*NEWS*ENERGY BILL, UPS GAS MILEAGE

[Anonymous]

Senate Passes Energy Bill, Ups Gas Mileage
WASHINGTON
June 07 – The Senate passed an energy bill late Thursday that includes
an increase in automobile fuel economy , new laws against energy
price-gouging and a requirement for huge increases in the production of
ethanol.The minimum fuel efficiency would vary for different classes of
vehicles based on weight and size, but all vehicles would be expected
to increase their fuel economy by 10 mpg over today’s levels by 2020.In
an eleventh-hour compromise fashioned after two days of closed-door
meetings, an agreement was reached to increase average fuel economy by
40 percent to 35 miles per gallon for cars, SUVs and pickup trucks by
2020.But the fuel economy issue threatened to topple the legislation up
to the last minute. Majority Leader Harry Reid held off the vote until
late into the evening so several senators could be called back to
Capitol Hill to provide the 60-vote margin needed to overcome a
threatened filibuster from pro-auto industry senators.Shortly before
midnight, senators voted 62-32 to cut off debate, and followed by
passing the bill 65-27. The measure now awaits action by the House,
which is expected to take it up next week. But attempts to combine the
two bills and send legislation to President Bush probably won’t be
possible until later this year.Bush, who was in Alabama visiting a
nuclear power plant, said Congress must “be realistic” about the energy
legislation and acknowledged that while he supports the increase in
ethanol use, he also opposes much of the legislation.The White House
said the president would be urged to veto an energy bill that includes
the price-gouging measure, arguing it amounts of price controls. The
president also repeatedly has said he opposes Congress mandating a
specific mileage number for auto fuel economy . Bush believes the
Transportation Department should be given increased flexibility to set
a standard.

While Democrats proclaimed a victory, they failed to achieve several of their top energy priorities.
Republicans
blocked a $32 billion tax package to boost energy efficiency and
renewable energy programs, refusing to go along with $29 billion in
taxes on the oil industry to pay for it. Republicans also refused to
allow a vote on a measure that would have required electric utilities
to produce at least 15 percent of their power from wind, biomass or
other renewable energy sources.Reid called the setbacks unfortunate but
said in a statement that the bill “starts America on a path toward
reducing our reliance on oil by increasing our use of renewables and
for the first time in decades significantly improving the fuel
efficiency of cars and trucks.”It would be the first increase in
vehicle fuel efficiency since the current 22.7 mpg for cars was put in
place in 1989 and the first time Congress has imposed a new auto
efficiency mandate in 32 years.Supporters said the new requirement
would save 2.5 million barrels of oil a day by 2025, when large numbers
of the more fuel -stingy cars will be on the road.

Republicans
complained that the energy bill is tilted too much toward renewables
and fuel efficiency and does nothing to boost domestic oil or natural
gas production.But its supporters said it reflects a shift to a new
energy priorities, away from promoting fossil fuels to supporting other
energy sources such wind and biomass to make electricity and ethanol to
power cars and trucks.The legislation provides a bonanza to farmers and
the ethanol industry. It requires ethanol production to grow to at
least 36 billion gallon a year by 2022, a sevenfold increase of the
amount of ethanol processed last year.

The legislation also calls for:
-Price
gouging provisions that make it unlawful to charge an “unconscionably
excessive” price for oil products including gasoline and give the
federal government new authority to investigate oil industry market
manipulation.
-New appliance and lighting efficiency standards and a
requirement that the federal government accelerate use of more
efficient lighting in public buildings.
-Grants, loan guarantees and
other assistance to promote research into fuel efficient vehicles,
including hybrids, advanced diesel and battery technologies. percent
ethanol or biodiesel fuels.
The legislation for the first time would
establish a single fuel economy standard applicable not only to cars,
but also SUVs and pickups, which currently have to meet less stringent
requirement.The minimum fuel efficiency would vary for different
classes of vehicles based on weight and size, but all vehicles would be
expected to increase their fuel economy by 10 mpg over today’s levels
by 2020. Manufacturers would be required to meet an overall fleet-wide
average of 35 mpg.”It closes the SUV loophole,” declared Sen. Dianne
Feinstein, D-Calif., referring to current requirements that allow much
less stringent fuel efficiency standards for SUVs and pickup trucks
than for cars. “This is a victory for the American public.”Automobiles
currently must meet a fleet average of 27.5 mpg. But SUVs, vans and
pickups – which account more than half of the passenger vehicles on the
road, have to meet a lesser 22.2 mpg fleet average. 

[Author]

June 25, 2007 at 10:32 AM