rules promulgated to carry out those provisions. The Administrator is authorized to take such other actions as may be necessary to carry out this paragraph notwithstanding any other provision of law.
(b) Savings Clause- Section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)) is amended by adding the following new paragraph at the end thereof:
`(13) EFFECT ON OTHER PROVISIONS- Nothing in this subsection, or regulations issued pursuant to this subsection, shall affect or be construed to affect the regulatory status of carbon dioxide or any other greenhouse gas, or to expand or limit regulatory authority regarding carbon dioxide or any other greenhouse gas, for purposes of other provisions (including section 165) of this Act. The previous sentence shall not affect implementation and enforcement of this subsection.'.
(c) Effective Date- The amendments made by this title to section 211(o) of the Clean Air Act shall take effect January 1, 2009, except that the Administrator shall promulgate regulations to carry out such amendments not later than one year after the enactment of this Act.
Subtitle B--Biofuels Research and Development
SEC. 221. BIODIESEL.
(a) Biodiesel Study- Not later than 180 days after the date of enactment of this Act, the Secretary, in consultation with the Administrator of the Environmental Protection Agency, shall submit to Congress a report on any research and development challenges inherent in increasing the proportion of diesel fuel sold in the United States that is biodiesel.
(b) Material for the Establishment of Standards- The Director of the National Institute of Standards and Technology, in consultation with the Secretary, shall make publicly available the physical property data and characterization of biodiesel and other biofuels as appropriate.
SEC. 222. BIOGAS.
Not later than 180 days after the date of enactment of this Act, the Secretary, in consultation with the Administrator of the Environmental Protection Agency, shall submit to Congress a report on any research and development challenges inherent in increasing the amount of transportation fuels sold in the United States that are fuel with biogas or a blend of biogas and natural gas.
SEC. 223. GRANTS FOR BIOFUEL PRODUCTION RESEARCH AND DEVELOPMENT IN CERTAIN STATES.
(a) In General- The Secretary shall provide grants to eligible entities for research, development, demonstration, and commercial application of biofuel production technologies in States with low rates of ethanol production, including low rates of production of cellulosic biomass ethanol, as determined by the Secretary.
(b) Eligibility- To be eligible to receive a grant under this section, an entity shall--
(1)(A) be an institution of higher education (as defined in section 2 of the Energy Policy Act of 2005 (42 U.S.C. 15801)), including tribally controlled colleges or universities, located in a State described in subsection (a); or
(B) be a consortium including at least 1 such institution of higher education, and industry, State agencies, Indian tribal agencies, National Laboratories, or local government agencies located in the State; and
(2) have proven experience and capabilities with relevant technologies.
(c) Authorization of Appropriations- There are authorized to be appropriated to the Secretary to carry out this section $25,000,000 for each of fiscal years 2008 through 2010.
SEC. 224. BIOREFINERY ENERGY EFFICIENCY.
Section 932 of Energy Policy Act of 2005 (42 U.S.C. 16232) is amended by adding at the end the following new subsections:
`(g) Biorefinery Energy Efficiency- The Secretary shall establish a program of research, development, demonstration, and commercial application for increasing energy efficiency and reducing energy consumption in the operation of biorefinery facilities.
`(h) Retrofit Technologies for the Development of Ethanol From Cellulosic Materials- The Secretary shall establish a program of research, development, demonstration, and commercial application on technologies and processes to enable biorefineries that exclusively use corn grain or corn starch as a feedstock to produce ethanol to be retrofitted to accept a range of biomass, including lignocellulosic feedstocks.'.
SEC. 225. STUDY OF OPTIMIZATION OF FLEXIBLE FUELED VEHICLES TO USE E-85 FUEL.
(a) In General- The Secretary, in consultation with the Secretary of Transportation and the Administrator of the Environmental Protection Agency, shall conduct a study of whether optimizing flexible fueled vehicles to operate using E-85 fuel would increase the fuel efficiency of flexible fueled vehicles.
(b) Report- Not later than 180 days after the date of enactment of this Act, the Secretary shall submit to the Committee on Science and Technology and the Committee on Energy and Commerce of the House of Representatives, and to the Committee on Energy and Natural Resources, the Committee on Environment and Public Works, and the Committee on Commerce, Science, and Transportation of the Senate, a report that describes the results of the study under this section, including any recommendations of the Secretary.
SEC. 226. STUDY OF ENGINE DURABILITY AND PERFORMANCE ASSOCIATED WITH THE USE OF BIODIESEL.
(a) In General- Not later than 30 days after the date of enactment of this Act, the Secretary, in consultation with the Administrator of the Environmental Protection Agency, shall initiate a study on the effects of the use of biodiesel on the performance and durability of engines and engine systems.
(b) Components- The study under this section shall include--
(1) an assessment of whether the use of biodiesel lessens the durability and performance of conventional diesel engines and engine systems; and
(2) an assessment of the effects referred to in subsection (a) with respect to biodiesel blends at varying concentrations, including the following percentage concentrations of biodiesel:
(B) 10 percent biodiesel.
(C) 20 percent biodiesel.
(D) 30 percent biodiesel.
(E) 100 percent biodiesel.
(c) Report- Not later than 24 months after the date of enactment of this Act, the Secretary shall submit to the Committee on Science and Technology and the Committee on Energy and Commerce of the House of Representatives, and to the Committee on Energy and Natural Resources and the Committee on Environment and Public Works of the Senate, a report that describes the results of the study under this section, including any recommendations of the Secretary.
SEC. 227. STUDY OF OPTIMIZATION OF BIOGAS USED IN NATURAL GAS VEHICLES.
(a) In General- The Secretary, in consultation with the Administrator of the Environmental Protection Agency and the Secretary of Transportation, shall conduct a study of methods of increasing the fuel efficiency of vehicles using biogas by optimizing natural gas vehicle systems that can operate on biogas, including the advancement of vehicle fuel systems and the combination of hybrid-electric and plug-in hybrid electric drive platforms with natural gas vehicle systems using biogas.
(b) Report- Not later than 180 days after the date of enactment of this Act, the Secretary shall submit to the Committee on Energy and Natural Resources, the Committee on Environment and Public Works, and the Committee on Commerce, Science, and Transportation of the Senate, and to the Committee on Science and Technology and the Committee on Energy and Commerce of the House of Representatives, a report that describes the results of the study, including any recommendations of the Secretary.
SEC. 228. ALGAL BIOMASS.
(a) In General- Not later than 90 days after the date of enactment of this Act, the Secretary shall submit to the Committee on Science and Technology of the House of Representatives and the Committee on Energy and Natural Resources of the Senate a report on the progress of the research and development that is being conducted on the use of algae as a feedstock for the production of biofuels.
(b) Contents- The report shall identify continuing research and development challenges and any regulatory or other barriers found by the Secretary that hinder the use of this resource, as well as recommendations on how to encourage and further its development as a viable transportation fuel.
SEC. 229. BIOFUELS AND BIOREFINERY INFORMATION CENTER.
(a) In General- The Secretary, in cooperation with the Secretary of Agriculture, shall establish a biofuels and biorefinery information center to make available to interested parties information on--
(1) renewable fuel feedstocks, including the varieties of fuel capable of being produced from various feedstocks;
(2) biorefinery processing techniques related to various renewable fuel feedstocks;
(3) the distribution, blending, storage, and retail dispensing infrastructure necessary for the transport and use of renewable fuels;
(4) Federal and State laws and incentives related to renewable fuel production and use;
(5) renewable fuel research and development advancements;
(6) renewable fuel development and biorefinery processes and technologies;
(7) renewable fuel resources, including information on programs and incentives for renewable fuels;
(8) renewable fuel producers;
(9) renewable fuel users; and
(10) potential renewable fuel users.
(b) Administration- In administering the biofuels and biorefinery information center, the Secretary shall--
(1) continually update information provided by the center;
(2) make information available relating to processes and technologies for renewable fuel production;
(3) make information available to interested parties on the process for establishing a biorefinery; and
(4) make information and assistance provided by the center available through a toll-free telephone number and website.
(c) Coordination and Nonduplication- To maximum extent practicable, the Secretary shall ensure that the activities under this section are coordinated with, and do not duplicate the efforts of, centers at other government agencies.
(d) Authorization of Appropriations- There are authorized to be appropriated such sums as are necessary to carry out this section.
SEC. 230. CELLULOSIC ETHANOL AND BIOFUELS RESEARCH.
(a) Definition of Eligible Entity- In this section, the term `eligible entity' means--
(1) an 1890 Institution (as defined in section 2 of the Agricultural Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 7061));
(2) a part B institution (as defined in section 322 of the Higher Education Act of 1965 (20 U.S.C. 1061)) (commonly referred to as `Historically Black Colleges and Universities');
(3) a tribal college or university (as defined in section 316(b) of the Higher Education Act of 1965 (20 U.S.C. 1059c(b)); or
(4) a Hispanic-serving institution (as defined in section 502(a) of the Higher Education Act of 1965 (20 U.S.C. 1101a(a)).
(b) Grants- The Secretary shall make cellulosic ethanol and biofuels research and development grants to 10 eligible entities selected by the Secretary to receive a grant under this section through a peer-reviewed competitive process.
(c) Collaboration- An eligible entity that is selected to receive a grant under subsection (b) shall collaborate with 1 of the Bioenergy Research Centers of the Office of Science of the Department.
(d) Authorization of Appropriations- There is authorized to be appropriated to the Secretary to make grants described in subsection (b) $50,000,000 for fiscal year 2008, to remain available until expended.
SEC. 231. BIOENERGY RESEARCH AND DEVELOPMENT, AUTHORIZATION OF APPROPRIATION.
Section 931 of the Energy Policy Act of 2005 (42 U.S.C. 16231) is amended--
(A) in paragraph (2), by striking `and' at the end;
(B) in paragraph (3), by striking the period at the end and inserting `; and'; and
(C) by adding at the end the following:
`(4) $963,000,000 for fiscal year 2010.'; and
(i) by striking `$251,000,000' and inserting `$377,000,000'; and
(ii) by striking `and' at the end;
(i) by striking `$274,000,000' and inserting `$398,000,000'; and
(ii) by striking the period at the end and inserting `; and'; and
(C) by adding at the end the following:
`(4) $419,000,000 for fiscal year 2010, of which $150,000,000 shall be for section 932(d).'.
SEC. 232. ENVIRONMENTAL RESEARCH AND DEVELOPMENT.
(a) In General- Section 977 of the Energy Policy Act of 2005 (42 U.S.C. 16317) is amended--
(1) in subsection (a)(1), by striking `and computational biology' and inserting `computational biology, and environmental science'; and
(A) in paragraph (1), by inserting `in sustainable production systems that reduce greenhouse gas emissions' after `hydrogen';
(B) in paragraph (3), by striking `and' at the end;
(C) by redesignating paragraph (4) as paragraph (5); and
(D) by inserting after paragraph (3) the following:
`(4) develop cellulosic and other feedstocks that are less resource and land intensive and that promote sustainable use of resources, including soil, water, energy , forests, and land, and ensure protection of air, water, and soil quality; and'.
(b) Tools and Evaluation- Section 307(d) of the Biomass Research and Development Act of 2000 (7 U.S.C. 8606(d)) is amended--
(1) in paragraph (3)(E), by striking `and' at the end;
(2) in paragraph (4), by striking the period at the end and inserting a semicolon; and
(3) by adding at the end the following:
`(5) the improvement and development of analytical tools to facilitate the analysis of life-cycle energy and greenhouse gas emissions, including emissions related to direct and indirect land use changes, attributable to all potential biofuel feedstocks and production processes; and
`(6) the systematic evaluation of the impact of expanded biofuel production on the environment, including forest lands, and on the food supply for humans and animals.'.
(c) Small-Scale Production and Use of Biofuels- Section 307(e) of the Biomass Research and Development Act of 2000 (7 U.S.C. 8606(e)) is amended--
(1) in paragraph (2), by striking `and' at the end;
(2) in paragraph (3), by striking the period at the end and inserting `; and'; and
(3) by adding at the end the following:
`(4) to facilitate small-scale production, local, and on-farm use of biofuels, including the development of small-scale gasification technologies for production of biofuel from cellulosic feedstocks.'.
SEC. 233. BIOENERGY RESEARCH CENTERS.
Section 977 of the Energy Policy Act of 2005 (42 U.S.C. 16317) is amended by adding at the end the following:
`(f) Bioenergy Research Centers-
`(1) ESTABLISHMENT OF CENTERS- In carrying out the program under subsection (a), the Secretary shall establish at least 7 bioenergy research centers, which may be of varying size.
`(2) GEOGRAPHIC DISTRIBUTION- The Secretary shall establish at least 1 bioenergy research center in each Petroleum Administration for Defense District or Subdistrict of a Petroleum Administration for Defense District.
`(3) GOALS- The goals of the centers established under this subsection shall be to accelerate basic transformational research and development of biofuels, including biological processes.
`(4) SELECTION AND DURATION-
`(A) IN GENERAL- A center under this subsection shall be selected on a competitive basis for a period of 5 years.
`(B) REAPPLICATION- After the end of the period described in subparagraph (A), a grantee may reapply for selection on a competitive basis.
`(5) INCLUSION- A center that is in existence on the date of enactment of this subsection--
`(A) shall be counted towards the requirement for establishment of at least 7 bioenergy research centers; and
`(B) may continue to receive support for a period of 5 years beginning on the date of establishment of the center.'.
SEC. 234. UNIVERSITY BASED RESEARCH AND DEVELOPMENT GRANT PROGRAM.
(a) Establishment- The Secretary shall establish a competitive grant program, in a geographically diverse manner, for projects submitted for consideration by institutions of higher education to conduct research and development of renewable energy technologies. Each grant made shall not exceed $2,000,000.
(b) Eligibility- Priority shall be given to institutions of higher education with--
(1) established programs of research in renewable energy ;
(2) locations that are low income or outside of an urbanized area;
(3) a joint venture with an Indian tribe; and
(4) proximity to trees dying of disease or insect infestation as a source of woody biomass.
(c) Authorization of Appropriations- There are authorized to be appropriated to the Secretary $25,000,000 for carrying out this section.
(d) Definitions- In this section:
(1) INDIAN TRIBE- The term `Indian tribe' has the meaning as defined in section 126(c) of the Energy Policy Act of 2005.
(2) RENEWABLE ENERGY - The term `renewable energy' has the meaning as defined in section 902 of the Energy Policy Act of 2005.
(3) URBANIZED AREA- The term `urbanized area' has the mean as defined by the U.S. Bureau of the Census.
Subtitle C--Biofuels Infrastructure
SEC. 241. PROHIBITION ON FRANCHISE AGREEMENT RESTRICTIONS RELATED TO RENEWABLE FUEL INFRASTRUCTURE.
(a) In General- Title I of the Petroleum Marketing Practices Act (15 U.S.C. 2801 et seq.) is amended by adding at the end the following:
`SEC. 107. PROHIBITION ON RESTRICTION OF INSTALLATION OF RENEWABLE FUEL PUMPS.
`(a) Definition- In this section:
`(1) RENEWABLE FUEL- The term `renewable fuel' means any fuel--
`(A) at least 85 percent of the volume of which consists of ethanol; or
`(B) any mixture of biodiesel and diesel or renewable diesel (as defined in regulations adopted pursuant to section 211(o) of the Clean Air Act (40 CFR, Part 80)), determined without regard to any use of kerosene and containing at least 20 percent biodiesel or renewable diesel.
`(2) FRANCHISE-RELATED DOCUMENT- The term `franchise-related document' means--
`(A) a franchise under this Act; and
`(B) any other contract or directive of a franchisor relating to terms or conditions of the sale of fuel by a franchisee.
`(1) IN GENERAL- No franchise-related document entered into or renewed on or after the date of enactment of this section shall contain any provision allowing a franchisor to restrict the franchisee or any affiliate of the franchisee from--
`(A) installing on the marketing premises of the franchisee a renewable fuel pump or tank, except that the franchisee's franchisor may restrict the installation of a tank on leased marketing premises of such franchisor;
`(B) converting an existing tank or pump on the marketing premises of the franchisee for renewable fuel use, so long as such tank or pump and the piping connecting them are either warranted by the manufacturer or certified by a recognized standards setting organization to be suitable for use with such renewable fuel;
`(C) advertising (including through the use of signage) the sale of any renewable fuel;
`(D) selling renewable fuel in any specified area on the marketing premises of the franchisee (including any area in which a name or logo of a franchisor or any other entity appears);
`(E) purchasing renewable fuel from sources other than the franchisor if the franchisor does not offer its own renewable fuel for sale by the franchisee;
`(F) listing renewable fuel availability or prices, including on service station signs, fuel dispensers, or light poles; or
`(G) allowing for payment of renewable fuel with a credit card,
so long as such activities described in subparagraphs (A) through (G) do not constitute mislabeling, misbranding, willful adulteration, or other trademark violations by the franchisee.
`(2) EFFECT OF PROVISION- Nothing in this section shall be construed to preclude a franchisor from requiring the franchisee to obtain reasonable indemnification and insurance policies.
`(c) Exception to 3-Grade Requirement- No franchise-related document that requires that 3 grades of gasoline be sold by the applicable franchisee shall prevent the franchisee from selling an renewable fuel in lieu of 1, and only 1, grade of gasoline.'.
(b) Enforcement- Section 105 of the Petroleum Marketing Practices Act (15 U.S.C. 2805) is amended by striking `102 or 103' each place it appears and inserting `102, 103, or 107'.
(c) Conforming Amendments-
(1) IN GENERAL- Section 101(13) of the Petroleum Marketing Practices Act (15 U.S.C. 2801(13)) is amended by aligning the margin of subparagraph (C) with subparagraph (B).
(2) TABLE OF CONTENTS- The table of contents of the Petroleum Marketing Practices Act (15 U.S.C. 2801 note) is amended--
(A) by inserting after the item relating to section 106 the following:
`Sec. 107. Prohibition on restriction of installation of renewable fuel pumps.'; and
(B) by striking the item relating to section 202 and inserting the following:
`Sec. 202. Automotive fuel rating testing and disclosure requirements.'.
SEC. 242. RENEWABLE FUEL DISPENSER REQUIREMENTS.
(a) Market Penetration Reports- The Secretary, in consultation with the Secretary of Transportation, shall determine and report to Congress annually on the market penetration for flexible-fuel vehicles in use within geographic regions to be established by the Secretary.
(b) Dispenser Feasibility Study- Not later than 24 months after the date of enactment of this Act, the Secretary, in consultation with the Department of Transportation, shall report to the Congress on the feasibility of requiring motor fuel retailers to install E-85 compatible dispensers and related systems at retail fuel facilities in regions where flexible-fuel vehicle market penetration has reached 15 percent of motor vehicles. In conducting such study, the Secretary shall consider and report on the following factors:
(1) The commercial availability of E-85 fuel and the number of competing E-85 wholesale suppliers in a given region.
(2) The level of financial assistance provided on an annual basis by the Federal Government, State governments, and nonprofit entities for the installation of E-85 compatible infrastructure.
(3) The number of retailers whose retail locations are unable to support more than 2 underground storage tank dispensers.
(4) The expense incurred by retailers in the installation and sale of E-85 compatible dispensers and related systems and any potential effects on the price of motor vehicle fuel.
SEC. 243. ETHANOL PIPELINE FEASIBILITY STUDY.
(a) In General- The Secretary, in coordination with the Secretary of Transportation, shall conduct a study of the feasibility of the construction of pipelines dedicated to the transportation of ethanol.
(b) Factors for Consideration- In conducting the study under subsection (a), the Secretary shall take into consideration--
(1) the quantity of ethanol production that would make dedicated pipelines economically viable;
(2) existing or potential barriers to the construction of pipelines dedicated to the transportation of ethanol, including technical, siting, financing, and regulatory barriers;
(3) market risk (including throughput risk) and means of mitigating the risk;
(4) regulatory, financing, and siting options that would mitigate the risk and help ensure the construction of 1 or more pipelines dedicated to the transportation of ethanol;
(5) financial incentives that may be necessary for the construction of pipelines dedicated to the transportation of ethanol, including the return on equity that sponsors of the initial dedicated ethanol pipelines will require to invest in the pipelines;
(6) technical factors that may compromise the safe transportation of ethanol in pipelines, including identification of remedial and preventive measures to ensure pipeline integrity; and
(7) such other factors as the Secretary considers to be appropriate.
(c) Report- Not later than 15 months after the date of enactment of this Act, the Secretary shall submit to Congress a report describing the results of the study conducted under this section.
(d) Authorization of Appropriations- There is authorized to be appropriated to the Secretary to carry out this section $1,000,000 for each of fiscal years 2008 and 2009, to remain available until expended.
SEC. 244. RENEWABLE FUEL INFRASTRUCTURE GRANTS.
(a) Definition of Renewable Fuel Blend- For purposes of this section, the term `renewable fuel blend' means gasoline blend that contain not less than 11 percent, and not more than 85 percent, renewable fuel or diesel fuel that contains at least 10 percent renewable fuel.
(b) Infrastructure Development Grants-
(1) ESTABLISHMENT- The Secretary shall establish a program for making grants for providing assistance to retail and wholesale motor fuel dealers or other entities for the installation, replacement, or conversion of motor fuel storage and dispensing infrastructure to be used exclusively to store and dispense renewable fuel blends.
(2) SELECTION CRITERIA- Not later than 12 months after the date of enactment of this Act, the Secretary shall establish criteria for evaluating applications for grants under this subsection that will maximize the availability and use of renewable fuel blends, and that will ensure that renewable fuel blends are available across the country. Such criteria shall provide for--
(A) consideration of the public demand for each renewable fuel blend in a particular geographic area based on State registration records showing the number of flexible-fuel vehicles;
(B) consideration of the opportunity to create or expand corridors of renewable fuel blend stations along interstate or State highways;
(C) consideration of the experience of each applicant with previous, similar projects;
(D) consideration of population, number of flexible-fuel vehicles, number of retail fuel outlets, and saturation of flexible-fuel vehicles; and
(E) priority consideration to applications that--
(i) are most likely to maximize displacement of petroleum consumption, measured as a total quantity and a percentage;
(ii) are best able to incorporate existing infrastructure while maximizing, to the extent practicable, the use of renewable fuel blends; and
(iii) demonstrate the greatest commitment on the part of the applicant to ensure funding for the proposed project and the greatest likelihood that the project will be maintained or expanded after Federal assistance under this subsection is completed.
(3) LIMITATIONS- Assistance provided under this subsection shall not exceed--
(A) 33 percent of the estimated cost of the installation, replacement, or conversion of motor fuel storage and dispensing infrastructure; or
(B) $180,000 for a combination of equipment at any one retail outlet location.
(4) OPERATION OF RENEWABLE FUEL BLEND STATIONS- The Secretary shall establish rules that set forth requirements for grant recipients under this section that include providing to the public the renewable fuel blends, establishing a marketing plan that informs consumers of the price and availability of the renewable fuel blends, clearly labeling the dispensers and related equipment, and providing periodic reports on the status of the renewable fuel blend sales, the type and amount of the renewable fuel blends dispensed at each location, and the average price of such fuel.
(5) NOTIFICATION REQUIREMENTS- Not later than the date on which each renewable fuel blend station begins to offer renewable fuel blends to the public, the grant recipient that used grant funds to construct or upgrade such station shall notify the Secretary of such opening. The Secretary shall add each new renewable fuel blend station to the renewable fuel blend station locator on its Website when it receives notification under this subsection.
(6) DOUBLE COUNTING- No person that receives a credit under section 30C of the Internal Revenue Code of 1986 may receive assistance under this section.
(7) RESERVATION OF FUNDS- The Secretary shall reserve funds appropriated for the renewable fuel blends infrastructure development grant program for technical and marketing assistance described in subsection (c).
(c) Retail Technical and Marketing Assistance- The Secretary shall enter into contracts with entities with demonstrated experience in assisting retail fueling stations in installing refueling systems and marketing renewable fuel blends nationally, for the provision of technical and marketing assistance to recipients of grants under this section. Such assistance shall include--
(1) technical advice for compliance with applicable Federal and State environmental requirements;
(2) help in identifying supply sources and securing long-term contracts; and
(3) provision of public outreach, education, and labeling materials.
(d) Refueling Infrastructure Corridors-
(1) IN GENERAL- The Secretary shall establish a competitive grant pilot program (referred to in this subsection as the `pilot program'), to be administered through the Vehicle Technology Deployment Program of the Department, to provide not more than 10 geographically-dispersed project grants to State governments, Indian tribal governments, local governments, metropolitan transportation authorities, or partnerships of those entities to carry out 1 or more projects for the purposes described in paragraph (2).
(2) GRANT PURPOSES- A grant under this subsection shall be used for the establishment of refueling infrastructure corridors, as designated by the Secretary, for renewable fuel blends, including--
(A) installation of infrastructure and equipment necessary to ensure adequate distribution of renewable fuel blends within the corridor;
(B) installation of infrastructure and equipment necessary to directly support vehicles powered by renewable fuel blends; and
(C) operation and maintenance of infrastructure and equipment installed as part of a project funded by the grant.
(i) IN GENERAL- Subject to clause (ii), not later than 90 days after the date of enactment of this Act, the Secretary shall issue requirements for use in applying for grants under the pilot program.
(ii) MINIMUM REQUIREMENTS- At a minimum, the Secretary shall require that an application for a grant under this subsection--
(aa) the head of a State, tribal, or local government or a metropolitan transportation authority, or any combination of those entities; and
(bb) a registered participant in the Vehicle Technology Deployment Program of the Department; and
(aa) a description of the project proposed in the application, including the ways in which the project meets the requirements of this subsection;
(bb) an estimate of the degree of use of the project, including the estimated size of fleet of vehicles operated with renewable fuels blend available within the geographic region of the corridor, measured as a total quantity and a percentage;
(cc) an estimate of the potential petroleum displaced as a result of the project (measured as a total quantity and a percentage), and a plan to collect and disseminate petroleum displacement and other relevant data relating to the project to be funded under the grant, over the expected life of the project;
(dd) a description of the means by which the project will be sustainable without Federal assistance after the completion of the term of the grant;
(ee) a complete description of the costs of the project, including acquisition, construction, operation, and maintenance costs over the expected life of the project; and
(ff) a description of which costs of the project will be supported by Federal assistance under this subsection.
(B) PARTNERS- An applicant under subparagraph (A) may carry out a project under the pilot program in partnership with public and private entities.
(4) SELECTION CRITERIA- In evaluating applications under the pilot program, the Secretary shall--
(A) consider the experience of each applicant with previous, similar projects; and
(B) give priority consideration to applications that--
(i) are most likely to maximize displacement of petroleum consumption, measured as a total quantity and a percentage;
(ii) are best able to incorporate existing infrastructure while maximizing, to the extent practicable, the use of advanced biofuels;
(iii) demonstrate the greatest commitment on the part of the applicant to ensure funding for the proposed project and the greatest likelihood that the project will be maintained or expanded after Federal assistance under this subsection is completed;
(iv) represent a partnership of public and private entities; and
(v) exceed the minimum requirements of paragraph (3)(A)(ii).
(5) PILOT PROJECT REQUIREMENTS-
(A) MAXIMUM AMOUNT- The Secretary shall provide not more than $20,000,000 in Federal assistance under the pilot program to any applicant.
(B) COST SHARING- The non-Federal share of the cost of any activity relating to renewable fuel blend infrastructure development carried out using funds from a grant under this subsection shall be not less than 20 percent.
(C) MAXIMUM PERIOD OF GRANTS- The Secretary shall not provide funds to any applicant under the pilot program for more than 2 years.
(D) DEPLOYMENT AND DISTRIBUTION- The Secretary shall seek, to the maximum extent practicable, to ensure a broad geographic distribution of project sites funded by grants under this subsection.
(E) TRANSFER OF INFORMATION AND KNOWLEDGE- The Secretary shall establish mechanisms to ensure that the information and knowledge gained by participants in the pilot program are transferred among the pilot program participants and to other interested parties, including other applicants that submitted applications.
(i) IN GENERAL- Not later than 90 days after the date of enactment of this Act, the Secretary shall publish in the Federal Register, Commerce Business Daily, and such other publications as the Secretary considers to be appropriate, a notice and request for applications to carry out projects under the pilot program.
(ii) DEADLINE- An application described in clause (i) shall be submitted to the Secretary by not later than 180 days after the date of publication of the notice under that clause.
(iii) INITIAL SELECTION- Not later than 90 days after the date by which applications for grants are due under clause (ii), the Secretary shall select by competitive, peer-reviewed proposal up to 5 applications for projects to be awarded a grant under the pilot program.
(i) IN GENERAL- Not later than 2 years after the date of enactment of this Act, the Secretary shall publish in the Federal Register, Commerce Business Daily, and such other publications as the Secretary considers to be appropriate, a notice and request for additional applications to carry out projects under the pilot program that incorporate the information and knowledge obtained through the implementation of the first round of projects authorized under the pilot program.
(ii) DEADLINE- An application described in clause (i) shall be submitted to the Secretary by not later than 180 days after the date of publication of the notice under that clause.
(iii) INITIAL SELECTION- Not later than 90 days after the date by which applications for grants are due under clause (ii), the Secretary shall select by competitive, peer-reviewed proposal such additional applications for projects to be awarded a grant under the pilot program as the Secretary determines to be appropriate.
(A) INITIAL REPORT- Not later than 60 days after the date on which grants are awarded under this subsection, the Secretary shall submit to Congress a report containing--
(i) an identification of the grant recipients and a description of the projects to be funded under the pilot program;
(ii) an identification of other applicants that submitted applications for the pilot program but to which funding was not provided; and
(iii) a description of the mechanisms used by the Secretary to ensure that the information and knowledge gained by participants in the pilot program are transferred among the pilot program participants and to other interested parties, including other applicants that submitted applications.
(B) EVALUATION- Not later than 2 years after the date of enactment of this Act, and annually thereafter until the termination of the pilot program, the Secretary shall submit to Congress a report containing an evaluation of the effectiveness of the pilot program, including an assessment of the petroleum displacement and benefits to the environment derived from the projects included in the pilot program.
(e) Restriction- No grant shall be provided under subsection (b) or (c) to a large, vertically integrated oil company.
(f) Authorization of Appropriations- There are authorized to be appropriated to the Secretary for carrying out this section $200,000,000 for each of the fiscal years 2008 through 2014.
SEC. 245. STUDY OF THE ADEQUACY OF TRANSPORTATION OF DOMESTICALLY-PRODUCED RENEWABLE FUEL BY RAILROADS AND OTHER MODES OF TRANSPORTATION.
(1) IN GENERAL- The Secretary, in coordination with the Secretary of Transportation, shall jointly conduct a study of the adequacy of transportation of domestically-produced renewable fuels by railroad and other modes of transportation as designated by the Secretaries.
(2) COMPONENTS- In conducting the study under paragraph (1), the Secretaries shall--
(A) consider the adequacy of existing railroad and other transportation and distribution infrastructure, equipment, service and capacity to move the necessary quantities of domestically-produced renewable fuel within the timeframes;
(B)(i) consider the projected costs of moving the domestically-produced renewable fuel by railroad and other modes transportation; and
(ii) consider the impact of the projected costs on the marketability of the domestically-produced renewable fuel;
(C) identify current and potential impediments to the reliable transportation and distribution of adequate supplies of domestically-produced renewable fuel at reasonable prices, including practices currently utilized by domestic producers, shippers, and receivers of renewable fuels;
(D) consider whether adequate competition exists within and between modes of transportation for the transportation and distribution of domestically-produced renewable fuel and, whether inadequate competition leads to an unfair price for the transportation and distribution of domestically-produced renewable fuel or unacceptable service for transportation of domestically-produced renewable fuel;
(E) consider whether Federal agencies have adequate legal authority to address instances of inadequate competition when inadequate competition is found to prevent domestic producers for renewable fuels from obtaining a fair and reasonable transportation price or acceptable service for the transportation and distribution of domestically-produced renewable fuels;
(F) consider whether Federal agencies have adequate legal authority to address railroad and transportation service problems that may be resulting in inadequate supplies of domestically-produced renewable fuel in any area of the United States;
(G) consider what transportation infrastructure capital expenditures may be necessary to ensure the reliable transportation of adequate supplies of domestically-produced renewable fuel at reasonable prices within the United States and which public and private entities should be responsible for making such expenditures; and
(H) provide recommendations on ways to facilitate the reliable transportation of adequate supplies of domestically-produced renewable fuel at reasonable prices.
(b) Report- Not later than 180 days after the date of enactment of this Act, the Secretaries shall jointly submit to the Committee on Commerce, Science and Transportation, the Committee on Energy and Natural Resources, and the Committee on Environment and Public Works of the Senate and the Committee on Transportation and Infrastructure and the Committee on Energy and Commerce of the House of Representatives a report that describes the results of the study conducted under subsection (a).
SEC. 246. FEDERAL FLEET FUELING CENTERS.
(a) In General- Not later than January 1, 2010, the head of each Federal agency shall install at least 1 renewable fuel pump at each Federal fleet fueling center in the United States under the jurisdiction of the head of the Federal agency.
(b) Report- Not later than October 31 of the first calendar year beginning after the date of the enactment of this Act, and each October 31 thereafter, the President shall submit to Congress a report that describes the progress toward complying with subsection (a), including identifying--
(1) the number of Federal fleet fueling centers that contain at least 1 renewable fuel pump; and
(2) the number of Federal fleet fueling centers that do not contain any renewable fuel pumps.
(c) Department of Defense Facility- This section shall not apply to a Department of Defense fueling center with a fuel turnover rate of less than 100,000 gallons of fuel per year.
(d) Authorization of Appropriations- There are authorized to be appropriated such sums as are necessary to carry out this section.
SEC. 247. STANDARD SPECIFICATIONS FOR BIODIESEL.
Section 211 of the Clean Air Act (42 U.S.C. 7545) is amended by redesignating subsection (s) as subsection (t), redesignating subsection (r) (relating to conversion assistance for cellulosic biomass, waste-derived ethanol, approved renewable fuels) as subsection (s) and by adding the following new subsection at the end thereof:
`(u) Standard Specifications for Biodiesel- (1) Unless the American Society for Testing and Materials has adopted a standard for diesel fuel containing 20 percent biodiesel (commonly known as `B20') within 1 year after the date of enactment of this subsection, the Administrator shall initiate a rulemaking to establish a uniform per gallon fuel standard for such fuel and designate an identification number so that vehicle manufacturers are able to design engines to use fuel meeting such standard.
`(2) Unless the American Society for Testing and Materials has adopted a standard for diesel fuel containing 5 percent biodiesel (commonly known as `B5') within 1 year after the date of enactment of this subsection, the Administrator shall initiate a rulemaking to establish a uniform per gallon fuel standard for such fuel and designate an identification so that vehicle manufacturers are able to design engines to use fuel meeting such standard.
`(3) Whenever the Administrator is required to initiate a rulemaking under paragraph (1) or (2), the Administrator shall promulgate a final rule within 18 months after the date of the enactment of this subsection.
`(4) Not later than 180 days after the enactment of this subsection, the Administrator shall establish an annual inspection and enforcement program to ensure that diesel fuel containing biodiesel sold or distributed in interstate commerce meets the standards established under regulations under this section, including testing and certification for compliance with applicable standards of the American Society for Testing and Materials. There are authorized to be appropriated to carry out the inspection and enforcement program under this paragraph $3,000,000 for each of fiscal years 2008 through 2010.
`(5) For purposes of this subsection, the term `biodiesel' has the meaning provided by section 312(f) of Energy Policy Act of 1992 (42 U.S.C. 13220(f)).'.
SEC. 248. BIOFUELS DISTRIBUTION AND ADVANCED BIOFUELS INFRASTRUCTURE.
(a) In General- The Secretary, in coordination with the Secretary of Transportation and in consultation with the Administrator of the Environmental Protection Agency, shall carry out a program of research, development, and demonstration relating to existing transportation fuel distribution infrastructure and new alternative distribution infrastructure.
(b) Focus- The program described in subsection (a) shall focus on the physical and chemical properties of biofuels and efforts to prevent or mitigate against adverse impacts of those properties in the areas of--
(1) corrosion of metal, plastic, rubber, cork, fiberglass, glues, or any other material used in pipes and storage tanks;
(2) dissolving of storage tank sediments;
(4) contamination from water or other adulterants or pollutants;
(5) poor flow properties related to low temperatures;
(6) oxidative and thermal instability in long-term storage and uses;
(7) microbial contamination;
(8) problems associated with electrical conductivity; and
(9) such other areas as the Secretary considers appropriate.
Subtitle D--Environmental Safeguards
SEC. 251. WAIVER FOR FUEL OR FUEL ADDITIVES.
Section 211(f)(4) of the Clean Air Act (42 U.S.C. 7545(f)) is amended to read as follows:
`(4) The Administrator, upon application of any manufacturer of any fuel or fuel additive, may waive the prohibitions established under paragraph (1) or (3) of this subsection or the limitation specified in paragraph (2) of this subsection, if he determines that the applicant has established that such fuel or fuel additive or a specified concentration thereof, and the emission products of such fuel or fuel additive or specified concentration thereof, will not cause or contribute to a failure of any emission control device or system (over the useful life of the motor vehicle, motor vehicle engine, nonroad engine or nonroad vehicle in which such device or system is used) to achieve compliance by the vehicle or engine with the emission standards with respect to which it has been certified pursuant to sections 206 and 213(a). The Administrator shall take final action to grant or deny an application submitted under this paragraph, after public notice and comment, within 270 days of the receipt of such an application.'.
TITLE III--ENERGY SAVINGS THROUGH IMPROVED STANDARDS FOR APPLIANCE AND LIGHTING
Subtitle A--Appliance Energy Efficiency
SEC. 301. EXTERNAL POWER SUPPLY EFFICIENCY STANDARDS.
(a) Definitions- Section 321 of the Energy Policy and Conservation Act (42 U.S.C. 6291) is amended--
(A) by striking `(36) The' and inserting the following:
`(36) EXTERNAL POWER SUPPLY-
`(A) IN GENERAL- The'; and
(B) by adding at the end the following:
`(B) ACTIVE MODE- The term `active mode' means the mode of operation when an external power supply is connected to the main electricity supply and the output is connected to a load.
`(C) CLASS A EXTERNAL POWER SUPPLY-
`(i) IN GENERAL- The term `class A external power supply' means a device that--
`(I) is designed to convert line voltage AC input into lower voltage AC or DC output;
`(II) is able to convert to only 1 AC or DC output voltage at a time;
`(III) is sold with, or intended to be used with, a separate end-use product that constitutes the primary load;
`(IV) is contained in a separate physical enclosure from the end-use product;
`(V) is connected to the end-use product via a removable or hard-wired male/female electrical connection, cable, cord, or other wiring; and
`(VI) has nameplate output power that is less than or equal to 250 watts.
`(ii) EXCLUSIONS- The term `class A external power supply' does not include any device that--
`(I) requires Federal Food and Drug Administration listing and approval as a medical device in accordance with section 513 of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 360c); or
`(II) powers the charger of a detachable battery pack or charges the battery of a product that is fully or primarily motor operated.
`(D) NO-LOAD MODE- The term `no-load mode' means the mode of operation when an external power supply is connected to the main electricity supply and the output is not connected to a load.'; and
(2) by adding at the end the following:
`(52) DETACHABLE BATTERY- The term `detachable battery' means a battery that is--
`(A) contained in a separate enclosure from the product; and
`(B) intended to be removed or disconnected from the product for recharging.'.
(b) Test Procedures- Section 323(b) of the Energy Policy and Conservation Act (42 U.S.C. 6293(b)) is amended by adding at the end the following:
`(17) CLASS A EXTERNAL POWER SUPPLIES- Test procedures for class A external power supplies shall be based on the `Test Method for Calculating the Energy Efficiency of Single-Voltage External AC-DC and AC-AC Power Supplies' published by the Environmental Protection Agency on August 11, 2004, except that the test voltage specified in section 4(d) of that test method shall be only 115 volts, 60 Hz.'.
(c) Efficiency Standards for Class A External Power Supplies- Section 325(u) of the Energy Policy and Conservation Act (42 U.S.C. 6295(u)) is amended by adding at the end the following:
`(6) EFFICIENCY STANDARDS FOR CLASS A EXTERNAL POWER SUPPLIES-
`(A) IN GENERAL- Subject to subparagraphs (B) through (D), a class A external power supply manufactured on or after the later of July 1, 2008, or the date of enactment of this paragraph shall meet the following standards:
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