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Biodiesel to Get Boost from New Measure

National Biodiesel Board happy with Senate move that would promote biodiesel use and set a floor under demand.

There's plenty of talk about energy on Capital Hill this week with news that Sen. Richard Durbin, D-Ill., introduced legislation that would ensure the future of biodiesel. Called the Biodiesel Promotion and Quality Assurance Act, the program would boost the amount of biodiesel, and "bio-based replacement diesel," that refiners blend to 1.25 billion gallons by 2012.

The National Biodiesel Board supports the bill, noting that the program would require oil refiners to blend 450 million gallons of biodiesel and bio-based replacement diesel starting in 2008, ramping up to 1.25 billion gallons by 2012. Biodiesel must meet 80% of that requirement.

Under the act, in order to be introduced into commerce, biodiesel or bio-based diesel replacement fuel is required to be registered through the Environmental Protection Agency pursuant to the Clean Air Act, and must have an ASTM standard. It would also establish a federal inspection program to ensure that fuels entering commerce meet quality standards set forth by ASTM.

"The legislation sets a floor for biodiesel demand," comments Joe Jobe, NBB CEO, in a press statement. "Having a demand floor in place will help provide needed stability and reduce our dependence on foreign oil."

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