The bill would reduce harmful ship emissions and improve air quality in port communities but would raise costs for fuel suppliers and likely consumers, while creating some transitional regulatory uncertainty.
Coastal residents and port/transportation workers will likely experience improved local air quality and reduced health risks because ocean-going vessel fuel is brought under Clean Air Act regulation, cutting SOx, PM, and NOx emissions and improving visibility in port areas.
Fuel suppliers and related businesses gain clearer regulatory rules once EPA issues implementing regulations (within about a year), reducing long-term regulatory uncertainty about fuel standards.
Consumers and households may face higher prices as increased shipping fuel costs are passed through into freight and goods prices.
Fuel suppliers, shipping companies, and some small businesses will face higher compliance and fuel-switching costs to meet new fuel standards.
Regulated parties will face transitional uncertainty because the law becomes effective in the second calendar year after enactment and depends on EPA rulemaking, complicating near-term planning and investments.
Based on analysis of 2 sections of legislative text.
Adds fuel for ocean-going vessels to the Clean Air Act category of covered fossil fuels and requires EPA to issue implementing regulations.
Official title: Amend the Clean Air Act to include fuel for ocean-going vessels as additional renewable fuel for which credits may be generated under the renewable fuel program.
Introduced March 6, 2025 by John Peter Ricketts · Last progress March 6, 2025
Adds fuel used by ocean-going vessels to a Clean Air Act category of covered fossil fuels, making such fuels subject to the same regulatory authority in that provision. The change takes effect beginning the second calendar year after enactment; the EPA must issue implementing regulations within one year and report to relevant congressional committees after finalizing rules.