Next Generation Fuels Act
Why Do We Need It?
- Recent high fuel prices show the need for a more diverse fuel supply and greater energy independence.
- Looking to the future, transportation must be cleaner to cut harmful carbon and toxic tailpipe emissions.
- Recent vehicle standards proposals focus on a one-size solution, but consumers need more choices and affordability in the transition to cleaner vehicles and fuels in addition to EVs. The Next Generation Fuels Act would cut fuel costs, cut emissions and shore-up energy security for the long run.
Find the Next Generation Fuels Act Policy Paper here.
What Does The Next Generation Fuels Act Do?
- The Next Generation Fuels Act cleans up our nation’s fuel supply and transitions to new vehicles with advanced engines that can take advantage of low carbon, high octane fuels.
- This transition to updated fuels and vehicles would cut fuel costs, reduce greenhouse gas (GHG) emissions, improve air quality, and increase fuel efficiency.
- This transition would support agriculture’s contributions toward addressing climate change and decarbonizing transportation while maintaining a wider range of competitive clean vehicle and fuel choices for consumers.
What is Congress Doing About It?
- Bipartisan Senators introduced S. 944 in March, and bipartisan House members followed with the introduction of H.R. 2434 in early April.
- In the 117th Congress, the Next Generation Fuels Act drew bipartisan support from 35 House and Senate cosponsors from 11 states.
- Corn growers appreciate bipartisan leadership from Representatives and Senators on this legislation. Farmers want to work with Congress to contribute to the energy, environment, and economic solutions our country needs.
- The spike in gas prices over the past year illustrates the need for more choice at the fuel pump.
- During the past year, ethanol has been priced as much as $1 per gallon less than unblended gasoline at wholesale, and drivers are currently saving up to 20 cents or more per gallon where retailers offer E15.
- Ethanol results in 44 to 52 percent fewer GHG emissions than gasoline, according to the Department of Energy.
- The Next Generation Fuels Act would build on the progress of low-cost, low-emission fuels by advancing higher ethanol blends and advanced vehicles that deliver greater emission reductions, cost savings and consumer choice.
Next Gen Fuel Act Benefits
- Fuels and vehicles work together to reduce emissions across the board. The Next Gen Fuels Act would cut GHG emissions by 2 billion metric tons by 2040.
- With new low carbon, high octane fuel, automakers will be able to use advanced engines that improve vehicle fuel efficiency by 5 to 7 percent, keeping a wider range of vehicle and fuel choices competitive.
- Pairing a low carbon requirement with a cap on harmful hydrocarbon aromatics in all gasoline to create a clean, high octane standard builds on the progress already made to cut emissions. Replacing more of the most toxic gasoline components with cleaner renewables will reduce aromatics-related mortalities by 1,400 cases by 2040, saving $12.7 billion in economic and monetized health damages.
- For consumers: Advanced vehicles and fuels mean more clean choices that are affordable to more drivers.
- For farmers and rural communities: A low carbon, high octane fuel standard enables agriculture to be a greater part of the solution to decarbonize transportation and supports biofuel demand.