Alternative fuels and advanced technology vehicles have been addressed early in the 111th Congress, as both the House and Senate versions of the American Recovery and Reinvestment Act of 2009 (H.R. 1) contained provisions supporting their development and deployment. While some of these provisions were removed in conference, the final version still contains provisions for tax incentives, federal grants and loans, and other federal support for alternative fuels and advanced vehicles.

The 111th Congress is likely to further discuss alternative fuels and advanced technology vehicles as it addresses other key topics. These include their role in any federal policy to address climate change, and their role in federal energy policy. The 111th Congress may also play an oversight role in the development of major regulations: the Environmental Protection Agency’s implementation of the renewable fuel standard enacted in 2005, and expanded in 2007; the Department of Transportation’s implementation of new fuel economy standards enacted in 2007; and the Department of Agriculture’s implementation of a new Farm Bill enacted in 2008.

In the 110th Congress, alternative fuels and advanced technology vehicles received a good deal of attention, especially in discussions over U.S. energy security. In his January 24, 2007, State of the Union Address, President Bush called for the increased use of renewable and alternative motor fuels to 35 billion gallons annually by 2017. U.S. consumption was roughly five billion gallons in 2006. Therefore, such an initiative would mean a seven-fold increase in the use of these fuels over 11 years. On December 19, 2007, President Bush signed the Energy Independence and Security Act of 2007 (EISA, P.L. 110-140). EISA requires an increase in renewable fuel consumption to 9.0 billion gallons in 2008 and 36 billion gallons in 2022. Further within the 36- billion-gallon requirement, by 2022 the law mandates the use of 21 billion gallons of “advanced biofuels,” defined as fuel derived from renewable biomass other than corn starch, with 50% lower lifecycle greenhouse gas emissions compared to petroleum fuels. The 110th Congress also enacted the Food, Conservation, and Energy Act of 2008 (2008 Farm Bill, P.L. 110-246)—which expanded and extended incentives for biofuels—as well as the Emergency Economic Stabilization Act of 2008 (EESA, P.L. 110-343)—which modified existing fuel tax credits, and established a tax credit for the purchase of plug-in vehicles.

This report supersedes CRS Report RL33564, Alternative Fuels and Advanced Technology Vehicles: Issues in Congress, by Brent D. Yacobucci. [read report]

Topics: Transportation