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Betting on Sam
CSP's Samantha Oller visits with Sam Hirbod, president and CEO or Pacific Convenience & Fuels.
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Issue Date: CSP Daily News, July 21, 2008


Blunt: Simplify Boutiques
Republicans offer Fuel Mandate Reduction Act as a way to lower retail gasoline, diesel prices
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WASHINGTON -- House Republican Whip Roy Blunt (R-Mo.) last week joined Republican leaders in signing a petition, offered by Representative Thelma Drake (R-Va.), to allow for immediate consideration of the Fuel Mandate Reduction Act, a bill authored by Blunt that would lower the price at the pump by simplifying the nation's increasingly complex gasoline supply. 

"The simpler and more uniform our gasoline supply is, the easier it is to get to market and the cheaper it is for consumers," said Blunt. "The bill we're seeking to bring to the floor…would reduce the number of 'boutique' fuels currently in the system, benefiting American energy consumers by preventing these specialty blends from driving up the price." 

The current gasoline stock used by U.S. motorists includes "boutique," or specially formulated, fuels, which are required by law in certain communities. When supplies are limited, prices tend to rise quickly, substantially, and sometimes with very little prior notice. 

Legislation offered by Blunt in the previous Congress, parts of which were included in the Energy Policy Act of 2005, began the process of capping the number of specialty fuel blends, while allowing communities faced with unforeseen shortages a waiver to use conventional gasoline. The Fuel Mandate Reduction Act seeks to build on that progress by mandating sharper reductions in the number of specialty fuels, and allowing communities more regulatory flexibility in times of temporary shortage or displacement.

"Getting gas prices under control will require an 'all of the above' approach to building a national energy strategy," added Blunt. "That means building new American refineries, finding and producing new sources of American oil and natural gas, and simplifying the types of fuel available for purchase. This bill will put us on a path toward accomplishing one of those goals, and I want to thank Rep. Drake for stepping up this morning to introduce the petition we'll need to bring it to the floor." 

Added Blunt: "In a world of $4 gas, $5 diesel and $145 oil, this country can no longer sit on the sidelines while foreign countries determine our energy future for us. It's my sincere hope that Democrats will work with Republicans to bring this crucial bill to the floor, and thus take a meaningful step toward bringing down the price of gas for all Americans." 

House Republican Leader John Boehner (R-Ohio) said, the legislation "calls for removing outdated and onerous government mandates that needlessly drive up fuel costs, such as the guidelines demanding more expensive blends of gas for different parts of the country. Rep. Drake's petition to force a vote on Rep. Blunt's Fuel Mandate Reduction Act will ensure these heavy-handed and outdated regulations become a thing of the past." 

He added, "The American people have come to realize that the only ones standing in the way of more American energy production and fewer costly government energy mandates are the Democrats in charge of Congress. If rank-and-file Democrats are truly concerned about reducing the price of gasoline on behalf of American consumers, they will sign Rep. Drake's petition to force Speaker Pelosi [D-Calif.], Majority Leader Hoyer [D-Md.] and their colleagues in the Democratic leadership to bring this common sense legislation to the floor. With August recess rapidly approaching, members on both sides of the aisle must begin speaking with one voice: we should not leave town without giving the American people the energy reforms to lower gas prices they expect and deserve." 

Click here for a boutique fuels map.

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