Ethanol battle heats up over EPA rule, tax credit
The ongoing political battle over ethanol's role in federal clean fuels programs is heating up. The Senate passed an energy bill containing additional tax credits for ethanol, and the corn growers lobby last Wednesday called on the Administration to make a decision on the alcohol's place in reformulated gasoline by August 25. In late March, the Environment Protection Agency proposed a Clean Air Act reformulated gasoline oxygenate rule based on earlier negotiations that included the enthanol industry. The industry now says the rule, which is to take effect in 1995 in the nine cities with the worst ozone pollution, would restrict gasoline blended with ethanol due to strict volatility requirements. Four powerful senators wrote a letter to EPA Administrator WIlliam K. Reilly protesting ethanol's de facto exclusion from the clean fuels initiative, charging that the Clean Air Act is being used as a methanol mandate at the expense of ethanol'. The energy bill passed by the Senate July 30 includes an amendment by Sen. Tom Daschle (D. SD) to extend the tax exemption enjoyed ten percent by ethanol gasoline blends to lower concentrations.
- OSTI ID:
- 5588269
- Journal Information:
- Chemical Week; (United States), Vol. 151:6; ISSN 0009-272X
- Country of Publication:
- United States
- Language:
- English
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POLICY AND ECONOMY
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290200* - Energy Planning & Policy- Economics & Sociology
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