demonstrate compliance for the calendar year in 
which the credit was generated. 
‘‘(D) INABILITY TO PURCHASE SUFFICIENT 
CREDITS.—The regulations promulgated to 
carry out this subsection shall include provi-
sions permitting any person that is unable to 
generate or purchase sufficient credits to meet 
the requirement under paragraph (2) to carry 
forward a renewables deficit if, for the calendar 
year following the year in which the renewables 
deficit is created— 
‘‘(i) the person achieves compliance 
with the renewables requirement under 
paragraph (2); and 
‘‘(ii) generates or purchases additional 
renewables credits to offset the renewables 
deficit of the preceding year. 
‘‘(6) SEASONAL
VARIATIONS
IN
RENEWABLE 
FUEL USE.— 
‘‘(A) STUDY.—For each of calendar years 
2006 through 2012, the Administrator of the 
Energy Information Administration shall con-
duct a study of renewable fuels blending to de-
termine whether there are excessive seasonal 
variations in the use of renewable fuels.
‘‘(B) REGULATION
OF
EXCESSIVE
SEA-
SONAL VARIATIONS.—If, for any calendar year, 
the Administrator of the Energy Information 
Administration, based on the study under sub-
paragraph (A), makes the determinations speci-
fied in subparagraph (C), the Administrator 
shall promulgate regulations to ensure that 35 
percent or more of the quantity of renewable 
fuels necessary to meet the requirements under 
paragraph (2) is used during each of the peri-
ods specified in subparagraph (D) of each sub-
sequent calendar year. 
‘‘(C) DETERMINATIONS.—The determina-
tions referred to in subparagraph (B) are 
that— 
‘‘(i) less than 35 percent of the quan-
tity of renewable fuels necessary to meet 
the requirements under paragraph (2) has 
been used during 1 of the periods specified 
in subparagraph (D) of the calendar year; 
‘‘(ii) a pattern of excessive seasonal 
variation described in clause (i) will con-
tinue in subsequent calendar years; and 
‘‘(iii) promulgating regulations or 
other requirements to impose a 35 percent
or more seasonal use of renewable fuels 
will not prevent or interfere with the at-
tainment of national ambient air quality 
standards or significantly increase the 
price of motor fuels to the consumer. 
‘‘(D) PERIODS.—The 2 periods referred to 
in this paragraph are— 
‘‘(i) April through September; and 
‘‘(ii) January through March and Oc-
tober through December. 
‘‘(E) 
EXCLUSIONS.—Renewable 
fuels 
blended or consumed in 2006 in a State that 
has received a waiver under section 209(b) shall 
not be included in the study under subpara-
graph (A). 
‘‘(7) WAIVERS.— 
‘‘(A) IN GENERAL.—The Administrator, in 
consultation with the Secretary of Agriculture 
and the Secretary of Energy, may waive the re-
quirements under paragraph (2), in whole or in 
part, on a petition by 1 or more States by re-
ducing the national quantity of renewable fuel 
required under this subsection— 
‘‘(i) based on a determination by the 
Administrator, after public notice and op-
portunity for comment, that implementa-
tion of the requirement would severely 
harm the economy or environment of a 
State, a region, or the United States; or 
‘‘(ii) based on a determination by the 
Administrator, after public notice and op-
portunity for comment, that there is an in-
adequate domestic supply to meet the re-
quirement. 
‘‘(B) PETITIONS FOR WAIVERS.—Not later 
than 90 days after the date on which a petition 
is received by the Administrator under subpara-
graph (A), the Administrator, in consultation 
with the Secretary of Agriculture and the Sec-
retary of Energy, shall approve or disapprove 
the petition. 
‘‘(C) TERMINATION OF WAIVERS.—A waiv-
er granted under subparagraph (A) shall termi-
nate on the date that is 1 year after the date 
on which the waiver was granted, but may be 
renewed by the Administrator, after consulta-
tion with the Secretary of Agriculture and the 
Secretary of Energy. 
‘‘(8) SMALL REFINERIES.—