PRIOR PRINTER'S NO. 29 PRINTER'S NO. 32
No. 36 Special Session No. 1 of 2007-2008
INTRODUCED BY M. WHITE, TOMLINSON, PILEGGI, ERICKSON, EARLL,
LAVALLE, ORIE, STOUT, O'PAKE, KITCHEN, GREENLEAF, BROWNE AND
WAUGH, NOVEMBER 21, 2007
SENATOR M. WHITE, ENERGY POLICIES, AS AMENDED, NOVEMBER 27, 2007
AN ACT
1 Providing for the study and mandated content of biodiesel fuel.
2 The General Assembly of the Commonwealth of Pennsylvania
3 hereby enacts as follows:
4 Section 1. Short title.
5 This act shall be known and may be cited as the Biodiesel
6 Study and Production Incentive Act.
7 Section 2. Definitions.
8 The following words and phrases when used in this act shall
9 have the meanings given to them in this section unless the
10 context clearly indicates otherwise:
11 "Biodiesel." A renewable, biodegradable, mono alkyl ester
12 combustible liquid fuel that meets American Society for Testing
13 and Materials Specification D-6751-02, or its successor
14 standard, Biodiesel Fuel (B100) Blend Stock for Distillate
15 Fuels.
16 "Department." The Department of Agriculture of the
1 Commonwealth.
2 "RENEWABLE DIESEL." A NONESTER DIESEL FUEL OR FUEL BLENDING <--
3 COMPONENT DERIVED FROM NONPETROLEUM RENEWABLE RESOURCES THAT:
4 (1) IS USED TO REPLACE OR REDUCE THE QUANTITY OF FOSSIL
5 FUELS PRESENT IN FUELS SOLD TO THE CONSUMER.
6 (2) IS REGISTERED UNDER 40 CFR PT. 79 (RELATING TO
7 REGISTRATION OF FUELS AND FUEL ADDITIVES) FOR MOTOR VEHICLE
8 FUELS OR FUEL ADDITIVES.
9 (3) MEETS AN ESTABLISHED AMERICAN SOCIETY FOR TESTING
10 AND MATERIALS SPECIFICATION, SUCH AS D975 FOR DIESEL FUELS OR
11 D396 FOR FUEL OILS.
12 (4) IS INTENDED FOR USE IN ENGINES AND EQUIPMENT
13 DESIGNED TO RUN ON CONVENTIONAL PETROLEUM DIESEL FUEL.
14 NONPETROLEUM RENEWABLE RESOURCES ARE VEGETABLE OILS, ANIMAL
15 FATS AND ANIMAL WASTES.
16 Section 3. Biodiesel content in diesel fuel sold for on-road
17 use.
18 (a) Volume standards.--The following standards shall apply:
19 (1) All diesel fuel sold or offered for sale to ultimate
20 consumers in this Commonwealth for use in on-road compression
21 ignition engines must contain at least 2% biodiesel by volume
22 one year after the in-State production volume of 60,000,000
23 gallons of biodiesel has been reached and sustained for three
24 months on an annualized basis as determined by the
25 department.
26 (2) All diesel fuel sold or offered for sale to ultimate
27 consumers in this Commonwealth for use in on-road compression
28 ignition engines must contain at least 5% biodiesel by volume
29 one year after the in-State production volume of 150,000,000
30 gallons of biodiesel has been reached and sustained for three
20071S0036B0032 - 2 -
1 months on an annualized basis as determined by the
2 department.
3 (3) All diesel fuel sold or offered for sale to ultimate
4 consumers in this Commonwealth for use in on-road compression
5 ignition engines must contain at least 10% biodiesel by
6 volume one year after the in-State production volume of
7 300,000,000 gallons of biodiesel has been reached and
8 sustained for three months on an annualized basis as
9 determined by the department.
10 (4) All diesel fuel sold or offered for sale to ultimate
11 consumers in this Commonwealth for use in on-road compression
12 ignition engines must contain at least 20% biodiesel by
13 volume one year after the in-State production volume of
14 600,000,000 gallons of biodiesel has been reached and
15 sustained for three months on an annualized basis as
16 determined by the department.
17 (b) Applicability of standards.--The volume standards
18 mandated in subsection (a)(1), (2), (3) and (4) shall be
19 effective only if vehicle manufacturers that are authorized to
20 sell diesel-fueled vehicles in this Commonwealth certify to the
21 department that they recognize and extend engine warranties
22 associated with the use of biodiesel blends at the percentages
23 contained in the corresponding subsection.
24 (c) Calculations.--For purposes of this section, when
25 calculating the in-State production volumes as required under
26 subsection (a)(1), (2), (3) and (4), the department shall
27 include only the in-State production volume of biodiesel which
28 is sold to distributors and retailers located within this
29 Commonwealth.
30 (d) Coal-to-liquids substitution.--Nonsulfur diesel fuel
20071S0036B0032 - 3 -
1 derived from coal may be used in place of biodiesel to meet the
2 requirements of this section, provided that the fuel's carbon
3 emissions are fully offset, either through carbon sequestration
4 or by participation in carbon offset programs.
5 (E) RENEWABLE DIESEL SUBSTITUTION.--RENEWABLE DIESEL <--
6 PRODUCED IN THIS COMMONWEALTH MAY BE USED IN PLACE OF BIODIESEL
7 TO MEET THE REQUIREMENTS OF THIS SECTION.
8 (e) (F) Exception.--The requirements of this section shall <--
9 not apply to aviation fuel or where prohibited by law.
10 Section 4. Agency responsibilities.
11 (a) Compliance.--With the exception of section 3(d), the
12 department shall ensure compliance with this act and, in
13 consultation with the Department of Transportation and the
14 Department of Environmental Protection, shall promulgate
15 regulations as necessary to enforce the requirements of this
16 act.
17 (b) Environmental Quality Board.--The Environmental Quality
18 Board shall promulgate regulations as necessary to ensure
19 compliance with the carbon offset requirements of section 3(d).
20 Section 5. Infrastructure report.
21 (a) Certification.--At least six months prior to the
22 effective dates of the mandated content requirements contained
23 in section 3(a)(1), (2), (3) and (4), the department and the
24 Department of Transportation shall make a certification as to
25 whether there is sufficient transportation, distribution and
26 other necessary infrastructure in this Commonwealth to meet the
27 requirements of this act.
28 (b) Hearing.--The department and the Department of
29 Transportation shall conduct at least three public hearings
30 across this Commonwealth for each report required under this
20071S0036B0032 - 4 -
1 act.
2 (c) Posting.--The infrastructure reports shall be submitted
3 to the General Assembly and posted and maintained on each
4 department's publicly accessible Internet website.
5 (d) Insufficient infrastructure.--If any infrastructure
6 report determines that there is insufficient infrastructure in
7 place to meet any of the mandated content requirements contained
8 in section 3, that mandated content requirement shall be delayed
9 at least six months, or until the department and the Department
10 of Transportation certify that sufficient infrastructure is in
11 place through the issuance of a new infrastructure report,
12 whichever is later.
13 Section 6. National Ambient Air Quality Standards impact study.
14 (a) Contracts.--The Department of Environmental Protection
15 shall contract with an independent third party certified in
16 conducting ambient air quality studies to determine the impact
17 of this act on the Commonwealth's ability to achieve and
18 maintain the National Ambient Air Quality Standards.
19 (b) Study.--The study required under subsection (a) shall be
20 completed no later than July 1, 2009, or six months prior to the
21 effective date of the mandated content requirement contained in
22 section 3(a), whichever is earlier.
23 (c) Submission and posting.--The study required under
24 subsection (a) shall be submitted to the General Assembly and
25 posted and maintained on the Department of Environmental
26 Protection's publicly accessible Internet website.
27 Section 7. Effective date.
28 This act shall take effect in 90 days.
K20L12JS/20071S0036B0032 - 5 -