42 U.S.C. § 7545 : US Code - Section 7545: Regulation of fuels

Search 42 U.S.C. § 7545 : US Code - Section 7545: Regulation of fuels

(a) Authority of Administrator to regulate
The Administrator may by regulation designate any fuel or fuel
additive (including any fuel or fuel additive used exclusively in
nonroad engines or nonroad vehicles) and, after such date or dates
as may be prescribed by him, no manufacturer or processor of any
such fuel or additive may sell, offer for sale, or introduce into
commerce such fuel or additive unless the Administrator has
registered such fuel or additive in accordance with subsection (b)
of this section.
(b) Registration requirement
(1) For the purpose of registration of fuels and fuel additives,
the Administrator shall require - 
(A) the manufacturer of any fuel to notify him as to the
commercial identifying name and manufacturer of any additive
contained in such fuel; the range of concentration of any
additive in the fuel; and the purpose-in-use of any such
additive; and
(B) the manufacturer of any additive to notify him as to the
chemical composition of such additive.
(2) For the purpose of registration of fuels and fuel additives,
the Administrator shall, on a regular basis, require the
manufacturer of any fuel or fuel additive - 
(A) to conduct tests to determine potential public health and
environmental effects of the fuel or additive (including
carcinogenic, teratogenic, or mutagenic effects); and
(B) to furnish the description of any analytical technique that
can be used to detect and measure any additive in such fuel, the
recommended range of concentration of such additive, and the
recommended purpose-in-use of such additive, and such other
information as is reasonable and necessary to determine the
emissions resulting from the use of the fuel or additive
contained in such fuel, the effect of such fuel or additive on
the emission control performance of any vehicle, vehicle engine,
nonroad engine or nonroad vehicle, or the extent to which such
emissions affect the public health or welfare.
Tests under subparagraph (A) shall be conducted in conformity with
test procedures and protocols established by the Administrator. The
result of such tests shall not be considered confidential.
(3) Upon compliance with the provision of this subsection,
including assurances that the Administrator will receive changes in
the information required, the Administrator shall register such
fuel or fuel additive.
(4) Study on certain fuel additives and blendstocks. - 
(A) In general. - Not later than 2 years after August 8, 2005,
the Administrator shall - 
(i) conduct a study on the effects on public health
(including the effects on children, pregnant women, minority or
low-income communities, and other sensitive populations), air
quality, and water resources of increased use of, and the
feasibility of using as substitutes for methyl tertiary butyl
ether in gasoline - 
(I) ethyl tertiary butyl ether;
(II) tertiary amyl methyl ether;
(III) di-isopropyl ether;
(IV) tertiary butyl alcohol;
(V) other ethers and heavy alcohols, as determined by then
(!1) Administrator;
(VI) ethanol;
(VII) iso-octane; and
(VIII) alkylates; and
(ii) conduct a study on the effects on public health
(including the effects on children, pregnant women, minority or
low-income communities, and other sensitive populations), air
quality, and water resources of the adjustment for ethanol-
blended reformulated gasoline to the volatile organic
compounds performance requirements that are applicable under
paragraphs (1) and (3) of subsection (k) of this section; and
(iii) submit to the Committee on Environment and Public Works
of the Senate and the Committee on Energy and Commerce of the
House of Representatives a report describing the results of the
studies under clauses (i) and (ii).
(B) Contracts for study. - In carrying out this paragraph, the
Administrator may enter into one or more contracts with
nongovernmental entities such as - 
(i) the national energy laboratories; and
(ii) institutions of higher education (as defined in section
1001 of title 20).
(c) Offending fuels and fuel additives; control; prohibition
(1) The Administrator may, from time to time on the basis of
information obtained under subsection (b) of this section or other
information available to him, by regulation, control or prohibit
the manufacture, introduction into commerce, offering for sale, or
sale of any fuel or fuel additive for use in a motor vehicle, motor
vehicle engine, or nonroad engine or nonroad vehicle (A) if in the
judgment of the Administrator any emission product of such fuel or
fuel additive causes, or contributes, to air pollution which may
reasonably be anticipated to endanger the public health or welfare,
or (B) if emission products of such fuel or fuel additive will
impair to a significant degree the performance of any emission
control device or system which is in general use, or which the
Administrator finds has been developed to a point where in a
reasonable time it would be in general use were such regulation to
be promulgated.
(2)(A) No fuel, class of fuels, or fuel additive may be
controlled or prohibited by the Administrator pursuant to clause
(A) of paragraph (1) except after consideration of all relevant
medical and scientific evidence available to him, including
consideration of other technologically or economically feasible
means of achieving emission standards under section 7521 of this
title.
(B) No fuel or fuel additive may be controlled or prohibited by
the Administrator pursuant to clause (B) of paragraph (1) except
after consideration of available scientific and economic data,
including a cost benefit analysis comparing emission control
devices or systems which are or will be in general use and require
the proposed control or prohibition with emission control devices
or systems which are or will be in general use and do not require
the proposed control or prohibition. On request of a manufacturer
of motor vehicles, motor vehicle engines, fuels, or fuel additives
submitted within 10 days of notice of proposed rulemaking, the
Administrator shall hold a public hearing and publish findings with
respect to any matter he is required to consider under this
subparagraph. Such findings shall be published at the time of
promulgation of final regulations.
(C) No fuel or fuel additive may be prohibited by the
Administrator under paragraph (1) unless he finds, and publishes
such finding, that in his judgment such prohibition will not cause
the use of any other fuel or fuel additive which will produce
emissions which will endanger the public health or welfare to the
same or greater degree than the use of the fuel or fuel additive
proposed to be prohibited.
(3)(A) For the purpose of obtaining evidence and data to carry
out paragraph (2), the Administrator may require the manufacturer
of any motor vehicle or motor vehicle engine to furnish any
information which has been developed concerning the emissions from
motor vehicles resulting from the use of any fuel or fuel additive,
or the effect of such use on the performance of any emission
control device or system.
(B) In obtaining information under subparagraph (A), section
7607(a) of this title (relating to subpenas) shall be applicable.
(4)(A) Except as otherwise provided in subparagraph (B) or (C),
no State (or political subdivision thereof) may prescribe or
attempt to enforce, for purposes of motor vehicle emission control,
any control or prohibition respecting any characteristic or
component of a fuel or fuel additive in a motor vehicle or motor
vehicle engine - 
(i) if the Administrator has found that no control or
prohibition of the characteristic or component of a fuel or fuel
additive under paragraph (1) is necessary and has published his
finding in the Federal Register, or
(ii) if the Administrator has prescribed under paragraph (1) a
control or prohibition applicable to such characteristic or
component of a fuel or fuel additive, unless State prohibition or
control is identical to the prohibition or control prescribed by
the Administrator.
(B) Any State for which application of section 7543(a) of this
title has at any time been waived under section 7543(b) of this
title may at any time prescribe and enforce, for the purpose of
motor vehicle emission control, a control or prohibition respecting
any fuel or fuel additive.
(C)(i) A State may prescribe and enforce, for purposes of motor
vehicle emission control, a control or prohibition respecting the
use of a fuel or fuel additive in a motor vehicle or motor vehicle
engine if an applicable implementation plan for such State under
section 7410 of this title so provides. The Administrator may
approve such provision in an implementation plan, or promulgate an
implementation plan containing such a provision, only if he finds
that the State control or prohibition is necessary to achieve the
national primary or secondary ambient air quality standard which
the plan implements. The Administrator may find that a State
control or prohibition is necessary to achieve that standard if no
other measures that would bring about timely attainment exist, or
if other measures exist and are technically possible to implement,
but are unreasonable or impracticable. The Administrator may make a
finding of necessity under this subparagraph even if the plan for
the area does not contain an approved demonstration of timely
attainment.
(ii) The Administrator may temporarily waive a control or
prohibition respecting the use of a fuel or fuel additive required
or regulated by the Administrator pursuant to subsection (c), (h),
(i), (k), or (m) of this section or prescribed in an applicable
implementation plan under section 7410 of this title approved by
the Administrator under clause (i) of this subparagraph if, after
consultation with, and concurrence by, the Secretary of Energy, the
Administrator determines that - 
(I) extreme and unusual fuel or fuel additive supply
circumstances exist in a State or region of the Nation which
prevent the distribution of an adequate supply of the fuel or
fuel additive to consumers;
(II) such extreme and unusual fuel and fuel additive supply
circumstances are the result of a natural disaster, an Act of
God, a pipeline or refinery equipment failure, or another event
that could not reasonably have been foreseen or prevented and not
the lack of prudent planning on the part of the suppliers of the
fuel or fuel additive to such State or region; and
(III) it is in the public interest to grant the waiver (for
example, when a waiver is necessary to meet projected temporary
shortfalls in the supply of the fuel or fuel additive in a State
or region of the Nation which cannot otherwise be compensated
for).
(iii) If the Administrator makes the determinations required
under clause (ii), such a temporary extreme and unusual fuel and
fuel additive supply circumstances waiver shall be permitted only
if - 
(I) the waiver applies to the smallest geographic area
necessary to address the extreme and unusual fuel and fuel
additive supply circumstances;
(II) the waiver is effective for a period of 20 calendar days
or, if the Administrator determines that a shorter waiver period
is adequate, for the shortest practicable time period necessary
to permit the correction of the extreme and unusual fuel and fuel
additive supply circumstances and to mitigate impact on air
quality;
(III) the waiver permits a transitional period, the exact
duration of which shall be determined by the Administrator (but
which shall be for the shortest practicable period), after the
termination of the temporary waiver to permit wholesalers and
retailers to blend down their wholesale and retail inventory;
(IV) the waiver applies to all persons in the motor fuel
distribution system; and
(V) the Administrator has given public notice to all parties in
the motor fuel distribution system, and local and State
regulators, in the State or region to be covered by the waiver.
The term "motor fuel distribution system" as used in this clause
shall be defined by the Administrator through rulemaking.
(iv) Within 180 days of August 8, 2005, the Administrator shall
promulgate regulations to implement clauses (ii) and (iii).
(v) (!2) Nothing in this subparagraph shall - 
(I) limit or otherwise affect the application of any other
waiver authority of the Administrator pursuant to this section or
pursuant to a regulation promulgated pursuant to this section;
and
(II) subject any State or person to an enforcement action,
penalties, or liability solely arising from actions taken
pursuant to the issuance of a waiver under this subparagraph.
(v)(I) (!2) The Administrator shall have no authority, when
considering a State implementation plan or a State implementation
plan revision, to approve under this paragraph any fuel included in
such plan or revision if the effect of such approval increases the
total number of fuels approved under this paragraph as of September
1, 2004, in all State implementation plans.
(II) The Administrator, in consultation with the Secretary of
Energy, shall determine the total number of fuels approved under
this paragraph as of September 1, 2004, in all State implementation
plans and shall publish a list of such fuels, including the States
and Petroleum Administration for Defense District in which they are
used, in the Federal Register for public review and comment no
later than 90 days after August 8, 2005.
(III) The Administrator shall remove a fuel from the list
published under subclause (II) if a fuel ceases to be included in a
State implementation plan or if a fuel in a State implementation
plan is identical to a Federal fuel formulation implemented by the
Administrator, but the Administrator shall not reduce the total
number of fuels authorized under the list published under subclause
(II).
(IV) Subclause (I) shall not limit the Administrator's authority
to approve a control or prohibition respecting any new fuel under
this paragraph in a State implementation plan or revision to a
State implementation plan if such new fuel - 
(aa) completely replaces a fuel on the list published under
subclause (II); or
(bb) does not increase the total number of fuels on the list
published under subclause (II) as of September 1, 2004.
In the event that the total number of fuels on the list published
under subclause (II) at the time of the Administrator's
consideration of a control or prohibition respecting a new fuel is
lower than the total number of fuels on such list as of September
1, 2004, the Administrator may approve a control or prohibition
respecting a new fuel under this subclause if the Administrator,
after consultation with the Secretary of Energy, publishes in the
Federal Register after notice and comment a finding that, in the
Administrator's judgment, such control or prohibition respecting a
new fuel will not cause fuel supply or distribution interruptions
or have a significant adverse impact on fuel producibility in the
affected area or contiguous areas.
(V) The Administrator shall have no authority under this
paragraph, when considering any particular State's implementation
plan or a revision to that State's implementation plan, to approve
any fuel unless that fuel was, as of the date of such
consideration, approved in at least one State implementation plan
in the applicable Petroleum Administration for Defense District.
However, the Administrator may approve as part of a State
implementation plan or State implementation plan revision a fuel
with a summertime Reid Vapor Pressure of 7.0 psi. In no event shall
such approval by the Administrator cause an increase in the total
number of fuels on the list published under subclause (II).
(VI) Nothing in this clause shall be construed to have any effect
regarding any available authority of States to require the use of
any fuel additive registered in accordance with subsection (b) of
this section, including any fuel additive registered in accordance
with subsection (b) of this section after August 8, 2005.
(d) Penalties and injunctions
(1) Civil penalties
Any person who violates subsection (a), (f), (g), (k), (l),
(m), (n), or (o) of this section or the regulations prescribed
under subsection (c), (h), (i), (k), (l), (m), (n), or (o) of
this section or who fails to furnish any information or conduct
any tests required by the Administrator under subsection (b) of
this section shall be liable to the United States for a civil
penalty of not more than the sum of $25,000 for every day of such
violation and the amount of economic benefit or savings resulting
from the violation. Any violation with respect to a regulation
prescribed under subsection (c), (k), (l), (m), or (o) of this
section which establishes a regulatory standard based upon a
multiday averaging period shall constitute a separate day of
violation for each and every day in the averaging period. Civil
penalties shall be assessed in accordance with subsections (b)
and (c) of section 7524 of this title.
(2) Injunctive authority
The district courts of the United States shall have
jurisdiction to restrain violations of subsections (a), (f), (g),
(k), (l), (m), (n), and (o) of this section and of the
regulations prescribed under subsections (c), (h), (i), (k), (l),
(m), (n), and (o) of this section, to award other appropriate
relief, and to compel the furnishing of information and the
conduct of tests required by the Administrator under subsection
(b) of this section. Actions to restrain such violations and
compel such actions shall be brought by and in the name of the
United States. In any such action, subpoenas for witnesses who
are required to attend a district court in any district may run
into any other district.
(e) Testing of fuels and fuel additives
(1) Not later than one year after August 7, 1977, and after
notice and opportunity for a public hearing, the Administrator
shall promulgate regulations which implement the authority under
subsection (b)(2)(A) and (B) of this section with respect to each
fuel or fuel additive which is registered on the date of
promulgation of such regulations and with respect to each fuel or
fuel additive for which an application for registration is filed
thereafter.
(2) Regulations under subsection (b) of this section to carry out
this subsection shall require that the requisite information be
provided to the Administrator by each such manufacturer - 
(A) prior to registration, in the case of any fuel or fuel
additive which is not registered on the date of promulgation of
such regulations; or
(B) not later than three years after the date of promulgation
of such regulations, in the case of any fuel or fuel additive
which is registered on such date.
(3) In promulgating such regulations, the Administrator may - 
(A) exempt any small business (as defined in such regulations)
from or defer or modify the requirements of, such regulations
with respect to any such small business;
(B) provide for cost-sharing with respect to the testing of any
fuel or fuel additive which is manufactured or processed by two
or more persons or otherwise provide for shared responsibility to
meet the requirements of this section without duplication; or
(C) exempt any person from such regulations with respect to a
particular fuel or fuel additive upon a finding that any
additional testing of such fuel or fuel additive would be
duplicative of adequate existing testing.
(f) New fuels and fuel additives
(1)(A) Effective upon March 31, 1977, it shall be unlawful for
any manufacturer of any fuel or fuel additive to first introduce
into commerce, or to increase the concentration in use of, any fuel
or fuel additive for general use in light duty motor vehicles
manufactured after model year 1974 which is not substantially
similar to any fuel or fuel additive utilized in the certification
of any model year 1975, or subsequent model year, vehicle or engine
under section 7525 of this title.
(B) Effective upon November 15, 1990, it shall be unlawful for
any manufacturer of any fuel or fuel additive to first introduce
into commerce, or to increase the concentration in use of, any fuel
or fuel additive for use by any person in motor vehicles
manufactured after model year 1974 which is not substantially
similar to any fuel or fuel additive utilized in the certification
of any model year 1975, or subsequent model year, vehicle or engine
under section 7525 of this title.
(2) Effective November 30, 1977, it shall be unlawful for any
manufacturer of any fuel to introduce into commerce any gasoline
which contains a concentration of manganese in excess of .0625
grams per gallon of fuel, except as otherwise provided pursuant to
a waiver under paragraph (4).
(3) Any manufacturer of any fuel or fuel additive which prior to
March 31, 1977, and after January 1, 1974, first introduced into
commerce or increased the concentration in use of a fuel or fuel
additive that would otherwise have been prohibited under paragraph
(1)(A) if introduced on or after March 31, 1977 shall, not later
than September 15, 1978, cease to distribute such fuel or fuel
additive in commerce. During the period beginning 180 days after
August 7, 1977, and before September 15, 1978, the Administrator
shall prohibit, or restrict the concentration of any fuel additive
which he determines will cause or contribute to the failure of an
emission control device or system (over the useful life of any
vehicle in which such device or system is used) to achieve
compliance by the vehicle with the emission standards with respect
to which it has been certified under section 7525 of this title.
(4) The Administrator, upon application of any manufacturer of
any fuel or fuel additive, may waive the prohibitions established
under paragraph (1) or (3) of this subsection or the limitation
specified in paragraph (2) of this subsection, if he determines
that the applicant has established that such fuel or fuel additive
or a specified concentration thereof, and the emission products of
such fuel or additive or specified concentration thereof, will not
cause or contribute to a failure of any emission control device or
system (over the useful life of any vehicle in which such device or
system is used) to achieve compliance by the vehicle with the
emission standards with respect to which it has been certified
pursuant to section 7525 of this title. If the Administrator has
not acted to grant or deny an application under this paragraph
within one hundred and eighty days of receipt of such application,
the waiver authorized by this paragraph shall be treated as
granted.
(5) No action of the Administrator under this section may be
stayed by any court pending judicial review of such action.
(g) Misfueling
(1) No person shall introduce, or cause or allow the introduction
of, leaded gasoline into any motor vehicle which is labeled
"unleaded gasoline only," which is equipped with a gasoline tank
filler inlet designed for the introduction of unleaded gasoline,
which is a 1990 or later model year motor vehicle, or which such
person knows or should know is a vehicle designed solely for the
use of unleaded gasoline.
(2) Beginning October 1, 1993, no person shall introduce or cause
or allow the introduction into any motor vehicle of diesel fuel
which such person knows or should know contains a concentration of
sulfur in excess of 0.05 percent (by weight) or which fails to meet
a cetane index minimum of 40 or such equivalent alternative
aromatic level as prescribed by the Administrator under subsection
(i)(2) of this section.
(h) Reid Vapor Pressure requirements
(1) Prohibition
Not later than 6 months after November 15, 1990, the
Administrator shall promulgate regulations making it unlawful for
any person during the high ozone season (as defined by the
Administrator) to sell, offer for sale, dispense, supply, offer
for supply, transport, or introduce into commerce gasoline with a
Reid Vapor Pressure in excess of 9.0 pounds per square inch
(psi). Such regulations shall also establish more stringent Reid
Vapor Pressure standards in a nonattainment area as the
Administrator finds necessary to generally achieve comparable
evaporative emissions (on a per-vehicle basis) in nonattainment
areas, taking into consideration the enforceability of such
standards, the need of an area for emission control, and economic
factors.
(2) Attainment areas
The regulations under this subsection shall not make it
unlawful for any person to sell, offer for supply, transport, or
introduce into commerce gasoline with a Reid Vapor Pressure of
9.0 pounds per square inch (psi) or lower in any area designated
under section 7407 of this title as an attainment area.
Notwithstanding the preceding sentence, the Administrator may
impose a Reid vapor pressure requirement lower than 9.0 pounds
per square inch (psi) in any area, formerly an ozone
nonattainment area, which has been redesignated as an attainment
area.
(3) Effective date; enforcement
The regulations under this subsection shall provide that the
requirements of this subsection shall take effect not later than
the high ozone season for 1992, and shall include such provisions
as the Administrator determines are necessary to implement and
enforce the requirements of this subsection.
(4) Ethanol waiver
For fuel blends containing gasoline and 10 percent denatured
anhydrous ethanol, the Reid vapor pressure limitation under this
subsection shall be one pound per square inch (psi) greater than
the applicable Reid vapor pressure limitations established under
paragraph (1); Provided, however, That a distributor, blender,
marketer, reseller, carrier, retailer, or wholesale purchaser-
consumer shall be deemed to be in full compliance with the
provisions of this subsection and the regulations promulgated
thereunder if it can demonstrate (by showing receipt of a
certification or other evidence acceptable to the Administrator)
that - 
(A) the gasoline portion of the blend complies with the Reid
vapor pressure limitations promulgated pursuant to this
subsection;
(B) the ethanol portion of the blend does not exceed its
waiver condition under subsection (f)(4) of this section; and
(C) no additional alcohol or other additive has been added to
increase the Reid Vapor Pressure of the ethanol portion of the
blend.
(5) Exclusion from ethanol waiver
(A) Promulgation of regulations
Upon notification, accompanied by supporting documentation,
from the Governor of a State that the Reid vapor pressure
limitation established by paragraph (4) will increase emissions
that contribute to air pollution in any area in the State, the
Administrator shall, by regulation, apply, in lieu of the Reid
vapor pressure limitation established by paragraph (4), the
Reid vapor pressure limitation established by paragraph (1) to
all fuel blends containing gasoline and 10 percent denatured
anhydrous ethanol that are sold, offered for sale, dispensed,
supplied, offered for supply, transported, or introduced into
commerce in the area during the high ozone season.
(B) Deadline for promulgation
The Administrator shall promulgate regulations under
subparagraph (A) not later than 90 days after the date of
receipt of a notification from a Governor under that
subparagraph.
(C) Effective date
(i) In general
With respect to an area in a State for which the Governor
submits a notification under subparagraph (A), the
regulations under that subparagraph shall take effect on the
later of - 
(I) the first day of the first high ozone season for the
area that begins after the date of receipt of the
notification; or
(II) 1 year after the date of receipt of the
notification.
(ii) Extension of effective date based on determination of
insufficient supply
(I) In general
If, after receipt of a notification with respect to an
area from a Governor of a State under subparagraph (A), the
Administrator determines, on the Administrator's own motion
or on petition of any person and after consultation with
the Secretary of Energy, that the promulgation of
regulations described in subparagraph (A) would result in
an insufficient supply of gasoline in the State, the
Administrator, by regulation - 
(aa) shall extend the effective date of the regulations
under clause (i) with respect to the area for not more
than 1 year; and
(bb) may renew the extension under item (aa) for two
additional periods, each of which shall not exceed 1
year.
(II) Deadline for action on petitions
The Administrator shall act on any petition submitted
under subclause (I) not later than 180 days after the date
of receipt of the petition.
(6) Areas covered
The provisions of this subsection shall apply only to the 48
contiguous States and the District of Columbia.
(i) Sulfur content requirements for diesel fuel
(1) Effective October 1, 1993, no person shall manufacture, sell,
supply, offer for sale or supply, dispense, transport, or introduce
into commerce motor vehicle diesel fuel which contains a
concentration of sulfur in excess of 0.05 percent (by weight) or
which fails to meet a cetane index minimum of 40.
(2) Not later than 12 months after November 15, 1990, the
Administrator shall promulgate regulations to implement and enforce
the requirements of paragraph (1). The Administrator may require
manufacturers and importers of diesel fuel not intended for use in
motor vehicles to dye such fuel in a particular manner in order to
segregate it from motor vehicle diesel fuel. The Administrator may
establish an equivalent alternative aromatic level to the cetane
index specification in paragraph (1).
(3) The sulfur content of fuel required to be used in the
certification of 1991 through 1993 model year heavy-duty diesel
vehicles and engines shall be 0.10 percent (by weight). The sulfur
content and cetane index minimum of fuel required to be used in the
certification of 1994 and later model year heavy-duty diesel
vehicles and engines shall comply with the regulations promulgated
under paragraph (2).
(4) The States of Alaska and Hawaii may be exempted from the
requirements of this subsection in the same manner as provided in
section 7625 (!3) of this title. The Administrator shall take final
action on any petition filed under section 7625 (!3) of this title
or this paragraph for an exemption from the requirements of this
subsection, within 12 months from the date of the petition.
(j) Lead substitute gasoline additives
(1) After November 15, 1990, any person proposing to register any
gasoline additive under subsection (a) of this section or to use
any previously registered additive as a lead substitute may also
elect to register the additive as a lead substitute gasoline
additive for reducing valve seat wear by providing the
Administrator with such relevant information regarding product
identity and composition as the Administrator deems necessary for
carrying out the responsibilities of paragraph (2) of this
subsection (in addition to other information which may be required
under subsection (b) of this section).
(2) In addition to the other testing which may be required under
subsection (b) of this section, in the case of the lead substitute
gasoline additives referred to in paragraph (1), the Administrator
shall develop and publish a test procedure to determine the
additives' effectiveness in reducing valve seat wear and the
additives' tendencies to produce engine deposits and other adverse
side effects. The test procedures shall be developed in cooperation
with the Secretary of Agriculture and with the input of additive
manufacturers, engine and engine components manufacturers, and
other interested persons. The Administrator shall enter into
arrangements with an independent laboratory to conduct tests of
each additive using the test procedures developed and published
pursuant to this paragraph. The Administrator shall publish the
results of the tests by company and additive name in the Federal
Register along with, for comparison purposes, the results of
applying the same test procedures to gasoline containing 0.1 gram
of lead per gallon in lieu of the lead substitute gasoline
additive. The Administrator shall not rank or otherwise rate the
lead substitute additives. Test procedures shall be established
within 1 year after November 15, 1990. Additives shall be tested
within 18 months of November 15, 1990, or 6 months after the lead
substitute additives are identified to the Administrator, whichever
is later.
(3) The Administrator may impose a user fee to recover the costs
of testing of any fuel additive referred to in this subsection. The
fee shall be paid by the person proposing to register the fuel
additive concerned. Such fee shall not exceed $20,000 for a single
fuel additive.
(4) There are authorized to be appropriated to the Administrator
not more than $1,000,000 for the second full fiscal year after
November 15, 1990, to establish test procedures and conduct engine
tests as provided in this subsection. Not more than $500,000 per
year is authorized to be appropriated for each of the 5 subsequent
fiscal years.
(5) Any fees collected under this subsection shall be deposited
in a special fund in the United States Treasury for licensing and
other services which thereafter shall be available for
appropriation, to remain available until expended, to carry out the
Agency's activities for which the fees were collected.
(k) Reformulated gasoline for conventional vehicles
(1) EPA regulations
(A) In general
Not later than November 15, 1991, the Administrator shall
promulgate regulations under this section establishing
requirements for reformulated gasoline to be used in gasoline-
fueled vehicles in specified nonattainment areas. Such
regulations shall require the greatest reduction in emissions
of ozone forming volatile organic compounds (during the high
ozone season) and emissions of toxic air pollutants (during the
entire year) achievable through the reformulation of
conventional gasoline, taking into consideration the cost of
achieving such emission reductions, any nonair-quality and
other air-quality related health and environmental impacts and
energy requirements.
(B) Maintenance of toxic air pollutant emissions reductions
from reformulated gasoline
(i) Definition of PADD
In this subparagraph the term "PADD" means a Petroleum
Administration for Defense District.
(ii) Regulations concerning emissions of toxic air pollutants
Not later than 270 days after August 8, 2005, the
Administrator shall establish by regulation, for each
refinery or importer (other than a refiner or importer in a
State that has received a waiver under section 7543(b) of
this title with respect to gasoline produced for use in that
State), standards for toxic air pollutants from use of the
reformulated gasoline produced or distributed by the refiner
or importer that maintain the reduction of the average annual
aggregate emissions of toxic air pollutants for reformulated
gasoline produced or distributed by the refiner or importer
during calendar years 2001 and 2002 (as determined on the
basis of data collected by the Administrator with respect to
the refiner or importer).
(iii) Standards applicable to specific refineries or
importers
(I) Applicability of standards
For any calendar year, the standards applicable to a
refiner or importer under clause (ii) shall apply to the
quantity of gasoline produced or distributed by the refiner
or importer in the calendar year only to the extent that
the quantity is less than or equal to the average annual
quantity of reformulated gasoline produced or distributed
by the refiner or importer during calendar years 2001 and
2002.
(II) Applicability of other standards
For any calendar year, the quantity of gasoline produced
or distributed by a refiner or importer that is in excess
of the quantity subject to subclause (I) shall be subject
to standards for emissions of toxic air pollutants
promulgated under subparagraph (A) and paragraph (3)(B).
(iv) Credit program
The Administrator shall provide for the granting and use of
credits for emissions of toxic air pollutants in the same
manner as provided in paragraph (7).
(v) Regional protection of toxics reduction baselines
(I) In general
Not later than 60 days after August 8, 2005, and not
later than April 1 of each calendar year that begins after
August 8, 2005, the Administrator shall publish in the
Federal Register a report that specifies, with respect to
the previous calendar year - 
(aa) the quantity of reformulated gasoline produced
that is in excess of the average annual quantity of
reformulated gasoline produced in 2001 and 2002; and
(bb) the reduction of the average annual aggregate
emissions of toxic air pollutants in each PADD, based on
retail survey data or data from other appropriate
sources.
(II) Effect of failure to maintain aggregate toxics
reductions
If, in any calendar year, the reduction of the average
annual aggregate emissions of toxic air pollutants in a
PADD fails to meet or exceed the reduction of the average
annual aggregate emissions of toxic air pollutants in the
PADD in calendar years 2001 and 2002, the Administrator,
not later than 90 days after the date of publication of the
report for the calendar year under subclause (I), shall - 
(aa) identify, to the maximum extent practicable, the
reasons for the failure, including the sources, volumes,
and characteristics of reformulated gasoline that
contributed to the failure; and
(bb) promulgate revisions to the regulations
promulgated under clause (ii), to take effect not earlier
than 180 days but not later than 270 days after the date
of promulgation, to provide that, notwithstanding clause
(iii)(II), all reformulated gasoline produced or
distributed at each refiner or importer shall meet the
standards applicable under clause (iii)(I) beginning not
later than April 1 of the calendar year following
publication of the report under subclause (I) and in each
calendar year thereafter.
(vi) Not later than July 1, 2007, the Administrator shall
promulgate final regulations to control hazardous air
pollutants from motor vehicles and motor vehicle fuels, as
provided for in section 80.1045 of title 40, Code of Federal
Regulations (as in effect on August 8, 2005), and as
authorized under section 7521(l) (!4) of this title. If the
Administrator promulgates by such date, final regulations to
control hazardous air pollutants from motor vehicles and
motor vehicle fuels that achieve and maintain greater overall
reductions in emissions of air toxics from reformulated
gasoline than the reductions that would be achieved under
subsection (k)(1)(B) of this section as amended by this
clause, then subsections (k)(1)(B)(i) through (k)(1)(B)(v) of
this section shall be null and void and regulations
promulgated thereunder shall be rescinded and have no further
effect.
(2) General requirements
The regulations referred to in paragraph (1) shall require that
reformulated gasoline comply with paragraph (3) and with each of
the following requirements (subject to paragraph (7)):
(A) NOx emissions
The emissions of oxides of nitrogen (NOx) from baseline
vehicles when using the reformulated gasoline shall be no
greater than the level of such emissions from such vehicles
when using baseline gasoline. If the Administrator determines
that compliance with the limitation on emissions of oxides of
nitrogen under the preceding sentence is technically
infeasible, considering the other requirements applicable under
this subsection to such gasoline, the Administrator may, as
appropriate to ensure compliance with this subparagraph, adjust
(or waive entirely), any other requirements of this paragraph
or any requirements applicable under paragraph (3)(A).
(B) Benzene content
The benzene content of the gasoline shall not exceed 1.0
percent by volume.
(C) Heavy metals
The gasoline shall have no heavy metals, including lead or
manganese. The Administrator may waive the prohibition
contained in this subparagraph for a heavy metal (other than
lead) if the Administrator determines that addition of the
heavy metal to the gasoline will not increase, on an aggregate
mass or cancer-risk basis, toxic air pollutant emissions from
motor vehicles.
(3) More stringent of formula or performance standards
The regulations referred to in paragraph (1) shall require
compliance with the more stringent of either the requirements set
forth in subparagraph (A) or the requirements of subparagraph (B)
of this paragraph. For purposes of determining the more stringent
provision, clause (i) and clause (ii) of subparagraph (B) shall
be considered independently.
(A) Formula
(i) Benzene
The benzene content of the reformulated gasoline shall not
exceed 1.0 percent by volume.
(ii) Aromatics
The aromatic hydrocarbon content of the reformulated
gasoline shall not exceed 25 percent by volume.
(iii) Lead
The reformulated gasoline shall have no lead content.
(iv) Detergents
The reformulated gasoline shall contain additives to
prevent the accumulation of deposits in engines or vehicle
fuel supply systems.
(B) Performance standard
(i) VOC emissions
During the high ozone season (as defined by the
Administrator), the aggregate emissions of ozone forming
volatile organic compounds from baseline vehicles when using
the reformulated gasoline shall be 15 percent below the
aggregate emissions of ozone forming volatile organic
compounds from such vehicles when using baseline gasoline.
Effective in calendar year 2000 and thereafter, 25 percent
shall be substituted for 15 percent in applying this clause,
except that the Administrator may adjust such 25 percent
requirement to provide for a lesser or greater reduction
based on technological feasibility, considering the cost of
achieving such reductions in VOC emissions. No such
adjustment shall provide for less than a 20 percent reduction
below the aggregate emissions of such air pollutants from
such vehicles when using baseline gasoline. The reductions
required under this clause shall be on a mass basis.
(ii) Toxics
During the entire year, the aggregate emissions of toxic
air pollutants from baseline vehicles when using the
reformulated gasoline shall be 15 percent below the aggregate
emissions of toxic air pollutants from such vehicles when
using baseline gasoline. Effective in calendar year 2000 and
thereafter, 25 percent shall be substituted for 15 percent in
applying this clause, except that the Administrator may
adjust such 25 percent requirement to provide for a lesser or
greater reduction based on technological feasibility,
considering the cost of achieving such reductions in toxic
air pollutants. No such adjustment shall provide for less
than a 20 percent reduction below the aggregate emissions of
such air pollutants from such vehicles when using baseline
gasoline. The reductions required under this clause shall be
on a mass basis.
Any reduction greater than a specific percentage reduction
required under this subparagraph shall be treated as satisfying
such percentage reduction requirement.
(4) Certification procedures
(A) Regulations
The regulations under this subsection shall include
procedures under which the Administrator shall certify
reformulated gasoline as complying with the requirements
established pursuant to this subsection. Under such
regulations, the Administrator shall establish procedures for
any person to petition the Administrator to certify a fuel
formulation, or slate of fuel formulations. Such procedures
shall further require that the Administrator shall approve or
deny such petition within 180 days of receipt. If the
Administrator fails to act within such 180-day period, the fuel
shall be deemed certified until the Administrator completes
action on the petition.
(B) Certification; equivalency
The Administrator shall certify a fuel formulation or slate
of fuel formulations as complying with this subsection if such
fuel or fuels - 
(i) comply with the requirements of paragraph (2), and
(ii) achieve equivalent or greater reductions in emissions
of ozone forming volatile organic compounds and emissions of
toxic air pollutants than are achieved by a reformulated
gasoline meeting the applicable requirements of paragraph
(3).
(C) EPA determination of emissions level
Within 1 year after November 15, 1990, the Administrator
shall determine the level of emissions of ozone forming
volatile organic compounds and emissions of toxic air
pollutants emitted by baseline vehicles when operating on
baseline gasoline. For purposes of this subsection, within 1
year after November 15, 1990, the Administrator shall, by rule,
determine appropriate measures of, and methodology for,
ascertaining the emissions of air pollutants (including
calculations, equipment, and testing tolerances).
(5) Prohibition
Effective beginning January 1, 1995, each of the following
shall be a violation of this subsection:
(A) The sale or dispensing by any person of conventional
gasoline to ultimate consumers in any covered area.
(B) The sale or dispensing by any refiner, blender, importer,
or marketer of conventional gasoline for resale in any covered
area, without (i) segregating such gasoline from reformulated
gasoline, and (ii) clearly marking such conventional gasoline
as "conventional gasoline, not for sale to ultimate consumer in
a covered area".
Any refiner, blender, importer or marketer who purchases property
(!5) segregated and marked conventional gasoline, and thereafter
labels, represents, or wholesales such gasoline as reformulated
gasoline shall also be in violation of this subsection. The
Administrator may impose sampling, testing, and recordkeeping
requirements upon any refiner, blender, importer, or marketer to
prevent violations of this section.
(6) Opt-in areas
(A) Classified areas
(i) In general
Upon the application of the Governor of a State, the
Administrator shall apply the prohibition set forth in
paragraph (5) in any area in the State classified under
subpart 2 of part D of subchapter I of this chapter as a
Marginal, Moderate, Serious, or Severe Area (without regard
to whether or not the 1980 population of the area exceeds
250,000). In any such case, the Administrator shall establish
an effective date for such prohibition as he deems
appropriate, not later than January 1, 1995, or 1 year after
such application is received, whichever is later. The
Administrator shall publish such application in the Federal
Register upon receipt.
(ii) Effect of insufficient domestic capacity to produce
reformulated gasoline
If the Administrator determines, on the Administrator's own
motion or on petition of any person, after consultation with
the Secretary of Energy, that there is insufficient domestic
capacity to produce gasoline certified under this subsection,
the Administrator shall, by rule, extend the effective date
of such prohibition in Marginal, Moderate, Serious, or Severe
Areas referred to in clause (i) for one additional year, and
may, by rule, renew such extension for 2 additional one-year
periods. The Administrator shall act on any petition
submitted under this subparagraph within 6 months after
receipt of the petition. The Administrator shall issue such
extensions for areas with a lower ozone classification before
issuing any such extension for areas with a higher
classification.
(B) Ozone transport region
(i) Application of prohibition
(I) In general
On application of the Governor of a State in the ozone
transport region established by section 7511c(a) of this
title, the Administrator, not later than 180 days after the
date of receipt of the application, shall apply the
prohibition specified in paragraph (5) to any area in the
State (other than an area classified as a marginal,
moderate, serious, or severe ozone nonattainment area under
subpart 2 of part D of subchapter I of this chapter) unless
the Administrator determines under clause (iii) that there
is insufficient capacity to supply reformulated gasoline.
(II) Publication of application
As soon as practicable after the date of receipt of an
application under subclause (I), the Administrator shall
publish the application in the Federal Register.
(ii) Period of applicability
Under clause (i), the prohibition specified in paragraph
(5) shall apply in a State - 
(I) commencing as soon as practicable but not later than
2 years after the date of approval by the Administrator of
the application of the Governor of the State; and
(II) ending not earlier than 4 years after the
commencement date determined under subclause (I).
(iii) Extension of commencement date based on insufficient
capacity
(I) In general
If, after receipt of an application from a Governor of a
State under clause (i), the Administrator determines, on
the Administrator's own motion or on petition of any
person, after consultation with the Secretary of Energy,
that there is insufficient capacity to supply reformulated
gasoline, the Administrator, by regulation - 
(aa) shall extend the commencement date with respect to
the State under clause (ii)(I) for not more than 1 year;
and
(bb) may renew the extension under item (aa) for 2
additional periods, each of which shall not exceed 1
year.
(II) Deadline for action on petitions
The Administrator shall act on any petition submitted
under subclause (I) not later than 180 days after the date
of receipt of the petition.
(7) Credits
(A) The regulations promulgated under this subsection shall
provide for the granting of an appropriate amount of credits to a
person who refines, blends, or imports and certifies a gasoline
or slate of gasoline that - 
(i) has an aromatic hydrocarbon content (by volume) that is
less than the maximum aromatic hydrocarbon content required to
comply with paragraph (3); or
(ii) has a benzene content (by volume) that is less than the
maximum benzene content specified in paragraph (2).
(B) The regulations described in subparagraph (A) shall also
provide that a person who is granted credits may use such
credits, or transfer all or a portion of such credits to another
person for use within the same nonattainment area, for the
purpose of complying with this subsection.
(C) The regulations promulgated under subparagraphs (A) and (B)
shall ensure the enforcement of the requirements for the
issuance, application, and transfer of the credits. Such
regulations shall prohibit the granting or transfer of such
credits for use with respect to any gasoline in a nonattainment
area, to the extent the use of such credits would result in any
of the following:
(i) An average gasoline aromatic hydrocarbon content (by
volume) for the nonattainment (taking into account all gasoline
sold for use in conventional gasoline-fueled vehicles in the
nonattainment area) higher than the average fuel aromatic
hydrocarbon content (by volume) that would occur in the absence
of using any such credits.
(ii) An average benzene content (by volume) for the
nonattainment area (taking into account all gasoline sold for
use in conventional gasoline-fueled vehicles in the
nonattainment area) higher than the average benzene content (by
volume) that would occur in the absence of using any such
credits.
(8) Anti-dumping rules
(A) In general
Within 1 year after November 15, 1990, the Administrator
shall promulgate regulations applicable to each refiner,
blender, or importer of gasoline ensuring that gasoline sold or
introduced into commerce by such refiner, blender, or importer
(other than reformulated gasoline subject to the requirements
of paragraph (1)) does not result in average per gallon
emissions (measured on a mass basis) of (i) volatile organic
compounds, (ii) oxides of nitrogen, (iii) carbon monoxide, and
(iv) toxic air pollutants in excess of such emissions of such
pollutants attributable to gasoline sold or introduced into
commerce in calendar year 1990 by that refiner, blender, or
importer. Such regulations shall take effect beginning January
1, 1995.
(B) Adjustments
In evaluating compliance with the requirements of
subparagraph (A), the Administrator shall make appropriate
adjustments to insure that no credit is provided for
improvement in motor vehicle emissions control in motor
vehicles sold after the calendar year 1990.
(C) Compliance determined for each pollutant independently
In determining whether there is an increase in emissions in
violation of the prohibition contained in subparagraph (A) the
Administrator shall consider an increase in each air pollutant
referred to in clauses (i) through (iv) as a separate violation
of such prohibition, except that the Administrator shall
promulgate regulations to provide that any increase in
emissions of oxides of nitrogen resulting from adding
oxygenates to gasoline may be offset by an equivalent or
greater reduction (on a mass basis) in emissions of volatile
organic compounds, carbon monoxide, or toxic air pollutants, or
any combination of the foregoing.
(D) Compliance period
The Administrator shall promulgate an appropriate compliance
period or appropriate compliance periods to be used for
assessing compliance with the prohibition contained in
subparagraph (A).
(E) Baseline for determining compliance
If the Administrator determines that no adequate and reliable
data exists regarding the composition of gasoline sold or
introduced into commerce by a refiner, blender, or importer in
calendar year 1990, for such refiner, blender, or importer,
baseline gasoline shall be substituted for such 1990 gasoline
in determining compliance with subparagraph (A).
(9) Emissions from entire vehicle
In applying the requirements of this subsection, the
Administrator shall take into account emissions from the entire
motor vehicle, including evaporative, running, refueling, and
exhaust emissions.
(10) Definitions
For purposes of this subsection - 
(A) Baseline vehicles
The term "baseline vehicles" mean representative model year
1990 vehicles.
(B) Baseline gasoline
(i) Summertime
The term "baseline gasoline" means in the case of gasoline
sold during the high ozone period (as defined by the
Administrator) a gasoline which meets the following
specifications:
BASELINE GASOLINE FUEL                         
PROPERTIES                                    
API Gravity                                              57.4 
Sulfur, ppm                                             339   
Benzene, %                                                1.53
RVP, psi                                                  8.7 
Octane, R+M/2                                            87.3 
IBP, F                                                   91   
10%, F                                                  128   
50%, F                                                  218   
90%, F                                                  330   
End Point, F                                            415   
Aromatics, %                                             32.0 
Olefins, %                                                9.2 
Saturates, %                                             58.8 
(ii) Wintertime
The Administrator shall establish the specifications of
"baseline gasoline" for gasoline sold at times other than the
high ozone period (as defined by the Administrator). Such
specifications shall be the specifications of 1990 industry
average gasoline sold during such period.
(C) Toxic air pollutants
The term "toxic air pollutants" means the aggregate emissions
of the following:
Benzene
1,3 Butadiene
Polycyclic organic matter (POM)
Acetaldehyde
Formaldehyde.
(D) Covered area
The 9 ozone nonattainment areas having a 1980 population in
excess of 250,000 and having the highest ozone design value
during the period 1987 through 1989 shall be "covered areas"
for purposes of this subsection. Effective one year after the
reclassification of any ozone nonattainment area as a Severe
ozone nonattainment area under section 7511(b) of this title,
such Severe area shall also be a "covered area" for purposes of
this subsection.
(E) Reformulated gasoline
The term "reformulated gasoline" means any gasoline which is
certified by the Administrator under this section as complying
with this subsection.
(F) Conventional gasoline
The term "conventional gasoline" means any gasoline which
does not meet specifications set by a certification under this
subsection.
(l) Detergents
Effective beginning January 1, 1995, no person may sell or
dispense to an ultimate consumer in the United States, and no
refiner or marketer may directly or indirectly sell or dispense to
persons who sell or dispense to ultimate consumers in the United
States any gasoline which does not contain additives to prevent the
accumulation of deposits in engines or fuel supply systems. Not
later than 2 years after November 15, 1990, the Administrator shall
promulgate a rule establishing specifications for such additives.
(m) Oxygenated fuels
(1) Plan revisions for CO nonattainment areas
(A) Each State in which there is located all or part of an area
which is designated under subchapter I of this chapter as a
nonattainment area for carbon monoxide and which has a carbon
monoxide design value of 9.5 parts per million (ppm) or above
based on data for the 2-year period of 1988 and 1989 and
calculated according to the most recent interpretation
methodology issued by the Administrator prior to November 15,
1990, shall submit to the Administrator a State implementation
plan revision under section 7410 of this title and part D of
subchapter I of this chapter for such area which shall contain
the provisions specified under this subsection regarding
oxygenated gasoline.
(B) A plan revision which contains such provisions shall also
be submitted by each State in which there is located any area
which, for any 2-year period after 1989 has a carbon monoxide
design value of 9.5 ppm or above. The revision shall be submitted
within 18 months after such 2-year period.
(2) Oxygenated gasoline in CO nonattainment areas
Each plan revision under this subsection shall contain
provisions to require that any gasoline sold, or dispensed, to
the ultimate consumer in the carbon monoxide nonattainment area
or sold or dispensed directly or indirectly by fuel refiners or
marketers to persons who sell or dispense to ultimate consumers,
in the larger of - 
(A) the Consolidated Metropolitan Statistical Area (CMSA) in
which the area is located, or
(B) if the area is not located in a CMSA, the Metropolitan
Statistical Area in which the area is located,
be blended, during the portion of the year in which the area is
prone to high ambient concentrations of carbon monoxide to
contain not less than 2.7 percent oxygen by weight (subject to a
testing tolerance established by the Administrator). The portion
of the year in which the area is prone to high ambient
concentrations of carbon monoxide shall be as determined by the
Administrator, but shall not be less than 4 months. At the
request of a State with respect to any area designated as
nonattainment for carbon monoxide, the Administrator may reduce
the period specified in the preceding sentence if the State can
demonstrate that because of meteorological conditions, a reduced
period will assure that there will be no exceedances of the
carbon monoxide standard outside of such reduced period. For
areas with a carbon monoxide design value of 9.5 ppm or more of
(!6) November 15, 1990, the revision shall provide that such
requirement shall take effect no later than November 1, 1992 (or
at such other date during 1992 as the Administrator establishes
under the preceding provisions of this paragraph). For other
areas, the revision shall provide that such requirement shall
take effect no later than November 1 of the third year after the
last year of the applicable 2-year period referred to in
paragraph (1) (or at such other date during such third year as
the Administrator establishes under the preceding provisions of
this paragraph) and shall include a program for implementation
and enforcement of the requirement consistent with guidance to be
issued by the Administrator.
(3) Waivers
(A) The Administrator shall waive, in whole or in part, the
requirements of paragraph (2) upon a demonstration by the State
to the satisfaction of the Administrator that the use of
oxygenated gasoline would prevent or interfere with the
attainment by the area of a national primary ambient air quality
standard (or a State or local ambient air quality standard) for
any air pollutant other than carbon monoxide.
(B) The Administrator shall, upon demonstration by the State
satisfactory to the Administrator, waive the requirement of
paragraph (2) where the Administrator determines that mobile
sources of carbon monoxide do not contribute significantly to
carbon monoxide levels in an area.
(C)(i) Any person may petition the Administrator to make a
finding that there is, or is likely to be, for any area, an
inadequate domestic supply of, or distribution capacity for,
oxygenated gasoline meeting the requirements of paragraph (2) or
fuel additives (oxygenates) necessary to meet such requirements.
The Administrator shall act on such petition within 6 months
after receipt of the petition.
(ii) If the Administrator determines, in response to a petition
under clause (i), that there is an inadequate supply or capacity
described in clause (i), the Administrator shall delay the
effective date of paragraph (2) for 1 year. Upon petition, the
Administrator may extend such effective date for one additional
year. No partial delay or lesser waiver may be granted under this
clause.
(iii) In granting waivers under this subparagraph the
Administrator shall consider distribution capacity separately
from the adequacy of domestic supply and shall grant such waivers
in such manner as will assure that, if supplies of oxygenated
gasoline are limited, areas having the highest design value for
carbon monoxide will have a priority in obtaining oxygenated
gasoline which meets the requirements of paragraph (2).
(iv) As used in this subparagraph, the term distribution
capacity includes capacity for transportation, storage, and
blending.
(4) Fuel dispensing systems
Any person selling oxygenated gasoline at retail pursuant to
this subsection shall be required under regulations promulgated
by the Administrator to label the fuel dispensing system with a
notice that the gasoline is oxygenated and will reduce the carbon
monoxide emissions from the motor vehicle.
(5) Guidelines for credit
The Administrator shall promulgate guidelines, within 9 months
after November 15, 1990, allowing the use of marketable oxygen
credits from gasolines during that portion of the year specified
in paragraph (2) with higher oxygen content than required to
offset the sale or use of gasoline with a lower oxygen content
than required. No credits may be transferred between
nonattainment areas.
(6) Attainment areas
Nothing in this subsection shall be interpreted as requiring an
oxygenated gasoline program in an area which is in attainment for
carbon monoxide, except that in a carbon monoxide nonattainment
area which is redesignated as attainment for carbon monoxide, the
requirements of this subsection shall remain in effect to the
extent such program is necessary to maintain such standard
thereafter in the area.
(7) Failure to attain CO standard
If the Administrator determines under section 7512(b)(2) of
this title that the national primary ambient air quality standard
for carbon monoxide has not been attained in a Serious Area by
the applicable attainment date, the State shall submit a plan
revision for the area within 9 months after the date of such
determination. The plan revision shall provide that the minimum
oxygen content of gasoline referred to in paragraph (2) shall be
3.1 percent by weight unless such requirement is waived in
accordance with the provisions of this subsection.
(n) Prohibition on leaded gasoline for highway use
After December 31, 1995, it shall be unlawful for any person to
sell, offer for sale, supply, offer for supply, dispense,
transport, or introduce into commerce, for use as fuel in any motor
vehicle (as defined in section 7554(2) (!7) of this title) any
gasoline which contains lead or lead additives.
(o) Renewable fuel program
(1) Definitions
In this section:
(A) Cellulosic biomass ethanol
The term "cellulosic biomass ethanol" means ethanol derived
from any lignocellulosic or hemicellulosic matter that is
available on a renewable or recurring basis, including - 
(i) dedicated energy crops and trees;
(ii) wood and wood residues;
(iii) plants;
(iv) grasses;
(v) agricultural residues;
(vi) fibers;
(vii) animal wastes and other waste materials; and
(viii) municipal solid waste.
The term also includes any ethanol produced in facilities where
animal wastes or other waste materials are digested or
otherwise used to displace 90 percent or more of the fossil
fuel normally used in the production of ethanol.
(B) Waste derived ethanol
The term "waste derived ethanol" means ethanol derived from -

(i) animal wastes, including poultry fats and poultry
wastes, and other waste materials; or
(ii) municipal solid waste.
(C) Renewable fuel
(i) In general
The term "renewable fuel" means motor vehicle fuel that - 
(I)(aa) is produced from grain, starch, oilseeds,
vegetable, animal, or fish materials including fats,
greases, and oils, sugarcane, sugar beets, sugar
components, tobacco, potatoes, or other biomass; or
(bb) is natural gas produced from a biogas source,
including a landfill, sewage waste treatment plant,
feedlot, or other place where decaying organic material is
found; and
(II) is used to replace or reduce the quantity of fossil
fuel present in a fuel mixture used to operate a motor
vehicle.
(ii) Inclusion
The term "renewable fuel" includes - 
(I) cellulosic biomass ethanol and "waste derived
ethanol"; and
(II) biodiesel (as defined in section 13220(f) of this
title) and any blending components derived from renewable
fuel (provided that only the renewable fuel portion of any
such blending component shall be considered part of the
applicable volume under the renewable fuel program
established by this subsection).
(D) Small refinery
The term "small refinery" means a refinery for which the
average aggregate daily crude oil throughput for a calendar
year (as determined by dividing the aggregate throughput for
the calendar year by the number of days in the calendar year)
does not exceed 75,000 barrels.
(2) Renewable fuel program
(A) Regulations
(i) In general
Not later than 1 year after August 8, 2005, the
Administrator shall promulgate regulations to ensure that
gasoline sold or introduced into commerce in the United
States (except in noncontiguous States or territories), on an
annual average basis, contains the applicable volume of
renewable fuel determined in accordance with subparagraph
(B).
(ii) Noncontiguous State opt-in
(I) In general
On the petition of a noncontiguous State or territory,
the Administrator may allow the renewable fuel program
established under this subsection to apply in the
noncontiguous State or territory at the same time or any
time after the Administrator promulgates regulations under
this subparagraph.
(II) Other actions
In carrying out this clause, the Administrator may - 
(aa) issue or revise regulations under this paragraph;
(bb) establish applicable percentages under paragraph
(3);
(cc) provide for the generation of credits under
paragraph (5); and
(dd) take such other actions as are necessary to allow
for the application of the renewable fuels program in a
noncontiguous State or territory.
(iii) Provisions of regulations
Regardless of the date of promulgation, the regulations
promulgated under clause (i) - 
(I) shall contain compliance provisions applicable to
refineries, blenders, distributors, and importers, as
appropriate, to ensure that the requirements of this
paragraph are met; but
(II) shall not - 
(aa) restrict geographic areas in which renewable fuel
may be used; or
(bb) impose any per-gallon obligation for the use of
renewable fuel.
(iv) Requirement in case of failure to promulgate regulations
If the Administrator does not promulgate regulations under
clause (i), the percentage of renewable fuel in gasoline sold
or dispensed to consumers in the United States, on a volume
basis, shall be 2.78 percent for calendar year 2006.
(B) Applicable volume
(i) Calendar years 2006 through 2012
For the purpose of subparagraph (A), the applicable volume
for any of calendar years 2006 through 2012 shall be
determined in accordance with the following table:
Applicable
volume of
renewable
fuel
Calendar year:                                     (in billions of
gallons):
2006                                                          4.0
2007                                                          4.7
2008                                                          5.4
2009                                                          6.1
2010                                                          6.8
2011                                                          7.4
2012                                                         7.5.
(ii) Calendar year 2013 and thereafter
Subject to clauses (iii) and (iv), for the purposes of
subparagraph (A), the applicable volume for calendar year
2013 and each calendar year thereafter shall be determined by
the Administrator, in coordination with the Secretary of
Agriculture and the Secretary of Energy, based on a review of
the implementation of the program during calendar years 2006
through 2012, including a review of - 
(I) the impact of the use of renewable fuels on the
environment, air quality, energy security, job creation,
and rural economic development; and
(II) the expected annual rate of future production of
renewable fuels, including cellulosic ethanol.
(iii) Minimum quantity derived from cellulosic biomass
For calendar year 2013 and each calendar year thereafter - 
(I) the applicable volume referred to in clause (ii)
shall contain a minimum of 250,000,000 gallons that are
derived from cellulosic biomass; and
(II) the 2.5-to-1 ratio referred to in paragraph (4)
shall not apply.
(iv) Minimum applicable volume
For the purpose of subparagraph (A), the applicable volume
for calendar year 2013 and each calendar year thereafter
shall be equal to the product obtained by multiplying - 
(I) the number of gallons of gasoline that the
Administrator estimates will be sold or introduced into
commerce in the calendar year; and
(II) the ratio that - 
(aa) 7,500,000,000 gallons of renewable fuel; bears to
(bb) the number of gallons of gasoline sold or
introduced into commerce in calendar year 2012.
(3) Applicable percentages
(A) Provision of estimate of volumes of gasoline sales
Not later than October 31 of each of calendar years 2005
through 2011, the Administrator of the Energy Information
Administration shall provide to the Administrator of the
Environmental Protection Agency an estimate, with respect to
the following calendar year, of the volumes of gasoline
projected to be sold or introduced into commerce in the United
States.
(B) Determination of applicable percentages
(i) In general
Not later than November 30 of each of calendar years 2005
through 2012, based on the estimate provided under
subparagraph (A), the Administrator of the Environmental
Protection Agency shall determine and publish in the Federal
Register, with respect to the following calendar year, the
renewable fuel obligation that ensures that the requirements
of paragraph (2) are met.
(ii) Required elements
The renewable fuel obligation determined for a calendar
year under clause (i) shall - 
(I) be applicable to refineries, blenders, and importers,
as appropriate;
(II) be expressed in terms of a volume percentage of
gasoline sold or introduced into commerce in the United
States; and
(III) subject to subparagraph (C)(i), consist of a single
applicable percentage that applies to all categories of
persons specified in subclause (I).
(C) Adjustments
In determining the applicable percentage for a calendar year,
the Administrator shall make adjustments - 
(i) to prevent the imposition of redundant obligations on
any person specified in subparagraph (B)(ii)(I); and
(ii) to account for the use of renewable fuel during the
previous calendar year by small refineries that are exempt
under paragraph (9).
(4) Cellulosic biomass ethanol or waste derived ethanol
For the purpose of paragraph (2), 1 gallon of cellulosic
biomass ethanol or waste derived ethanol shall be considered to
be the equivalent of 2.5 gallons of renewable fuel.
(5) Credit program
(A) In general
The regulations promulgated under paragraph (2)(A) shall
provide - 
(i) for the generation of an appropriate amount of credits
by any person that refines, blends, or imports gasoline that
contains a quantity of renewable fuel that is greater than
the quantity required under paragraph (2);
(ii) for the generation of an appropriate amount of credits
for biodiesel; and
(iii) for the generation of credits by small refineries in
accordance with paragraph (9)(C).
(B) Use of credits
A person that generates credits under subparagraph (A) may
use the credits, or transfer all or a portion of the credits to
another person, for the purpose of complying with paragraph
(2).
(C) Duration of credits
A credit generated under this paragraph shall be valid to
show compliance for the 12 months as of the date of generation.
(D) Inability to generate or purchase sufficient credits
The regulations promulgated under paragraph (2)(A) shall
include provisions allowing any person that is unable to
generate or purchase sufficient credits to meet the
requirements of paragraph (2) to carry forward a renewable fuel
deficit on condition that the person, in the calendar year
following the year in which the renewable fuel deficit is
created - 
(i) achieves compliance with the renewable fuel requirement
under paragraph (2); and
(ii) generates or purchases additional renewable fuel
credits to offset the renewable fuel deficit of the previous
year.
(6) Seasonal variations in renewable fuel use
(A) Study
For each of calendar years 2006 through 2012, the
Administrator of the Energy Information Administration shall
conduct a study of renewable fuel blending to determine whether
there are excessive seasonal variations in the use of renewable
fuel.
(B) Regulation of excessive seasonal variations
If, for any calendar year, the Administrator of the Energy
Information Administration, based on the study under
subparagraph (A), makes the determinations specified in
subparagraph (C), the Administrator of the Environmental
Protection Agency shall promulgate regulations to ensure that
25 percent or more of the quantity of renewable fuel necessary
to meet the requirements of paragraph (2) is used during each
of the 2 periods specified in subparagraph (D) of each
subsequent calendar year.
(C) Determinations
The determinations referred to in subparagraph (B) are that -

(i) less than 25 percent of the quantity of renewable fuel
necessary to meet the requirements of paragraph (2) has been
used during 1 of the 2 periods specified in subparagraph (D)
of the calendar year;
(ii) a pattern of excessive seasonal variation described in
clause (i) will continue in subsequent calendar years; and
(iii) promulgating regulations or other requirements to
impose a 25 percent or more seasonal use of renewable fuels
will not prevent or interfere with the attainment of national
ambient air quality standards or significantly increase the
price of motor fuels to the consumer.
(D) Periods
The 2 periods referred to in this paragraph are - 
(i) April through September; and
(ii) January through March and October through December.
(E) Exclusion
Renewable fuel blended or consumed in calendar year 2006 in a
State that has received a waiver under section 7543(b) of this
title shall not be included in the study under subparagraph
(A).
(F) State exemption from seasonality requirements
Notwithstanding any other provision of law, the seasonality
requirement relating to renewable fuel use established by this
paragraph shall not apply to any State that has received a
waiver under section 7543(b) of this title or any State
dependent on refineries in such State for gasoline supplies.
(7) Waivers
(A) In general
The Administrator, in consultation with the Secretary of
Agriculture and the Secretary of Energy, may waive the
requirements of paragraph (2) in whole or in part on petition
by one or more States by reducing the national quantity of
renewable fuel required under paragraph (2) - 
(i) based on a determination by the Administrator, after
public notice and opportunity for comment, that
implementation of the requirement would severely harm the
economy or environment of a State, a region, or the United
States; or
(ii) based on a determination by the Administrator, after
public notice and opportunity for comment, that there is an
inadequate domestic supply.
(B) Petitions for waivers
The Administrator, in consultation with the Secretary of
Agriculture and the Secretary of Energy, shall approve or
disapprove a State petition for a waiver of the requirements of
paragraph (2) within 90 days after the date on which the
petition is received by the Administrator.
(C) Termination of waivers
A waiver granted under subparagraph (A) shall terminate after
1 year, but may be renewed by the Administrator after
consultation with the Secretary of Agriculture and the
Secretary of Energy.
(8) Study and waiver for initial year of program
(A) In general
Not later than 180 days after August 8, 2005, the Secretary
of Energy shall conduct for the Administrator a study assessing
whether the renewable fuel requirement under paragraph (2) will
likely result in significant adverse impacts on consumers in
2006, on a national, regional, or State basis.
(B) Required evaluations
The study shall evaluate renewable fuel - 
(i) supplies and prices;
(ii) blendstock supplies; and
(iii) supply and distribution system capabilities.
(C) Recommendations by the Secretary
Based on the results of the study, the Secretary of Energy
shall make specific recommendations to the Administrator
concerning waiver of the requirements of paragraph (2), in
whole or in part, to prevent any adverse impacts described in
subparagraph (A).
(D) Waiver
(i) In general
Not later than 270 days after August 8, 2005, the
Administrator shall, if and to the extent recommended by the
Secretary of Energy under subparagraph (C), waive, in whole
or in part, the renewable fuel requirement under paragraph
(2) by reducing the national quantity of renewable fuel
required under paragraph (2) in calendar year 2006.
(ii) No effect on waiver authority
Clause (i) does not limit the authority of the
Administrator to waive the requirements of paragraph (2) in
whole, or in part, under paragraph (7).
(9) Small refineries
(A) Temporary exemption
(i) In general
The requirements of paragraph (2) shall not apply to small
refineries until calendar year 2011.
(ii) Extension of exemption
(I) Study by Secretary of Energy
Not later than December 31, 2008, the Secretary of Energy
shall conduct for the Administrator a study to determine
whether compliance with the requirements of paragraph (2)
would impose a disproportionate economic hardship on small
refineries.
(II) Extension of exemption
In the case of a small refinery that the Secretary of
Energy determines under subclause (I) would be subject to a
disproportionate economic hardship if required to comply
with paragraph (2), the Administrator shall extend the
exemption under clause (i) for the small refinery for a
period of not less than 2 additional years.
(B) Petitions based on disproportionate economic hardship
(i) Extension of exemption
A small refinery may at any time petition the Administrator
for an extension of the exemption under subparagraph (A) for
the reason of disproportionate economic hardship.
(ii) Evaluation of petitions
In evaluating a petition under clause (i), the
Administrator, in consultation with the Secretary of Energy,
shall consider the findings of the study under subparagraph
(A)(ii) and other economic factors.
(iii) Deadline for action on petitions
The Administrator shall act on any petition submitted by a
small refinery for a hardship exemption not later than 90
days after the date of receipt of the petition.
(C) Credit program
If a small refinery notifies the Administrator that the small
refinery waives the exemption under subparagraph (A), the
regulations promulgated under paragraph (2)(A) shall provide
for the generation of credits by the small refinery under
paragraph (5) beginning in the calendar year following the date
of notification.
(D) Opt-in for small refineries
A small refinery shall be subject to the requirements of
paragraph (2) if the small refinery notifies the Administrator
that the small refinery waives the exemption under subparagraph
(A).
(10) Ethanol market concentration analysis
(A) Analysis
(i) In general
Not later than 180 days after August 8, 2005, and annually
thereafter, the Federal Trade Commission shall perform a
market concentration analysis of the ethanol production
industry using the Herfindahl-Hirschman Index to determine
whether there is sufficient competition among industry
participants to avoid price-setting and other anticompetitive
behavior.
(ii) Scoring
For the purpose of scoring under clause (i) using the
Herfindahl-Hirschman Index, all marketing arrangements among
industry participants shall be considered.
(B) Report
Not later than December 1, 2005, and annually thereafter, the
Federal Trade Commission shall submit to Congress and the
Administrator a report on the results of the market
concentration analysis performed under subparagraph (A)(i).
(q) (!8) Analyses of motor vehicle fuel changes and emissions model
(1) Anti-backsliding analysis
(A) Draft analysis
Not later than 4 years after August 8, 2005, the
Administrator shall publish for public comment a draft analysis
of the changes in emissions of air pollutants and air quality
due to the use of motor vehicle fuel and fuel additives
resulting from implementation of the amendments made by the
Energy Policy Act of 2005.
(B) Final analysis
After providing a reasonable opportunity for comment but not
later than 5 years after August 8, 2005, the Administrator
shall publish the analysis in final form.
(2) Emissions model
For the purposes of this section, not later than 4 years after
August 8, 2005, the Administrator shall develop and finalize an
emissions model that reflects, to the maximum extent practicable,
the effects of gasoline characteristics or components on
emissions from vehicles in the motor vehicle fleet during
calendar year 2007.
(3) Permeation effects study
(A) In general
Not later than 1 year after August 8, 2005, the Administrator
shall conduct a study, and report to Congress the results of
the study, on the effects of ethanol content in gasoline on
permeation, the process by which fuel molecules migrate through
the elastomeric materials (rubber and plastic parts) that make
up the fuel and fuel vapor systems of a motor vehicle.
(B) Evaporative emissions
The study shall include estimates of the increase in total
evaporative emissions likely to result from the use of gasoline
with ethanol content in a motor vehicle, and the fleet of motor
vehicles, due to permeation.
(r) (!9) Fuel and fuel additive importers and importation
For the purposes of this section, the term "manufacturer"
includes an importer and the term "manufacture" includes
importation.
(r) (!9) Conversion assistance for cellulosic biomass, waste-
derived ethanol, approved renewable fuels
(1) In general
The Secretary of Energy may provide grants to merchant
producers of cellulosic biomass ethanol, waste-derived ethanol,
and approved renewable fuels in the United States to assist the
producers in building eligible production facilities described in
paragraph (2) for the production of ethanol or approved renewable
fuels.
(2) Eligible production facilities
A production facility shall be eligible to receive a grant
under this subsection if the production facility - 
(A) is located in the United States; and
(B) uses cellulosic or renewable biomass or waste-derived
feedstocks derived from agricultural residues, wood residues,
municipal solid waste, or agricultural byproducts.
(3) Authorization of appropriations
There are authorized to be appropriated the following amounts
to carry out this subsection:
(A) $100,000,000 for fiscal year 2006.
(B) $250,000,000 for fiscal year 2007.
(C) $400,000,000 for fiscal year 2008.
(4) Definitions
For the purposes of this subsection:
(A) The term "approved renewable fuels" are fuels and
components of fuels that have been approved by the Department
of Energy, as defined in section 13211 of this title, which
have been made from renewable biomass.
(B) The term "renewable biomass" is, as defined in
Presidential Executive Order 13134, published in the Federal
Register on August 16, 1999, any organic matter that is
available on a renewable or recurring basis (excluding old-
growth timber), including dedicated energy crops and trees,
agricultural food and feed crop residues, aquatic plants,
animal wastes, wood and wood residues, paper and paper
residues, and other vegetative waste materials. Old-growth
timber means timber of a forest from the late successional
stage of forest development.
(s) Blending of compliant reformulated gasolines
(1) In general
Notwithstanding subsections (h) and (k) of this section and
subject to the limitations in paragraph (2) of this subsection,
it shall not be a violation of this part (!10) for a gasoline
retailer, during any month of the year, to blend at a retail
location batches of ethanol-blended and non-ethanol-blended
reformulated gasoline, provided that - 
(A) each batch of gasoline to be blended has been
individually certified as in compliance with subsections (h)
and (k) of this section prior to being blended;
(B) the retailer notifies the Administrator prior to such
blending, and identifies the exact location of the retail
station and the specific tank in which such blending will take
place;
(C) the retailer retains and, as requested by the
Administrator or the Administrator's designee, makes available
for inspection such certifications accounting for all gasoline
at the retail outlet; and
(D) the retailer does not, between June 1 and September 15 of
each year, blend a batch of VOC-controlled, or "summer",
gasoline with a batch of non-VOC-controlled, or "winter",
gasoline (as these terms are defined under subsections (h) and
(k) of this section).
(2) Limitations
(A) Frequency limitation
A retailer shall only be permitted to blend batches of
compliant reformulated gasoline under this subsection a maximum
of two blending periods between May 1 and September 15 of each
calendar year.
(B) Duration of blending period
Each blending period authorized under subparagraph (A) shall
extend for a period of no more than 10 consecutive calendar
days.
(3) Surveys
A sample of gasoline taken from a retail location that has
blended gasoline within the past 30 days and is in compliance
with subparagraphs (A), (B), (C), and (D) of paragraph (1) shall
not be used in a VOC survey mandated by 40 CFR Part 80.
(4) State implementation plans
A State shall be held harmless and shall not be required to
revise its State implementation plan under section 7410 of this
title to account for the emissions from blended gasoline
authorized under paragraph (1).
(5) Preservation of State law
Nothing in this subsection shall - 
(A) preempt existing State laws or regulations regulating the
blending of compliant gasolines; or
(B) prohibit a State from adopting such restrictions in the
future.
(6) Regulations
The Administrator shall promulgate, after notice and comment,
regulations implementing this subsection within 1 year after
August 8, 2005.
(7) Effective date
This subsection shall become effective 15 months after August
8, 2005, and shall apply to blended batches of reformulated
gasoline on or after that date, regardless of whether the
implementing regulations required by paragraph (6) have been
promulgated by the Administrator by that date.
(8) Liability
No person other than the person responsible for blending under
this subsection shall be subject to an enforcement action or
penalties under subsection (d) of this section solely arising
from the blending of compliant reformulated gasolines by the
retailers.
(9) Formulation of gasoline
This subsection does not grant authority to the Administrator
or any State (or any subdivision thereof) to require
reformulation of gasoline at the refinery to adjust for potential
or actual emissions increases due to the blending authorized by
this subsection.