Federal Efforts to Reduce Oil
Imports and Greenhouse Gas
Emissions from
Transportation
Greg Dotson
Office of Rep. Henry A. Waxman
House Government Reform Committee,
Minority Staff
Oil Dependence/Global Warming
Inextricably Linked
Tom Toles, Washington Post (Apr. 3, 2006).
6500
6000
5500
5000
4500
4000
3500
3000
2500
20000
15000
10000
5000
Petroleum Imports
Carbon Emissions
2005
2004
2003
2002
2001
0
Million Metric Tons of
Carbon
25000
2000
Thousands of Barrels
Per Day
Petroleum Demand, Imports, Carbon
Emissions Increasing (EIA)
Petroleum Products Supplied
Petroleum Demand/Imports
Projected to Increase (EIA)
Millions of Barrels Per Day
30
Projected
Imports of
Crude Oil
and
Petroleum
25
20
15
Projected
Total
Petroleum
Supply
10
5
0
2006
2015
2020
2030
Federal Efforts Over the Last 6
Years

Rhetorical recognition of problem
• Administration and U.S. Senate
• The House of Representatives more mixed
• Recognition of problems with dependence on
foreign oil
• Largely ignored global warming

Refusal to take meaningful action
Administration has not Addressed
Oil Dependence/Global Warming

Administration set a nonbinding goal to
allow actual U.S. emissions of global
warming pollution to rise by 14 percent
by 2012.
Administration has not Addressed
Oil Dependence/Global Warming

Administration has opposed any constraints on
greenhouse gases or the use of oil.
•
•
•
•
•
•
•
Declared CO2 not a pollutant
Rejected Kyoto Protocol
Rejected targets and timeframes for renewable energy at
WSSD
Denied petition to regulate CO2
Opined that State programs to reduce CO2 emissions from
automobiles are preempted
Opposed proposals for energy bill to increase CAFE stds or
reduce oil demand
Has not (yet) granted CA waiver
Positive Efforts Outweighed

Modified CAFE for light duty trucks
•
•
•

Increased by 1.8 mpg by 2011, but approx. 1/3 of
projected savings due to increasing fuel prices
Extended dual fuel loophole
No increase in CAFE for passenger automobiles
Supported tax credits for hybrids
•
Dwarfed by early tax incentives for SUV’s weighing
more than 6,000 pounds
Congress Failed to Require an
Increase in Vehicle Efficiency

2001 – proposal to increase CAFE stds
defeated, 160-269

2003 -- proposal to increase CAFE stds
defeated, 162-268

2005 – proposal to increase CAFE stds
defeated, 177-254
Congress Considered Other
Proposals to Reduce Oil Demand

New framework that gained some traction -Congress sets clear goal of reducing oil
demand with iterative process by
Administration to achieve goal over time.
•
•
•
Promoted rational process by Administration
Decisions could be made on the record
Promoted scrutiny of oil use throughout economy, not
just in light duty vehicles, which comprise ~40% of oil
use.
Senate Rejected More Aggressive
Proposal to Reduce Oil Demand

Cantwell Amendment would set goal of
reducing need for imported oil by 40
percent by 2025 from projected levels.

Rejected 47-53
• 97% Dems supported, 94% Repubs opposed
Administration Opposed and
Congress Rejected Less Aggressive
Proposal to Reduce Oil Demand



Senate twice passed an amendment to
require a plan to reduce oil demand by a
million barrels per day within a decade.
House rejected a similar amendment on a
vote of 166-262
Administration strongly objected to the
provision and it was dropped in conference.
EPACT 05 Established
Renewable Fuel Standard (RFS)



4 billion gallons/yr in 2006 –> 7.5 billion
gallons/yr in 2012.
National Corn Growers Association and U.S.
EPA say demand for renewable fuels is already
projected to outpace RFS requirements.
27 ethanol facilities under construction. Scores
more on the drawing board. Almost all planned
to be coal-fired, negating greenhouse gas
benefits.
Advanced Energy Initiative



Response to “addicted to oil” in State of the
Union 2006. President said it will result in
replacing “more than 75 percent of our oil
imports from the Middle East by 2025.”
$118 million over several years to fund
research for ethanol, batteries, and hydrogen.
Overall, cuts vehicle technology research at
DOE.
Advanced Energy Initiative in
Context
Millions of Barrels Per Day
14
Light-Duty
Vehicles Fuel
Use (AEO 2006)
12
10
2015 Senatepassed target
8
6
2025 State of
the Union Goal
4
2
0
2004
2010
2015
2020
2025
07/01/2006
01/01/2006
07/01/2005
01/01/2005
07/01/2004
01/01/2004
07/01/2003
01/01/2003
07/01/2002
01/01/2002
07/01/2001
01/01/2001
Dollars per Gallon
U.S. All Grades Conventional
Retail Gasoline Prices (EIA)
$3.50
$3.00
$2.50
$2.00
$1.50
$1.00
$0.50
$0.00
Daily Cost of Imported Oil
$700,000,000.00
$600,000,000.00
$500,000,000.00
$400,000,000.00
$300,000,000.00
$200,000,000.00
$100,000,000.00
$0.00
2001
2006
Groups Urging Action


Historically, environmental groups have
taken the lead. Ethanol lobby has had a
role.
New groups add new voices
• Set America Free
• Energy Future Coalition
• Apollo Alliance
Legislation Gathering Support




H.R. 5642 Safe Climate Act (Waxman) – Adopts CA car
emission standards at federal level and establishes
declining carbon cap – 110 cosponsors.
H.R. 5965 Progress Act – provides government incentives
to promote biofuels and enhanced vehicle efficiency
H.R. 4409 Fuel Choices for American Security Act –
establish planning process for reducing oil demand,
promotes ethanol, requires flex fuel vehicles
H.R.5372 Biofuel Act – accelerate requirements for
ethanol production, require E85 pumps
110th Congress



High level of interest in Congress in
global warming and oil dependence that
hasn’t previously been experienced.
National focus on state and local actions
Media attention
Conclusion


No significant progress adopting policies
in recent years.
However, support appears to be growing
for federal action.
As California Goes, So Goes the Nation?
Tom Toles, Washington Post (Sept. 1, 2006)