Kentucky environmental lawyer Sanders says House Bill picks up major portions of Pickens Plan for using natural gas in transportation sector of U.S. economy.

According to an email received from T. Boone Pickens, three Members of the U.S. House of Representatives introduced a bill which will go a long way toward reducing our dependence on foreign oil. Congressmen Dan Boren (D-OK), John Larson (D-CT) and John Sullivan (R-OK) have introduced legislation called the New Alternative Transportation to Give Americans Solutions Act of 2009.

T. Boone Pickens has good news for the natural gas industry.

 

 

 

The House Bill extends the tax credit for natural gas used as a transportation fuel. It provides a tax credit for 80 percent of the additional cost when purchasing a dedicated natural gas vehicle. It creates incentives for the major manufacturers to sell natural gas vehicles, which they already produce for overseas markets, in the United States.

 

The House Bill requires that 50 percent of the vehicles the federal government buys over the next five years to run on natural gas.  In 2007, the federal government bought 65,000 gasoline, diesel and E-85 vehicles. In that same year the federal government bought 129 natural gas vehicles.

 

Over the next five years, the federal government will purchase about 325,000 cars and light trucks. Instead of only having bought 645 natural gas vehicles, it will now be purchasing 162,500 under the current terms of the House Bill. That number is enough to jump start domestic manufacturing capability, and increase the use of natural gas as a transportation fuel.