110 HR 3300 IH: Coal-to-Liquid Fuel Marketing Act of U.S. House of Representatives 2007-08-01 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
I 110th CONGRESS 1st Session H. R. 3300 IN THE HOUSE OF REPRESENTATIVES August 1, 2007 Mr. Nunes introduced the following bill; which was referred to the Committee on Energy and Commerce A BILL To provide for the development of a market for coal-to-liquid fuel.
1.
Short title
This Act may be cited as the Coal-to-Liquid Fuel Marketing Act of 2007.
2.
Government auction of long term put option contracts on coal-to-liquid fuel produced by qualified coal-to-liquid facilities
(a)
In general
The Secretary shall, from time to time, auction to the public coal-to-liquid fuel put option contracts having expiration dates of 5 years, 10 years, 15 years, or 20 years. (b)
Consultation with secretary of energy
The Secretary shall consult with the Secretary of Energy regarding— (1)the frequency of the auctions; (2)the strike prices specified in the contracts; (3)the number of contracts to be auctioned with a given strike price and expiration date; and (4)the capacity of existing or planned facilities to produce coal-to-liquid fuel. (c)
Definitions
In this section: (1)
Coal-to-liquid fuel
The term coal-to-liquid fuel means any transportation-grade liquid fuel derived primarily from coal (including peat) and produced at a qualified coal-to-liquid facility. (2)
Coal-to-liquid put option contract
The term coal-to-liquid put option contract means a contract, written by the Secretary, which— (A)gives the holder the right (but not the obligation) to sell to the Government of the United States a certain quantity of a specific type of coal-to-liquid fuel produced by a qualified coal-to-liquid facility specified in the contract, at a strike price specified in the contract, on or before an expiration date specified in the contract; and (B)is transferable by the holder to any other entity. (3)
Qualified coal-to-liquid facility
The term qualified coal-to-liquid facility means a manufacturing facility that has the capacity to produce at least 10,000 barrels per day of transportation grade liquid fuels from a feedstock that is primarily domestic coal (including peat and any property which allows for the capture, transportation, or sequestration of by-products resulting from such process, including carbon emissions). (4)
Secretary
The term Secretary means the Secretary of the Treasury. (5)
Strike price
The term strike price means, with respect to a put option contract, the price at which the holder of the contract has the right to sell the fuel which is the subject of the contract. (d)
Regulations
The Secretary shall prescribe such regulations as may be necessary to carry out this section. (e)
Effective date
This section shall take effect 1 year after the date of the enactment of this Act.