MELLOW CALLS FOR INVESTMENT IN “FUEL OF THE FUTURE”
HARRISBURG, December 10, 2007 – Calling it the
“right time and right approach for both the state’s economy and
environment,” state Senate Democratic Leader Robert J. Mellow today
introduced a four-bill energy package that would invest over $71 million
to help put Pennsylvania at the national forefront in the development
and use of cellulosic fuels.
“It seems clear that cellulosic energy is one of the best and brightest
alternative energy prospects,” Mellow (D-Lackawanna/Luzerne/Monroe)
said. “Apart from the obvious need to cut our dependence on foreign oil,
my legislation would create new jobs and greatly improve Pennsylvania’s
stake in this budding alternative energy industry.”
Cellulosic ethanol is produced using switchgrass, cornstalks and/or wood
chips to produce the more efficient, effective and environmentally
friendly fuel. Mellow said one acre of switchgrass produces more than
three times the amount of corn-based ethanol. In addition, it reduces
greenhouse gas emissions by up to seven times more than corn ethanol.
Mellow’s four proposals would provide:
· $40 million in grants and low-interest loans for the construction of
cellulosic ethanol production facilities in Pennsylvania (Special
Session Senate Bill 15). Across the nation, several pilot cellulosic
ethanol plants are in the planning stages, including one paired with a
corn-based ethanol plant in Clearfield, Pa. Describing the new
cellulosic ethanol industry as “in its infancy, “ Mellow said
Pennsylvania should step up now and position itself to reap the economic
and environmental benefits of this new energy technology.
· $10 million in research and development tax credits and another $10
million for production tax credits to cellulosic ethanol production
facilities (Special
Session Senate Bill 16).
· $5 million annually in tax credits to subsidize farmers who plant
energy crops such as switchgrass for cellulosic ethanol production. The
bill also offers another $5 million in tax credits to help better
control the costs of maintaining such crops. Mellow said the measure (Special
Session Senate Bill 17) is designed to provide an economic cushion
for farmers who must nurture crops like switchgrass through two growing
cycles before they can be harvested.
· $1 million to educate farmers about the methods and benefits of the
use of crops used in the production of cellulosic ethanol (Special
Session Senate Bill 18).
Mellow said his bills would complement Gov. Ed Rendell’s energy
proposals voiced earlier this year.
He said he would fund his proposals by tapping the bond issue the
governor has proposed for an alternative energy initiative.
“We need to embrace the best and brightest alternative energy proposals
as we continue work during the ongoing Special Session on Energy,”
Mellow said. “While I am a big proponent of cellulosic energy, I will
readily consider other ideas aimed at positioning Pennsylvania to
benefit from this promising and emerging green energy industry.”
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