Bill Summary
The **Fuel Choice and Deregulation Act of 2025** aims to support the production and consumption of alternative fuels by providing regulatory relief to both producers and consumers. Key highlights of the bill include:
1. **Aftermarket Conversions**: It clarifies that converting older vehicles to operate on alternative fuels will not be considered "tampering" under the Clean Air Act, provided the conversion meets specific engineering standards and does not worsen emissions. This change encourages the adoption of alternative fuel technologies without onerous regulatory barriers.
2. **Biomass Fuels**: The bill prohibits the Environmental Protection Agency (EPA) from regulating biomass fuels, thus promoting their use without fear of regulatory interference.
3. **Fuel Economy Calculations**: It revises definitions related to fuel economy, including new categories for biodiesel and E85 (an ethanol fuel blend), and introduces a "fuel choice enabling manufacturer" designation, which recognizes manufacturers producing a significant percentage of vehicles that can operate on alternative fuels.
4. **Compliance and Credits**: Manufacturers classified as fuel choice enabling will be deemed compliant with greenhouse gas regulations if they meet certain standards. Additionally, they can receive bonuses in fuel economy calculations to incentivize the production of more fuel-efficient vehicles.
5. **Ethanol Waiver**: The Act amends guidelines for ethanol blends, increasing allowable percentages in certain contexts to further promote the use of ethanol in fuels.
Overall, this legislation is designed to promote the adoption of alternative fuels and enhance vehicle efficiency while reducing regulatory burdens on manufacturers and consumers.
Possible Impacts
The "Fuel Choice and Deregulation Act of 2025" could affect people in various ways, including:
1. **Increased Access to Alternative Fuels**: The legislation allows for the aftermarket conversion of older vehicles to alternative fuels without the burden of being considered "tampering." This could enable more consumers to convert their vehicles to run on cleaner fuels like biodiesel or ethanol, making alternative fuels more accessible and potentially reducing fuel costs for drivers who opt for these options.
2. **Consumer Empowerment and Choices**: By defining a range of alternative fuels and creating a framework that supports fuel choice enabling manufacturers, consumers may benefit from a wider variety of vehicle options that run on different fuels. This could lead to more competition in the automotive market, potentially resulting in lower prices and better technology for consumers looking for environmentally friendly vehicles.
3. **Environmental Impact and Public Health**: With the emphasis on alternative fuels and the regulatory relief for their production and use, there may be a positive environmental impact as more vehicles utilize cleaner energy sources. This shift could lead to improved air quality and public health outcomes, benefiting communities that are currently affected by pollution from traditional fossil fuels.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 1841 Introduced in Senate (IS)]
<DOC>
119th CONGRESS
1st Session
S. 1841
To provide regulatory relief to alternative fuel producers and
consumers, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
May 21, 2025
Mr. Paul introduced the following bill; which was read twice and
referred to the Committee on Environment and Public Works
_______________________________________________________________________
A BILL
To provide regulatory relief to alternative fuel producers and
consumers, 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 ``Fuel Choice and Deregulation Act of
2025''.
SEC. 2. ALTERNATIVE FUELS.
(a) Aftermarket Conversions of Motor Vehicles to Alternative
Fuel.--Section 203 of the Clean Air Act (42 U.S.C. 7522) is amended by
adding at the end the following:
``(c) Older Vehicles.--
``(1) In general.--The aftermarket conversion of a motor
vehicle to alternative fuel operation shall not--
``(A) be considered tampering under this section if
the aftermarket conversion system manufacturer or the
person performing the conversion demonstrates that the
development and engineering sophistication of the
conversion technology is--
``(i) matched to an appropriate motor
vehicle or group of motor vehicles; and
``(ii) well-designed and installed in
accordance with good engineering judgment so
that the aftermarket conversion system does not
degrade emission performance, as compared to
the performance of the motor vehicle or motor
vehicles before the conversion; or
``(B) require the Administrator to issue a
certificate of conformity.
``(2) Label.--The person performing a conversion described
in paragraph (1) shall affix a label to the motor vehicle
stating that--
``(A) the motor vehicle has been equipped with an
aftermarket conversion system; and
``(B) the installation of that system occurred
after the initial sale of the motor vehicle.
``(3) No preclusion of orders.--Nothing in this subsection
precludes the Administrator from issuing an order to prohibit
the manufacture, sale, distribution, or installation of an
aftermarket conversion system if the Administrator has evidence
that the installation of the aftermarket conversion system on a
motor vehicle degrades emission performance.''.
(b) Biomass Fuels.--Section 211 of the Clean Air Act (42 U.S.C.
7545) is amended by adding at the end the following:
``(w) Biomass Fuels.--Notwithstanding any other provision of this
Act, the Administrator may not prohibit or control biomass fuel (as
defined in section 203 of the Biomass Energy and Alcohol Fuels Act of
1980 (42 U.S.C. 8802)) under this Act.''.
SEC. 3. CALCULATION OF AVERAGE FUEL ECONOMY.
(a) Definitions.--Section 32901(a) of title 49, United States Code,
is amended--
(1) by redesignating paragraphs (7) through (19) as
paragraphs (8), (9), (10), (13), (16), (17), (19), (20), (21),
(22), (23), (24), and (26), respectively;
(2) by inserting after paragraph (6) the following:
``(7) `biodiesel'--
``(A) means liquid fuel derived from biomass that
meets--
``(i) the registration requirements for
fuels and fuel additives established by the
Environmental Protection Agency under section
211 of the Clean Air Act (42 U.S.C. 7545); and
``(ii) the requirements of the American
Society of Testing Materials Standard D6751;
and
``(B) does not include any liquid with respect to
which a credit may be determined under section 40 of
the Internal Revenue Code of 1986.'';
(3) by inserting after paragraph (10) (as so redesignated)
the following:
``(11) `E85' means a fuel mixture that--
``(A) contains between 51 and 83 percent ethanol;
and
``(B) meets the specifications of the American
Society of Testing Materials Standard D5798.
``(12) `flexible fuel vehicle' means a vehicle that has
been warranted to operate on gasoline, E85, and M85.'';
(4) by inserting after paragraph (13) (as so redesignated)
the following:
``(14) `fuel choice enabling manufacturer' means a
manufacturer whose total fleet of automobiles manufactured for
the most recent model year for sale in the United States
contains not less than 50 percent fuel choice enabling
vehicles.
``(15) `fuel choice enabling vehicle' means an automobile
that--
``(A) has been warranted to operate on natural gas,
hydrogen, propane, or at least 20 percent biodiesel;
``(B) is a flexible fuel vehicle;
``(C) is a plug-in electric drive vehicle;
``(D) is propelled by a fuel cell that can produce
power without the use of petroleum or a petroleum-based
fuel; or
``(E)(i) is propelled by something other than an
internal combustion engine; and
``(ii) is warranted to operate on something other
than petroleum-based fuel.'';
(5) by inserting after paragraph (17) (as so redesignated)
the following:
``(18) `M85' means a fuel mixture that--
``(A) contains up to 85 percent methanol; and
``(B) meets the specifications of the American
Society of Testing Materials International Standard
D5797.''; and
(6) by inserting after paragraph (24) (as so redesignated)
the following:
``(25) `plug-in electric drive vehicle' has the meaning
given the term in section 508(a) of the Energy Policy Act of
1992 (42 U.S.C. 13258(a)).''.
(b) Fuel Choice Enabling Manufacturers.--
(1) Compliance with the clean air act.--Section 32902 of
title 49, United States Code, is amended by adding at the end
the following:
``(l) Deemed Compliance With the Clean Air Act.--If a fuel choice
enabling manufacturer is in compliance with all applicable standards
prescribed under this section for model year 2020 or any subsequent
model year, the automobiles manufactured by that manufacturer in that
model year are deemed to be in compliance with all applicable
greenhouse gas regulations established by the Environmental Protection
Agency pursuant to section 202 of the Clean Air Act (42 U.S.C.
7521).''.
(2) Credits for exceeding standards.--Section 32903(a) of
title 49, United States Code, is amended by striking paragraph
(2) and inserting the following:
``(2) any of the 5 consecutive model years immediately
after the model year for which the credits are earned, to the
extent that those credits are not used under paragraph (1).''.
(3) Average fuel economy bonus for fuel choice enabling
manufacturers.--Section 32904 of title 49, United States Code,
is amended--
(A) by redesignating subsections (d) and (e) as
subsections (e) and (f), respectively; and
(B) by inserting after subsection (c) the
following:
``(d) Average Fuel Economy Bonus for Fuel Choice Enabling
Manufacturers.--The average fuel economy of a fuel choice enabling
manufacturer for a model year is the sum of--
``(1) the average fuel economy of the fuel choice enabling
manufacturer for that model year, as otherwise calculated under
this section; and
``(2) 8 miles per gallon.''.
(c) Effective Date.--The amendments made by this section shall
apply with respect to automobiles manufactured for model year 2026 or
for any subsequent model year.
SEC. 4. ETHANOL WAIVER.
Section 211(h)(4) of the Clean Air Act (42 U.S.C. 7545(h)(4)) is
amended--
(1) in the matter preceding subparagraph (A), by inserting
``or more of'' after ``10 percent''; and
(2) in subparagraph (C), by striking ``additional alcohol
or''.
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