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BlueFire's CEO Applauds Governor Schwarzenegger's Leadership to Achieve Fuel Diversity for California While Reducing Greenhouse Gas (GHG) Emissions
2007-01-16

BlueFire Ethanol Fuels, Inc.'s (PINKSHEETS: BFRE) CEO and President Arnold R. Klann today expressed support for California Governor Schwarzenegger's Directive to establish the world's first Low Carbon Standard for Transportation Fuels (LCFS).

Under the proposal, fuel providers would be required to ensure that the fuel they sell into the California market meets a declining standard for GHG emissions. The Governor's office expects that through the LCFS program, we will replace 20% of our on-road gasoline consumption with lower-carbon fuels, triple the size of California's renewable fuels market, and place more than 7 million alternative fuel or hybrid vehicles on California's roads.

Commenting on the Governor's actions, Mr. Klann stated, "Clearly the Governor has picked the best opportunity and most immediate pathway for controlling GHG emissions." The transportation sector accounts for forty percent of California's annual greenhouse gas emissions and we rely on petroleum-based fuels for an overwhelming 96 percent of our transportation needs."

"Ethanol is a solution and is already available, but widespread implementation is key," said Mr. Klann. "We must all work together to bring the reality of using our abundant biomass (cellulosic) resources to produce fuels for California. The technologies to convert cellulose to ethanol are already here, refiners have made significant investments to blend ethanol, and flexible-fuel vehicles are now affordable. We have more than enough fuel demand for all to participate and the myriad of feedstocks from rural to urban invites participation by all stakeholders. The LCFS, together with a comprehensive bioenergy policy, and financing and production incentives that encourage in-state production using California's biomass would put California ahead of the Nation in achieving fuel diversity goals while curbing GHG emissions. If we are all successful, we the consumers win by getting fuel choice," added Mr. Klann.

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