An amendment attached to the energy bill seeks to pump $10 billion in a loan program to finance coal-to-liquid projects, Sen. Jay Rockefeller, D-W.Va., says.

In addition, the amendment by Rockefeller and Sen. Robert C. Byrd, also D-W.Va., would offer $200 million in grants for planning, permitting and construction of any project that qualifies.

No single facility would get more than $20 million, and the program is meant to assign priority to the cleanest facilities with regard to carbon emissions to those with the greatest carbon sequestration capability.

Another part of the amendment, co-sponsored by Sen. John Tester, D-Montana, calls on the defense secretary to study the feasibility of maintaining coal-to-liquid fuel in the Strategic Petroleum Reserve.

Gov. Joe Manchin has been promoting the same technology, with an initiative to encourage alternative uses of coal as a means of providing additional sources of energy.

In addition, Rep. Nick Rahall, D-W.Va., intends to lead a special summit late this summer in southern West Virginia, with the United States Air Force playing a major role, since it ranks as the nation’s top consumer of fuel.

“It is time to think about coal in new ways,” Byrd said.

“No longer is it a fuel source only for power plants. The technology exists today to transform that coal into transportation fuels. Imagine pulling up to the pump and seeing an option for clean coal-based fuel right next to the oil-based gasoline. The choice is not that far into the future.”

Rockefeller said coal’s importance to the nation’s future demands investments in such projects.

“Many of us have come to understand that we need to harness all of our abundant natural resources, including coal, ethanol, solar and hydro,” the senator said.

“This is the key to a responsible energy policy, and coal-to-liquids conversion can be a big part in achieving energy independence that is so critical to our national security.”

While coal-to-liquids technology has been documented as workable, and, in fact, is used in other countries to provide motor and aviation fuels, Rockefeller said such usage must be made cleaner.

“The challenge we face is how to protect the environment while meeting our growing energy needs. Even without converting coal to transportation fuels, it will remain a huge part of our economic and energy future. Coal already produces 50 percent of our nation’s electricity, and no one believes that coal will be any less important in years to come.”

Rockefeller said America cannot afford to do nothing.

Byrd emphasized that technology already exists for converting coal into transportation fuel.

“That is not even an issue,” he said.

“The issue is creating the incentives for private entities to invest in this new field. We hope to provide that incentive through this legislation.”

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