[Congressional Record Volume 152, Number 87 (Thursday, June 29, 2006)]
[Senate]
[Page S6776]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                            RENEWABLE FUELS

  Mr. DAYTON. Mr. President, this week is the long-anticipated Energy 
Week over at the House of Representatives. It is the response of that 
Chamber's leadership to the soaring energy prices which are hurting 
this Nation's consumers, families, and businesses.
  After hearing the House Energy Week touted for months, I was 
naturally curious about what would be on the agenda. A plan to put more 
alternative fuel vehicles on the road? Incentives to make renewable 
fuels available to more consumers? A plan to rein in the Federal 
Government's vast consumption of fossil energy?
  No, Mr. President, none of those worthy initiatives are being 
discussed during House Energy Week. In fact, I am told that their only 
initiative is a plan to weaken a quarter-century ban on offshore 
drilling. That is it. That is evidently the House's plan to provide 
relief for Americans from the high cost of energy. Not the slightest 
mention of the role that renewable fuels might play in solving this 
energy crisis.
  For most American families who drive passenger cars, ethanol is this 
country's most promising alternative to foreign oil. Ethanol is not 
merely an additive to gasoline, it is a replacement for gasoline, which 
is why major oil companies have sought to block its entry into the 
marketplace.
  I have heard from gas station franchise owners in my State of 
Minnesota that the major oil companies have prevented them from selling 
E85 with a requirement that only branded products be sold under the 
company's branded canopy. This means that, rather than selling E85 from 
one of several existing pumps, a station owner must dig a new hole in 
the ground somewhere in the parking lot, and install a new pump, often 
at costs of up to $75,000.
  Perhaps this explains why, of the estimated 170,000 service stations 
in the country, just 800, or less than 5 percent, offer E85 fuel. And 
of those 800 stations, over one-fourth, or 210 stations, are located in 
my State of Minnesota.
  I have introduced legislation, the Renewable Fuels Promotion Act, 
that would prohibit oil companies from restricting where E85 and 
biodiesel can be sold on the premises of franchised gas stations.
  E85 is a very popular fuel, where it is available. This year, first 
quarter sales in Minnesota increased 320 percent over last year, as the 
price of gas soared. Americans all over the country should have access 
to E85, and my bill would ensure that every gas station owner who wants 
to sell it has the ability to do so.
  My legislation also targets the Federal Government's failure to 
embrace renewable fuels. In his State of the Union address, the 
President said our Nation is addicted to oil. What he failed to mention 
was that the Federal Government is the biggest addict of them all. The 
Federal Government is far and away the largest consumer of energy in 
the United States. In fact, the Department of Defense alone is the 
single largest consumer of petroleum fuel in the world. So what would 
happen if the largest consumer in the most energy-hungry nation in the 
world used its tremendous market power to purchase renewable fuels?
  Consider this: In 2004, the Federal Government consumed 2 billion 
gallons of petroleum diesel fuel. If every gallon of that diesel had 
been a blend of 20 percent biodiesel and 80 percent diesel fuel, the 
Government would have consumed 400 million gallons of biodiesel--a 
great boost for the nascent industry. Instead, the Federal Government 
is using its massive purchasing power to buy petroleum fuel--a windfall 
for the oil companies. In 2004, the Federal purchases of ethanol and 
biodiesel fuels combined amounted to a paltry 3 million gallons, less 
than two-tenths of 1 percent of the total fuel consumption.
  According to the Department of Energy, ``One reason for the 
relatively low alternative fuel use rate is the lack of sufficient 
alternative fuel infrastructure.'' ``The Renewable Fuels Promotion 
Act'' would require every Federal fueling station to be equipped with a 
renewable fuels pump. On May 17, I sent a letter to President Bush 
asking him to accomplish the same thing with an Executive order.
  In the world of renewable fuels, infrastructure is half the battle. 
If you don't have the pumps, you can't sell the fuel. My bill addresses 
the fundamental problem underlying the Federal Government's failure to 
embrace biofuels: the fuels are not available at Federal fueling 
stations. In Congress, we can't control the private energy markets, but 
we do have some sway over the Federal Government. My bill would ensure 
that the tremendous purchasing power of the Federal Government would 
take us in the right direction: toward a stronger biofuels industry, 
and away from reliance on foreign oil.
  In conclusion, I wish our House colleagues the best as they proceed 
with their Energy Week agenda. However, I would caution them that a 
plan to drill offshore is not really a plan for relief from high energy 
prices. Even if legislation were passed today, no new oil would come 
online for a decade or more. Americans don't have a decade to wait.
  Ethanol and biodiesel are here today. They are ready for consumers, 
and automakers are ready with the vehicles. The Renewable Fuels 
Promotions Act would help bring biofuels to the customers that need 
energy security today.

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