No objection. How many minutes? Two? No objection. Mr. President, parliamentary inquiry: I am to be followed by Senator Thune, who has 15 minutes, is that correct? I ask unanimous consent that it be the case. Mr. President, I rise this…
No objection. How many minutes? Two?
No objection.
Mr. President, parliamentary inquiry: I am to be followed by Senator Thune, who has 15 minutes, is that correct?
I ask unanimous consent that it be the case.
Mr. President, I rise this afternoon to discuss the process under which we consider this bill that has been set forth by the majority leader earlier. I also want to discuss a critical issue facing our farmers. I do not want to belabor the point that has been made by our distinguished Republican leader, Senator McConnell, and by Senator Gregg about the importance of an open amendment process, but I do want to add some context, if I might.
I understand it is the majority's prerogative to fill the amendment tree, and it has been done by leaders of both parties in the past. However, I wanted to go on record about the potential serious danger of this process. Earlier, the majority leader stated that only amendments that are relevant to the farm bill will be allowed to be offered and voted on.
Well, I cannot think of any amendment more relevant to the economic security of the American farmer than an amendment to increase the renewable fuel standard. I am very hopeful the amendment will meet the test the leader has made for amendments. I don't know yet whether it will, but I think before I am finished and before other speakers are heard, it should be quite obvious that there is no amendment that could be offered that is more important to rural America and the farmers than this one.
Since we passed the first ever renewable fuels standard in the Energy Policy Act of 2005--and the occupant of the chair was a member of the committee that wrote it--bipartisan--and played a very vital role in a number of its provisions--since that Energy Policy Act, we have seen a surge in ethanol jobs and a surge in the construction of ethanol plants. I think we all know that. In 2006 alone, the ethanol industry supported the creation of 160,000 new jobs, while producing 5 billion gallons of ethanol. These are American farm jobs which help produce American fuels and help reduce our dependence on foreign oil. It seems to me the relevance of ethanol is asked and answered.
My bipartisan amendment would set annual requirements for the amount of renewable fuels used in motor vehicles, homes, and boilers. It would require that our Nation use 8.5 billion gallons of renewable fuels in 2008 and progressively increase to 36 billion gallons by 2022.
My amendment will help the ethanol industry right now by doubling the current ethanol mandate from 7.5 billion gallons in 2009 to 15 billion gallons by 2015. That will ensure that America will be using the additional ethanol that farmers are producing.
Beginning in 2016, an increasing portion of the renewable fuels must be advanced biofuels. Advanced biofuels include cellulosic ethanol, biodiesel, and other fuels derived from unconventional biomass feedstocks such as sorghum. The required amount of advanced biofuels begins at 3 billion gallons in 2016 and increases to 21 billion by 2022.
I want to depart from my text and talk a minute with the Presiding Officer and any other Senators who are listening. This amendment is part of the so-called Senate Energy bill passed in June. It has three major parts, and this is one part of it. This is one that has a lot to do with ethanol, but it was part of the Energy bill we passed and took a lot of pride in. Since then, the House passed a bill. The House passed two bills on energy. Their bills were, for all intents and purposes, completely different than the Senate's bill. We have been totally unsuccessful in moving anything in the direction of getting either our bill or their bill moving toward a bicameral solution in conference or by agreement between the two Houses through appropriate people. That is not occurring. There is lots of talk but no action. Pretty soon we will be giving the excuse for doing nothing for the ethanol prices--we will be saying, wait another month and we will get this agreement with the House. The Senate-passed bill will somehow get negotiated out with the House, with somebody, somehow, sometime, even though they don't have any provision in their bill that is like the one I am talking about.
This amendment is in our bill--the bill of the Senate--that we worked so hard on. It is the one the President talked about in his State of the Union Address, as the occupant of the chair might remember. Cellulosic was what everybody talked about: In about 2 years we break that R&D requirement and we are ready to go with the most critical new fuel--cellulosic. Now we sit and say, let's not do anything. I am kind of prejudging what some will say tomorrow when this amendment, which will be filed at the desk and which is nothing more than the Energy bill that was passed with all of the amendments that were adopted, that was subtitle B, the biofuels for energy security and transportation as part of the Energy bill--it is now an amendment I am asking to be attached to the farm bill. I think it should meet the leader's test where he said it has to be something that is strongly related to agriculture or he isn't going to consider it. Considering things such as perhaps the Lugar bill, which is highly touted as a substitute--it won't pass, but it will be permitted to be offered as an amendment, I assume.
This amendment is very important. We could get out of here in December and not have an agreement with the House on this energy bill. I repeat: They don't have this provision in their bill. They are going to have to accept a whole new approach. Energy security and transportation through biofuels is part of the three components of the bill, of the big bill we are talking about. We would have to find some way for the House to accommodate all three of the big sections, because they have none of them. They don't have this one. They don't have CAFE, on which our fellow committee members on Commerce worked very hard. They don't have CAFE in theirs. They don't have this provision, and they don't have the very large provision we have in ours with reference to maintenance and security, reducing the costs of various fuel products. So it is not going to be easy to get that. It would be very easy--if the majority leader agrees tomorrow, it would be very easy to adopt this amendment and, eventually, if the agriculture bill passes and goes right over to the House, and they have no alternative--they have to go to conference with a farm bill that is going to be very popular and it is going to have this provision on it, and it is very popular. As my colleagues know, if it were freestanding and didn't have any of the problems of: Does it belong on this bill, which I think is an irrelevant statement--we shouldn't be talking about that--it belongs on this bill, we are going to make up a rule if we don't let it come on here. It fits; it is germane;
it is relevant. Any words we have used historically for amendments, it is that.
Now, beginning in 2016, an increasing portion of renewable fuels must be advanced biofuels, which must include cellulosic ethanol, biodiesel, and other fuels derived from unconventional biomass feedstocks, such as sorghum. The required amount of advanced biofuels begins at 3 billion gallons in 2016 and increases to 21 billion by 2022.
Advanced biofuels do not have many of the challenges that conventional ethanol does. The inclusion of advanced biofuels strikes a balance that will allow America to begin diversifying our fuel supply in a very short term and in the long term.
That is why, when supporting these same provisions in the Energy bill, the Renewable Fuels Association said that they ``strike the right chord''--that is what this does--noting that ``such an investment in our Nation's energy future promises to spur the creation of new, good- paying jobs across the country.''
This amendment consists of the very same provisions passed by the Senate in June as we considered the Energy bill. Some may ask, then, why do I seek to offer this amendment to the farm bill? I have already told you my answer. Repeating, first, the Energy bill is languishing largely because the House has very different provisions, and we have no way of going to conference. We are not in conference. We are negotiating in some way. People are talking. Committees are talking, but nothing is agreed upon by anyone as to the process or procedure. Certainly, we have to have that bipartisan. It will not pass if it comes here from the House and doesn't have some Republican input. I assume it will come from people such as me, as ranking member of one of the committees, or maybe Senator Stevens, who would have to be part of it if it were to have a real chance.
The second reason is this amendment is relevant to the farm bill. It is necessary now to reinvigorate the ethanol industry, and that industry and everything that makes it up is looking to Congress to extend this mandate as soon as possible.
In one sense, we have been a victim of our own success. Thanks to the 2005 Energy bill, rural America has answered the call for increased ethanol production. In fact, we have now exceeded the original mandated amount in our fuel mix. For example, in 2006, the ethanol standard was 4 billion gallons and, in fact, our domestic production of ethanol was 5 billion gallons. We can do more and the American farmer is looking for Congress to do more.
Over the last year, the price of ethanol has dropped nearly 40 percent. The reason for this is simple economics. We have an increased supply and diminished demand in the marketplace. As a result the construction of new plants has been delayed meaning new job growth has been diminished and rural communities are looking to us to take action. We cannot wait for a languishing energy bill while rural communities are losing their opportunities. This amendment is not simply relevant to the farm bill, Mr. President. It is necessary.
This matter will come back. It will be filed sometime tomorrow, or the next day, depending on when the leader will talk to me on the floor.