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June 28, 2005 U.S. Senate Passes Energy Bill with Pryor Amendments; Comprehensive Bill Includes Senator’s Measures to Promote Alternative Fuels and Address Global Warming-Climate Change
WASHINGTON D.C. – Senator Mark Pryor said the comprehensive energy legislation passed by the Senate today is a step forward in advancing a cleaner, more diverse energy policy in the United States and reducing our dependence on foreign oil. He added that two of his amendments were accepted by the Senate, including a measure to reduce greenhouse gas emissions and an amendment that would promote the alternative fuels biodiesel and hythane. “This energy bill calls for innovation and practical solutions to move our country away from foreign oil and toward cleaner, healthier energy sources produced right here at home,” Pryor said. “It is not perfect, but it is a good step in the right direction and will help strengthen our economy, environment and national security.” Pryor said the climate change amendment, he introduced along with Senator Chuck Hagel (R-NE), was the only measure passed by the Senate targeted to reduce greenhouse gas emissions and address global warming concerns. The bipartisan amendment authorizes the federal government to make commitments for research and development and technology through tax credits, direct loans and other forms of financial assistance. It establishes a Climate Coordinating Committee and Climate Credit Board to assess and fund projects, and directs the Secretary of Energy to lead an inter-agency process to implement a national climate change strategy. In addition, the amendment would direct the Secretary of State and U.S. Trade Representative to use their resources and influence to encourage developing countries to adopt U.S. technologies that reduce greenhouse gas emissions. "There are many different opinions on how to best address global warming, but the Senate has never been able to agree on legislation. I worked closely with my colleagues to reach common ground and succeeded in passing an innovative incentive-based approach to climate change,” Pryor said. “I am hopeful this amendment will serve as a catalyst to produce environmentally-friendly technology and help lower levels of greenhouse gas emissions.” Pryor also received Senate support for his amendment to promote the commercialization of biodiesel and hythane. His measure requires the Department of Energy, in conjunction with universities throughout the country, to prepare two reports that would evaluate how to best deploy biodiesel and hythane and create an infrastructure to support their enormous potential. Pryor said biodiesel can substitute directly for petroleum-based diesel fuel with generally no engine modification, and offers a number of health and environmental benefits, including a reduction of greenhouse gas, but that it only currently accounts for less than 0.1% of diesel fuel consumption in the U.S. He added that as an agricultural-based feedstock it can be produced anew every year, unlike fossil fuels which have declining reserves. Additionally, in Arkansas and other agricultural states, the robust commercializing of biodiesel could mean an economic boon to our soybean farmers. The Senator said hythane – a mixture of hydrogen and methane is not currently used in the United States, but reduces nitrogen oxides emissions by 95% relative to diesel fuel, and makes significant reductions in carbon dioxide. He said Arkansas’ landfills and chemical plants could capture the methane they emit into the atmosphere and sell it to hythane manufacturers. “In order to revolutionize how our country produces and uses oil, it’s critical to start thinking outside the box and consider long-term solutions,” Pryor said. “Hythane and biodiesel offer two very viable options to a cleaner, diverse energy supply, and I am pleased the Senate agreed to further study their benefits and potential.” The differences between the Senate and House-passed energy bills will now be negotiated during a conference committee. Pryor said he was concerned that the House version of the energy bill relied too heavily on the use of fossil fuels such as oil and coal, but was hopeful that the final bill would more reflect the Senate’s diverse approach to energy independence. --30-- Highlights of S.10, the Energy Policy Act • Requires refiners to use 8 billion gallons of renewable fuels in gasoline, about double current production, by 2012; • Includes a $14 billion tax package containing credits to encourage the manufacturing and use of alternative and renewable energy sources, such as biodiesel, wind and solar; • Provides up to $1.5 billion in emergency loans to small business owners squeezed by high energy costs; • Allows an oil and natural gas inventory of federal offshore areas; • Requires energy and water efficiency programs within the federal government and provides incentives for energy efficient equipment; • Authorizes $1.23 billion for three years for weatherization assistance, a program to enable low-income families to permanently reduce their energy bills by making their homes more energy efficient. • Expands the nation’s electricity grids; and • Encourages the design and deployment of advanced nuclear technologies
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