Bill Summary
This is a bill that aims to address the ethanol blend wall, a market barrier in the renewable fuel program, and includes other provisions. The bill is titled the "Food and Fuel Consumer Protection Act of 2019" and is enacted by the Senate and House of Representatives of the United States of America. The bill includes amendments to the Clean Air Act, specifically section 211(o)(3)(B), which sets limitations on the amount of ethanol that can be introduced into commerce in the United States. This limitation is set at 9.70% of the total volume of gasoline projected to be sold in a calendar year. The bill also addresses the failure to meet deadlines for determining and publishing renewable fuel obligations, stating that if the Administrator fails to do so, the obligation for the following year will be based on the most recent year's determination or, if none exists, the most recent year that meets the 9.70% limitation.
Possible Impacts
1. The limitation on the amount of ethanol that can be introduced into commerce may result in gasoline prices increasing for consumers, as the cost of blending ethanol into gasoline is passed on to them.
2. Fuel producers and distributors may have to alter their production and distribution processes to comply with the 9.70 percent limitation on ethanol, potentially leading to increased costs and changes in their supply chain.
3. The failure to meet deadlines for determining and publishing renewable fuel obligations may lead to uncertainty and potential disruptions in the renewable fuel market, affecting both producers and consumers.
[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2540 Introduced in House (IH)]
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116th CONGRESS
1st Session
H. R. 2540
To alleviate the ethanol blend wall under the renewable fuel program,
and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 7, 2019
Mr. Flores (for himself, Mr. Welch, Mr. Womack, and Mr. Costa)
introduced the following bill; which was referred to the Committee on
Energy and Commerce
_______________________________________________________________________
A BILL
To alleviate the ethanol blend wall under the renewable fuel program,
and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Food and Fuel Consumer Protection
Act of 2019''.
SEC. 2. ALLEVIATING ETHANOL BLEND WALL.
Section 211(o)(3)(B) of the Clean Air Act (42 U.S.C. 7545(o)(3)(B))
is amended by inserting at the end the following:
``(iii) Limitation.--
``(I) In general.--Notwithstanding
the volumes specified in paragraph
(2)(B), the Administrator shall not
determine any renewable fuel obligation
for a calendar year under this
subsection that would result, directly
or indirectly, in the introduction into
commerce in the United States of a
total volume of ethanol contained in
transportation fuel that is greater
than 9.70 percent of the total volume
of gasoline projected to be sold or
introduced into commerce in the United
States for such calendar year.
``(II) Estimate.--In implementing
subclause (I), the Administrator shall
request from the Administrator of the
Energy Information Administration, and
use without alteration, an estimate,
with respect to the following calendar
year, of the total volume of gasoline
projected to be sold or introduced into
commerce in the United States. The
Administrator of the Energy Information
Administration shall provide such
estimate to the Administrator by
October 31st each year.
``(III) Applicability.--The
limitation established in subclause (I)
shall apply without regard to the
available supply of credits generated
in a prior year pursuant to paragraph
(5).
``(IV) Presumption.--In
implementing subclause (I) for a
calendar year, the Administrator shall
not exclude commercially available
ethanol that is cellulosic biofuel or
advanced biofuel.''.
SEC. 3. FAILURE TO MEET DEADLINES.
Section 211(o)(3)(B) of the Clean Air Act (42 U.S.C.
7545(o)(3)(B)), as amended by section 2, is further amended by adding
at the end the following:
``(iv) Failure to meet deadlines.--If the
Administrator fails to determine and publish
the renewable fuel obligation with respect to
the following calendar year in accordance with
clauses (i), (ii), and (iii), then the
renewable fuel obligation for such year shall
be--
``(I) the renewable fuel obligation
established for the most recent year
for which such obligation was
determined and published in the Federal
Register in accordance with clause
(iii); or
``(II) if no such obligation has
been determined and published in
accordance with clause (iii), the
renewable fuel obligation established
for the most recent year which
otherwise meets the 9.70 percent
limitation in clause (iii).''.
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