Phantom Fuels Elimination Act of 2014

Summary: Phantom Fuels Elimination Act of 2014 - Amends the Clean Air Act to revise the renewable fuel program by requiring advanced biofuel, biomass-based diesel, and cellulosic biofuel to be produced in the United States.   Directs the Environmental Protection Agency (EPA), for any year in which the projected volume of advanced biofuel and biomass-based diesel production is less than the applicable volume standard established under the program, to reduce the volume of advanced biofuel and biomass-based diesel required to be blended into transportation fuel to the projected volume available for that year. Directs the Energy Information Administration to provide the EPA an estimate, with respect to the following year, of the volumes of advanced biofuel projected to be sold or introduced into commerce. Eliminates the volume standards under the program applicable to corn-starch ethanol.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Phantom Fuels Elimination Act of 
2014''.

SEC. 2. ADVANCED BIOFUEL, BIOMASS-BASED DIESEL, AND CELLULOSIC BIOFUEL 
              REQUIRED TO BE PRODUCED IN THE UNITED STATES TO SATISFY 
              RENEWABLE FUEL PROGRAM MANDATES.

    (a) Advanced Biofuel.--Section 211(o)(1)(B)(i) of the Clean Air Act 
(42 U.S.C. 7545(o)(1)(B)(i)) is amended by striking ``that has 
lifecycle'' and inserting ``that is produced in the United States and 
has lifecycle''.
    (b) Biomass-Based Diesel.--Section 211(o)(1)(D) of the Clean Air 
Act (42 U.S.C. 7545(o)(1)(D)) is amended--
            (1) in the first sentence, by striking ``that is 
        biodiesel'' and inserting ``that is produced in the United 
        States and is biodiesel''; and
            (2) in the second sentence, by striking ``renewable fuel 
        derived from'' and inserting ``renewable fuel that is produced 
        in the United States and derived from''.
    (c) Cellulosic Biofuel.--Section 211(o)(1)(E) of the Clean Air Act 
(42 U.S.C. 7545(o)(1)(E)) is amended--
            (1) by striking ``renewable fuel derived from'' and 
        inserting ``renewable fuel that is produced in the United 
        States, that is derived from''; and
            (2) by inserting a comma after ``from renewable biomass''.
    (d) Waivers for Reduction of Applicable Volume in Case of 
Inadequate Supply.--
            (1) Advanced biofuel.--Section 211(o)(7) of the Clean Air 
        Act (42 U.S.C. 7545(o)(7)) is amended by adding at the end the 
        following:
                    ``(G) Advanced biofuel.--For any calendar year for 
                which the projected volume of advanced 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 advanced biofuel required 
                under paragraph (2)(B) to the projected volume 
                available during that calendar year.''.
            (2) Biomass-based diesel.--Section 211(o)(7)(E) of the 
        Clean Air Act (42 U.S.C. 7545(o)(7)(E)) is amended by adding at 
        the end the following:
                    ``(iv) Inadequate supply.--For any calendar year 
                for which the projected volume of biomass-based diesel 
                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 biomass-based diesel 
                production required under paragraph (2)(B) to the 
                projected volume available during that calendar 
                year.''.
            (3) Estimate of volumes.--Section 211(o)(3)(A) of the Clean 
        Air Act (42 U.S.C. 7545(o)(3)(A)) is amended by inserting 
        ``advanced biofuel,'' before ``biomass-based diesel''.

SEC. 3. ELIMINATION OF CORN ETHANOL MANDATE FOR RENEWABLE FUEL.

    (a) In General.--Section 211(o)(2)(A)(i) of the Clean Air Act (42 
U.S.C. 7545(o)(2)(A)(i)) is amended by striking ``renewable fuel,'' 
after ``contains at least the applicable volume of''.
    (b) Removal of Table.--Section 211(o)(2)(B)(i) of the Clean Air Act 
(42 U.S.C. 7545(o)(2)(B)(i)) is amended by striking subclause (I).
    (c) Conforming Amendments.--Section 211(o)(2)(B) of the Clean Air 
Act (42 U.S.C. 7545(o)(2)(B)) is amended--
            (1) in clause (i)--
                    (A) by redesignating subclauses (II) through (IV) 
                as subclauses (I) through (III), respectively;
                    (B) in subclause (I) (as so redesignated), by 
                striking ``of the volume of renewable fuel required 
                under subclause (I),''; and
                    (C) in subclauses (II) and (III) (as so 
                redesignated), by striking ``subclause (II)'' each 
                place it appears and inserting ``subclause (I)'';
            (2) by striking clause (iii) and redesignating clauses (iv) 
        and (v) as clauses (iii) and (iv), respectively; and
            (3) in clause (iv), as so redesignated, by striking 
        ``clause (i)(IV)'' and inserting ``clause (i)(III)''.
    (d) Administration.--Nothing in this section or the amendments made 
by this section affects the volumes of advanced biofuel, cellulosic 
biofuel, or biomass-based diesel that are required under section 211(o) 
of the Clean Air Act (42 U.S.C. 7545(o)) (as in effect on the day 
before the date of enactment of this Act).
    (e) Regulations.--Not later than 180 days after the date of 
enactment of this Act, the Administrator of the Environmental 
Protection Agency shall promulgate such regulations as are necessary to 
carry out the amendments made by this section.
    (f) Effective Date.--The amendments made by this section shall take 
effect on the date that is 180 days after the date of enactment of this 
Act.