Federal Efforts to Reduce Oil Imports and Greenhouse Gas Emissions from Transportation
Greg DotsonOffice of Rep. Henry A. Waxman
House Government Reform Committee, Minority Staff
Petroleum Demand, Imports, Carbon Emissions Increasing (EIA)
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2000
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Petroleum Imports Petroleum Products SuppliedCarbon Emissions
Petroleum Demand/Imports Projected to Increase (EIA)
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Federal Efforts Over the Last 6 Years
Rhetorical recognition of problem• Administration and U.S. Senate
• The House of Representatives more mixed• Recognition of problems with dependence on
foreign oil
• Largely ignored global warming
Refusal to take meaningful action
Administration has not Addressed Oil Dependence/Global Warming
Administration set a nonbinding goal to allow actual U.S. emissions of global warming pollution to rise by 14 percent by 2012.
Administration has not Addressed Oil Dependence/Global Warming
Administration has opposed any constraints on greenhouse gases or the use of oil. • Declared CO2 not a pollutant
• Rejected Kyoto Protocol
• Rejected targets and timeframes for renewable energy at WSSD
• Denied petition to regulate CO2
• Opined that State programs to reduce CO2 emissions from automobiles are preempted
• Opposed proposals for energy bill to increase CAFE stds or reduce oil demand
• Has not (yet) granted CA waiver
Positive Efforts Outweighed
Modified CAFE for light duty trucks• Increased by 1.8 mpg by 2011, but approx. 1/3 of
projected savings due to increasing fuel prices
• Extended dual fuel loophole
• No increase in CAFE for passenger automobiles
Supported tax credits for hybrids• Dwarfed by early tax incentives for SUV’s weighing
more than 6,000 pounds
Congress Failed to Require an Increase in Vehicle Efficiency
2001 – proposal to increase CAFE stds defeated, 160-269
2003 -- proposal to increase CAFE stds defeated, 162-268
2005 – proposal to increase CAFE stds defeated, 177-254
Congress Considered Other Proposals to Reduce Oil Demand
New framework that gained some traction -- Congress sets clear goal of reducing oil demand with iterative process by Administration to achieve goal over time.• Promoted rational process by Administration
• Decisions could be made on the record
• Promoted scrutiny of oil use throughout economy, not just in light duty vehicles, which comprise ~40% of oil use.
Senate Rejected More Aggressive Proposal to Reduce Oil Demand
Cantwell Amendment would set goal of reducing need for imported oil by 40 percent by 2025 from projected levels.
Rejected 47-53• 97% Dems supported, 94% Repubs opposed
Administration Opposed and Congress Rejected Less Aggressive Proposal to Reduce Oil Demand
Senate twice passed an amendment to require a plan to reduce oil demand by a million barrels per day within a decade.
House rejected a similar amendment on a vote of 166-262
Administration strongly objected to the provision and it was dropped in conference.
EPACT 05 Established Renewable Fuel Standard (RFS)
4 billion gallons/yr in 2006 –> 7.5 billion gallons/yr in 2012.
National Corn Growers Association and U.S. EPA say demand for renewable fuels is already projected to outpace RFS requirements.
27 ethanol facilities under construction. Scores more on the drawing board. Almost all planned to be coal-fired, negating greenhouse gas benefits.
Advanced Energy Initiative
Response to “addicted to oil” in State of the Union 2006. President said it will result in replacing “more than 75 percent of our oil imports from the Middle East by 2025.”
$118 million over several years to fund research for ethanol, batteries, and hydrogen.
Overall, cuts vehicle technology research at DOE.
Advanced Energy Initiative in Context
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2004 2010 2015 2020 2025
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Vehicles FuelUse (AEO 2006)
2015 Senate-passed target
2025 State ofthe Union Goal
U.S. All Grades Conventional Retail Gasoline Prices (EIA)
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$0.50
$1.00
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$3.5001
/01/
2001
07/0
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Daily Cost of Imported Oil
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$100,000,000.00
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$700,000,000.00
2001 2006
Groups Urging Action
Historically, environmental groups have taken the lead. Ethanol lobby has had a role.
New groups add new voices• Set America Free
• Energy Future Coalition
• Apollo Alliance
Legislation Gathering Support H.R. 5642 Safe Climate Act (Waxman) – Adopts CA car
emission standards at federal level and establishes declining carbon cap – 110 cosponsors.
H.R. 5965 Progress Act – provides government incentives to promote biofuels and enhanced vehicle efficiency
H.R. 4409 Fuel Choices for American Security Act – establish planning process for reducing oil demand, promotes ethanol, requires flex fuel vehicles
H.R.5372 Biofuel Act – accelerate requirements for ethanol production, require E85 pumps
110th Congress
High level of interest in Congress in global warming and oil dependence that hasn’t previously been experienced.
National focus on state and local actions Media attention
Conclusion
No significant progress adopting policies in recent years.
However, support appears to be growing for federal action.