Energy bill likely to include ethanol measure

Motor,  Jun 2002  by Nash, Tom

• E-mail
• Print
• Link

NEWSBREAK

In the aftermath of the Senate's rejection of oil exploration in the Alaska wilderness, an expansion of the amount of ethanol added to gasoline will likely be included in an energy bill.

The bill would ban the additive M.T.B.E. and eliminate the requirement for oxygenates in gasoline. It would also require that the amount of ethanol blended into gasoline be increased from 1.7 billion gallons to 2.3 billion by 2004. It would be increased each year to 5 billion gallons in 2012.

Ethanol is a clean-burning gasoline additive made mostly from corn. The measure was written by Senate Majority Leader Tom Daschle, Democrat from South Dakota, a leading corn-producing state, and is backed by farmers, oil companies and environmentalists. Sens. Charles Schumer (D-NY) and Dianne Feinstein (D-CA) fought the proposal, saying it would likely increase the price of gasoline in their states, but were not successful, losing the crucial vote 68-31.

After passage by the Senate, the bill will have to be merged with the version passed by the House of Representatives last year, which is significantly different.

Copyright Hearst Business Publishing Jun 2002
Provided by ProQuest Information and Learning Company. All rights Reserved