Tuesday, December 18, 2007

What is in the New Energy Bill?

The House has passed the energy bill passed in the Senate, which had been modified to take out $20 billion in tax breaks for clean energy.

But what are other key provisions of this bill?

CAFE increase

• Increases the Corporate Average Fuel Economy (CAFE) to 35 miles per gallon by 2020
• Automakers can trade credits to achieve this standard
• According to government estimates, it could lower U.S. crude oil usage by 2 million barrels a day - 8% - by 2030 and save American families an average of $700 to $1000

Renewable Energy Mandate

• Expands biofuel mandate to 36 billion gallons by 2022, versus 6.5 billion gallons today
• Caps ethanol from corn at 15 billion gallons – the rest must come from cellulosic sources

Efficiency and Research
• Increases the efficiency of buildings, homes, appliances, and lighting, carbon dioxide emissions 75 percent, which will save homeowners an estimated $400 billion by 2030
• Incandescent lightbulbs phased out by 2020, cutting energy use from lightbulbs by 60%
• Requires dishwashers and cut water usage 28% and clothes washers by 40%
• Funds carbon sequestration research and renewable energy research