Capito Officially Introduces Coal-to-Liquids Energy Legislation

Press Release

Capito Officially Introduces Coal-to-Liquids Energy Legislation

Legislation Emphasizes American Energy, Energy Independence and Mandates Use of Coal-to-Liquid Fuel

Rep. Shelley Moore Capito (R-WV) has officially introduced HR 6170, the Clean Coal-Derived Fuel for Energy Security Act, as Congress reconvened after the Memorial Day recess.

Capito announced her legislation last week in Charleston, and spoke of the need for a broad, multi-faceted energy policy that emphasizes domestic sources of energy. Her bill will mandate the production of 6 billion gallons of coal-derived fuel annually by the year 2022.

"The world-wide demand for energy is enormous," said Capito. "We've got to have true energy independence and we should be using American sources of energy. Coal is one of our most abundant resources, and any comprehensive energy policy must include coal.

"This bill sets a marker for the production of liquid coal. Coal-to-liquids technology is there but we've continued to under-invest. It can be clean and it can - and should - be part of our overall energy strategy. Now it's time for Congress to actually get serious about enacting one."

Modeled after ethanol targets enacted in recent years, Capito's bill would mandate the production of a steadily increasing volume of coal-to-liquid fuel culminating in a mandated 6 billion gallons per year by 2022.

Coal-to-liquid technology is widely utilized for transportation fuel in South Africa, while China, India, Australia and the Philippines have also invested heavily in coal-derived fuel. At a cost of approximately $35 to $45 per barrel, coal can be converted to clean, zero-sulfur, synthetic oil and oil products.

"With the price of oil upwards of $130 per barrel, coal-to-liquids is economically viable and stands to be a key job-creator for coal-producing states throughout the United States," said Capito.

Other lawmakers on Capitol Hill echoed the congresswoman and applauded the push for coal-to-liquids technology.

"American coal can provide a clean liquid fuel as an alternative to imported oil," said Rep. John Shimkus (R-IL), a co-sponsor of Capito's measure. "We must start to access our own natural resources in order to bring some relief to record high gas prices."

Capito's legislation was referred to the House Energy and Commerce Committee for consideration.

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