[Congressional Record Volume 149, Number 43 (Tuesday, March 18, 2003)]
[House]
[Page H1927]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




           IN SUPPORT OF H.R. 837, FUELS SECURITY ACT OF 2003

  The SPEAKER pro tempore. Under a previous order of the House, the 
gentleman from Nebraska (Mr. Osborne) is recognized for 5 minutes.
  Mr. OSBORNE. Mr. Speaker, I rise this evening in support of H.R. 837, 
the renewable fuels agreement.
  Mr. Speaker, at the present time U.S. fuel prices are at an all-time 
high, $3 per gallon in parts of the country, and $2 per gallon in most 
other parts. We are nearly 60 percent dependent on foreign oil. We 
currently import 13 million barrels of petroleum a day, and we produce 
only 6 million barrels per day domestically, so there is a tremendous 
imbalance there.
  The Mideast crisis points up the uncertainty of our fuel supply. The 
renewable fuels agreement would increase ethanol production to nearly 
that of Iraq by 2012. Right now, we see by this chart that this is our 
current ethanol production. This is the amount of fuel that we import 
from Iraq, and by 2002 we would have ethanol production ramped up to 
somewhere near what we currently import from Iraq.
  The way the ethanol industry is going, I would predict that we will 
far surpass by 2012 the 7 billion gallons or 7 billion barrels that we 
are currently importing from Iraq.
  Many times agriculture and environmental groups are at odds. This is 
one case where I hope we are all on the same page, because ethanol 
production certainly benefits the environment. First of all, it 
decreases carbon monoxide emissions, which lead to ozone pollution; 
secondly, it decreases carbon dioxide and methane emissions by as much 
as 35 percent, which causes global warming.
  In 2002, the ethanol industry reduced greenhouse emissions by 4.3 
million tons in 1 year, 2002. Then, of course, ethanol does replace 
MTBE, which has been proven to pollute groundwater, so we think it is a 
win-win, in many cases.
  Another common myth people do not correctly understand is that 
ethanol somehow is a negative use of energy. In actual fact, we find 
that ethanol production results in a positive use of energy. For every 
Btu of energy of fossil fuels used to produce ethanol, we get 1.389 
Btus in return, a gain of almost four-tenths of a Btu. By contrast, 
gasoline, for 1 Btu of energy to produce, yields only eight-tenths of a 
Btu. MTBE produces roughly 6.75. So this is one area where we actually 
are increasing the amount of energy that we have available to us.
  Implementation of the renewable fuels agreement will result in lower 
prices at the pump. This, again, is something most people understand; 
but this legislation, H.R. 837, will create much more flexibility 
within the refinery industry, which will allow ethanol to be produced 
at certain places at certain times when it is most cost-effective. 
Therefore, there will be a reduction in price at the pump.
  Renewable fuels legislation will boost the United States' economy. I 
think this, again, is something people are not aware of. This 
legislation will reduce crude oil imports by 1.6 billion barrels while 
cutting the trade deficit by $34 billion over the next 9 years.
  Currently the greatest part of our trade deficit has to do with 
petroleum imports. This will substantially reduce that. Also, this 
legislation will reduce government payments to farmers by $5.9 billion 
while adding $51 billion to the farm economy through 2012. So again, we 
feel this is a win-win situation.
  H.R. 837 will result in roughly 5 percent of our fuel supply coming 
from ethanol. Actually, there is much greater potential than this 5 
percent. In Brazil, for instance, 22 percent of the fuel supply comes 
from ethanol. We have many automobiles, and fleets of automobiles and 
trucks in our country that currently use a formulation 85 percent 
ethanol, so the opportunity is practically limitless here.
  Also, we would like to mention biodiesel, which uses soybeans. This 
has expanded very rapidly.
  I urge, Mr. Speaker, passage of H.R. 837. This is part of the energy 
bill at the present time. If it does not go in the energy bill, we will 
introduce it and have introduced it as stand-alone legislation. I urge 
passage of H.R. 837.

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