42 U.S.C. § 7546 — Renewable fuel

Page 7364 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 7546 1 See References in Text note below. 2 So in original. CLAIMS FILED AFTER AUGUST 8, 2005 Pub. L. 109–58, title XV, § 1503, Aug. 8, 2005, 119 Stat. 1076, provided that: ‘‘Claims and legal actions filed after the date of enactment of this Act [Aug. 8, 2005] re- lated to allegations involving actual or threatened con- tamination of methyl tertiary butyl ether (MTBE) may be removed to the appropriate United States district court.’’ FINDINGS AND SENSE OF CONGRESS ON ETHANOL USAGE Pub. L. 100–203, title I, § 1508, Dec. 22, 1987, 101 Stat. 1330–29, provided that: ‘‘(a) FINDINGS.—Congress finds that— ‘‘(1) the United States is dependent for a large and growing share of its energy needs on the Middle East at a time when world petroleum reserves are declin- ing; ‘‘(2) the burning of gasoline causes pollution; ‘‘(3) ethanol can be blended with gasoline to produce a cleaner source of fuel; ‘‘(4) ethanol can be produced from grain, a renew- able resource that is in considerable surplus in the United States; ‘‘(5) the conversion of grain into ethanol would re- duce farm program costs and grain surpluses; and ‘‘(6) increasing the quantity of motor fuels that contain at least 10 percent ethanol from current lev- els to 50 percent by 1992 would create thousands of new jobs in ethanol production facilities. ‘‘(b) SENSE OF CONGRESS.—It is the sense of Congress that the Administrator of the Environmental Protec- tion Agency should use authority provided under the Clean Air Act (42 U.S.C. 7401 et seq.) to require greater use of ethanol as motor fuel.’’ AGRICULTURAL MACHINERY: STUDY OF UNLEADED FUEL Pub. L. 99–198, title XVII, § 1765, Dec. 23, 1985, 99 Stat. 1653, directed Administrator of EPA and Secretary of Agriculture jointly to conduct a study of use of fuel containing lead additives, and alternative lubricating additives, in gasoline engines that are used in agricul- tural machinery, and designed to combust fuel con- taining such additives, study to analyze potential for mechanical problems (including but not limited to valve recession) that may be associated with use of other fuels in such engines, and not later than Jan. 1, 1987, Administrator and Secretary to publish results of the study, with Administrator to publish in Federal Register notice of publication of such study and a sum- mary thereof; directed Administrator, after notice and opportunity for hearing, but not later than 6 months after publication of the study, to make findings and recommendations on need for lead additives in gasoline to be used on a farm for farming purposes, including a determination of whether a modification of regulations limiting lead content of gasoline would be appropriate in the case of gasoline used on a farm for farming pur- poses, and submit to President and Congress a report containing the study, a summary of comments received during public hearing (including comments of Sec- retary), and findings and recommendations of Adminis- trator made in accordance with clause (1), such report to be transmitted named congressional committees; di- rected Administrator between Jan. 1, 1986, and Dec. 31, 1987, to monitor actual lead content of leaded gasoline sold in the United States, with Administrator to deter- mine average lead content of such gasoline for each 3- month period between Jan. 1, 1986, and Dec. 31, 1987, and if actual lead content falls below an average of 0.2 of a gram of lead per gallon in any such 3-month period, to report to Congress, and publish a notice thereof in Fed- eral Register; provided that until Jan. 1, 1988, no regu- lation of Administrator issued under this section 211 could require an average lead content per gallon that is less than 0.1 of a gram per gallon; and authorized an ap- propriation. MODIFICATION OR RESCISSION OF RULES, REGULATIONS, ORDERS, DETERMINATIONS, CONTRACTS, CERTIFI- CATIONS, AUTHORIZATIONS, DELEGATIONS, AND OTHER ACTIONS All rules, regulations, orders, determinations, con- tracts, certifications, authorizations, delegations, or other actions duly issued, made, or taken by or pursu- ant to act July 14, 1955, the Clean Air Act, as in effect immediately prior to the date of enactment of Pub. L. 95–95 [Aug. 7, 1977] to continue in full force and effect until modified or rescinded in accordance with act July 14, 1955, as amended by Pub. L. 95–95 [this chapter], see section 406(b) of Pub. L. 95–95, set out as an Effective Date of 1977 Amendment note under section 7401 of this title. § 7546. Renewable fuel (a) Definitions In this section: (1) Municipal solid waste The term ‘‘municipal solid waste’’ has the meaning given the term ‘‘solid waste’’ in sec- tion 6903 of this title. (2) RFG State The term ‘‘RFG State’’ means a State in which is located one or more covered areas (as defined in section 7545(k)(10)(D) of this title). (3) Secretary The term ‘‘Secretary’’ means the Secretary of Energy. (b) Cellulosic biomass ethanol and municipal solid waste loan guarantee program (1) In general Funds may be provided for the cost (as de- fined in the Federal Credit Reform Act of 1990 (2 U.S.C. 661 et seq.)) of loan guarantees issued under title XIV of the Energy Policy Act 1 to carry out commercial demonstration projects for celluosic 2 biomass and sucrose-derived eth- anol. (2) Demonstration projects (A) In general The Secretary shall issue loan guarantees under this section to carry out not more than 4 projects to commercially dem- onstrate the feasibility and viability of pro- ducing cellulosic biomass ethanol or su- crose-derived ethanol, including at least 1 project that uses cereal straw as a feedstock and 1 project that uses municipal solid waste as a feedstock. (B) Design capacity Each project shall have a design capacity to produce at least 30,000,000 gallons of cel- lulosic biomass ethanol each year. (3) Applicant assurances An applicant for a loan guarantee under this section shall provide assurances, satisfactory to the Secretary, that— (A) the project design has been validated through the operation of a continuous proc- Page 7365 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 7546 ess facility with a cumulative output of at least 50,000 gallons of ethanol; (B) the project has been subject to a full technical review; (C) the project is covered by adequate project performance guarantees; (D) the project, with the loan guarantee, is economically viable; and (E) there is a reasonable assurance of re- payment of the guaranteed loan. (4) Limitations (A) Maximum guarantee Except as provided in subparagraph (B), a loan guarantee under this section may be issued for up to 80 percent of the estimated cost of a project, but may not exceed $250,000,000 for a project. (B) Additional guarantees (i) In general The Secretary may issue additional loan guarantees for a project to cover up to 80 percent of the excess of actual project cost over estimated project cost but not to ex- ceed 15 percent of the amount of the origi- nal guarantee. (ii) Principal and interest Subject to subparagraph (A), the Sec- retary shall guarantee 100 percent of the principal and interest of a loan made under subparagraph (A). (5) Equity contributions To be eligible for a loan guarantee under this section, an applicant for the loan guar- antee shall have binding commitments from equity investors to provide an initial equity contribution of at least 20 percent of the total project cost. (6) Insufficient amounts If the amount made available to carry out this section is insufficient to allow the Sec- retary to make loan guarantees for 3 projects described in subsection (b), the Secretary shall issue loan guarantees for one or more quali- fying projects under this section in the order in which the applications for the projects are received by the Secretary. (7) Approval An application for a loan guarantee under this section shall be approved or disapproved by the Secretary not later than 90 days after the application is received by the Secretary. (c) Authorization of appropriations for resource center There is authorized to be appropriated, for a resource center to further develop bioconversion technology using low-cost biomass for the pro- duction of ethanol at the Center for Biomass- Based Energy at the Mississippi State Univer- sity and the Oklahoma State University, $4,000,000 for each of fiscal years 2005 through 2007. (d) Renewable fuel production research and de- velopment grants (1) In general The Administrator shall provide grants for the research into, and development and imple- mentation of, renewable fuel production tech- nologies in RFG States with low rates of eth- anol production, including low rates of produc- tion of cellulosic biomass ethanol. (2) Eligibility (A) In general The entities eligible to receive a grant under this subsection are academic institu- tions in RFG States, and consortia made up of combinations of academic institutions, in- dustry, State government agencies, or local government agencies in RFG States, that have proven experience and capabilities with relevant technologies. (B) Application To be eligible to receive a grant under this subsection, an eligible entity shall submit to the Administrator an application in such manner and form, and accompanied by such information, as the Administrator may specify. (3) Authorization of appropriations There is authorized to be appropriated to carry out this subsection $25,000,000 for each of fiscal years 2006 through 2010. (e) Cellulosic biomass ethanol conversion assist- ance (1) In general The Secretary may provide grants to mer- chant producers of cellulosic biomass ethanol in the United States to assist the producers in building eligible production facilities de- scribed in paragraph (2) for the production of cellulosic biomass ethanol. (2) Eligible production facilities A production facility shall be eligible to re- ceive a grant under this subsection if the pro- duction facility— (A) is located in the United States; and (B) uses cellulosic biomass feedstocks de- rived from agricultural residues or munic- ipal solid waste. (3) Authorization of appropriations There is authorized to be appropriated to carry out this subsection— (A) $250,000,000 for fiscal year 2006; and (B) $400,000,000 for fiscal year 2007. (July 14, 1955, ch. 360, title II, § 212, as added Pub. L. 109–58, title XV, § 1511, Aug. 8, 2005, 119 Stat. 1086.) Editorial Notes REFERENCES IN TEXT The Federal Credit Reform Act of 1990, referred to in subsec. (b)(1), is title V of Pub. L. 93–344, as added by Pub. L. 101–508, title XIII, § 13201(a), Nov. 5, 1990, 104 Stat. 1388–609, which is classified generally to sub- chapter III (§ 661 et seq.) of chapter 17A of Title 2, The Congress. For complete classification of this Act to the Code, see Short Title note set out under section 621 of Title 2 and Tables. The Energy Policy Act, referred to in subsec. (b)(1), probably means the Energy Policy Act of 2005, Pub. L. 109–58, Aug. 8, 2005, 119 Stat. 594. Title XIV of the Act probably should be a reference to title XV of the Act which relates to ethanol and motor fuels and enacted Page 7366 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 7547 subchapter XIV (§ 16501 et seq.) of chapter 149 of this title and sections 6991i to 6991m and 7546 of this title, amended sections 6991 to 6991f, 6991h, 1991i, 7135, 7545, and 13220 of this title, and enacted provisions set out as notes under section 7545 of this title. Title XIV of the Act, which contains miscellaneous provisions, is classi- fied principally to subchapter XIII (§ 16491 et seq.) of chapter 149 of this title. For complete classification of this Act to the Code, see Short Title note set out under section 15801 of this title and Tables. PRIOR PROVISIONS A prior section 7546, act July 14, 1955, ch. 360, title II, § 212, as added Dec. 31, 1970, Pub. L. 91–604, § 10(c), 84 Stat. 1700; amended Dec. 31, 1970, Pub. L. 91–605, § 202(a), 84 Stat. 1739; Apr. 9, 1973, Pub. L. 93–15, § 1(b), 87 Stat. 11; June 22, 1974, Pub. L. 93–319, § 13(b), 88 Stat. 265, re- lated to low-emission vehicles, prior to repeal by Pub. L. 101–549, title II, § 230(10), Nov. 15, 1990, 104 Stat. 2529. A prior section 212 of act July 14, 1955, was renum- bered section 213 by Pub. L. 91–604, renumbered section 214 by Pub. L. 93–319, and renumbered section 216 by Pub. L. 95–95, and is classified to section 7550 of this title. § 7547. Nonroad engines and vehicles (a) Emissions standards (1) The Administrator shall conduct a study of emissions from nonroad engines and nonroad ve- hicles (other than locomotives or engines used in locomotives) to determine if such emissions cause, or significantly contribute to, air pollu- tion which may reasonably be anticipated to en- danger public health or welfare. Such study shall be completed within 12 months of Novem- ber 15, 1990. (2) After notice and opportunity for public hearing, the Administrator shall determine within 12 months after completion of the study under paragraph (1), based upon the results of such study, whether emissions of carbon mon- oxide, oxides of nitrogen, and volatile organic compounds from new and existing nonroad en- gines or nonroad vehicles (other than loco- motives or engines used in locomotives) are sig- nificant contributors to ozone or carbon mon- oxide concentrations in more than 1 area which has failed to attain the national ambient air quality standards for ozone or carbon monoxide. Such determination shall be included in the reg- ulations under paragraph (3). (3) If the Administrator makes an affirmative determination under paragraph (2) the Adminis- trator shall, within 12 months after completion of the study under paragraph (1), promulgate (and from time to time revise) regulations con- taining standards applicable to emissions from those classes or categories of new nonroad en- gines and new nonroad vehicles (other than loco- motives or engines used in locomotives) which in the Administrator’s judgment cause, or con- tribute to, such air pollution. Such standards shall achieve the greatest degree of emission re- duction achievable through the application of technology which the Administrator determines will be available for the engines or vehicles to which such standards apply, giving appropriate consideration to the cost of applying such tech- nology within the period of time available to manufacturers and to noise, energy, and safety factors associated with the application of such technology. In determining what degree of re- duction will be available, the Administrator shall first consider standards equivalent in stringency to standards for comparable motor vehicles or engines (if any) regulated under sec- tion 7521 of this title, taking into account the technological feasibility, costs, safety, noise, and energy factors associated with achieving, as appropriate, standards of such stringency and lead time. The regulations shall apply to the useful life of the engines or vehicles (as deter- mined by the Administrator). (4) If the Administrator determines that any emissions not referred to in paragraph (2) from new nonroad engines or vehicles significantly contribute to air pollution which may reason- ably be anticipated to endanger public health or welfare, the Administrator may promulgate (and from time to time revise) such regulations as the Administrator deems appropriate con- taining standards applicable to emissions from those classes or categories of new nonroad en- gines and new nonroad vehicles (other than loco- motives or engines used in locomotives) which in the Administrator’s judgment cause, or con- tribute to, such air pollution, taking into ac- count costs, noise, safety, and energy factors as- sociated with the application of technology which the Administrator determines will be available for the engines and vehicles to which such standards apply. The regulations shall apply to the useful life of the engines or vehicles (as determined by the Administrator). (5) Within 5 years after November 15, 1990, the Administrator shall promulgate regulations containing standards applicable to emissions from new locomotives and new engines used in locomotives. Such standards shall achieve the greatest degree of emission reduction achievable through the application of technology which the Administrator determines will be available for the locomotives or engines to which such stand- ards apply, giving appropriate consideration to the cost of applying such technology within the period of time available to manufacturers and to noise, energy, and safety factors associated with the application of such technology. (b) Effective date Standards under this section shall take effect at the earliest possible date considering the lead time necessary to permit the development and application of the requisite technology, giving appropriate consideration to the cost of compli- ance within such period and energy and safety. (c) Safe controls Effective with respect to new engines or vehi- cles to which standards under this section apply, no emission control device, system, or element of design shall be used in such a new nonroad en- gine or new nonroad vehicle for purposes of com- plying with such standards if such device, sys- tem, or element of design will cause or con- tribute to an unreasonable risk to public health, welfare, or safety in its operation or function. In determining whether an unreasonable risk ex- ists, the Administrator shall consider factors in- cluding those described in section 7521(a)(4)(B) of this title. (d) Enforcement The standards under this section shall be sub- ject to sections 7525, 7541, 7542, and 7543 of this