WHEREAS, Section 526 attempts to prohibit agencies of the government of the United States from purchasing transportation fuels that are derived from alternative or synthetic fuels, including fuels produced from nonconventional petroleum sources; and
WHEREAS, the U.S. military and federal government agencies would face an immense challenge in addressing Section 526, due to the total impracticality and lack of means for determining the original sources of the fuels they purchase; and
WHEREAS, such a prohibition would decrease supply of fuels from domestic and North American sources; and
WHEREAS, energy demand is increasing and America’s energy security depends on access to reliable, safe and trusted supply sources; and
WHEREAS, fuels derived from coal-to-liquids, oil shale and oil sands are all potentially abundant in the United States and Canada; and
WHEREAS, the U.S. military, now engaged in two wars, is the largest single purchaser of transportation fuels in the country; and
WHEREAS, American jobs and economic growth are tied directly to past, current and future investment in the development of new sources of domestic and North American energy, including oil sands and coal-to-liquid technologies; and
WHEREAS, Section 526 contradicts and conflicts with Section 369 of the Energy Policy Act of 2005, a more comprehensive law which directs the U.S. Department of Defense to support an energy development program with Canada; and
WHEREAS, Canada is by far the largest foreign supplier of energy to the United States; and
WHEREAS, the North American Free Trade Act prohibits discrimination against the products of Canada by the United States.
THEREFORE, BE IT RESOLVED, by the American Legislative Exchange Council, that Section 526 of the “Energy Independence and Security Act of 2007” should be repealed.
Approved by ALEC Board of Legislators in 2009.