Addressing Addressing Concerns about Renewable Fuels

The Energy Independence and Security Act of 2007 requires the production of 36 billion gallons of renewable fuels annually by 2022, 21 billion gallons of which is required to come from cellulosic ethanol and other advanced biofuels derived from feedstock other than corn. However, there are many concerns regarding the increased use of biofuels, including

• environmental implications of different biofuels on water, greenhouse gas emissions, and air quality;
• agriculture effects of different types of biofuels production;
• energy yields and infrastructure challenges of different biofuels; and
• effect of government subsidies for different biofuels.

Multiple agencies within the federal government—USDA, the Department of Energy, and the Environmental Protection Agency—play a role in addressing these concerns.

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• The Secretary of Energy should collaborate with public- and private-sector stakeholders to develop a comprehensive strategic approach to increasing the availability and use of biofuels that coordinates expected biofuel production levels with the necessary distribution infrastructure development and vehicle production.
• To improve biofuel-related planning and to provide Congress with better information on the costs and benefits of biofuel tax expenditures, GAO recommends that the Secretary of Energy collaborate with the Secretary of the Treasury to evaluate and report on the extent to which biofuel-related tax expenditures are effectively and efficiently achieving their goals, as well as the extent to which they support the department's comprehensive strategic approach for biofuels.

  Highlights of GAO-07-713 (PDF)

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