U.S. Legislative Updates

Senate Leader Seeks Vote on AFVs
Senate Majority Leader Harry Reid (D-NV) filed a motion September 29 before the Senate recessed seeking a November floor vote for legislation (S. 3815) that would authorize billions of dollars in incentives for vehicles powered by electricity or natural gas. A vote is expected on the motion when the Senate returns November 17 for its post-election lame duck session. The alternative-fuel vehicles bill was the only energy-related bill Reid sought to bring to the floor during the lame duck session. The alternative-fuel vehicles bill is similar to legislation (S. 1408) introduced in 2009 by Sen. Robert Menendez (D-NJ) with four Republican co-sponsors. However, the Reid bill would award rebates to vehicle purchasers rather than tax credits.

DOE Completes E15 Testing
The U.S. Department of Energy (DOE) has completed the first phase of its testing on higher level blends of ethanol up to 15 percent and sent that information to EPA. This comes as EPA is poised to issue the first of two decisions on whether to allow up to E15 in vehicles over the next few weeks. The first ruling will be on 2007 and later vehicles and then by the end of the year on 2001-2007 vehicles.

DOT and EPA Announce Intent to Propose CAFE and GHG Emission Standards
The National Highway Traffic Safety Administration and the U.S. Environmental Protection Agency have issued a Notice of Intent and Technical Assessment Report as the initial steps toward developing future Fuel Economy and Greenhouse Gas emissions regulations for model year 2017 and beyond light duty vehicles. Additional information is available at http://www.nhtsa.gov/staticfiles/rulemaking/pdf/cafe/FactSheet_%20NOI_TAR.pdf

E85 Tax Credit May Be Allowed to Expire
Rumors are flying in Washington, D.C. of a major shift in ethanol policy. Reportedly, the White House is expected to sign off on eliminating the existing tax credit for blending the corn-based fuel with gasoline as well as tariffs that help protect the industry from Brazilian competition. In exchange, longer-term financial support would be granted to build out the infrastructure ethanol firms say is necessary to compete on a larger scale, while reduced tax credits would still be available directly to ethanol producers.

NHTSA Proposes New Truck-Tire Standards
The National Highway Traffic Safety Administration (NHTSA) has proposed changes to heavy-duty truck tire safety standards, the first such proposal in 37 years. Proposed steps include a more stringent endurance test, a new high speed test for some heavy truck tires, and required labels with a tire’s maximum speed rating. The proposal was required under the Transportation Recall Enhancement Accountability and Documentation Act, commonly called the TREAD Act, which became law in 2000. The rule would affect tire standards for commercial vehicles with a gross vehicle weight rating of at least 10,000 pounds.

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