[Federal Register Volume 62, Number 135 (Tuesday, July 15, 1997)] [Notices] [Pages 37897-37899] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 97-18531] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF ENERGY Office of Energy Efficiency and Renewable Energy [Docket No. EE-WKS-97-800] Alternative Fuel Transportation Program AGENCY: Department of Energy (DOE). ACTION: Notice of public workshop and opportunity for public comment. ----------------------------------------------------------------------- SUMMARY: DOE announces a public workshop on its programs to promote petroleum replacement motor fuels. The workshop will focus on issues related to: (1) The development of programs to promote replacement and alternative fuels under Title V of EPACT and (2) a pending petition for rulemaking that asks DOE to modify the existing alternative fuel vehicle acquisition program (10 CFR part 490) by making a biodiesel blend known as B-20 an eligible alternative fuel. DOE also provides an opportunity for written comments on issues to be discussed at the workshop. DATES: Written comments, ten (10) copies, must be received by DOE by September 15, 1997. Oral views, data, and suggestions may be presented at the public workshop which is scheduled to take place 8:30 a.m. on July 31-August 1, 1997, at St. Louis, MO. ADDRESSES: The public workshop will take place at the Holiday Inn Convention Center, 811 N. 9th Street (at Convention Plaza Drive), Salon A, St. Louis, Missouri. A block of hotel rooms has been reserved at the rate of $64.50. Please mention the Department of Energy Workshop when making your reservations. To assist DOE in planning for this workshop, please call Andi Kasarsky, (202) 586-3012, to confirm your attendance. Written comments should be sent to Paul McArdle, U.S. Department of Energy, EE-34, Docket No. EE-WKS-97-800, 1000 Independence Ave., SW, Washington, DC 20585. A copy of the petition for rulemaking is on file for public inspection in DOE's Freedom of Information Reading Room, Forrestal Building, Room 1E-190, 1000 Independence Avenue, SW, Washington, DC 20585. FOR FURTHER INFORMATION CONTACT: Paul McArdle, Program Manager, Office of Energy Efficiency and Renewable Energy, EE-34, U.S. Department of Energy, 1000 Independence Avenue, SW, Washington, DC 20585, (202) 586- 9171. SUPPLEMENTARY INFORMATION: I. Introduction and Background DOE has received a petition for rulemaking to amend the definition of ``alternative fuel'' in 10 CFR part 490 by adding a biodiesel blend (B-20) which is, by volume, 80 percent petroleum and 20 percent biological non-petroleum material. Part 490 sets forth the regulations that implement Title V of [[Page 37898]] the Energy Policy Act of 1992 (EPACT) (Pub.L. 102-486) which mandates alternative fuel vehicle acquisition requirements for certain alternative fuel providers and State government fleets. Title V of EPACT provides for one of a variety of EPACT programs to promote fuels that displace petroleum motor fuels, and the petition for rulemaking has prompted DOE to focus on a variety of policy issues about the development and interrelationships of these programs. The public workshop and the opportunity for public comment announced in this notice are intended to elicit public input that would be useful generally in elaborating the EPACT replacement fuel programs and specifically in determining whether to propose the rule the petitioner requests. Titles III, IV, V, and VI of EPACT authorize a variety of general and specific program authorities to promote any ``replacement fuel'' that displaces a substantial portion of petroleum as a component of motor fuel. Section 301(14) of EPACT defines the term ``replacement fuel'' as ``the portion of any motor fuel'' that is any one of a list of specific fuels including ``fuels (other than alcohol) derived from biological materials.'' 42 U.S.C. 13211(14). As discussed above, B-20, the fuel that is the subject of the petition for rulemaking, is a motor fuel 20 percent of which is derived from biological materials. That 20 percent thus appears to be a ``replacement fuel'' within the meaning of section 301(14). Section 502 of the Act provides general authority to establish a program to promote the development and use of replacement fuels in light duty motor vehicles. 42 U.S.C. 13252. However, section 502 leaves to DOE, in consultation with other agencies, the task of determining the appropriate programmatic means and methods to achieve the program objectives which may require further legislation or appropriations. Although the petition for rulemaking does not deal with possible programs under section 502, one of DOE's purposes in holding a workshop is to explore how replacement fuels should be promoted under section 502. In addition to the general authority in section 502, EPACT contains specific authorities with respect to ``alternative fuels.'' Title III of EPACT requires Federal fleet acquisitions of alternative fueled vehicles; Title IV includes specific authority for a financial incentive program for States, a public information program, and a program for certifying alternative fuel technician training programs; Title V provides for separate regulatory mandates for the purchase of alternative fueled vehicles which apply to certain alternative fuel providers and State government fleets and for a possible similar mandate for private and municipal fleets; and Title VI provides for a program to promote electric motor vehicles. The types of vehicles that satisfy the mandates in Title III and Title V are determined in part by the definition of ``alternative fuel'' in section 301(2). That definition provides: ``alternative fuel means methanol, denatured ethanol, and other alcohols; mixtures containing 85 percent or more (or such other percentage, but not less than 70 percent, as determined by the Secretary, by rule, to provide for requirements relating to cold start, safety, or vehicle functions) by volume of methanol, denatured alcohol, and other alcohols with gasoline or other fuels; natural gas; fuels (other than alcohol) derived from biological materials; electricity (including electricity from solar energy); and any other fuel the Secretary determines, by rule, is substantially not petroleum, and would yield substantial energy security benefits and substantial environmental benefits.'' 42 U.S.C. 13211(2). In contrast to the definition of ``replacement fuel,'' which is the non-petroleum component of a motor fuel, this definition focuses on the entire content of the fuel. It is possible, therefore, that a given fuel could contain a component that is a ``replacement fuel'' but the whole fuel is not an ``alternative fuel.'' In the rulemaking to establish the policies applicable to the Title V regulatory mandates, DOE considered and then declined to propose a rule to add reformulated gasoline to the list of alternative fuels in section 301(2). The rationale for this conclusion was that the percentage of reformulated gasoline constituting petroleum was too large to warrant a determination that the entire fuel is ``substantially not petroleum.'' According to one commenter, reformulated gasoline could be as much as 17 percent non-petroleum and 83 percent petroleum. 61 FR 10622, 10630 (March 14, 1996). In arguing for inclusion of B-20 in the definition of ``alternative fuel,'' the petition for rulemaking addresses the general criteria for adding to the list of ``alternative fuels.'' The petition argues that B-20 is substantially not petroleum and would yield substantial energy security benefits and substantial environmental benefits. DOE has placed a copy of the petition in its Freedom of Information Reading Room for public inspection. Issues raised by the petitioners account for some of the issues listed in the draft issue agenda for the workshop that is set forth below. DOE intends to proceed rapidly after the workshop toward issuing a written decision granting or denying the petition after considering relevant information and views that are provided in the workshop or in written comments. The agenda also will include issues that go beyond the scope of the pending petition for rulemaking, such as appropriate replacement fuel programs. II. Conduct of the Workshop The workshop will be conducted by an experienced facilitator in an informal, conference style. The draft agenda described below is subject to modification to ensure that those who attend will have an adequate opportunity to raise issues, offer information, state their views, and interact with other attendees. With respect to some of the issues, the facilitator may ask DOE program staff to make short introductory presentations to provide a useful context for discussion. A transcript of the workshop proceedings will be prepared. There will be no discussion of proprietary information, costs or prices, or other commercial matters regulated by antitrust law. III. Preliminary Draft Issue Agenda A. Replacement Fuel ProgramsWhat are the most suitable means and methods of developing and encouraging the production, distribution, and use of replacement fuels? B. Criteria for Designating ``Alternative Fuels' 1. Substantially Not Petroleum Is it appropriate to set a threshold level of non- petroleum content that would warrant a proposed rule to include the fuel in the list of ``alternative fuels?' How should DOE define a threshold level of non-petroleum content that would warrant a proposed rule to include the fuel on the list of ``alternative fuels?'' What are the permissible interpretations of the statutory term ``substantially not petroleum?' 2. Substantial Energy Security Benefits Should DOE request a detailed analysis showing how the final energy balance reflecting the amounts and types of energy consumed in production, distribution, and use of a candidate fuel compares to the equivalent path for petroleum production, distribution and use? What other factors, such as diversification of resources, location of production outside of the United States, [[Page 37899]] use of renewable energy sources, and ability to increase production quickly, should be considered? 3. Substantial Environmental Benefits Should DOE request that petitioners identify the physical and chemical properties of the candidate fuel such as specific gravity, initial boiling point, flash point, and vapor pressure at 100 degrees Fahrenheit? Should petitioners be required to identify environmental detriments and to show that they are either insignificant or outweighed substantially by environmental benefits? Should the environmental analysis focus on the total fuel cycle, including production, distribution, and use of the candidate fuel? Should petitioners be required to show that alternative fueled vehicles operating on the fuel meet Federal Tier I emissions standards and to submit emissions data including exhaust emissions and evaporative emissions for all fuels with Reid vapor pressures of 7.0 psi or greater to be used in spark-ignited engines? How should information on greenhouse gas emissions be presented? 4. Other Considerations Would it be permissible and appropriate to condition designation as an ``alternative fuel'' on a requirement that DOE would only give credit to a newly acquired vehicle that actually uses the new ``alternative fuel?' Issued in Washington, DC, on July 10, 1997. Joseph J. Romm, Acting Assistant Secretary, Energy Efficiency and Renewable Energy. [FR Doc. 97-18531 Filed 7-14-97; 8:45 am] BILLING CODE 6450-01-P