# Energy Policy: 114th Congress Issues

> Briefs, arguments, decisions, and more.

URL: https://www.frixlaw.com/law-library/documents/crs%3AR42756

## Record

- **Collection:** Congressional research report
- **Document type:** CRS Report
- **Published:** September 30, 2016
- **Citation:** R42756

## Text

Energy Policy: 114th Congress Issues
(name redacted)
Acting Deputy Assistant Director/RSI
September 30, 2016

Congressional Research Service
7-....
www.crs.gov
R42756

Energy Policy: 114th Congress Issues

Summary
Energy policy in the United States has focused on three major goals: assuring a secure supply of
energy, keeping energy costs low, and protecting the environment. In pursuit of those goals,
government programs have been developed to improve the efficiency with which energy is
utilized, to promote the domestic production of conventional energy sources, and to develop new
energy sources, particularly renewable sources.
Implementing these programs has been controversial because of varying importance given to
different aspects of energy policy. For some, dependence on imports of foreign energy,
particularly from the Persian Gulf, is the primary concern; for others, the continued use of fossil
fuels, whatever their origin, is most important. The contribution of burning fossil fuels to global
climate change is particularly controversial. Another dichotomy is between those who see
government intervention as a positive force and those who view it as a necessary evil at best, to
be restricted as much as possible.
In the 114th Congress, both the House and Senate are considering broad energy legislation, as well
as specific topics of key interest. On April 20, 2016, the Senate passed S. 2012, the Energy Policy
and Modernization Act. On December 3, 2015, the House passed H.R. 8, the North American
Energy Security and Infrastructure Act of 2015. On May 25, 2016, the House passed an amended
version of S. 2012 which contains the text of H.R. 8, as well as the text of several other energy
and natural resources-related bills. The conference committee met for the first time on September
8. Both bills would address a variety of energy topics, including energy efficiency in federal
buildings, data centers, manufacturing, and schools; water conservation/efficiency; electric grid
cybersecurity; and review of the Strategic Petroleum Reserve (SPR). The House bill also includes
topics such as electric grid physical security and study of electricity markets; the Senate bill also
includes provisions on helium and critical minerals, and electric grid energy storage, and loan
programs.
Many energy topics were also addressed at the end of 1st Session of the 114th Congress as part of
the FY2016 Consolidated Appropriations Act (P.L. 114-113). Among other provisions, the act
included two major energy provisions:



Repeal of the limitation on exports of U.S.-produced crude oil under the Energy
Policy and Conservation Act; and
Extension of several energy tax incentives, including the production tax credits
(PTC) for wind and solar electricity, electric vehicle tax credits, and incentives
for advanced biofuel production.

Early in the first session of the 114th Congress, the House and Senate passed the Keystone XL
Pipeline Approval Act (S. 1), which was vetoed by President Obama on February 24, 2015. The
bill would have immediately approved this controversial pipeline project. On November 6, 2015,
the Department of State determined that the pipeline would “not serve the national interest of the
United States,” and rejected TransCanada’s permit application.

Congressional Research Service

Energy Policy: 114th Congress Issues

Contents
Introduction ..................................................................................................................................... 1
Policy Goals .................................................................................................................................... 2
Conservation and Energy Efficiency ......................................................................................... 2
Increasing Domestic Supply ..................................................................................................... 2
Production of Oil ................................................................................................................ 2
The Price of Oil and Gasoline ............................................................................................. 3
Natural Gas ......................................................................................................................... 4
Electric Power Production .................................................................................................. 4
Replacing Conventional Energy Sources .................................................................................. 5
Energy Legislation........................................................................................................................... 5
Earlier Legislation ..................................................................................................................... 5
Legislation in the 114th Congress .............................................................................................. 6
Comprehensive Energy Legislation .................................................................................... 6
Regulation of Power Plant Emissions and Global Climate Change ................................... 6
U.S. Crude Oil Exports ....................................................................................................... 7
Energy Tax Incentives ......................................................................................................... 7
Keystone XL Pipeline ......................................................................................................... 7
Hydraulic Fracturing ........................................................................................................... 7
Vehicle Fuel Economy (CAFE)/Greenhouse Gas (GHG) Standards .................................. 8

Contacts
Author Contact Information ............................................................................................................ 8
Acknowledgments ........................................................................................................................... 8

Congressional Research Service

Energy Policy: 114th Congress Issues

Introduction
U.S. energy policy since the Arab oil embargo in the 1970s has been aimed at a long-term goal
with three major dimensions: to assure a secure supply of energy, to keep energy costs low
enough to meet the needs of a growing economy, and to protect the environment while producing
and consuming that energy. A continuing theme during this period has been that dependence on
imported energy, particularly oil for the transportation sector, impedes that aim in all three
dimensions. But the importance given to import dependence varies. For some, import dependence
is the primary concern; for others, particularly those focused on environmental issues, it is a
symptom of a general crisis that arises from indiscriminate consumption of fossil fuels. A
particularly controversial aspect of the debate is the issue of global climate change, because
burning fossil fuels produces large amounts of carbon dioxide, a greenhouse gas.
Like the goals of energy policy, the means of achieving them have three dimensions: reducing
consumption by increased energy efficiency; increasing domestic production of conventional
energy sources, particularly oil and natural gas; and developing new sources of energy,
particularly renewable energy and renewable fuels, that can replace oil and other fossil fuels.
Pursuing the goals of energy policy has been complicated by the diversity of energy consumption
and supply in the United States. On the consumption side, there are three major sectors:
residential/commercial, industrial, and transportation. On the supply side, the primary sources
have traditionally been fossil energy: petroleum, natural gas (and “natural gas liquids” such as
propane and butane), and coal. Electricity, which is both an energy source and a consumer of
energy, has replaced some fossil fuels: about 75% of the energy consumed by the
residential/commercial sector is electricity, and industrial energy consumption is about 35%
electricity. But in the transportation sector, petroleum has remained dominant. Only in the past
few years has corn-derived ethanol become a significant transportation fuel, replacing around
10% of gasoline consumption.
A diverse spectrum of generating sources is used to produce electricity. Coal for many years
supplied half the electricity generated nationally. In recent years its share has declined; it was
about 33% in 2015. Generation by natural gas has risen in importance, supplying nearly an equal
percentage in the same year. To those who regard global climate change as an urgent issue, this
trend is important because generating electricity from coal emits roughly twice the carbon dioxide
per kilowatt-hour than generating from natural gas. Nuclear fission supplies about 20%,
hydropower less than 10%. Petroleum, an important generating fuel in the 1970s and early 1980s,
now contributes less than 1% of electricity generation. A surge of construction of wind-powered
generating capacity has brought its share of total generation to almost 5%.
An issue that cuts across all these factors is the role of government. How much does and should
government policy affect energy markets? A fundamental dichotomy that lies beneath many
individual policy debates, not only in energy issues, is between those who see government
intervention as a positive force, and those who view it at best as a necessary evil to be restricted
as much as possible.

Congressional Research Service

1

Energy Policy: 114th Congress Issues

Policy Goals
Conservation and Energy Efficiency
Reducing energy consumption by conservation and by increased efficiency of energy use has
been a major component of policy since the first energy crisis in the 1970s. Most prominent has
been setting fuel economy standards for automobiles and trucks.1 Federal research and
development programs in energy-efficient technologies have had continued support over many
years, pursuing improvements in building technology, in industrial processes, and in vehicle
efficiency—the last including battery designs that have been used in producing hybrid vehicles.2
Development of “Smart Grid” technologies in electric power distribution systems to encourage
more efficient use of electricity has received much recent attention. Grant programs to improve
and “weatherize” existing residences have received continued funding, but like all such programs
they have become controversial in the current tight budget environment.3 Standards for home
appliances such as air conditioners, refrigerators, and washing machines are another policy
program that has had continued support, and some controversy. A requirement to raise efficiency
levels in light bulbs has been an issue for several years.4

Increasing Domestic Supply
Production of Oil
With dependence on oil imports probably the most high-profile energy policy issue, the question
of domestic oil production has a long history of controversy. Recent years have seen a jump in
domestic production of crude oil, mostly light crude oil from unconventional supplies in the
Bakken formation in North Dakota and the Eagle Ford formation in Texas. The increase in
unconventional oil supply has raised concerns about the environmental effects of hydraulic
fracturing and other advanced extraction techniques. Increased production has also reduced U.S.
crude oil imports, and led some stakeholders to argue limits on exports of U.S.-produced crude, in
place since the 1970s, should be repealed; as part of the FY2016 Consolidated Appropriations Act
(H.R. 2029), this provision of the Energy Policy and Conservation Act was repealed on December
18, 2015.
Much exploration and development of new oil resources involves federal land, particularly on the
outer continental shelf (OCS) and in Alaska, and environmental concerns have led to extended
moratoria on leasing for many areas.5 The Deepwater Horizon oil spill in the Gulf of Mexico in
2010 added a further dimension to the question of OCS leasing.6 In recent years, development of
Canadian oil sands resources, and of tight oil deposits in the United States, has added further
1

For details, see CRS Report R42721, Automobile and Truck Fuel Economy (CAFE) and Greenhouse Gas Standards,
by (name redacted), (name redacted), and (name redacted)
.
2
See CRS Report R44465, Energy and Water Development: FY2017 Appropriations, by (name redacted)
.
3
See CRS Report R42147, DOE Weatherization Program: A Review of Funding, Performance, and Cost-Effectiveness
Studies, by (name redacted)
.
4
See CRS Report R42028, Lighting Industry Trends, by (name redacted)
.
5
See CRS Report R42432, U.S. Crude Oil and Natural Gas Production in Federal and Nonfederal Areas, by (name
redacted) .
6
See CRS Report R41684, Enacted and Proposed Oil Spill Legislation in the 112th Congress, by (name redact
ed)
.

Congressional Research Service

2

Energy Policy: 114th Congress Issues

controversy over the possible environmental effects of their production and transportation.7
Before TransCanada’s permit application was rejected in November 2015, the proposed Keystone
XL pipeline to bring Canadian crude to Texas refineries was particularly controversial.8 More
recently, controversy has arisen over the siting of the Dakota Access Pipeline, a 1,172-mile
project that would carry North Dakota crude oil to southern Illinois.9
For some, increasing production of oil is in principle to be avoided, since it merely postpones the
replacement of fossil fuels by renewable energy and makes the transition more difficult. Others
are particularly opposed to development of oil sands, on the grounds that it produces more
greenhouse gases than conventional oil production.10

The Price of Oil and Gasoline
Since 2004, oil and gasoline markets have been highly volatile. Throughout this period some have
argued that prices were being driven not by the cost of producing the resources but by speculation
and unregulated manipulation of the markets. The Dodd-Frank Wall Street Reform Act of 2010
(P.L. 111-203) aimed to address these concerns, but its application and enforcement remain
controversial.11 The issue is complicated because oil prices are largely determined in a world
market beyond the reach of domestic regulation.
An additional issue involving oil and gasoline prices is the role of the Strategic Petroleum
Reserve (SPR), which was set up after the Arab oil embargoes to address temporary interruptions
in the supply of oil. In principle releases from the SPR are limited to cases in which a physical
lack of supply exists, but some have argued that it can be used to dampen surges in world oil
prices even when current supply is adequate to meet demand. The June 2011 release of 30 million
barrels from the SPR in response to the Libyan civil war has been deemed by some critics as such
an attempt to influence the market when U.S. supplies were adequate.12
Since June 2014, oil and gasoline prices have remained relatively low. In the last week of June
2014, crude oil prices were above $100 per barrel; at the end of December 2014 prices were
below $60 per barrel, and have remained below $50 per barrel since August 2015. Similarly,
national average gasoline prices dropped from roughly $3.80 to around $2.20, and have remained
below $2.50 since September 2015. The drop in crude oil and refined product prices has led to
savings for U.S. consumers and businesses, but has also raised questions about the profitability of
U.S. and foreign oil suppliers. Whether prices remain low over the long term will affect the oil
industry as well as nations that rely heavily on oil revenues.

7

See CRS Report R43148, An Overview of Unconventional Oil and Natural Gas: Resources and Federal Actions, by
(name redacted) and (name redacted) .
8
See CRS Insight IN10393, The State Department’s Final Decision on the Keystone XL Pipeline, by n( ame redacted)and
CRS Report R42611, Oil Sands and the Keystone XL Pipeline: Background and Selected Environmental Issues,
coordinated by (name redacted)
.
9
See CRS Insight IN10567, Dakota Access Pipeline: Siting Controversy, by (name redacted)
.
10
See CRS Report R42537, Canadian Oil Sands: Life-Cycle Assessments of Greenhouse Gas Emissions, by (name redac
ted)
.
11
See CRS Report R41398, The Dodd-Frank Wall Street Reform and Consumer Protection Act: Title VII, Derivatives,
by (name redacted) and (name red acted)
.
12
See CRS Report R42460, The Strategic Petroleum Reserve: Authorization, Operation, and Drawdown Policy, by
(name redacted)
.

Congressional Research Service

3

Energy Policy: 114th Congress Issues

Natural Gas
Unlike the world oil market, in which events abroad quickly affect prices locally, the natural gas
market is largely domestic. Except for about 5% net imports from Canada by pipeline, 2014 gas
consumption, 26.7 trillion cubic feet, was almost entirely produced in the United States.
Production since 2010 has increased sharply, largely as a result of development of tight shale
formations. As with tight oil production, shale gas development has brought environmental
concerns about the effects on ground water of hydraulic fracturing and horizontal drilling. The
need for gathering infrastructure and pipeline construction from new fields is also an issue.
With gas production up and demand not growing as quickly, the likelihood of increasing exports
of liquefied natural gas (LNG) has increased. LNG requires complex and expensive processing
and loading facilities that have been controversial in many of the locations where they have been
proposed. There is also the prospect of controversy over the question of exporting energy
resources such as oil and natural gas, and their effects on prices, supply, and energy security.13

Electric Power Production
The electric power sector since the mid-1980s has been essentially independent of the question of
oil import dependence, since oil-generated electricity is a very small part of the generation mix.
Nevertheless, electricity’s central role in America’s energy mix makes it subject to numerous
controversies.
A major consideration is the role of the coal industry. Roughly 1 billion tons of coal are consumed
in the United States each year, about 93% of it burned to produce electricity. Initiatives by the
Environmental Protection Agency (EPA) that would impose tighter emissions restrictions on coalfired power plants are particularly controversial. Limits on cross-state emissions of sulfur dioxide
and nitrogen oxides, emissions of mercury and other hazardous pollutants, and regulation of
greenhouse gas emissions, among other proposed and finalized regulations, have been
characterized by critics as a regulatory “train wreck” that would impose excessive costs and lead
to plant retirements that could threaten the adequacy of electricity capacity (i.e., reliability of
supply) across the country, although some in the electric power industry consider those concerns
overstated.14 Further, because of low natural gas prices, retirement of some coal plants in favor of
natural gas would be expected regardless of regulatory factors.
Arguably the most controversial regulatory action has been EPA’s Clean Power Plan (CPP). On
August 3, 2015, EPA finalized regulations to limit carbon dioxide (CO2) emissions in the electric
power sector. The CPP final rule requires states to submit plans that would reduce CO2 emissions
or emission rates from existing fossil fuel electricity generating units. EPA estimates that in 2030,
the CPP will result in CO2 emission levels from the electric power sector that are 32% below
2005 levels.
The CPP is the subject of ongoing litigation in which a number of states and other entities have
challenged the rule. On February 9, 2016, the Supreme Court stayed the CPP for the duration of
the litigation. The CPP therefore currently lacks enforceability or legal effect, and if the rule is
ultimately upheld, at least some of the deadlines would have to be delayed. On September 27,

13

See CRS Report R42074, U.S. Natural Gas Exports: New Opportunities, Uncertain Outcomes, by (name redacted) et
al. and CRS Report R43442, U.S. Crude Oil Export Policy: Background and Considerations, by (name redacted) et al.
14
See CRS Report R41914, EPA’s Regulation of Coal-Fired Power: Is a “Train Wreck” Coming?, by (name red
acted) and (name redacted)
.

Congressional Research Service

4

Energy Policy: 114th Congress Issues

2016, the U.S. Court of Appeals for the District of Columbia Circuit (D.C. Circuit) heard oral
arguments on the case.
Nuclear power is also a continuing issue. Although subject to continuing opposition over
questions of safety, disposal of radioactive waste, and possible proliferation of nuclear weapons,
nuclear fission has gained support because it does not emit greenhouse gases. However, cost
considerations in the face of increasing natural gas production, and safety concerns enhanced by
the tsunami-caused accident at Japan’s Fukushima nuclear plant in March 2011, have put further
expansion of nuclear power in question.15

Replacing Conventional Energy Sources
The third path toward reaching the goals of energy policy is to develop alternative sources of
energy to replace fossil fuels. As noted, reducing the need for imported oil has been a major
feature of energy policy, and congressional mandates have led to increased consumption of
ethanol and other biofuels. However, essentially all fuel ethanol currently is produced from corn,
potentially putting pressure on food production and food prices. The technology for producing
ethanol from non-food sources (including cellulosic biomass) faces serious technological barriers.
Another transportation alternative, long considered but only slowly adopted, has been natural gaspowered vehicles. Recent increases in natural gas production, noted above, have made this option
appear more attractive, although developing a supply infrastructure and overcoming technological
and cost difficulties continue to present barriers to widespread adoption.
For many participants in the energy debate, replacing fossil fuels has been a goal not limited to
the transportation sector, however. Electricity production by renewable energy sources—wind
power, concentrating solar power, photovoltaic cells, geothermal energy, and biomass—is the
goal of many initiatives: research and development programs, tax benefits, loan guarantees, and
mandates.
The main stimulus for these programs is environmental, including concern about global climate
change, but the prospect of developing new industrial production from expansion of renewable
energy sources has been a significant, if controversial, theme. Even nuclear power, long a target
of environmental concerns, has been considered a viable alternative to fossil energy for electricity
generation, although once again the influx of newly developed natural gas resources has raised
serious questions about the cost competitiveness of new nuclear power generators.

Energy Legislation
Earlier Legislation
Energy policy historically has often been legislated in large, complex bills that deal with a wide
variety of issues, with debate spanning several sessions. The Energy Policy Act of 2005 (EPAct
2005; P.L. 109-58) was the most recent comprehensive general legislation, with provisions and
authorizations in almost all areas of energy policy. EPAct 2005 also set up in DOE the program of
energy project loan guarantees which became a source of controversy and debate following the
bankruptcy of the Solyndra solar system manufacturing facility in 2011.16
15

See CRS Report RL33558, Nuclear Energy Policy, by (name redacted)
.
See CRS Report R42152, Loan Guarantees for Clean Energy Technologies: Goals, Concerns, and Policy Options,
by (n ame redacted)
.
16

Congressional Research Service

5

Energy Policy: 114th Congress Issues

The Energy Independence and Security Act of 2007 (EISA, P.L. 110-140) set new target fuel
economy standards for cars and light trucks of 35 miles per gallon by 2020, and expanded the
renewable fuels standard (RFS) to require 9.0 billion gallons of biofuels in transportation in 2008,
rising to 36 billion gallons by 2022. EISA also included new efficiency standards for appliances
and for light bulbs, the latter being particularly controversial in the 112th Congress.
In the 111th Congress the American Recovery and Reinvestment Act (the “Stimulus” Act, ARRA,
P.L. 111-5) had major energy policy provisions, including expansion of the loan guarantee
program and large increases in funding for renewable energy programs. The Department of
Energy’s Office of Energy Efficiency and Renewable Energy, in addition to the $2 billion
appropriated in the FY2009 regular appropriations bill, received $17 billion in ARRA, of which
$11.5 billion was for grants to states for energy, efficiency, and weatherization programs. The
Office of Electricity Delivery and Energy Reliability, which had historically been funded at about
$150 million per year, received $4.5 billion in ARRA, directed at establishing “Smart Grid”
technology for the electric power industry.

Legislation in the 114th Congress
Comprehensive Energy Legislation
In the second session of the 114th Congress, both the House and Senate are considering broad
energy legislation, as well as specific topics of key interest. On April 20, 2016, the Senate passed
S. 2012, the Energy Policy and Modernization Act. On December 3, 2015, the House passed H.R.
8, the North American Energy Security and Infrastructure Act of 2015. On May 25, 2016, the
House passed an amended version of S. 2012 which contains the text of H.R. 8, as well as the text
of several other energy and natural resources-related bills. The conference committee met for the
first time on September 8.
Both bills would address a variety of energy topics, including energy efficiency in federal
buildings, data centers, manufacturing, and schools; water conservation/efficiency; electric grid
cybersecurity; and review of the Strategic Petroleum Reserve (SPR). The House bill also includes
topics such as electric grid physical security and study of electricity markets; the Senate bill also
includes provisions on helium and critical minerals, electric grid energy storage, and loan
programs. Further, both bills contain major natural resources provisions, including a Title on
forestry management in the House and permanent reauthorization of the Land and Water
Conservation Fund in the Senate.17

Regulation of Power Plant Emissions and Global Climate Change
In June 2013, President Obama released a Climate Action Plan and directed EPA to propose
standards for carbon dioxide emissions from existing power plants by June 2014 and to finalize
the standards a year later. EPA proposed the standards on June 2, 2014, and finalized them on
August 3, 2015. The rule, known as the Clean Power Plan (CPP), sets individual state targets for
average emissions from existing power plants. The CPP set a deadline of September 6, 2016, for
states to submit implementation plans to EPA detailing how they will meet these targets.
However, the CPP is the subject of ongoing litigation in which a number of states and other
entities have challenged the rule, while other states and entities have intervened in support of the
17

For a discussion of major provisions in both bills, see CRS Report R44291, Energy Legislation: Comparison of
Selected Provisions in S. 2012 as Passed by the House and Senate, by (name reda cted)
.

Congressional Research Service

6

Energy Policy: 114th Congress Issues

rule. On February 9, 2016, the Supreme Court stayed the Clean Power Plan for the duration of the
litigation. On September 27, 2016, the U.S. Court of Appeals for the District of Columbia Circuit
(D.C. Circuit) heard oral arguments on the case.
In the 114th Congress several pieces of legislation have been introduced regarding the CPP. In the
first session, both the Senate and House passed S.J.Res. 24, to disapprove the rule under the
Congressional Review Act (November 17 and December 1, 2015, respectively). The President
vetoed the resolution on December 18, 2015. In addition, on June 24, 2015, the House passed
H.R. 2042, the Ratepayer Protection Act of 2015, which would delay implementation of the CPP
and allow states to opt out of the rule. In the Senate, S. 1324, the Affordable Reliable Electricity
Now Act, contains similar provisions.18

U.S. Crude Oil Exports
Some major energy topics were addressed at the end of first session of the 114th Congress as part
of the FY2016 Consolidated Appropriations Act (P.L. 114-113). Among other provisions, the act
repealed the 40-year limitation on exports of U.S.-produced crude oil under the Energy Policy
and Conservation Act. Before the repeal, the United States exported roughly 500,000 barrels of
crude oil per day to Canada. Through the end of June 2016, approximately 29 million barrels total
have been exported to new destinations in the Caribbean, Europe, and Asia.19

Energy Tax Incentives
The FY2016 Consolidated Appropriations Act also extended several energy tax incentives,
including the production tax credits (PTC) for wind and solar electricity, electric vehicle tax
credits, and incentives for advanced biofuel production.

Keystone XL Pipeline
Early in the first session of the 114th Congress, the House and Senate passed the Keystone XL
Pipeline Approval Act (S. 1), which was vetoed by President Obama on February 24, 2015. The
bill would have immediately approved this controversial pipeline project. On November 6, 2016,
the Department of State determined that the pipeline would “not serve the national interest of the
United States,” and rejected TransCanada’s permit application.20

Hydraulic Fracturing
Under provisions of EPAct 2005, EPA does not have regulatory jurisdiction over certain aspects
of hydraulic fracturing. The Fracturing Responsibility and Awareness of Chemicals Act (FRAC
Act, H.R. 1482 and S. 785) would give EPA such jurisdiction under the Safe Drinking Water Act.
The Safe Hydration Is an American Right in Energy Development Act of 2015 (H.R. 1515) would
amend the SDWA to create a new prohibition on hydraulic fracturing unless the party conducting
the operations agrees to comply with new testing and data reporting requirements. The Fracturing

18

For more information, see CRS Report R44341, EPA’s Clean Power Plan for Existing Power Plants: Frequently
Asked Questions, by (name redacted) et al.
19
For more information, see CRS Insight IN10536, U.S. Crude Oil Exports to International Destinations, by (name re
dacted) .
20
For more information, see CRS Legal Sidebar WSLG1436, Obama Administration Rejects Keystone XL Pipeline
Permit Request: Could Congress Nevertheless Approve It?, by (name redacted) and n( ame redacted) .

Congressional Research Service

7

Energy Policy: 114th Congress Issues

Regulations Are Effective in State Hands Act (S. 828) would give states sole jurisdiction to
regulate hydraulic fracturing within their borders, including on federal land.21

Vehicle Fuel Economy (CAFE)/Greenhouse Gas (GHG) Standards
On August 28, 2012, the Obama Administration issued new joint passenger vehicle Corporate
Average Fuel Economy (CAFE) and greenhouse gas (GHG) standards for vehicle model years
(MY) 2017-2025.22 However, while EPA has authority to set GHG standards over an unlimited
time frame under the Clean Air Act, the National Highway Traffic Safety Administration
(NHTSA) is constrained by the Energy Policy and Conservation Act to setting standards in fiveyear increments. Thus, NHTSA has established standards for MY2017-MY2021, and only
proposed standards beyond that. As part of the 2012 rulemaking, the agencies committed to a
“comprehensive mid-term evaluation” in 2017 to assess the progress of the program, revisit costbenefit analyses, and propose new CAFE standards.
At the same time that EPA and NHTSA are preparing for the mid-term evaluation, automakers are
seeking regulatory or legislative changes to limit their potential penalties under the CAFE
program. Because of differences between the two statutes, while some automakers are in
compliance with the GHG standards, they may still potentially face penalties under the CAFE
standards.23

Author Contact Information
(name redacted)
Acting Deputy Assistant Director/RSI
[redacted]@crs.loc.gov , 7-....

Acknowledgments
The report acknowledges the efforts Carl Behrens, who retired in May 2014.

21

For more information, see CRS Report R43152, Hydraulic Fracturing: Selected Legal Issues, by n( ame redacted),
(name redacted), and (name redacted)
.
22
For more information, see CRS Report R42721, Automobile and Truck Fuel Economy (CAFE) and Greenhouse Gas
Standards, by (name redacted), (name redacted), and (name redacted)
.
23
See CRS Insight IN10550, Automakers Seek to Align Fuel Economy and Greenhouse Gas Regulations, by (name redacted)
.

Congressional Research Service

8

EveryCRSReport.com
The Congressional Research Service (CRS) is a federal legislative branch agency, housed inside the
Library of Congress, charged with providing the United States Congress non-partisan advice on
issues that may come before Congress.
EveryCRSReport.com republishes CRS reports that are available to all Congressional staff. The
reports are not classified, and Members of Congress routinely make individual reports available to
the public.
Prior to our republication, we redacted names, phone numbers and email addresses of analysts
who produced the reports. We also added this page to the report. We have not intentionally made
any other changes to any report published on EveryCRSReport.com.
CRS reports, as a work of the United States government, are not subject to copyright protection in
the United States. Any CRS report may be reproduced and distributed in its entirety without
permission from CRS. However, as a CRS report may include copyrighted images or material from a
third party, you may need to obtain permission of the copyright holder if you wish to copy or
otherwise use copyrighted material.
Information in a CRS report should not be relied upon for purposes other than public
understanding of information that has been provided by CRS to members of Congress in
connection with CRS' institutional role.
EveryCRSReport.com is not a government website and is not affiliated with CRS. We do not claim
copyright on any CRS report we have republished.

---

Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/crs%3AR42756. Public record. Not legal advice.