For Immediate Release
July 4, 2008
Contact:  Lisa Landis
Legislative Director
717-787-6709
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Pennsylvania Set to Become Leader in Alternative Energy Development

Legislation promotes renewable energy, biofuel production

HARRISBURG – The General Assembly has approved legislation which will make Pennsylvania a leader in developing renewable energy, improving energy efficiency and reducing energy consumption, state Senator Mike Brubaker (R-36) announced today.

"Increases in the cost of energy, and the potential for future large increases, have been having a significant impact on families and businesses throughout the Commonwealth," Brubaker said. "Our work in the Special Session on Energy Policies over the past ten months demonstrated a clear commitment to developing a sustainable energy policy for Pennsylvania, and I am very pleased that this legislation has been approved."

The Alternative Energy Investment Act, Special Session House Bill 1, will invest $650 million in programs designed to increase the development and use of alternative and renewable energies, such as:

• $165 million for loans and grants for clean energy and alternative energy development projects to businesses, nonprofit economic development corporations and political subdivisions
• $100 million for consumer solar energy projects, such as energy efficient windows and doors, geothermal heat pumps, solar panels and energy efficient appliances
• $40 million for the Low-Income Home Energy Assistance Program (LIHEAP)
• $92.5 million for consumer energy conservation projects
• $50 million for alternative energy production tax credits
• $5 million for the Home Energy Efficiency Loan Program

The Biofuel Development and In-State Production Incentive Act, House Bill 1202, will establish mandated content requirements of biodiesel and cellulosic ethanol based on in-state production.

Special Session Senate Bill 22 will amend the Alternative Fuels Incentive Act to increase the reimbursement to producers for production of alternative fuels from 5 cents per gallon to 10 cents per gallon. The bill also authorizes an additional 75-cent-per-gallon biodiesel subsidy for qualified producers within the Commonwealth who produce at least 25,000 gallons per month. 

Further, Special Session Senate Bill 22 provides for a nitrogen tire inflation pilot program.

Brubaker praised the legislative package for encouraging alternative energy production as well as conservation measures.

"I have been very supportive of efforts to develop new alternative energy technologies and biofuels, but I believe it is also important that we start looking at how we can use the energy we are currently producing more efficiently," Brubaker said.

"Energy policy has been one of my priorities in the Senate since the beginning of my term, and I was proud to support this major step forward for Pennsylvania," he concluded.