Governor Unveils Comprehensive Plan to Cut New York's Dependence on Imported Energy

The political capital to be gained from promoting comprehensive energy programs is apparently not lost on some politicians. Governor Pataki of New York gets it, and while it might be a blatant political ploy, it is also a step in the right direction. The state that recognizes the opportunity first will have a leg up on other states to lead the nation through this important paradigm shift to renewable fuels. The section dealing directly with E85 promotion is listed below.


Governor Unveils Comprehensive Plan to Cut New York's Dependence on Imported Energy
January 16, 2006

Initiatives Will Boost Production and Use of Renewable Fuels, Promote Use of Energy-Efficient Vehicles, Position NY as World Leader in Renewable Energy Research and Job Creation, and Provide Relief from High Heating Bills

Governor George E. Pataki today unveiled a comprehensive, multi-faceted plan that will help reduce New York’s dependence on imported energy, position the State to become a center for renewable energy research and job creation, and provide help for soaring home heating bills to New Yorkers.

The plan, most of which will be included in the Governor’s Executive Budget that will be unveiled tomorrow, is designed to encourage the production and use of renewable fuels in New York, promote the expanded use of energy-efficient cars and vehicles, spur new renewable energy research and job creation, and provide relief to New Yorkers from rising energy bills...

Encouraging the Production and Use of Renewable Fuels in New York

Elimination of All State Taxes on Renewable Automotive Fuels: The budget will eliminate all New York State taxes on renewable automotive fuels such as E85 (85% ethanol, 15% gasoline) and B20 fuels (20% biodiesel, 80% petroleum, which currently total approximately 40 cents per gallon. This will lower the price of these renewable fuels so that they will be competitively priced, and possibly cheaper, than petroleum fuels.

Creation of New Renewable Fuel Stations Across the State: More than 180,000 cars and trucks registered in New York State are flexible fuel vehicles meaning they can run on gasoline or ethanol fuel. In addition, diesel vehicles are able to run on a mix of biodiesel and petroleum. A new $5 million program, administered by the New York State Energy Research and Development Authority (NYSERDA), will provide competitive grants to gas stations to install or convert pumps so they can dispense E85 (85% ethanol, 15% gasoline) and B20 fuels (20% biodiesel, 80% petroleum). These grants of up to $50,000, along with existing tax incentives at the Federal level of up to $30,000, will help spur the creation of an infrastructure to accommodate vehicles that run on renewable fuels. In addition, the New York State Thruway Authority will install or convert pumps at all 27 of its Travel Plazas to make renewable fuels easily accessible to drivers across the State.

In addition, the State Department of Motor Vehicles (DMV) will send direct mail advisories to all owners of alternative-fuel vehicles registered in the State, informing them of their ability to utilize renewable fuels in their vehicles. DMV also will develop a statewide map of renewable fueling locations and provide it to these vehicle owners so they can easily locate stations that provide alternative fuels.

$20M Program to Promote Development of “Cellulosic” Ethanol: The State Department of Agriculture and Markets will administer a new $20 million program that would lead to the development of a pilot cellulosic ethanol facility in New York. Cellulosic ethanol is made from plant materials abundant in New York State, including agricultural and forestry residues, pulp and paper mill wastes, and certain grasses and shrubs. This type of ethanol will further increase the “net energy balance” for ethanol.

Promotion of Advanced “Clean Coal” Power Plants: State agencies and authorities will collaborate over a five-year period to identify “shovel ready” sites for the development of Integrated Gasification Combined Cycle power plants – commonly referred to as “clean coal” plants. These plants utilize coal in a manner that is significantly more protective of air quality. Under this program, the New York Power Authority (NYPA) will provide $50 million to a private sector power generator(s) who agrees to host research and development of new technologies that would reduce carbon dioxide emissions, which contribute to climate change. NYPA will also buy power from this facility....