Growing Renewable Energy through Existing and New Environmentally Responsible Fuels Act
A BILL
To amend the Clean Air Act to reform the renewable fuel program under that Act, and for other purposes.
Sec. 2 Definition of Administrator
Sec. 3 Limitation on fuels derived from corn kernels
“(iii) Exclusion—The term advanced biofuel does not include any fuel derived from a corn kernel-based feedstock.”
“(i) In general—The term”
“(ii) Exclusion—The term cellulosic biofuel does not include any renewable fuel derived from a corn kernel-based feedstock.”
Sec. 4 Renewable biomass
“(i) In general—The term”
“(ii) Exclusion—The term renewable biomass does not include any species or variety of plant that, as determined by the Secretary of Agriculture, in consultation with other appropriate Federal and State agencies, is—
“(I) invasive;
“(II) noxious; or
“(III) potentially invasive, as determined using—
“(aa) a credible risk assessment tool; or
“(bb) any other credible source.”
“(A) In general—To allow”
“(B) Annual analysis of feedstocks and land
“(i) In general—Not later than April 1 of each year, the Administrator, in conjunction with the Secretary of Agriculture, shall publish an analysis of the feedstocks and land used during the preceding calendar year to ensure compliance with this subsection, including an analysis of, with respect to that preceding calendar year—
“(I) the total domestic land area used for commercial agricultural production;
“(II) the total area planted to produce renewable biomass crops (including corn and soy) used to generate credits under this subsection;
“(III) the total area reported to the Department of Agriculture to be “new breakings”, including a description of—
“(aa) the number of acres that were previously—
“(AA) wetlands, pasture, rangeland, or grasslands enrolled in the conservation reserve program established under subchapter B of chapter 1 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3831 et seq.); or
“(BB) other sensitive land; and
“(bb) the crops planted on those acres;
“(IV) the likelihood that renewable fuels were produced from feedstocks that do not qualify as renewable biomass;
“(V) the number, scope, and outcomes of any enforcement actions carried out by the Administrator in response to noncompliance with the reporting and recordkeeping requirements of this subsection; and
“(VI) any documented case in which a credit was generated pursuant to this subsection for a fuel that is not considered to be renewable biomass.
“(ii) Authorization of appropriations—There are authorized to be appropriated to the Administrator and the Secretary of Agriculture such sums as are necessary for each fiscal year to carry out this subparagraph.”
Sec. 5 Strengthening environmental standards
Sec. 6 Applicable volumes; sunset
“(B) Applicable volumes; sunset
“(i) Conventional biofuel—For purposes of subparagraph (A), the applicable volume of renewable fuel that is not cellulosic biofuel, biomass-based diesel, or any other advanced biofuel shall be—
“(I) for calendar year 2019, 15,000,000,000 gallons;
“(II) for calendar year 2020, 15,000,000,000 gallons;
“(III) for calendar year 2021, 15,000,000,000 gallons;
“(IV) for calendar year 2022, 15,000,000,000 gallons;
“(V) for calendar year 2023, 13,000,000,000 gallons;
“(VI) for calendar year 2024, 11,000,000,000 gallons;
“(VII) for calendar year 2025, 9,000,000,000 gallons;
“(VIII) for calendar year 2026, 7,000,000,000 gallons;
“(IX) for calendar year 2027, 5,000,000,000 gallons;
“(X) for calendar year 2028, 3,000,000,000 gallons; and
“(XI) for calendar year 2029, 1,000,000,000 gallons.
“(ii) Cellulosic biofuel, biomass-based diesel, and other advanced biofuel
“(I) In general—Subject to subclause (III), not later than March 1 of each calendar year, the Administrator shall establish for the calendar year that the applicable volume of cellulosic biofuel, biomass-based diesel, and advanced biofuel (other than cellulosic biofuel and biomass-based diesel) for purposes of subparagraph (A) shall be equal to the actual volume of cellulosic biofuel, biomass-based diesel, or advanced biofuel (other than cellulosic biofuel and biomass-based diesel), respectively, produced during the preceding calendar year, as determined under subclause (II).
“(II) Determination of actual production
“(aa) In general—Not later than February 28 of each calendar year, the Administrator shall determine the actual volume of cellulosic biofuel, biomass-based diesel, and advanced biofuel (other than cellulosic biofuel and biomass-based diesel) produced during the preceding calendar year, based on information from the Moderated Transaction System of the Environmental Protection Agency.
“(bb) Mid-year review—Not later than September 1 of each calendar year, the Administrator shall adjust the applicable volume requirement under subclause (I) for the calendar year for cellulosic biofuel, biomass-based diesel, or other advanced biofuel to reflect any increase in production during that calendar year, based on information from the Moderated Transaction System.
“(III) Limitation—Notwithstanding any other provision of this clause, the applicable volume of biomass-based diesel or advanced biofuel (other than biomass-based diesel and cellulosic biofuel) established pursuant to subclause (I) for any calendar year shall not exceed 2,000,000,000 gallons.
“(iii) Limitation on virgin vegetable oils
“(I) Definition of virgin vegetable oil
“(aa) In general—In this clause, the term virgin vegetable oil means any oil pressed directly from a harvested crop, including soybean, canola, peanut, and palm crops.
“(bb) Exclusion—In this clause, the term virgin vegetable oil does not include any recycled or waste oil, such as—
“(AA) used cooking oil; or
“(BB) any other waste oil that is no longer usable for human or animal consumption.
“(II) Limitation—For each calendar year, not more than 1,000,000,000 gallons of biomass-based diesel derived from a virgin vegetable oil or a bioenergy production byproduct that is suitable as animal feed may be used to satisfy the applicable volume of biomass-based diesel required under this paragraph.
“(iv) Sunset
“(I) In general—The requirement under this paragraph that transportation fuel sold or introduced into commerce in the United States (except in noncontiguous States or territories), on an annual average basis, shall contain at least an applicable volume of any renewable fuel that is not cellulosic biofuel shall cease to apply on January 1, 2030.
“(II) Cellulosic biofuel—The requirement under this paragraph that transportation fuel sold or introduced into commerce in the United States (except in noncontiguous States or territories), on an annual average basis, shall contain at least an applicable volume of renewable fuel that is cellulosic biofuel shall cease to apply beginning on the earlier of—
“(aa) January 1, 2037; and
“(bb) January 1 of the calendar year beginning after the first calendar year during which a total of not less than 2,000,000,000 gallons of cellulosic biofuel is produced.”
Sec. 7 Alleviating ethanol blend wall
“(iii) Limitation
“(I) Introduction into commerce of conventional biofuel
“(aa) In general—Notwithstanding paragraph (2)(B), subject to item (bb), the Administrator shall not establish any renewable fuel obligation for a calendar year under this subsection that would result, directly or indirectly, in the introduction into commerce in the United States of a total volume of conventional biofuel contained in transportation fuel that is greater than 9.7 percent of the total volume of gasoline projected to be sold or introduced into commerce in the United States for that calendar year.
“(bb) Prioritization—In carrying out this subparagraph, the Administrator shall give priority to the consumption of commercially available ethanol that is cellulosic biofuel before the consumption of conventional biofuel.
“(II) Applicability—The limitation under subclause (I) shall apply without regard to the available supply of credits generated during any preceding calendar year pursuant to paragraph (4).
“(III) EIA estimate
“(aa) In general—For purposes of subclause (I), for each calendar year, the Administrator shall request from the Administrator of the Energy Information Administration, and use without alteration, an estimate of the total volume of gasoline projected to be sold or introduced into commerce in the United States during that calendar year.
“(bb) Requirement—The Administrator of the Energy Information Administration shall provide to the Administrator each estimate requested pursuant to item (aa) relating to a calendar year by not later than February 28 of that calendar year.”
Sec. 8 Cellulosic biofuel credits
“(i) In general—Subject to clause (ii), a credit”
“(ii) Cellulosic biofuel credits—Notwithstanding clause (i), a cellulosic biofuel credit generated pursuant to this paragraph shall be valid to demonstrate compliance with paragraph (2) for—
“(I) the calendar year during which the credit is generated; and
“(II) the following calendar year.”
“(F) No limitation on generation of cellulosic biofuel credits—The regulations promulgated pursuant to paragraph (2)(A) shall provide that the number of cellulosic biofuel credits that may be generated for any calendar year pursuant to this paragraph shall not be limited to the applicable volume determined under paragraph (2)(B) of cellulosic biofuel for that year.”