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Legislation Could Ensure National Security By Encouraging Development of Domestic Advanced Biofuels

Dec. 21, 2010, WASHINGTON, D.C. (Dec. 20, 2010) – A newly introduced bill will authorize the Department of Defense (DOD) to continue its leading role in helping to commercialize next generation biofuels. The Biotechnology Industry Organization (BIO) today thanked Rep. Jay Inslee (D-Wash.) for introducing the “Domestic Fuel for Enhancing National Security Act of 2010,” which would authorize the DOD to engage in long-term contracts for aviation biofuels.

Brent Erickson, executive vice president of BIO’s Industrial & Environmental Section, stated, “Advanced biofuel producers and algae producers are already working with the military to provide biofuels and diesel oils for testing in aviation and other applications. Expanding the military’s ability to engage in long-term contracts could provide leading companies and potential investors the certainty they look for before committing capital to large-scale biofuel production. The Department of Energy, for instance, has been asking for long-term off-take agreements as an eligibility requirement for its loan guarantee program.”

Recently, the Department of the Navy has established goals to cut petroleum use in the commercial fleet in half by 2015 and ensure 50 percent of its total energy consumption comes from alternative sources by 2020. The Navy recognizes that energy security safeguards our energy infrastructure and shields the military from a volatile energy supply.

Erickson continued, “In order to reach the Navy’s goal, there needs to be a dramatic scaling up of advanced biofuel production in the United States. Investment in environmentally responsible technologies lessens dependence on imported fossil fuels.”