Bill Text: MN SF448 | 2013-2014 | 88th Legislature | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Biofuel production provisions modifications and biobutanol definition

Spectrum: Bipartisan Bill

Status: (Introduced - Dead) 2013-03-14 - Second reading [SF448 Detail]

Download: Minnesota-2013-SF448-Introduced.html

1.1A bill for an act
1.2relating to renewable energy; establishing definitions; providing a sunset date for
1.3the cellulosic ethanol production goal; converting the ethanol minimum content
1.4requirement to a biofuel requirement; expanding the petroleum replacement
1.5goal; requiring a biofuels task force; repealing E20 mandate language;
1.6amending Minnesota Statutes 2012, sections 41A.10, subdivision 2, by adding a
1.7subdivision; 116J.437, subdivision 1; 239.051, by adding subdivisions; 239.791,
1.8subdivisions 1, 2a, 2b; 239.7911; repealing Minnesota Statutes 2012, section
1.9239.791, subdivision 1a.
1.10BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.11    Section 1. Minnesota Statutes 2012, section 41A.10, subdivision 2, is amended to read:
1.12    Subd. 2. Cellulosic biofuel production goal. The state cellulosic biofuel production
1.13goal is one-quarter of the total amount necessary for ethanol biofuel use required under
1.14section 239.791, subdivision 1a 1, by 2015 or when cellulosic biofuel facilities in the state
1.15attain a total annual production level of 60,000,000 gallons, whichever is first.

1.16    Sec. 2. Minnesota Statutes 2012, section 41A.10, is amended by adding a subdivision
1.17to read:
1.18    Subd. 3. Expiration. This section expires January 1, 2015.

1.19    Sec. 3. Minnesota Statutes 2012, section 116J.437, subdivision 1, is amended to read:
1.20    Subdivision 1. Definitions. (a) For the purpose of this section, the following terms
1.21have the meanings given.
1.22(b) "Green economy" means products, processes, methods, technologies, or services
1.23intended to do one or more of the following:
2.1    (1) increase the use of energy from renewable sources, including through achieving
2.2the renewable energy standard established in section 216B.1691;
2.3    (2) achieve the statewide energy-savings goal established in section 216B.2401,
2.4including energy savings achieved by the conservation investment program under section
2.5216B.241 ;
2.6    (3) achieve the greenhouse gas emission reduction goals of section 216H.02,
2.7subdivision 1, including through reduction of greenhouse gas emissions, as defined in
2.8section 216H.01, subdivision 2, or mitigation of the greenhouse gas emissions through,
2.9but not limited to, carbon capture, storage, or sequestration;
2.10    (4) monitor, protect, restore, and preserve the quality of surface waters, including
2.11actions to further the purposes of the Clean Water Legacy Act as provided in section
2.12114D.10, subdivision 1 ;
2.13    (5) expand the use of biofuels, including by expanding the feasibility or reducing the
2.14cost of producing biofuels or the types of equipment, machinery, and vehicles that can
2.15use biofuels, including activities to achieve the biofuels 25 by 2025 initiative in sections
2.1641A.10, subdivision 2, and 41A.11 petroleum replacement goal in section 239.7911; or
2.17(6) increase the use of green chemistry, as defined in section 116.9401.
2.18For the purpose of clause (3), "green economy" includes strategies that reduce carbon
2.19emissions, such as utilizing existing buildings and other infrastructure, and utilizing mass
2.20transit or otherwise reducing commuting for employees.

2.21    Sec. 4. Minnesota Statutes 2012, section 239.051, is amended by adding a subdivision
2.22to read:
2.23    Subd. 1a. Advanced biofuel. "Advanced biofuel" has the meaning given in Public
2.24Law 110-140, title 2, subtitle A, section 201.

2.25    Sec. 5. Minnesota Statutes 2012, section 239.051, is amended by adding a subdivision
2.26to read:
2.27    Subd. 5a. Biofuel. "Biofuel" means a renewable fuel with an approved pathway
2.28under authority of the federal Energy Policy Act of 2005, Public Law 109-58, as amended
2.29by the federal Energy Independence and Security Act of 2007, Public Law 110–140, and
2.30approved for sale by the United States Environmental Protection Agency. As such, biofuel
2.31includes both advanced and conventional biofuels.

2.32    Sec. 6. Minnesota Statutes 2012, section 239.051, is amended by adding a subdivision
2.33to read:
3.1    Subd. 7a. Conventional biofuel. "Conventional biofuel" means ethanol derived
3.2from cornstarch, as defined in Public Law 110-140, title 2, subtitle A, section 201.

3.3    Sec. 7. Minnesota Statutes 2012, section 239.791, subdivision 1, is amended to read:
3.4    Subdivision 1. Minimum ethanol biofuel content required. (a) Except as provided
3.5in subdivisions 10 to 14, a person responsible for the product shall ensure that all gasoline
3.6sold or offered for sale in Minnesota must contain at least the quantity of ethanol biofuel
3.7 required by clause (1) or (2), whichever is greater:
3.8(1) 10.0 percent denatured ethanol biofuel by volume; or
3.9(2) the maximum percent of denatured ethanol biofuel by volume authorized in a
3.10waiver granted by the United States Environmental Protection Agency.
3.11(b) For purposes of enforcing the minimum ethanol requirement of paragraph (a),
3.12clause (1), a gasoline/ethanol gasoline/biofuel blend will be construed to be in compliance
3.13if the ethanol biofuel content, exclusive of denaturants and other permitted components,
3.14comprises not less than 9.2 percent by volume and not more than 10.0 percent by volume
3.15of the blend as determined by an appropriate United States Environmental Protection
3.16Agency or American Society of Testing Materials standard method of analysis of
3.17alcohol/ether content in engine fuels.
3.18(c) The provisions of this subdivision are suspended during any period of time that
3.19subdivision 1a, paragraph (a), is in effect. Biofuel blended pursuant to this subdivision
3.20may be any biofuel; however, conventional biofuel must comprise no less than the portion
3.21specified on and after the specified dates:
3.22
(1)
July 1, 2013
90 percent
3.23
(2)
January 1, 2015
80 percent
3.24
(3)
January 1, 2017
70 percent
3.25
(4)
January 1, 2020
60 percent
3.26
(5)
January 1, 2025
no minimum

3.27    Sec. 8. Minnesota Statutes 2012, section 239.791, subdivision 2a, is amended to read:
3.28    Subd. 2a. Federal Clean Air Act waivers; conditions. (a) Before a waiver granted
3.29by the United States Environmental Protection Agency under section 211(f)(4) of the
3.30Clean Air Act, United States Code, title 42, section 7545, subsection (f), paragraph (4),
3.31may alter the minimum content level required by subdivision 1, paragraph (a), clause (2),
3.32or subdivision 1a, paragraph (a), clause (2), the waiver must:
3.33(1) apply to all gasoline-powered motor vehicles irrespective of model year; and
3.34(2) allow for special regulatory treatment of Reid vapor pressure under Code of
3.35Federal Regulations, title 40, section 80.27, paragraph (d), for blends of gasoline and
4.1ethanol up to the maximum percent of denatured ethanol by volume authorized under
4.2the waiver.
4.3(b) The minimum ethanol biofuel requirement in subdivision 1, paragraph (a), clause
4.4(2), or subdivision 1a, paragraph (a), clause (2), shall, upon the grant of the federal waiver
4.5 or federal registration that allows for higher blends of gasoline and biofuel in this state,
4.6be effective the day after the commissioner of commerce publishes notice in the State
4.7Register. In making this determination, the commissioner shall consider the amount of
4.8time required by refiners, retailers, pipeline and distribution terminal companies, and
4.9other fuel suppliers, acting expeditiously, to make the operational and logistical changes
4.10required to supply fuel in compliance with the minimum ethanol biofuel requirement.

4.11    Sec. 9. Minnesota Statutes 2012, section 239.791, subdivision 2b, is amended to read:
4.12    Subd. 2b. Limited liability waiver. No motor fuel shall be deemed to be a defective
4.13product by virtue of the fact that the motor fuel is formulated or blended pursuant to
4.14the requirements of subdivision 1, paragraph (a), clause (2), or subdivision 1a, under
4.15any theory of liability except for simple or willful negligence or fraud. This subdivision
4.16does not preclude an action for negligent, fraudulent, or willful acts. This subdivision
4.17does not affect a person whose liability arises under chapter 115, water pollution control;
4.18115A, waste management; 115B, environmental response and liability; 115C, leaking
4.19underground storage tanks; or 299J, pipeline safety; under public nuisance law for damage
4.20to the environment or the public health; under any other environmental or public health
4.21law; or under any environmental or public health ordinance or program of a municipality
4.22as defined in section 466.01.

4.23    Sec. 10. Minnesota Statutes 2012, section 239.7911, is amended to read:
4.24239.7911 PETROLEUM REPLACEMENT PROMOTION.
4.25    Subdivision 1. Petroleum replacement goal. The tiered petroleum replacement
4.26goal of the state of Minnesota is that biofuel comprises at least the specified portion of
4.27total gasoline sold or offered for sale in this state by each specified year:
4.28    (1) at least 20 percent of the liquid fuel sold in the state is derived from renewable
4.29sources by December 31, 2015; and
4.30    (2) at least 25 percent of the liquid fuel sold in the state is derived from renewable
4.31sources by December 31, 2025.
4.32
(1)
2015
14 percent
4.33
(2)
2017
18 percent
5.1
(3)
2020
25 percent
5.2
(4)
2025
30 percent
5.3    Subd. 2. Promotion of renewable liquid fuels. (a) The commissioner of agriculture,
5.4in consultation with the commissioners of commerce and the Pollution Control Agency,
5.5shall identify and implement activities necessary for the widespread use of renewable
5.6liquid fuels in the state to achieve the goals in subdivision 1. Beginning November
5.71, 2005, and continuing through 2015, the commissioners, or their designees, shall
5.8work with convene a task force pursuant to section 15.014 that includes representatives
5.9from the renewable fuels industry, petroleum retailers, refiners, automakers, small
5.10engine manufacturers, and other interested groups, to. The task force shall assist the
5.11commissioners in carrying out the activities in paragraph (b) and eliminating barriers to the
5.12use of greater biofuel blends in this state. The task force must coordinate efforts with the
5.13NextGen Energy Board, the biodiesel task force, and the Renewable Energy Roundtable
5.14and develop annual recommendations for administrative and legislative action.
5.15    (b) The activities of the commissioners under this subdivision shall include, but not
5.16be limited to:
5.17    (1) developing recommendations for specific, cost-effective incentives necessary
5.18to expedite the use of greater biofuel blends in this state including, but not limited to,
5.19incentives for retailers to install equipment necessary for dispensing to dispense renewable
5.20liquid fuels to the public;
5.21    (2) expanding the renewable-fuel options available to Minnesota consumers by
5.22obtaining federal approval for the use of E20 and additional blends that contain a greater
5.23percentage of ethanol, including but not limited to E30 and E50, as gasoline biofuel;
5.24    (3) developing recommendations for ensuring to ensure that motor vehicles and
5.25small engine equipment have access to an adequate supply of fuel;
5.26    (4) working with the owners and operators of large corporate automotive fleets in the
5.27state to increase their use of renewable fuels; and
5.28    (5) working to maintain an affordable retail price for liquid fuels; and
5.29    (6) facilitating the production and use of advanced biofuels in this state.
5.30    (c) Notwithstanding section 15.014, the task force required under paragraph (a)
5.31expires on December 31, 2015.

5.32    Sec. 11. REPEALER.
5.33Minnesota Statutes 2012, section 239.791, subdivision 1a, is repealed.
feedback