Hoeven Outlines Domestic Fuels Act of 2012 in Fargo
Legislation is Part of Senator's Energy Security Plan for America
FARGO, N.D. – Senator John Hoeven today outlined his domestic fuels legislation at a Petro Serve USA service station in Fargo. The act is a bipartisan measure he introduced in the U.S. Senate that takes a market-based, no-cost approach to make available more domestic energy, increase competition, foster greater sales of all types of fuels, and provide more choices and lower prices at the pump for consumers. Cosponsors of the bill include Senators Roy Blunt (R-Mo.), Amy Klobuchar (D-Minn.), Mike Crapo (R-Idaho) and Mike Johanns (R-Neb.).
Currently, legal and infrastructure obstacles, such as cost of entry for retailers, inconsistent standards, and other regulatory factors limit the amount of renewable fuels that can be sold through existing motor fuel retail outlets. The Domestic Fuels Act takes a market-based approach, driven by supply and demand, that makes it easier to market all fuels and give consumers more choice at the pump. It achieves this by:
- Streamlining the process so that all fuels, both traditional and renewable, can be stored and dispensed with common equipment. The bill requires the EPA to develop streamlined criteria so that underground tanks can be used to dispense gasoline, diesel, ethanol or some combination of fuels, rather than requiring the use of separate tanks.
- Providing liability protection for retailers that meet the streamlined EPA standards, so that they can sell multiple types of fuel with less red tape, providing consumers with more choice and lower fuel prices.
- Establishing a new pathway for retailers to ensure that their equipment is safe and legally recognized as compatible to sell new fuels, thereby reducing the cost of entry for many retailers.
The Domestic Fuels Act is supported by a range of industries and associations, including the Renewable Fuels Association, Growth Energy, American Petroleum Institute, Tesoro Corp., ExxonMobil, Association of Convenience Stores, Society of Independent Gasoline Marketers of America, Petroleum Marketers Association of America, North Dakota Petroleum Marketers Association, National Association of Truck Stop Operators American Fuel and Petrochemical Manufacturers, and Outdoor Power Equipment Institute.
“With gas prices skyrocketing, it’s clear we need it all – not only more oil and gas to fuel our economy and maintain our standard of living, but also more renewable fuels to provide American consumers and businesses with more choice and better prices at the pump,” Hoeven said. “At the same time, using all of our fuels will help to provide our nation with greater energy security. To help us get there, our bill uses market-based measures that increase competition and remove bureaucratic obstacles to producing and marketing both renewable and traditional fuels. The Domestic Fuels Act achieves that by empowering retailers to market multiple fuels using the same equipment. That’s good for the customer, good for business and good for the nation.”
The Domestic Fuels Act is part of a larger comprehensive plan Hoeven is working on to build greater energy security for the country by developing all of the nation’s energy resources in tandem much as the Empower North Dakota plan did for the state. The Senator said the U.S. can achieve true energy security in five to seven years by increasing oil production, boosting the use of natural gas, implementing market-based approaches to increase the use of renewable fuels and using technology to drive greater energy production with better environmental stewardship.
Hoeven outlined the new bill at Petro Serve USA because it specializes in marketing all fuels, both traditional and renewables, including gasoline, diesel, ethanol, E85, biodiesel, propane and other fuel products. Participating in the event were Petro Serve USA CEO Kent Satrang, North Dakota Corn Council President Kevin Skunes, Tharaldson Ethanol Vice President Russ Newman , North Dakota Corn Growers Executive Director Tom Lilja, Fargo-Morehead Chamber of Commerce President Craig Whitney, and Murphy Oil Plant Manager Wes Plummer.
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