PA Gov Signs Biodiesel & Ethanol Incentives, Mandate

John Davis

Pennsylvania Governor Ed Rendell has signed into law measures that will provide incentives to biodiesel producers while mandating a rising scale of biodiesel percentages in all diesel sold in the state.

This story from FoxBusiness.com has details:

“Pennsylvanians are struggling with higher fuels costs,” said Governor Rendell, who signed House Bill 1202 and Special Session Senate Bill 22 into law at the National Armory in Montgomery County. “Record-high fuel prices are straining family budgets and pinching the bottom lines of our businesses. We need to reduce our dependence on foreign oil and keep our energy dollars in Pennsylvania, to invest in our economy and create jobs.”

Here are the requirements for biodiesel percentages and what is believed to be the first cellulosic ethanol mandate in the country:

All diesel fuel sold at retail must contain:

— 2 percent biodiesel, once in-state production reaches 40 million gallons;

— 5 percent biodiesel, once in-state production reaches 100 million gallons;

— 10 percent biodiesel, once in-state production reaches 200 million gallons; and

— 20 percent biodiesel, once in-state production reaches 400 million gallons.

All gasoline sold at retail must contain:

— 10 percent ethanol, once in-state cellulosic ethanol production reaches 350 million gallons.

Pennsylvania is also investing $5.3 million for in-state biodiesel producers each year through 2011. Those producers will also be able to cash in on a 75 cents-a-gallon subsidy. The bills are expected to add a billion gallons of biofuels a year to the state.

Biodiesel, Ethanol, Legislation, News