[Congressional Record Volume 153, Number 128 (Saturday, August 4, 2007)]
[Extensions of Remarks]
[Page E1781]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                 IN SUPPORT OF H.R. 3221 AND H.R. 2776

                                 ______
                                 

                           HON. JOE DONNELLY

                               of indiana

                    in the house of representatives

                        Saturday, August 4, 2007

  Mr. DONNELLY. Madam Speaker, I rise today in support of the House 
Energy Package. And I would like to commend the Energy and Commerce 
Committee and the Ways and Means Committee for putting together a 
strong package that will set our Nation on the path for a more reliable 
and efficient energy policy. I would also like to thank Chairman 
Dingell and Chairman Rangel for including my bill, H.R. 2505, The E-85 
PUMP Act as part of this important legislation.
  We all recognize that the path to energy independence will require a 
number of alternative energy solutions--and ethanol has an important 
role to play in achieving this goal.
  In Indiana's Second District, we have been blessed with the resources 
to serve as a center for the production of a new generation of ethanol 
and other bio-fuels. And I am committed to making sure Midwest farmers 
are an integral part of our Nation's energy strategy.
  However, as ethanol production continues to reach record levels, only 
1 percent of America's approximately 168,000 gas stations offer E-85 
gasoline. That is only one E-85 pump for every 6,000 vehicles on the 
road.
  While there are several reasons why ethanol has yet to fully mature 
on the market, a significant factor is that many big oil companies use 
a number of strategies to make it difficult for franchised gas stations 
to offer E-85.
  For example, standard contracts issued by many large oil companies 
require franchisees to purchase fuel directly from their distributors. 
Since these distributors do not offer E-85, gas stations are unable to 
offer an alternative fuel. Other companies prohibit franchisees from 
selling E-85 under the main canopy, require E-85 to be displayed on 
separate signs, and prohibit franchisees from accepting franchise 
credit cards for the purchase of E-85.
  These tactics not only limit consumer choice, but also reinforce our 
dependence on foreign oil.
  My provision would prohibit an oil company from restricting the right 
of a franchisee to install E-85 pumps or sell or advertise E-85 fuel. 
In addition, it would also expand the Alternative Fuel Infrastructure 
Tax Credit to allow gas station owners to claim a credit on 50 percent 
of the costs associated with installing or converting equipment to sell 
E-85 up to $50,000. In short, this bill will provide tax incentives for 
gas station owners who want to--and should--do the right thing.
  These important changes will not only improve consumer access to 
alternative fuels, but will also make it easier for local businessmen 
and women to invest in our energy security, environment, and our 
communities.
  Alternative energy sources, like E-85, are critical for ending our 
dependence on foreign oil, reducing the impact of climate change, and 
creating jobs across this country. And I greatly appreciate the 
Committee's inclusion of my E-85 PUMP Act in today's legislation.