SEC. 15. ARPA–E STUDY. 
(a) IN GENERAL.—The Secretary shall enter into an 
arrangement with the National Academy of Sciences to con-
duct a detailed study of, and make further recommendations 
on, the October 2005 National Academy of Sciences rec-
ommendation to establish an Advanced Research Projects 
Agency-Energy (in this section referred to as ARPA–E). 
(b) REPORT.—Not later than 12 months after the date 
of enactment of this Act, the Secretary shall transmit to 
Congress the study described in subsection (a) and the Sec-
retary’s response to the findings, conclusions, and rec-
ommendations of that study. 
(c) TERMS OF REFERENCE.—The Secretary shall en-
sure that the study described in subsection (a) addresses the 
following questions: 
(1) What basic research related to new energy 
technologies is occurring now, what entities are fund-
ing it, and what is preventing the results of that re-
search from reaching the market? 
(2) What economic evidence indicates that the 
limiting factor in the market penetration of new en-
ergy technologies is a lack of basic research on path-
breaking new technologies? What barriers do those 
trying to develop new energy technologies face during 
later stages of research and development? 
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(3) To what extent is the Defense Advanced Re-
search Projects Agency an appropriate model for an 
energy research agency, given that the Federal Gov-
ernment would not be the primary customer for its 
technology and where cost is an important concern? 
(4) How would research and development spon-
sored by ARPA–E differ from research and develop-
ment conducted by the National Laboratories or spon-
sored by the Department through the Office of 
Science, the Office of Energy Efficiency and Renew-
able Energy, the Office of Fossil Energy, the Office of 
Electricity Delivery and Energy Reliability, and the 
Office of Nuclear Energy? 
(5) Should industry or National Laboratories be 
recipients of ARPA–E grants? What institutional or 
organizational arrangements would be required to en-
sure that ARPA–E sponsors transformational, rather 
than incremental, research and development? 
SEC. 16. COAL METHANATION. 
(a) PROGRAM.—The Secretary shall establish a pro-
gram of research, development, demonstration, and commer-
cial application of coal gasification facilities that convert 
coal into pipeline quality gaseous fuels for direct use or sub-
sequent chemical or physical conversion. 
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(b) PROCEDURES.—The program established under 
subsection (a) shall be carried out using procedures de-
scribed in title XVII of the Energy Policy Act of 2005. 
SEC. 17. ALTERNATIVE BIOBASED FUELS AND ULTRA LOW 
SULFUR DIESEL. 
(a) ALTERNATIVE FUEL AND ULSD INFRASTRUCTURE 
AND ADDITIVES RESEARCH AND DEVELOPMENT.—The Sec-
retary, in consultation with the National Institute of 
Standards and Technology, shall carry out a program of 
research, development, demonstration, and commercial ap-
plication of materials to be added to alternative biobased 
fuels and Ultra Low Sulfur Diesel fuels to make them more 
compatible with existing infrastructure used to store and 
deliver petroleum-based fuels to the point of final sale. The 
program shall address— 
(1) materials to prevent or mitigate— 
(A) corrosion of metal, plastic, rubber, cork, 
fiberglass, glues, or any other material used in 
pipes and storage tanks; 
(B) dissolving of storage tank sediments; 
(C) clogging of filters; 
(D) contamination from water or other 
adulterants or pollutants; 
(E) poor flow properties related to low tem-
peratures; 
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(F) oxidative and thermal instability in 
long-term storage and use; 
(G) increased volatile emissions; 
(H) microbial contamination; 
(I) problems associated with electrical con-
ductivity; and 
(J) increased nitrogen oxide emissions; 
(2) alternatives to conventional methods for re-
furbishment and cleaning of gasoline and diesel tanks, 
including tank lining applications; and 
(3) other problems as identified by the Secretary 
in consultation with the National Institute of Stand-
ards and Technology. 
(b) SULFUR TESTING FOR DIESEL FUELS.— 
(1) PROGRAM.—The Secretary, in consultation 
with the National Institute of Standards and Tech-
nology, shall carry out a research, development, and 
demonstration program on portable, low-cost, and ac-
curate methods and technologies for testing of sulfur 
content in fuel, including Ultra Low Sulfur Diesel 
and Low Sulfur Diesel. 
(2) SCHEDULE OF DEMONSTRATIONS.—Not later 
than 1 year after the date of enactment of this Act, 
the Secretary shall begin demonstrations of tech-
nologies under paragraph (1). 
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(c) STANDARD REFERENCE MATERIALS
AND DATA 
BASE DEVELOPMENT.—Not later than 6 months after the 
date of enactment of this Act, the National Institute of 
Standards and Technology shall develop a physical prop-
erties data base and standard reference materials for alter-
native fuels. Such data base and standard reference mate-
rials shall be maintained and updated as appropriate as 
additional alternative fuels become available. 
SEC. 18. BIOENERGY. 
(a) AUTHORIZATION
OF APPROPRIATIONS.—Section 
931 of the Energy Policy Act of 2005 (42 U.S.C. 16231) 
is amended— 
(1) in subsection (c)(1), by inserting ‘‘, including 
$25,000,000 for section 932(d)(1)(B)(v)’’ after ‘‘sec-
tion 932(d)’’; 
(2) in subsection (c)(2), by inserting ‘‘, including 
$25,000,000 for section 932(d)(1)(B)(v)’’ after ‘‘sec-
tion 932(d)’’; and 
(3) in subsection (c)(3), by inserting ‘‘, including 
$25,000,000 for section 932(d)(1)(B)(v)’’ after ‘‘sec-
tion 932(d)’’. 
(b) BIOENERGY PROGRAM.—Section 932(d)(1)(B) of 
the Energy Policy Act of 2005 (42 U.S.C. 16232(d)(1)(B)) 
is amended— 
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(1) by striking ‘‘and’’ at the end of clause (iii); 
and 
(2) by adding after clause (iv) the following new 
clause: 
‘‘(v) biodegradable natural plastics 
from biomass; and’’. 
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Union Calendar No. 352 
109TH CONGRESS 
2D SESSION 
H. R. 5656 
[Report No. 109–611] 
A BILL 
To provide for Federal energy research, develop-
ment, demonstration, and commercial application 
activities, and for other purposes. 
JULY 28, 2006 
Reported with an amendment, committed to the Com-
mittee of the Whole House on the State of the Union, 
and ordered to be printed 
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