Curiously, it doesn't include an overt push for a tightening of the CAFE
(Corporate Average Fuel Economy) standards that many experts say could
have the greatest immediate impact on coercing automakers to produce more
fuel-efficient cars. But it does include a call to reduce U.S. petroleum
consumption by 6 million barrels a day in 2020 -- or 40 percent of
America's projected imports. Specifically for vehicles, it would require
that 25 percent of new vehicles sold in the U.S. by 2010 be flex-fuel
capable, rising to 50 percent by 2020.
The Bill's greatest impact in promoting renewable energy use is the
establishment of a national renewable portfolio standard (RPS) requiring
that 10 percent of all electricity produced in the country come from
renewable sources by 2020. In the past several years, such a measure has
been soundly defeated by the Republican majority. Similarly, politics will
have a bearing on the energy package proposed by Senate Democrats this
week.
As one industry insider put it, "when Democrats introduce a Bill in a
Republican- controlled Congress [it has] less than 50% chance of passage.
When Democrats introduce a bill in a Republican-controlled Congress six
months before a mid-term national election, less than 25% chance of
passage. This is just a place-holder that has little chance for passage
but may be cherry-picked by the Republicans."
Some polling indicates that Republicans are polling worse than Democrats
on the energy issue. The Bill may fare better than simply being
cherry-picked by Republicans, and could actually become a bipartisan
government effort since clean energy is increasingly supported by both
parties.
Many energy items have been introduced in Congress in the past few weeks
but what ultimately passes is far from certain and likely to look nothing
like what was originally proposed.
The full, unedited press release on the package follows:
Democrats want to give America the edge by moving in a new direction.
Senate Democrats' Clean Energy Development for a Growing Economy (Clean
EDGE) initiative will help transform America's energy policy, to meet one
of the most pressing national security, economic, and environmental
challenges of our generation. Democrats understand-and our nation's
history demonstrates -- that America can rise to the occasion. Making
energy independence a truly national effort takes a bold plan, leaders
with resolve and a shared sense of commitment among individual citizens.
Like the Manhattan and the Apollo projects that have come before, the
Clean EDGE initiative begins with an aggressive goal: to reduce U.S.
petroleum consumption by 6 million barrels a day in 2020 -- or 40 percent
of America's projected imports. By clearing the pathways to innovation,
investing in our workers and infrastructure, and providing American
consumers with broader, more responsible choices, the Clean EDGE
initiative will provide the tools to help move America forward, toward
real energy security for the 21st Century.
Transforming American's Vehicles & Infrastructure
Flex-Fuel Vehicles: The Clean EDGE Act accelerates the conversion of
American vehicles to flexible fuel technology. The legislation mandates
that 25 percent of new vehicles sold in the U.S. by 2010 be flex-fuel
capable, rising to 50 percent by 2020. Flexible fuel vehicles can run on
higher blends of biofuels, which helps displace petroleum and provide
competition at the gas pump.
Accelerating Infrastructure Conversion: A major barrier to using flex fuel
vehicles to reduce petroleum consumption is the lack of refueling stations
that provide biofuels. The Clean EDGE Act sets a national goal of
installing alternative fuels at 10 percent of American gas stations by
2015. To help achieve it, the legislation will provide additional tools to
individual retailers, along with support to local governments that partner
with private industry to establish alternative refueling corridors in
different parts of the country. In order to break the oil industry's lock
on the gas pump, it also requires major integrated oil companies that own
refueling stations to install alternative fuel pumps.
Hybrids and Advanced Vehicle Technology: The Clean EDGE Act will
accelerate and extend incentives to purchase and manufacture vehicles that
rely on advanced fuel efficiency technologies.
Protecting American Consumers & Businesses
Preventing Gas Price Gouging and Increasing Transparency in the Oil and
Gas Industry: The Clean EDGE Act makes gas price-gouging a Federal crime,
enhances Federal authority to prevent and prosecute manipulation of fuel
supplies and anti-competitive behavior, and increases the transparency of
petroleum markets.
Energy Price Relief for Low-Income Americans: The Clean EDGE Act will
provide additional assistance to Americans struggling under the weight of
rising energy costs, by providing flexibility in Food Stamp and Section 8
Public Housing requirements, and a refundable tax credit to LIHEAP-eligible
households to help cover residential energy costs.
Energy Emergency Loans for Farmers and Small Businesses: Volatile prices
place an extra burden on businesses that operate close to the margin. The
Clean EDGE Act creates disaster loan assistance through the Small Business
Administration and USDA, for small businesses and farmers trying to cope
with rising energy costs.
Leveling the Playing Field for Clean Energy Technologies
Ending Giveaways to Big Oil: The Clean EDGE Act will revoke subsidies for
profit-rich, major oil companies, and make sure they pay their fair share
in royalties owed to American taxpayers for drilling on public lands and
in federal waters.
Providing Certainty to Emerging Technologies: Rather than subsidizing the
mature petroleum industry, the Clean EDGE Act will use these savings to
provide greater certainty for clean energy development, by extending
incentives for renewable energy and efficiency technologies.
Real Government Leadership for Clean and Secure Energy
A Serious Federal Commitment: The federal government is the single largest
energy consumer in America. The Clean EDGE Act requires the Federal
government reduce its petroleum consumption by 20 percent in five years
and 40 percent by 2020, increase its renewable electricity use to 10
percent of total consumption by 2013, and employ advanced, efficient, and
renewable technology to help drive innovation and jumpstart markets.
Innovative New Tools for States: The Clean EDGE Act provides enhanced bond
issuing authority to states and local governments, for projects to reduce
oil consumption and greenhouse gas emissions, to develop non-petroleum
fuels, invest in efficient vehicles, alternative infrastructure and
transit.
Diversifying American Energy Sources, Investing in the Future
Renewable Electricity. To help reduce America's reliance on fossil fuels
and reduce greenhouse gas emissions, the Clean EDGE Act sets a national
renewable portfolio standard requiring that 10 percent of all electricity
produced in the country come from renewable sources by 2020.
ARPA-E. The Clean EDGE Act will create an Advanced Research Projects
Agency for Energy (ARPA-E) to develop cutting-edge technologies that will
reduce oil consumption, improve electricity efficiency and reliability,
and reduce greenhouse gas emissions.
Investing in American Jobs and Industry. The Clean EDGE Act will create a
clean energy investment administration to help deploy new, on-the-ground
solutions. It will also invest in education programs to develop a skilled
domestic workforce in advanced energy technologies.
