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1 Introduction
Pages 13-28

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From page 13... ... 140) "to move the United States toward greater energy independence and security, to increase the production of clean renewable fuels, to protect consumers, to increase the efficiency of products, buildings, and vehicles, to promote research on and deploy GHG capture and storage options, and to improve the energy performance of the Federal Government, and for other purposes." A subtitle within EISA entitled the Renewable Fuel Standard (RFS) Read the entire page →
From page 14... ... Biofuel supply chain 3. Projected supply of cellulosic biomass 4. Read the entire page →
From page 15... ... This analysis explores policy options to maintain regional agricultural and silvicultural capacity in the long term, given RFS requirements for annual increases in the volume of renewable fuels, and includes recommendations for the means by which the federal government could prevent or minimize adverse impacts of the RFS on the price and availability of animal feedstocks, food, and forest products, including options available under current law. CHAPTER 5 • n analysis of the effect of current and projected future levels of biofuel production and use, and the A incremental impact of additional production, on the environment. Read the entire page →
From page 16... ... demand for transportation fuel is projected to slow down in the next 25-30 years, but global demand is likely to continue to grow. World demand for petroleum increased from 63 million barrels per day in 1980 to 85.8 million barrels per day in 2008 (EIA, 2010e) Read the entire page →
From page 17... ... However, domestic petroleum production peaked in 1970 at 9.6 million barrels per day while demand continued to increase (EIA, 2009b) Read the entire page →
From page 18... ... Ethanol and Biofuel Legislation Year Legislation Provision 1978 Energy Tax Act of 1978 $0.40 per gallon of ethanol tax exemption on the $0.04 gasoline excise tax 1980 Crude Oil Windfall Profit Tax Act Promoted energy conservation and domestic fuel development and the Energy Security Act 1982 Surface Transportation Assistance Increased tax exemption to $0.50 per gallon of ethanol and Act increased the gasoline excise tax to $0.09 per gallon 1984 Tax Reform Act Increased tax exemption to $0.60 per gallon of ethanol 1988 Alternative Motor Fuels Act Created research and development programs and provided fuel economy credits to automakers 1990 Omnibus Budget Reconciliation Act Ethanol tax incentive extended to 2000 but decreased to $0.54 per gallon of ethanol 1990 Clean Air Act amendments Acknowledged contribution of motor fuels to air pollution – oxygen requirements for motor fuels 1992 Energy Policy Act Tax deductions allowed on vehicles that could run on E85 1998 Transportation Efficiency Act of the Ethanol subsidies extended through 2007 but reduced to $0.51 21st Century per gallon of ethanol by 2005 2004 American Jobs Creation Act Changed the mechanism of the ethanol subsidy to a blender tax credit instead of the previous excise tax exemption Extended the ethanol tax exemption to 2010 2005 Energy Policy Act Established the Renewable Fuel Standard starting at 4 billion gallons in 2006 and rising to 7.5 billion in 2012 Eliminated the oxygen requirement for gasoline, but failed to provide MTBE legal immunity 2007 Energy Independence and Security Established a Renewable Fuel Standard totaling 35 billion Act gallons of ethanol-equivalent biofuels and 1 billion gallons of biodiesel by 2022 SOURCE: Tyner (2008) Read the entire page →
From page 19... ... It modifies the Volumetric Ethanol Excise Tax Credit (VEETC) of $0.51 per gallon of ethanol blended into gasoline to companies that blend gasoline with ethanol; the VEETC, which was established by the American Jobs Creation Act of 2004, replaced the original excise tax exemption program from 1978 that was limited to specific blends with a tax credit based on the volume of ethanol consumed (a volume-based credit for biodiesel was also introduced) Read the entire page →
From page 20... ... . RENEWABLE FUEL STANDARD The steep rise in oil prices, growing concerns over energy security and GHG emissions, and the desire to support domestic farm and rural economies combined to reinvigorate support for biofuels in the mid-2000s. Read the entire page →
From page 21... ... Advanced biofuels can include ethanol and other types of biofuels derived from such renewable biomass as cellulose, hemicellulose, lignin, sugar, or any other starch other than corn starch, biomass-based diesel, and coprocessed renewable diesel.3 • Cellulosic biofuels that are renewable fuels derived from any cellulose, hemicel lulose, or lignin from renewable biomass and that achieve life-cycle GHG reduc tion threshold of at least 60 percent. In general, cellulosic biofuels also qualify as renewable fuels and advanced biofuels. Read the entire page →
From page 22... ... but fell to 330 million gallons in 2010 (EIA, 2010c) .4 As in the case of EPAct, EISA included provisions for biofuels research and development and for research, development, and demonstration related to biofuel distribution and advanced biofuel infrastructure. Read the entire page →
From page 23... ... . Figure 1-3.eps R01935 2 EIA projection in 2007 EIA projection in 2010 Biodiesel (Billion Gallons) Read the entire page →
From page 24... ... . Several organizations representing livestock producers who purchase agricultural commodities for animal feed also suggested that price spikes in animal feed were linked to increasing biofuel production. Read the entire page →
From page 25... ... Although the committee was asked to discuss "means by which the federal government could prevent or minimize adverse impacts of the RFS on the price and availability of animal feedstocks, food, and forest products, including options available under current law" (Box 1-1) , it was not asked to discuss whether or how RFS2 could be modified to better achieve energy security and GHG reduction. Read the entire page →
From page 26... ... and the economic effects of increasing biofuel production (including the extent to which biofuel production affects food prices, the linkage between biofuel production, animal feed prices, and coproducts, and the effect on the federal budget) are discussed in Chapter 4. Read the entire page →
From page 27... ... 2010b. Regulation of Fuels and Fuel Additives: Changes to Renew able Fuel Standard Program; Final Rule. Read the entire page →
From page 28... ... Presentation to the Committee on Economic and Environmental Impacts of Increasing Biofuels Production, May 3. Steenblik, R Read the entire page →

From page 13...

... 140) "to move the United States toward greater energy independence and security, to increase the production of clean renewable fuels, to protect consumers, to increase the efficiency of products, buildings, and vehicles, to promote research on and deploy GHG capture and storage options, and to improve the energy performance of the Federal Government, and for other purposes." A subtitle within EISA entitled the Renewable Fuel Standard (RFS)

1 Introduction Pages 13-28

1 Introduction
Pages 13-28