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News from Rep. Stephanie Herseth Sandlin
For Immediate Release
Contact: Betsy Hart, 202-226-8555

LANDMARK ENERGY BILL PASSES HOUSE – HISTORIC POTENTIAL FOR SOUTH DAKOTA’S RURAL ECONOMY

New Renewable Fuels Standard Calls for 36 Billion Gallons by 2022; Includes Separate Carve-outs for Biodiesel and Advanced Biofuels

Herseth Sandlin Successfully Pushed for More Aggressive Corn Ethanol Requirement in Early Years of RFS

Washington, D.C., December 18, 2007 – Rep. Herseth Sandlin today hailed the passage of the Energy Independence and Security Act, landmark energy legislation that has historic potential for South Dakota’s energy and agricultural producers, and our overall rural economy. The bill, which now goes to the President for his signature, will make America more energy independent, cut energy costs for families, and continue to ensure that South Dakota plays a central role in our national energy policy.

A centerpiece of the bill is a new Renewable Fuels Standard, or RFS, that requires the production and use of at least 36 billion gallons of renewable fuels in this country by the year 2022 – a significant increase in both quantity and years compared to the current requirement calling for 7.5 billion gallons by 2012. Importantly, the legislation includes a particularly aggressive standard in the early years of the bill, calling for the use of 9 billion gallons of biofuels next year. Because of all the new renewable refining capacity coming online in the next several months, Rep. Herseth Sandlin strongly urged House leadership to include this requirement in the bill.

Herseth Sandlin said, “It was important to me and this Congress that we deliver energy legislation to the President for his signature before the end of the year and I’m proud that we accomplished that goal. I have been working with my colleagues throughout the year to ensure that the 110th Congress adopts an increased RFS. With this legislation, we have taken an important next step toward achieving energy independence, and South Dakota producers stand ready to contribute to, and benefit from, this growth.”

This bill also includes new standards for fuel efficiency, increasing the Corporate Average Fuel Economy (CAFE) standard for all vehicles to 35 miles per gallon by 2020. This is the first congressionally mandated increase in CAFE standards in almost 32 years, and it is estimated to save American families close to $1,000 a year at the gas pump. Herseth Sandlin was pleased that the bill differentiates between passenger cars and higher horsepower work vehicles like pickups that farmers and ranchers need to run their operations and sets mileage standards accordingly.

While Herseth Sandlin was pleased with the bill that passed the House today, she noted that it was stripped of some additional provisions during Senate negotiations. The House earlier passed legislation that would have provided tax incentives for use of renewable energy and a Renewable Electricity Standard that would have required 15 percent of American electricity come from renewable sources, like wind, by 2020. It also would have extended many important tax provisions that promote renewable energy development, such as the wind energy production tax credit. Herseth Sandlin said, “The original House-passed bill contained worthwhile and valuable provisions that would have enormous potential for South Dakota’s wind industry, so while I am disappointed they weren’t included in the final bill, I will continue to work on this priority in 2008.”

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Congresswoman Stephanie Herseth Sandlin serves South Dakota in the U.S. House of Representatives. She is a member of the Blue Dog Coalition, a group of moderate Democrats committed to fiscal discipline and strong national security, and is co-chair of the Rural Working Group, which is dedicated to raising the profile of issues important to rural America. She also serves on three committees vital to South Dakota’s interests: Agriculture, Veterans’ Affairs and Natural Resources. In the 110th Congress, Rep. Herseth Sandlin was one of only 15 members appointed to serve on the Select Committee on Energy Independence and Global Warming.