WP: Extension of Ethanol Credit Draws Fire

[DeepModem Mom]

Extension of Ethanol Credit Draws Fire
Critics Say Flexible-Fuel Provision Boosts Oil Consumption

By Juliet Eilperin
Washington Post Staff Writer
Monday, June 6, 2005; Page A06


A little-noticed provision in the House energy bill provides a key concession to major automakers, allowing them to take credit for producing vehicles that run on ethanol even if owners are using regular gas.

The measure, which makes it easier for manufacturers to meet federal fuel economy requirements, underscores the problems lawmakers encounter when trying to promote alternative fuels. While U.S. officials have been trying to spur a broad market for "flexible-fuel vehicles" that can run on gas or an ethanol blend, some studies suggest that this policy has increased domestic oil consumption over the past decade.

The flexible-fuel credit, which is set to expire in 2008, would be extended for six years under language adopted by the House on April 21. It allows car makers to get credit for fuel economy for flexible-fuel vehicles even if owners never use anything but gas....

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Rep. Joe Barton (R-Tex.), chairman of the House Energy and Commerce Committee, said in a statement that the credit reflected a "balanced approach" to energy consumption that "will help alleviate our reliance on foreign oil and achieve a cleaner environment."

But environmentalists such as David Friedman, research director for the clean vehicles program of the Union of Concerned Scientists, countered that, since its inception in 1993, the flexible-fuel credit has allowed manufacturers to avoid $1.6 billion in federal fines and U.S. gasoline consumption to increase by 4 billion gallons....


http://www.washingtonpost.com/wp-dyn/content/article/2005/06/05/AR2005060501015.html

[merwin]

1. Can't any car run on ethanol instead of unleaded?

[merwin]

2. My favorite 'point the finger' line:

"The refiners say they're not going to produce clean fuels until there's autos to use them, and the automakers say, well, we need the clean fuels if we're going to manufacture these clean vehicles," Bergquist said in an interview.