42 U.S.C. § 13220 : US Code - Section 13220: Biodiesel fuel use credits

Search 42 U.S.C. § 13220 : US Code - Section 13220: Biodiesel fuel use credits

(a) Allocation of credits
(1) In general
The Secretary shall allocate one credit under this section to a
fleet or covered person for each qualifying volume of the
biodiesel component of fuel containing at least 20 percent
biodiesel by volume purchased after the date of the enactment of
this section, for use by the fleet or covered person in vehicles
owned or operated by the fleet or covered person that weigh more
than 8,500 pounds gross vehicle weight rating.
(2) Exceptions
No credits shall be allocated under paragraph (1) for a
purchase of biodiesel -
(A) for use in alternative fueled vehicles; or
(B) that is required by Federal or State law.
(3) Authority to modify percentage
The Secretary may, by rule, lower the 20 percent biodiesel
volume requirement in paragraph (1) for reasons related to cold
start, safety, or vehicle function considerations.
(4) Documentation
A fleet or covered person seeking a credit under this section
shall provide written documentation to the Secretary supporting
the allocation of a credit to such fleet or covered person under
paragraph (1).
(b) Use of credits
(1) In general
At the request of a fleet or covered person allocated a credit
under subsection (a) of this section, the Secretary shall, for
the year in which the purchase of a qualifying volume is made,
treat that purchase as the acquisition of one alternative fueled
vehicle the fleet or covered person is required to acquire under
this subchapter, subchapter II of this chapter, or subchapter III
of this chapter.
(2) Limitation
Credits allocated under subsection (a) of this section may not
be used to satisfy more than 50 percent of the alternative fueled
vehicle requirements of a fleet or covered person under this
subchapter, subchapter II of this chapter, and subchapter III of
this chapter. This paragraph shall not apply to a fleet or
covered person that is a biodiesel alternative fuel provider
described in section 13251(a)(2)(A) of this title.
(c) Credit not a section 13258 credit
A credit under this section shall not be considered a credit
under section 13258 of this title.
(d) Issuance of rule
The Secretary shall, before January 1, 1999, issue a rule
establishing procedures for the implementation of this section.
(e) Collection of data
The Secretary shall collect such data as are required to make a
determination described in subsection (f)(2)(B) of this section.
(f) Definitions
For purposes of this section -
(1) the term "biodiesel" -
(A) means a diesel fuel substitute produced from nonpetroleum
renewable resources that meets the registration requirements
for fuels and fuel additives established by the Environmental
Protection Agency under section 7545 of this title;
(B) includes biodiesel derived from -
(i) animal wastes, including poultry fats and poultry
wastes, and other waste materials; or
(ii) municipal solid waste and sludges and oils derived
from wastewater and the treatment of wastewater; and
(2) the term "qualifying volume" means -
(A) 450 gallons; or
(B) if the Secretary determines by rule that the average
annual alternative fuel use in light duty vehicles by fleets
and covered persons exceeds 450 gallons or gallon equivalents,
the amount of such average annual alternative fuel use.