Walberg Weekly Wrap-Up

Statement

WALBERG WEEKLY WRAP-UP

I don't know about you, but every time over the past month I have traveled to the pump to fill my truck up with gas, I've cringed.

This week alone gas prices soared above three dollars across south-central Michigan, and this weekend prices are predicted to be between $3.10 and $3.30.

High demand for oil in India and China means a tighter supply of oil worldwide and higher gas prices for hard-working American families.

As a member of the House Renewable Energy and Energy Efficiency Caucus, I am committed to exploring ways in which we can broaden our energy supply through American alternative energy sources.

America must diversify our nation's energy portfolio and find ways to use cleaner burning, home-grown, renewable alternative sources.

Currently, I am working with members from both sides of the aisle to find a solution to our dangerous dependency on Middle Eastern energy, while protecting the American taxpayer.

This week, I introduced H.R. 2178, the Energy Independence through Bio-Diesel Act, legislation which will continue the process of moving our country towards energy independence.

This bill would create a 2% standard for bio-diesel by amending the Clean Air Act to require that within five years two percent of all diesel sold will be bio-diesel.

Bio-diesel has higher oxygen content, is cleaner burning and has higher energy content than regular diesel fuel. Additionally, bio-diesel is non-corrosive and has higher lubricity than regular diesel.

In 2005, 55 billion gallons of diesel were consumed, and a 2% standard would create a 1.1 billion gallon market for clean-burning, home-grown, bio-diesel.

The creation of a 2% standard will help spur the necessary investments in facilities and technological advancements needed in this alternative fuel industry.

Next week I will also be introducing legislation that will encourage the use of alternative fuels, keep good paying jobs in our district and fix an inequity in our tax system.

Currently, tax law discriminates against ethanol used for commercial purposes. Right now, commercial users of ethanol encounter skyrocketing prices for commercial and industrial grades of ethanol, yet tax laws treat retail and commercial grades differently.

The legislation I am introducing will extend ethanol tax credits, which have proven to be effective in increasing ethanol use, level the playing field with foreign producers and keep jobs in our district.

The only North American producer of Tetra Ethyl Ortho Silicate (TEOS), a product from commercial grade ethanol, is located in our district. TEOS is used in the production of fighter jet engines, integrated circuitry and flat panel displays.

This company has 63 jobs, with 50% of the product exported to foreign markets. My legislation will keep these good-paying jobs in our district.

Along with extending ethanol tax credits, I am also supporting legislation that increases our use of other domestic renewable energy sources like solar and wind.

Finding solutions to the high price of energy will not be easy, but increasing the use of alternative energies, along with increased American energy production and conservation, will significantly reduce America's dependence on Middle Eastern oil and lower prices at the pump.

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