I 

112TH CONGRESS 

1ST SESSION H. R. 2036 

To repeal certain barriers to domestic fuel production, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 26, 2011 

Mr. GRIFFITH of Virginia (for himself, Mr. GONZALEZ, Mr. REHBERG, Mr. 

WHITFIELD, and Mr. SHIMKUS) introduced the following bill; which was 

referred to the Committee on Energy and Commerce, and in addition to 

the Committees on Oversight and Government Reform, Armed Services, 

and Science, Space, and Technology, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions 

as fall within the jurisdiction of the committee concerned 

A BILL 

To repeal certain barriers to domestic fuel production, and 

for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘American Alternative 

5 Fuels Act of 2011’’. 

6 SEC. 2. FINDINGS. 

7 Congress finds that— 


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1 (1) the United States needs short- and long2 term policies designed— 

3 (A) to eliminate the reliance of the United 

4 States on foreign energy sources; 

5 (B) to create jobs in the United States; 

6 and 

7 (C) to harness all of the energy resources 

8 of the United States; 

9 (2) promoting the energy security of the United 

10 States can be achieved by leveraging all domestic en11 ergy resources, including— 

12 (A) traditional fossil fuels; 

13 (B) alternative energy resources; and 

14 (C) renewable energy; and 

15 (3) the United States needs to adopt policies 

16 that would foster a more sustainable domestic en17 ergy supply that would— 

18 (A) decrease risks to national security; 

19 (B) lower domestic energy prices; 

20 (C) reduce trade deficits; and 

21 (D) create jobs in the United States. 


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1 SEC. 3. REPEAL OF UNNECESSARY BARRIERS TO DOMES2 TIC FUEL PRODUCTION. 

3 (a) IN GENERAL.—Section 526 of the Energy Inde4 pendence and Security Act of 2007 (42 U.S.C. 17142) is 

5 repealed. 

6 (b) CONFORMING AMENDMENT.—Section 1112 of the 

7 National Aeronautics and Space Administration Author8 ization Act of 2008 (42 U.S.C. 17827) is repealed. 

9 SEC. 4. TRANSPARENCY FOR DELAYED LOAN GUARANTEE 

10 APPLICATIONS. 

11 Section 1702 of the Energy Policy Act of 2005 (42 

12 U.S.C. 16512) is amended by adding at the end the fol13 lowing: 

14 ‘‘(l) REPORTING REQUIREMENT.— 

15 ‘‘(1) IN GENERAL.—If the Secretary fails to 

16 make a final decision by the date that is 270 days 

17 after the date on which the Secretary selects an ap18 plication to proceed to negotiations of terms and 

19 conditions for issuance of a conditional commitment 

20 for a loan guarantee application under this title for 

21 a substitute natural gas, chemical feedstock, or liq22 uid transportation fuel project, not later than 7 days 

23 after that date, and for every 90-day period there24 after, the Secretary shall— 

25 ‘‘(A) prepare a status report for the period 

26 covered by the report; and 


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1 ‘‘(B) submit the status report to— 

2 ‘‘(i) the Committee on Energy and 

3 Natural Resources of the Senate; and 

4 ‘‘(ii) the Committee on Energy and 

5 Commerce of the House of Representa6 tives. 

7 ‘‘(2) CONTENTS.—The status report described 

8 in paragraph (1) shall contain— 

9 ‘‘(A) a description of each reason for the 

10 delay of the application; 

11 ‘‘(B) the name and office of the official 

12 who, for the period covering the status report, 

13 has reviewed the application; and 

14 ‘‘(C) a detailed schedule for completion of 

15 the application review.’’. 

16 SEC. 5. ALGAE-BASED FUEL INCENTIVES. 

17 Section 211(o)(2)(B) of the Clean Air Act (42 U.S.C. 

18 7545(o)(2)(B)) is amended by adding at the end the fol19 lowing: 

20 ‘‘(vi) ALGAE-BASED FUEL INCEN21 TIVES.—For purposes of calculating the 

22 applicable volume of renewable fuel under 

23 clauses (i) and (ii) for each calendar year, 

24 the Administrator shall consider each gal25 lon of renewable biomass produced from 


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1 algae to be equal to 3 gallons of renewable 

2 fuel if the algae-based fuel was produced 

3 using carbon dioxide that was captured in 

4 a manner that prevented the uncontrolled 

5 release of carbon dioxide into the atmos6 phere during a separate energy production 

7 process.’’. 

8 SEC. 6. LOAN GUARANTEES. 

9 Section 1703(b) of the Energy Policy Act of 2005 

10 (42 U.S.C. 16513(b)) is amended by adding at the end 

11 the following: 

12 ‘‘(11) Substitute natural gas production facili13 ties, if the gas is produced— 

14 ‘‘(A) from a solid feedstock through a gas15 ification process; and 

16 ‘‘(B) in a manner that captures at least 90 

17 percent of the carbon produced through the 

18 gasification process.’’. 

19 SEC. 7. MULTIYEAR CONTRACT AUTHORITY FOR DEPART20 MENT OF DEFENSE FOR PROCUREMENT OF 

21 ALTERNATIVE FUELS. 

22 (a) MULTIYEAR CONTRACTS FOR THE PROCURE23 MENT OF ALTERNATIVE FUELS AUTHORIZED.— 


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1 (1) IN GENERAL.—Chapter 141 of title 10, 

2 United States Code, is amended by adding at the 

3 end the following: 

4 ‘‘SEC. 2410r. MULTIYEAR CONTRACT AUTHORITY: PUR5 CHASE OF ALTERNATIVE FUELS. 

6 ‘‘(a) IN GENERAL.—The head of an agency (as de7 fined in section 2302) may enter into contracts for a pe8 riod not to exceed 20 years for the purchase of alternative 

9 fuels. 

10 ‘‘(b) REQUIRED PROVISIONS.—A contract entered 

11 into under subsection (a) shall include the following provi12 sions: 

13 ‘‘(1) A statement that the obligation of the 

14 United States to make payments under the contract 

15 in any fiscal year is subject to appropriations being 

16 provided specifically for that fiscal year and specifi17 cally for alternative fuels. 

18 ‘‘(2) A commitment to obligate the necessary 

19 amount for each fiscal year covered by the contract 

20 when and to the extent that funds are appropriated 

21 for that purpose for that fiscal year. 

22 ‘‘(3) A statement that a commitment given 

23 under the authority of this section does not con24 stitute an obligation of the United States.’’. 


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1 (2) CLERICAL AMENDMENT.—The table of sec2 tions of chapter 141 of title 10, United States Code, 

3 is amended by adding at the end the following: 

‘‘2410r. Multiyear contract authority: purchase of alternative fuels.’’. 

4 (b) REGULATIONS.—Not later than 120 days after 

5 the date of enactment of this Act, the Secretary of Defense 

6 shall issue regulations providing that the head of an agen7 cy may enter into a multiyear contract as authorized by 

8 section 2410r of title 10, United States Code (as added 

9 by subsection (a)), only if the head of the agency has de10 termined in writing that— 

11 (1) there is a reasonable expectation that, 

12 throughout the contemplated contract period, the 

13 head of the agency will request funding for the con14 tract at the level required to avoid contract cancella15 tion; 

16 (2) the technical risks associated with the tech17 nologies for the production of alternative fuel under 

18 the contract are not excessive; 

19 (3) the contract will contain appropriate pricing 

20 mechanisms to minimize risk to the Federal Govern21 ment from significant changes in market prices for 

22 energy; and 

23 (4) the contract will not be used by the Depart24 ment of Defense to finance new facilities intended to 


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1 produce fuel for consumption by the Federal Gov2 ernment. 

3 (c) LIMITATION ON USE OF AUTHORITY.—No con4 tract may be entered into under section 2410r of title 10, 

5 United States Code (as so added), until the regulations 

6 required by subsection (b) are issued. 

7 SEC. 8. ELECTRIC VEHICLE IMPACT ON ELECTRICITY DE8 MAND. 

9 Section 169(3) of the Clean Air Act (42 U.S.C. 

10 7479(3)) is amended— 

11 (1) by striking ‘‘(3) The term’’ and inserting 

12 the following: 

13 ‘‘(3) BEST AVAILABLE CONTROL TECH14 NOLOGY.— 

15 ‘‘(A) DEFINITION.— 

16 ‘‘(i) IN GENERAL.—The term’’; 

17 (2) in the second sentence, by striking ‘‘In no 

18 event’’ and inserting the following: 

19 ‘‘(B) EMISSION LIMITATIONS.— 

20 ‘‘(i) IN GENERAL.—In no event’’; 

21 (3) in the third sentence, by striking ‘‘Emis22 sions’’ and inserting the following: 

23 ‘‘(ii) PROHIBITION ON CERTAIN IN24 CREASES.—Emissions’’; and 

25 (4) by adding at the end the following: 


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1 ‘‘(C) ADDITIONAL CONSIDERATIONS.—For 

2 purposes of establishing the ‘best available con3 trol technology’ for a major emitting facility 

4 that is an electric generating facility located in 

5 a region in which demand for electricity has in6 creased significantly due to the volume of elec7 tric vehicles, the permitting authority shall take 

8 into account the extent to which the emissions 

9 of a pollutant have been reduced as a result of 

10 the increased use of electric vehicles.’’. 

Æ 


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