Home > 106th Congressional Bills > H.R. 220 (ih) To amend title II of the Social Security Act and the Internal Revenue [Introduced in House] ...H.R. 220 (ih) To amend title II of the Social Security Act and the Internal Revenue [Introduced in House] ...
108th CONGRESS
1st Session
H. R. 2209
To require that diesel fuel sold in the United States meet
specifications designed to facilitate the widespread introduction of
clean diesel vehicles in the United States, and for other purposes.
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IN THE HOUSE OF REPRESENTATIVES
May 22, 2003
Mr. Dingell introduced the following bill; which was referred to the
Committee on Energy and Commerce, and in addition to the Committee on
Ways and Means, for a period to be subsequently determined by the
Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned
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A BILL
To require that diesel fuel sold in the United States meet
specifications designed to facilitate the widespread introduction of
clean diesel vehicles in the United States, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Clean Diesel Act of 2003''.
SEC. 2. FINDINGS.
The Congress finds the following:
(1) Sulfur in diesel fuel is a source of air pollution.
(2) Clean burning diesel technology is capable of high fuel
economy (exceeding 125 percent of model year 2002 fuel
economy).
(3) Dependence on foreign oil is an issue of national
security.
(4) The fuel economy benefits of diesel vehicles can be
seen in Europe, where diesel powered vehicles are widely
available.
(5) The introduction of clean burning diesel vehicles would
be facilitated greatly by the introduction of diesel fuel with
the lowest feasible sulfur level and would result in
significant fuel economy benefits for the United States.
(6) It is in the national interest that American
manufacturing and American workers are well positioned to meet
the rising consumer demand for advanced technology vehicles.
(7) In subpart I of part 80, title 40, Code of Federal
Regulations, the Environmental Protection Agency requires that,
beginning June 1, 2006, motor vehicle diesel fuel may not
contain more than 15 parts per million of sulfur, subject to
certain limited exceptions ending on December 1, 2010.
SEC. 3. DEFINITIONS.
For purposes of this Act:
(1) The term `` Administrator'' means the Administrator of
the Environmental Protection Agency.
(2) The term ``Secretary'' means the Secretary of Energy.
TITLE I--CLEAN MOTOR VEHICLE DIESEL FUEL STANDARDS
SEC. 101. DEFINITIONS.
For purposes of this title:
(1) In general.--The terms ``import'', ``importer'',
``ppm'', ``produce'', ``refiner'', ``refinery'', and ``motor
vehicle diesel fuel'' have the meanings given to those terms in
regulations of the Administrator relating to motor vehicle
diesel fuel.
(2) Clean diesel fuel.--The term ``clean diesel fuel''
means motor vehicle diesel fuel subject to the standards of
section 102(c).
SEC. 102. STANDARDS.
(a) Effective Date.--The standards and requirements of this title
apply to any motor vehicle diesel fuel produced or imported by any
refiner or importer beginning on January 1, 2011.
(b) Excluded Fuel.--The provisions of this title do not apply to
motor vehicle diesel fuel that is designated for export outside the
United States, and identified for export by a transfer document as
required under regulations of the Administrator.
(c) Standards.--Except as otherwise provided in this title, all
motor vehicle diesel fuel is subject to the following per gallon
standards:
(1) Sulfur content.--A sulfur content as low as feasible,
as determined by the Administrator taking into consideration
costs, but not higher than 10 ppm. Not less than every 5 years,
the Administrator shall review and, as appropriate, revise the
determination made under this paragraph.
(2) Cetane number.--A minimum cetane number of 55.
(3) Aromatic content.--A maximum aromatic content of 15
volume percent.
(4) Lubricity level.--A maximum high-frequency
reciprocating rig wear scar diameter of 400 microns.
(d) Regulations.--Not later than January 1, 2006, the Administrator
shall promulgate regulations to implement this title. Such regulations
shall--
(1) require measures to minimize the extent of sulfur
contamination in the motor vehicle diesel fuel distribution
system;
(2) ensure that motor vehicle diesel fuel sold as clean
diesel fuel at retail outlets or wholesale purchaser-consumer
facilities does not exceed the per gallon standards set forth
in subsection (c); and
(3) evaluate and, as necessary, promulgate requirements to
ensure the compatibility of motor oil intended for use in motor
vehicle engines consistent with the purposes and requirements
of this Act.
(e) Savings.--Nothing in this title shall be construed to relieve
any person of any emission control requirement or obligation under the
Clean Air Act.
SEC. 103. WAIVERS; EXEMPTION.
(a) Waiver on Petition of State.--
(1) In general.--On petition by 1 or more States, the
Administrator, in consultation with the Secretary, may, in
whole or in part, waive the requirements of section 102
relating to clean diesel fuel by reducing the amount of clean
diesel fuel required under such section, if the Administrator
determines, after public notice and opportunity for comment,
that implementation of such requirements, without an
appropriate waiver, would severely harm the economy of a State
or region due to inadequate supply or distribution capacity
sufficient to meet such requirements.
(2) Duration; renewal.--A waiver under this subsection
shall terminate after 180 days and may be renewed by the
Administrator for not more than 1 additional period of 180 days
after consultation with the Secretary.
(3) Expiration of authority.--No waiver may be granted
under this subsection after December 31, 2010.
(b) Economic Hardship Exemption.--
(1) Exemption.--A small business refiner may petition the
Administrator for an exemption from the requirements of section
102 for the reason of disproportionate economic hardship. If
the Administrator fails to act on such a petition within 120
days after receipt of the petition, the petition shall be
deemed granted.
(2) Definitions.--For purposes of this subsection:
(A) The term ``disproportionate economic hardship''
means economic impact resulting in substantial economic
losses that threaten the viability of the entity in
question, as determined by the Administrator in
consultation with the Secretary.
(B) The term ``small business refiner'' means, with
respect to any calendar year, a refiner of crude oil
with respect to which not more than 1,500 persons are
engaged in the refinery operations of the business on
any day during such calendar year and whose average
daily domestic refinery run for such calendar year did
not exceed 205,000 barrels.
SEC. 104. MISFUELING.
(a) Prohibition.--After December 31, 2010, no person shall
knowingly introduce, or cause or allow the introduction of, fuel other
than clean diesel fuel into any motor vehicle that is designed to
operate with diesel fuel.
(b) Penalty.--Any person that violates this section shall be
subject to the same penalties applicable to a person that violates
section 211(g) of the Clean Air Act (42 U.S.C. 7545(g)).
SEC. 105. PENALTIES AND INJUNCTIONS.
(a) Civil Penalties.--Subject to penalties applicable to misfueling
under section 104, any person who violates any provision of this title
or the regulations prescribed under this title or who fails to furnish
any information or conduct any tests required by the Administrator
under regulations under this title shall be liable to the United States
for a civil penalty of not more than the sum of $25,000 for every day
of such violation and the amount of economic benefit or savings
resulting from the violation.
(b) Injunctive Authority.--The district courts of the United States
shall have jurisdiction to restrain violations of this title and of the
regulations prescribed under this title, to award other appropriate
relief, and to compel the furnishing of information and the conduct of
tests required by the Administrator under regulations under this title.
Actions to restrain such violations and compel such actions shall be
brought by and in the name of the United States. In any such action,
subpoenas for witnesses who are required to attend a district court in
any district may run into any other district.
TITLE II--INCENTIVES TO ENCOURAGE CLEAN DIESEL MOTOR VEHICLES
SEC. 201. DETERMINATION OF CREDIT AMOUNTS FOR CLEAN DIESEL MOTOR
VEHICLE CREDIT AND LIFETIME FUEL SAVINGS CREDIT.
(a) In General.--Not later than 120 days after the date of the
enactment of this Act, the Secretary of Energy shall determine credit
amounts for the clean diesel motor vehicle credit under section 30B,
and the lifetime fuel savings credit under section 30C, of the Internal
Revenue Code of 1986 in amounts which the Secretary determines will
provide appropriate incentives to encourage the widespread consumer
acceptance of clean diesel motor vehicles. In making determinations
under the preceding sentence, the Secretary--
(1) may not increase or decrease the credit amount
specified for a category in the table in subsection (b) by more
than $500;
(2) may not increase the maximum fuel economy for a
category above the maximum fuel economy specified for that
category in the table in subsection (b);
(3) may not increase or decrease the lifetime fuel savings
amount specified for a category in the table in subsection (c)
by more than $500; and
(4) may not increase the number of gallons for the category
of lifetime fuel savings in the table in subsection (c).
(b) Alternative Credit Amount For Clean Diesel Motor Vehicle
Credit.--In the case that the Secretary of Energy does not meet the
120-day period specified in subsection (a), the credit amounts for the
clean diesel motor vehicle credit under section 30B of the Internal
Revenue Code of 1986 shall be determined in accordance with the
following table:
----------------------------------------------------------------------------------------------------------------
Fuel economy based on
percentage of 2002 model year
Category city fuel economy Credit amount
--------------------------------
At least but less than
----------------------------------------------------------------------------------------------------------------
1.................................................... 125% 150% $1,500
2.................................................... 150% 175% $2,000
3.................................................... 175% 200% $2,500
4.................................................... 200% 225% $3,000
----------------------------------------------------------------------------------------------------------------
(c) Alternative Credit Amount For Lifetime Fuel Savings Credit.--In
the case that the Secretary of Energy does not meet the 120-day period
specified in subsection (a), the credit amounts for the lifetime fuel
savings credit under section 30C of the Internal Revenue Code of 1986
shall be determined in accordance with the following table:
Lifetime Fuel Credit
Savings (gallons): Amount:
1,200................
$1,500
1,800................
$2,000
2,400................
$2,500
3,000................
$3,000.
(d) Option To Use Like Vehicle.--At the option of the vehicle
manufacturer, the increase for fuel economy and lifetime fuel savings
may be calculated by comparing the new clean diesel motor vehicle to a
like vehicle.
(e) Definitions.--For purposes of this section:
(1) Clean diesel motor vehicle.--The term ``clean diesel
motor vehicle'' means a motor vehicle with an internal
combustion engine that--
(A) is designed to operate primarily using more air
than is necessary for complete combustion of the fuel;
(B) incorporates direct injection;
(C) achieves at least 125 percent of the 2002 model
year city fuel economy; and
(D) for 2004 and later model vehicles, has received
a certificate that such vehicle meets or exceeds the
Bin 5, Tier 2 emission levels (for passenger vehicles)
or Bin 8, Tier 2 emission levels (for light trucks)
established in regulations prescribed by the
Administrator under section 202(i) of the Clean Air Act
for that make and model year vehicle.
(2) Lifetime fuel savings.--The lifetime fuel savings shall
be calculated by dividing 120,000 by the difference between the
2002 model year city fuel economy for the vehicle inertia
weight class and the city fuel economy for the new clean diesel
motor vehicle.
(3) Like vehicle.--The term ``like vehicle'' for a clean
diesel motor vehicle derived from a conventional production
vehicle produced in the same model year means a model that is
equivalent in the following areas:
(A) Body style (2-door or 4-door).
(B) Transmission (automatic or manual).
(C) Acceleration performance (<plus-minus> 0.05
seconds).
(D) Drivetrain (2-wheel drive or 4-wheel drive).
(E) Certification by the Administrator.
(4) 2002 model year city fuel economy.--The 2002 model year
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