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Senator Klobuchar Leaves Imprint on Historic Senate Energy Bill

Legislation sets America on a new energy path

December 13, 2007

Washington, D.C. – U.S. Senator Amy Klobuchar said Thursday that a landmark energy bill passed by the United States Senate will give the nation more energy-efficient buildings, give consumers more fuel-efficient vehicles, reduce the release of greenhouse gases and reduce America’s dependence on imported oil.  Using her key positions on the Environment and Public Works Committee and Commerce Committee, Klobuchar was instrumental in bringing the Clean Energy Act of 2007 to the Senate floor and negotiating its final passage.  The bill aims to improve the energy efficiency of buildings and vehicles, including a key provision to raise the fuel economy standards by 40 percent to 35 miles per gallon in the next ten years, and shift the country toward the use of homegrown biofuels.

Earlier this year Senator Klobuchar was one of the key Senators among a group that negotiated to keep provisions increasing the fuel economy of our cars and trucks.

“Consumers deserve relief at the pump and increasing fuel economy standards is one major way to help them,” said Senator Klobuchar. “This bill requires auto manufacturers to improve the fuel efficiency of their vehicles, which can save families nearly $1,000 a year on gas.  Our work on the Commerce Committee, and in this bill, brings us one step closer to producing real savings and real solutions.”

The provision raising vehicle fuel-efficiency standards originated in the Senate Commerce Committee, where Klobuchar serves.  It requires an increase in fuel economy standards from 25 miles per gallon to 35 miles per gallon by 2020, which will save an estimated 1.1 million barrels of oil per day. Congress has not enacted higher vehicle fuel-efficiency standards since 1975.

In order to promote the transition to renewable fuels, the bill also requires that 36 billion gallons of renewable fuels be used by the year 2022, starting with 8.5 billion gallons by 2008. The current requirement is 7.5 billion gallons by 2012, a goal the country is expected to exceed. The legislation includes research on ethanol pipelines, quality standards for biodiesel, and loan guarantees for advanced biofuels facilities.

“We are spending over $200,000 a minute on foreign oil and it’s time to start investing in the workers and farmers of the Midwest instead of the oil cartels of the Mid East,” said Klobuchar.  “Today is a major victory towards energy independence and investing in the renewable fuels of the future.”

The bill is expected to save more than 2 million barrels of oil per day in 2020 and reduce emissions of greenhouse gases by 238 million metric tons annually by 2020.

Senator Klobuchar also pushed to include at least some version of Minnesota’s bold renewable electricity standard (RES), which requires that 25 percent of all electricity be generated from renewable sources by 2025 – “25 by 25.” While, the RES was not included in the final text, Klobuchar was pleased that the Senate extended the renewable tax credits for renewable energy.  These tax credits are vital to Minnesota’s economy and will continue to help businesses invest in Minnesota’s thriving renewable energy industry and develop new technologies to produce clean, renewable electricity.

The final bill also included an initiative modeled after Klobuchar’s Ethanol Education and Expansion Act. This provision will provide grants to gas stations to install renewable fuel pumps – including E-85 and biodiesel.  Klobuchar also included language modeled after her Right to Retail Renewable Fuel amendment that prohibits major oil companies from blocking the sale of E-85 and 20 percent biodiesel at franchised gas stations.  Both measures will ensure that more Americans have access to affordable, homegrown renewable fuels.

The Clean Energy Act passed the Senate today by a vote of 86 to 8 and now moves on to a conference committee, which will reconcile it with the House version of the bill.

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