May 29, 2008 Three New CTL Bills introduced in U.S. House: CTL Aviation Fuel Bill (H.R. 6131) introduced by Rep. Mike Rogers (R-Mich
mikerogers.house.gov/LegislativeIssues.aspx?section=132
Title V: Transition Coal-To-Liquid Fuels into a Viable Commercial Alternative to Traditional Aviation Fuels The purpose of this section is to transition from jet fuel to Coal-to-Liquids (CTL). Specifically, this section directs the Department of Transportation (DOT) and other agencies, in coordination with Universities, to establish programs to develop jet fuel made from coal and other domestic feed stocks.
This section grants the Department of Defense (DOD) and other agencies the authority to sign long-term contracts with fuel manufacturers, which will make it much easier for CTL companies to obtain private financing. This provision requires that all contracts:
Be competitively bid; Have prices that are market competitive; Are no longer than 25 years; and Use fuel with a life-cycle green house gas emission equal to or less than the green house gas emissions of the fuel it will replace This section also directs the Federal Aviation Administration (FAA) to designate a University as a “Center of Excellence for Coal-to-Liquid Fuels.”
It also creates a new tax credit of 50 cents per gallon for alternative and unconventional aviation fuel mixtures, further improving the cost competitiveness of CTL. This tax credit expires in 2016.
This provision will save 1.6 million barrels of oil a day.
Gruß
J.
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