I 
108TH CONGRESS 
1ST SESSION H. R. 1020
To amend the Clean Air Act requirements relating to gasoline to prevent 
future supply shortages and price spikes in the gasoline market, and 
for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 27, 2003
Mr. RYAN of Wisconsin (for himself, Mr. GREEN of Wisconsin, and Mr. SEN-
SENBRENNER) introduced the following bill; which was referred to the 
Committee on Energy and Commerce 
A BILL 
To amend the Clean Air Act requirements relating to gaso-
line to prevent future supply shortages and price spikes 
in the gasoline market, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. FINDINGS. 
Congress finds the following: 
(1) The President’s National Energy Policy De-
velopment (NEPD) Group recommended that the 
Environmental Protection Agency (EPA) study the 
environmental benefits of State boutique fuels and 
methods to increase the flexibility of the fuel dis-
tribution infrastructure and the gasoline market li-
quidity. 
(2) Seasonal price spikes, particularly in the 
Midwest, can be attributed to the number of bou-
tique fuels and the lack of fungibility, especially 
when there is a disruption in the refining or pipeline 
system. 
(3) According to the EPA Study of Boutique 
Fuels released October 24, 2001, a reduction of the 
number of boutique fuels may moderate the price 
spikes that occur with the transition of winter to 
summer grade reformulated gasoline (RFG). 
(4) The propagation of boutique fuels may 
occur in the future as a result of State laws banning 
the use of MTBE, an oxygenated gasoline additive. 
(5) Refiners argue that without any restrictions 
on States, boutique fuels will continue to proliferate. 
(6) Stakeholders have acknowledged that fewer 
fuel types would simplify gasoline distribution and 
therefore ease the potential for local supply disrup-
tions and resulting price volatility without disrupting 
gasoline supply, air quality benefits, or prices. 
(7) The EPA study examined several options, 
one of which would create a menu of three fuels for 
States to choose from (conventional gasoline, low-
RVP, or a new Federal clean burning gas), including 
a new national renewable fuel requirement. 
(8) The EPA study found that this option is 
the least costly of all the options presented and 
would increase gasoline production capacity, giving 
the best balance among gasoline cost, distribution, 
and supply, and air quality. 
SEC. 2. BOUTIQUE FUELS. 
(a) REDUCING THE PROLIFERATION OF BOUTIQUE 
FUELS.—(1) Section 211(c)(4) of such Act (42 U.S.C. 
7545(c)(4)) is amended by adding the following at the end 
thereof: 
‘‘(D) In the case of gasoline, in addition to the re-
quirements of subparagraph (C), after the enactment of 
this subparagraph, the Administrator may approve a pro-
vision described in subparagraph (C) in an implementation 
plan only if the Administrator finds that the control or 
prohibition in the applicable implementation plan requires 
the use of either of the following: 
‘‘(i) Federal clean burning fuel meeting the re-
quirements of subsection (k). 
‘‘(ii) Low RVP gasoline meeting the require-
ments of subsection (h)(6). 
‘‘(E) In the case of implementation plan provisions 
approved under subparagraph (C) on or before the date
of the enactment of this subparagraph, such provisions 
may remain in effect after the date 4 years after the enact-
ment of this subparagraph only if the State has, within 
6 months after the enactment of this subparagraph, re-
evaluated the provisions and established to the satisfaction 
of the Administrator that the benefits of such provisions 
in terms of air quality improvement, consistent supply, 
production costs and stable prices for gasoline exceed the 
benefits of modifying such provisions to require the use 
of Federal clean burning fuel meeting the requirements 
of subsection (k) or low RVP gasoline meeting the require-
ments of subsection (h)(6) (whichever requires a Reid 
Vapor Pressure closest to the Reid Vapor Pressure re-
quired by the plan provisions prior to modification).’’. 
(2) By striking ‘‘engine—’’ in subparagraph (A) of 
section 211(c)(4) of the Clean Air Act and all that follows 
down through the end of such subparagraph and inserting 
‘‘engine.’’. 
(3) By striking ‘‘, for the purposes of motor vehicle 
emission control,’’ in subparagraph (A) of section 
211(c)(4) of the Clean Air Act.
(b) LOW RVP GAS OPTION.—Section 211(h) of the 
Clean Air Act (42 U.S.C. 7545(h)) is amended by adding 
the following new paragraph at the end thereof:
‘‘(6) LOW RVP GASOLINE.—The Administrator 
shall promulgate regulations providing for a gasoline 
blend for the high ozone season (as determined by 
the Administrator) having a Reid Vapor Pressure of 
7.8 pounds per square inch (psi). The Administrator 
shall approve State plan provisions submitted under 
subsection (c)(4)(C) and (D) for ozone nonattain-
ment areas in both northern and southern areas of 
the nation (other than covered areas under sub-
section (k)) that require gasoline to meet the re-
quirements of the regulations under this para-
graph.’’. 
(c) FEDERAL CLEAN BURNING GAS.—(1) Section 
211(k) of the Clean Air Act is amended to read as follows: 
‘‘(k) FEDERAL CLEAN BURNING GAS.—
‘‘(1) EPA REGULATIONS.—The Administrator 
shall promulgate regulations under this section es-
tablishing requirements for Federal clean burning 
gasoline to be used in gasoline-fueled vehicles in 
specified nonattainment areas. Such regulations 
shall require the greatest reduction in emissions of 
ozone forming volatile organic compounds (during 
the high ozone season) and emissions of toxic air 
pollutants (during the entire year) achievable 
through the reformulation of conventional gasoline,
taking into consideration the cost of achieving such 
emission reductions, any nonair-quality and other 
air-quality related health and environmental impacts 
and energy requirements. 
‘‘(2) GENERAL
REQUIREMENTS.—The regula-
tions referred to in paragraph (1) shall require that 
Federal clean burning gasoline comply with para-
graph (3) and with each of the following require-
ments (subject to paragraph (7)): 
‘‘(A) NOX EMISSIONS.—The emissions of 
oxides of nitrogen (NOX) from baseline vehicles 
when using the Federal clean burning gasoline 
shall be no greater than the level of such emis-
sions from such vehicles when using baseline 
gasoline. If the Administrator determines that 
compliance with the limitation on emissions of 
oxides of nitrogen under the preceding sentence 
is technically infeasible, considering the other 
requirements applicable under this subsection to 
such gasoline, the Administrator may, as appro-
priate to ensure compliance with this subpara-
graph, adjust (or waive entirely), any other re-
quirements of this paragraph (including the ox-
ygen content requirement contained in subpara-
graph (B)) or any requirements applicable 
under paragraph (3)(A). 
‘‘(B) BENZENE
CONTENT.—The benzene 
content of the gasoline shall not exceed 1.0 per-
cent by volume. 
‘‘(C) HEAVY METALS.—The gasoline shall 
have no heavy metals, including lead or man-
ganese. The Administrator may waive the pro-
hibition contained in this subparagraph for a 
heavy metal (other than lead) if the Adminis-
trator determines that addition of the heavy 
metal to the gasoline will not increase, on an 
aggregate mass or cancer-risk basis, toxic air 
pollutant emissions from motor vehicles. 
‘‘(3) MORE STRINGENT OF FORMULA OR PER-
FORMANCE
STANDARDS.—The regulations referred 
to in paragraph (1) shall require compliance with 
the more stringent of either the requirements set 
forth in subparagraph (A) or the requirements of 
subparagraph (B) of this paragraph. For purposes 
of determining the more stringent provision, clause 
(i) and clause (ii) of subparagraph (B) shall be con-
sidered independently. 
‘‘(A) FORMULA.—
‘‘(i) BENZENE.—The benzene content 
of the Federal clean burning gasoline shall 
not exceed 1.0 percent by volume. 
‘‘(ii) AROMATICS.—The aromatic hy-
drocarbon content of the Federal clean 
burning gasoline shall not exceed 25 per-
cent by volume. 
‘‘(iii) 
LEAD.—The 
Federal 
clean 
burning gasoline shall have no lead con-
tent. 
‘‘(iv) 
DETERGENTS.—The 
Federal 
clean burning gasoline shall contain addi-
tives to prevent the accumulation of depos-
its in engines or vehicle fuel supply sys-
tems. 
‘‘(v) REID
VAPOR
PRESSURE.—The 
Reid Vapor Pressure of the gasoline shall 
not exceed 6.8 pounds per square inch 
(psi) for the high ozone season (as deter-
mined by the Administrator). 
‘‘(B) PERFORMANCE STANDARD.—
‘‘(i) VOC 
EMISSIONS.—During the 
high ozone season (as defined by the Ad-
ministrator), the Reid Vapor Pressure of
the gasoline shall not exceed 6.8 pounds 
per square inch (psi). 
‘‘(ii) TOXICS.—During the entire year, 
the aggregate emissions of toxic air pollut-
ants from baseline vehicles when using the 
Federal clean burning gasoline shall be 15 
percent below the aggregate emissions of 
toxic air pollutants from such vehicles 
when using baseline gasoline. Effective in 
calendar year 2000 and thereafter, 25 per-
cent shall be substituted for 15 percent in 
applying this clause, except that the Ad-
ministrator may adjust such 25 percent re-
quirement to provide for a lesser or greater 
reduction based on technological feasibility, 
considering the cost of achieving such re-
ductions in toxic air pollutants. No such 
adjustment shall provide for less than a 20 
percent reduction below the aggregate 
emissions of such air pollutants from such 
vehicles when using baseline gasoline. The 
reductions required under this clause shall 
be on a mass basis. 
Any reduction greater than a specific percentage re-
duction required under this subparagraph shall be
treated as satisfying such percentage reduction re-
quirement. 
‘‘(4) CERTIFICATION PROCEDURES.—
‘‘(A) 
REGULATIONS.—The 
regulations 
under this subsection shall include procedures 
under which the Administrator shall certify 
Federal clean burning gasoline as complying 
with the requirements established pursuant to 
this subsection. Under such regulations, the Ad-
ministrator shall establish procedures for any 
person to petition the Administrator to certify 
a fuel formulation, or slate of fuel formulations. 
Such procedures shall further require that the 
Administrator shall approve or deny such peti-
tion within 180 days of receipt. If the Adminis-
trator fails to act within such 180-day period, 
the fuel shall be deemed certified until the Ad-
ministrator completes action on the petition. 
‘‘(B) CERTIFICATION; EQUIVALENCY.—The 
Administrator shall certify a fuel formulation or 
slate of fuel formulations as complying with this 
subsection if such fuel or fuels—
‘‘(i) comply with the requirements of 
paragraph (2), and
‘‘(ii) achieve equivalent or greater re-
ductions in emissions of ozone forming 
volatile organic compounds and emissions 
of toxic air pollutants than are achieved by 
a Federal clean burning gasoline meeting 
the applicable requirements of paragraph 
(3). 
‘‘(C) EPA DETERMINATION OF EMISSIONS 
LEVEL.—The Administrator shall determine the 
level of emissions of ozone forming volatile or-
ganic compounds and emissions of toxic air pol-
lutants emitted by baseline vehicles when oper-
ating on baseline gasoline. For purposes of this 
subsection, the Administrator shall, by rule, de-
termine appropriate measures of, and method-
ology for, ascertaining the emissions of air pol-
lutants (including calculations, equipment, and 
testing tolerances). 
‘‘(5) PROHIBITION.—Effective on the date 4 
years after the enactment of this paragraph, each of 
the following shall be a violation of this subsection: 
‘‘(A) The sale or dispensing by any person 
of conventional gasoline to ultimate consumers 
in any covered area.
‘‘(B) The sale or dispensing by any refiner, 
blender, importer, or marketer of conventional 
gasoline for resale in any covered area, without 
(i) segregating such gasoline from Federal clean 
burning gasoline, and (ii) clearly marking such 
conventional gasoline as ‘‘conventional gasoline, 
not for sale to ultimate consumer in a covered 
area’’. 
Any refiner, blender, importer or marketer who pur-
chases property segregated and marked conventional 
gasoline, and thereafter labels, represents, or whole-
sales such gasoline as Federal clean burning gasoline 
shall also be in violation of this subsection. The Ad-
ministrator may impose sampling, testing, and rec-
ordkeeping requirements upon any refiner, blender, 
importer, or marketer to prevent violations of this 
section. 
‘‘(6) OPT-IN AREAS.—(A) Upon the application 
of the Governor of a State, the Administrator shall 
apply the prohibition set forth in paragraph (5) in 
any area in the State classified under subpart 2 of 
part D of title I as a Marginal, Moderate, Serious, 
or Severe Area (without regard to whether or not 
the 1980 population of the area exceeds 250,000). 
In any such case, the Administrator shall establish
an effective date for such prohibition as he deems 
appropriate, 1 year after such application is re-
ceived. The Administrator shall publish such applica-
tion in the Federal Register upon receipt. 
‘‘(B) If the Administrator determines, on the 
Administrator’s own motion or on petition of any 
person, after consultation with the Secretary of En-
ergy, that there is insufficient domestic capacity to 
produce gasoline certified under this subsection, the 
Administrator shall, by rule, extend the effective 
date of such prohibition in Marginal, Moderate, Seri-
ous, or Severe Areas referred to in subparagraph 
(A) for one additional year, and may, by rule, renew 
such extension for 2 additional one-year periods. The 
Administrator shall act on any petition submitted 
under this paragraph within 6 months after receipt 
of the petition. The Administrator shall issue such 
extensions for areas with a lower ozone classification 
before issuing any such extension for areas with a 
higher classification. 
‘‘(7) CREDITS.—(A) The regulations promul-
gated under this subsection shall provide for the 
granting of an appropriate amount of credits to a
person who refines, blends, or imports and certifies 
a gasoline or slate of gasoline that—
‘‘(i) has an aromatic hydrocarbon content 
(by volume) that is less than the maximum aro-
matic hydrocarbon content required to comply 
with paragraph (3); or 
‘‘(ii) has a benzene content (by volume) 
that is less than the maximum benzene content 
specified in paragraph (2). 
‘‘(B) The regulations described in subparagraph 
(A) shall also provide that a person who is granted 
credits may use such credits, or transfer all or a 
portion of such credits to another person for use 
within the same nonattainment area, for the purpose 
of complying with this subsection. 
‘‘(C) The regulations promulgated under sub-
paragraphs (A) and (B) shall ensure the enforce-
ment of the requirements for the issuance, applica-
tion, and transfer of the credits. Such regulations 
shall prohibit the granting or transfer of such cred-
its for use with respect to any gasoline in a non-
attainment area, to the extent the use of such cred-
its would result in any of the following: 
‘‘(i) An average gasoline aromatic hydro-
carbon content (by volume) for the nonattain-
ment (taking into account all gasoline sold for 
use in conventional gasoline-fueled vehicles in
the nonattainment area) higher than the aver-
age fuel aromatic hydrocarbon content (by vol-
ume) that would occur in the absence of using 
any such credits. 
‘‘(ii) An average benzene content (by vol-
ume) for the nonattainment area (taking into 
account all gasoline sold for use in conventional 
gasoline-fueled vehicles in the nonattainment 
area) higher than the average benzene content 
(by volume) that would occur in the absence of 
using any such credits. 
‘‘(8) ANTI-DUMPING RULES.—
‘‘(A) IN
GENERAL.—The Administrator 
shall promulgate regulations applicable to each 
refiner, blender, or importer of gasoline ensur-
ing that gasoline sold or introduced into com-
merce by such refiner, blender, or importer 
(other than Federal clean burning gasoline sub-
ject to the requirements of paragraph (1)) does 
not result in average per gallon emissions 
(measured on a mass basis) of (i) volatile or-
ganic compounds, (ii) oxides of nitrogen, (iii) 
carbon monoxide, and (iv) toxic air pollutants 
in excess of such emissions of such pollutants 
attributable to gasoline sold or introduced into
commerce in calendar year 1990 by that re-
finer, blender, or importer. 
‘‘(B) ADJUSTMENTS.—In evaluating com-
pliance with the requirements of subparagraph 
(A), the Administrator shall make appropriate 
adjustments to insure that no credit is provided 
for improvement in motor vehicle emissions con-
trol in motor vehicles sold after the calendar 
year 1990. 
‘‘(C) COMPLIANCE DETERMINED FOR EACH 
POLLUTANT INDEPENDENTLY.—In determining 
whether there is an increase in emissions in vio-
lation of the prohibition contained in subpara-
graph (A) the Administrator shall consider an 
increase in each air pollutant referred to in 
clauses (i) through (iv) as a separate violation 
of such prohibition, except that the Adminis-
trator shall promulgate regulations to provide 
that any increase in emissions of oxides of ni-
trogen resulting from adding oxygenates to gas-
oline may be offset by an equivalent or greater 
reduction (on a mass basis) in emissions of 
volatile organic compounds, carbon monoxide, 
or toxic air pollutants, or any combination of 
the foregoing.
‘‘(D) COMPLIANCE PERIOD.—The Admin-
istrator shall promulgate an appropriate compli-
ance period or appropriate compliance periods 
to be used for assessing compliance with the 
prohibition contained in subparagraph (A). 
‘‘(E) BASELINE FOR DETERMINING COM-
PLIANCE.—If the Administrator determines 
that no adequate and reliable data exists re-
garding the composition of gasoline sold or in-
troduced into commerce by a refiner, blender, 
or importer in calendar year 1990, for such re-
finer, blender, or importer, baseline gasoline 
shall be substituted for such 1990 gasoline in 
determining compliance with subparagraph (A). 
‘‘(9) EMISSIONS
FROM
ENTIRE
VEHICLE.—In 
applying the requirements of this subsection, the Ad-
ministrator shall take into account emissions from 
the entire motor vehicle, including evaporative, run-
ning, refueling, and exhaust emissions. 
‘‘(10) DEFINITIONS.—For purposes of this sub-
section—
‘‘(A) BASELINE
VEHICLES.—The term 
‘baseline vehicles’ mean representative model 
year 1990 vehicles. 
‘‘(B) BASELINE GASOLINE.—
‘‘(i) SUMMERTIME.—The term ‘base-
line gasoline’ means in the case of gasoline 
sold during the high ozone period (as de-
fined by the Administrator) a gasoline 
which meets the following specifications:
BASELINE GASOLINE FUEL PROPERTIES 
API Gravity ...........................................................
57.4
Sulfur, ppm ...........................................................
339
Benzene, % ............................................................
1.53
RVP, psi .................................................................
8.7
Octane, R+M/2 ......................................................
87.3
IBP, F ....................................................................
10%, F ....................................................................
128
50%, F ....................................................................
218
90%, F ....................................................................
330
End Point, F ..........................................................
415
Aromatics, % .........................................................
32.0
Olefins, % ..............................................................
9.2
Saturates, % ..........................................................
58.8
‘‘(ii) 
WINTERTIME.—The 
Adminis-
trator shall establish the specifications of 
‘baseline gasoline’ for gasoline sold at 
times other than the high ozone period (as 
defined by the Administrator). Such speci-
fications shall be the specifications of 1990 
industry average gasoline sold during such 
period. 
‘‘(C) TOXIC AIR POLLUTANTS.—The term 
‘toxic air pollutants’ means the aggregate emis-
sions of the following: Benzene, 3 Butadiene,
Polycyclic organic matter (POM), Acetaldehyde, 
Formaldehyde.
‘‘(D) COVERED AREA.—The 9 ozone non-
attainment areas having a 1980 population in 
excess of 250,000 and having the highest ozone
design value during the period 1987 through 
1989 shall be ‘‘covered areas’’ for purposes of 
this subsection. Effective one year after the re-
classification of any ozone nonattainment area 
as a Severe ozone nonattainment area under 
section 181(b), such Severe area shall also be a 
‘‘covered area’’ for purposes of this subsection. 
‘‘(E) FEDERAL
CLEAN
BURNING
GASO-
LINE.—The term ‘Federal clean burning gaso-
line’ means any gasoline which is certified by 
the Administrator under this section as com-
plying with this subsection. 
‘‘(F) 
CONVENTIONAL
GASOLINE.—The 
term ‘conventional gasoline’ means any gasoline 
which does not meet specifications set by a cer-
tification under this subsection and which is not 
low RVP gasoline meeting the requirements of 
section 211(h)(6).’’. 
(2) The Clean Air Act is amended by striking the 
term ‘‘reformulated gasoline’’ in each place it appears and 
inserting in lieu thereof ‘‘Federal clean burning fuel’’. 
(3) Except for purposes of section 211(v)(4)(D)(i) of 
the Clean Air Act, as added by subsection (a) of this sec-
tion, the amendments made by this subsection shall take 
effect on the date 4 years after the enactment of this Act.
For purposes of such section 211(v)(4)(D)(i), the amend-
ments made by this subsection shall take effect on the date 
of the enactment of this Act. 
SEC. 3. REPEAL OF OXYGEN CONTENT REQUIREMENT FOR 
CERTAIN REFORMULATED GASOLINE. 
Effective January 1, 2004, sections 211(k)(2)(B), 
and 211(k)(3)(A)(v), and 211(k)(7)(A)(i) of the Clean Air 
Act are repealed. 
SEC. 4. ELIMINATION OF MTBE. 
Section 
211(f) 
of 
the 
Clean 
Air 
Act 
(42 
U.S.C.7545(f)) is amended by adding the following new 
paragraph after paragraph (5): 
‘‘(6) After January 1, 2007, it shall be unlawful for 
any manufacturer of any fuel to introduce into commerce 
any gasoline which contains methyl tertiary butyl ether 
(MTBE).’’. 
SEC. 5. RENEWABLE FUELS CONTENT OF GASOLINE. 
Title II of the Clean Air Act is amended by adding 
the following new section after section 211: 
‘‘SEC. 212. RENEWABLE FUELS CONTENT OF GASOLINE. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) BIOMASS.—The term ‘biomass’ means 
lignocellulosic or hemicellulosic matter that is avail-
able on a renewable basis, including dedicated en-
ergy crops and trees, wood and wood residues,
plants, grasses, agricultural commodities and resi-
dues, fibers; and animal waste, municipal solid 
waste, and other waste. 
‘‘(2) RENEWABLE FUEL.—The term ‘renewable 
fuel’ means fuel that—
‘‘(A) is ethanol or any other liquid fuel 
produced from biomass; and 
‘‘(B) is used to reduce the quantity of fos-
sil fuel present in gasoline used to operate a 
motor vehicle. 
‘‘(3) ADMINISTRATOR.—The term ‘Adminis-
trator’ means the Administrator of the Environ-
mental Protection Agency. 
‘‘(b) RENEWABLE FUEL PROGRAM.—
‘‘(1) IN GENERAL.—The gasoline sold or intro-
duced into commerce in the United States in the cal-
endar year 2004 or any calendar year thereafter by 
a refiner, blender, or importer for use in motor vehi-
cles shall, on an average annual basis, be comprised 
of a quantity of renewable fuel that is not less than 
the applicable percentage by volume for the annual 
period. 
‘‘(2) APPLICABLE PERCENTAGE.—
‘‘(A) IN GENERAL.—For the purposes of 
paragraph (1), the applicable percentage for
any calendar year shall be determined in ac-
cordance with the following schedule, unless 
modified under subparagraph (B):
Calendar year: 
Applicable percentage of 
renewable fuel: 
2004 .........................................................................................
1.61
up to 2012 and thereafter .......................................................
2.43
‘‘(B) ADJUSTMENTS TO APPLICABLE PER-
CENTAGE.—On petition submitted by a State, 
the Administrator, in consultation with the Sec-
retary of Energy and the Secretary of Agri-
culture, may lower the applicable percentage 
specified in subparagraph (A) for one calendar 
year with respect to gasoline sold or introduced 
into commerce in the State, if the Adminis-
trator, after public notice and opportunity for 
comment, determines that during the calendar 
year there is likely to be an inadequate domes-
tic supply or distribution capacity in the State 
to meet the applicable percentage specified in 
subparagraph (A) for the calendar year. 
‘‘(C) PETITIONS FOR ADJUSTMENT.—
‘‘(i) SUBMISSION.—A State shall sub-
mit a petition under subparagraph (B) not 
later than April 1 of the year preceding the 
calendar year for which the adjustment is 
sought.
‘‘(ii) ACTION
ON
PETITIONS.—The 
Administrator, in consultation with the 
Secretary of Energy and the Secretary of 
Agriculture, shall approve or deny a State 
petition before the beginning of the cal-
endar year. 
‘‘(c) CREDIT PROGRAM.—
‘‘(1) IN GENERAL.—Not later than 6 months 
after the date of enactment of this Act, the Adminis-
trator, in consultation with the Secretary of Energy 
and the Secretary of Agriculture, shall promulgate 
regulations providing for the generation of an appro-
priate amount of credits by a person that refines, 
blends, or imports gasoline that contains, on an an-
nual average basis, a quantity of renewable fuel that 
is greater than the quantity required for that annual 
period under subsection (b). 
‘‘(2) USE
OF
CREDITS.—A person that gen-
erates credits under paragraph (1) may use the 
credits, hold the credits for later use, or transfer all 
or a portion of the credits to another person, for the 
purpose of complying with subsection (b). 
‘‘(3) INABILITY
TO
PURCHASE
SUFFICIENT 
CREDITS.—The regulations under paragraph (1) 
shall include provisions allowing a refiner, blender,
or importer that is unable to purchase sufficient 
credits to meet the requirements of subsection (b) to 
enter into an enforceable agreement to generate or 
purchase sufficient credits to make up for any defi-
ciency within a period of time specified in the agree-
ment. 
‘‘(4) 
TESTING; 
REPORTS.—The 
regulations 
under paragraph (1) may include provisions requir-
ing a refiner, blender, or importer—
‘‘(A) to conduct tests to ascertain the com-
position of fuels for the purpose of compliance 
with subsection (b); and 
‘‘(B) to submit to the Administrator peri-
odic reports on the composition of the fuels re-
fined, blended, or imported. 
‘‘(d) CIVIL PENALTIES AND ENFORCEMENT.—
‘‘(1) CIVIL PENALTIES.—
‘‘(A) IN
GENERAL.—The Administrator 
may impose against a person that fails to com-
ply with subsection (b) or with a regulation 
under subsection (c) a civil penalty in the 
amount of—
‘‘(i) not more than $25,000 for each 
day of the failure to comply; plus
‘‘(ii) the amount of economic benefit 
realized by the person as a result of the 
failure to comply. 
‘‘(B) AVERAGING PERIOD.—Any failure to 
comply with respect to a regulation under sub-
section (c) for any calendar year shall con-
stitute a separate day of failure of compliance 
for each day of such year. 
‘‘(2) ENFORCEMENT.—The Administrator may 
bring a civil action in United States district court 
for—
‘‘(A) an order enjoining a failure to comply 
with subsection (b) or with a regulation under 
subsection (c); and 
‘‘(B) other appropriate relief. 
‘‘(e) CONGRESSIONAL SUPPORT FOR ETHANOL.—It 
is the sense of the Congress that it is in the national inter-
est to support the promotion of ethanol as the primary 
renewable fuel to be used for purposes of satisfying the 
requirements of this section.’’. 
SEC. 6. STUDY OF EFFECT ON AIR QUALITY. 
Within 7 years after the enactment of this Act, the 
Administrator of the Environmental Protection Agency 
shall complete and publish a study of the changes in the
emissions of any air pollutant and in air quality attrib-
utable to the amendments made by this Act.
Æ