Washington, D.C. -  U.S. Rep. Tim Johnson said the House passage of the Refinery Permit Process Schedule Act should pave the way for expansion of the nation’s refining capacity in a responsible manner that serves the best interests of the nation.

“This Act is a product of lengthy negotiations among many diverse interests,” said Rep. Johnson, R-Urbana. “Katrina showed us all too clearly the weaknesses in the fuel supply. This legislation will clear any perceived roadblocks in the regulatory environment, hold the industry accountable to important environmental laws, and at the same time diversify the fuel supply by bringing renewable fuel refineries and traditional refineries online outside the Gulf of Mexico.”

Opinions differ as to why no new refineries have been constructed for 30 years, but some cite uncertainty in the regulatory process.

The Act allows for the appointment of a federal coordinator to manage the multi-agency permitting process. The coordinator will work with the governor of the state where a new refinery is sited to convene the relevant agencies and coordinate the process. The Act ensures that federal environmental regulations are given maximum deference. Should an agency fail to meet its commitment, a local federal court may enforce the action.

Perhaps the greatest benefits to the public, Rep. Johnson said, are in the incentives for geographic diversity of plant construction that would allow greater use of alternative fuel feedstocks such as ethanol and other biomass crops.

“This is a step forward in cutting through and coordinating the relevant bureaucracies,” Rep. Johnson said. “The actions today are positive steps. I must emphasize, however, that long-term relief from these kinds of prices will come in exploiting the many opportunities we have for renewable fuel sources, conservation and making use of evolving technologies that will reduce our reliance on foreign oil.”

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