San Diego, Calif. -- U.S. Energy Information Agency’s (EIA) just-revised 2008 Annual Energy Outlook (AEO) now sees refiners likely to reduce production of petroleum-based gasoline but continue to expand diesel output, in response to the U.S. energy bill signed by President George Bush last December.

The energy bill forces 36 billion gallons of “renewable” fuels into the U.S. motor fuels pool by 2022, much of it corn-based ethanol for gasoline blending.

U.S. EPA last week unveiled its final locomotive/marine diesel rule setting both “Tier 3” near-term and “Tier-4” long term limits that will slash nitrogen oxides (NOx) by 80% and particulate matter (PM) by 90% compared to today’s Tier 2 locomotive and marine engines.

San Diego, Calif. – Researchers, regulators and commercial truck/trailer/engine companies are coming up with a host of ideas (and regulatory schemes) that could dramatically boost the fuel economy of heavy-duty diesel vehicles over the next decade.

European Parliament voted 447-64 last week in favor of a committee bill proposing to raise diesel fuel minimum taxes to match those of gasoline across all member states.

As noted by the official EuroParl news service, “the European Commission says the wide variation in rates of diesel (officially known as gasoil) taxes creates distortions in the road haulage market – and also increases environmental damage by encouraging “fuel tourism” by hauliers (i.e. making special journeys or using longer routes in order to fill up in a country with low taxes).”

Hot on the heels of a U.S. Court of Appeals ruling throwing out its low-sulfur gasoil rule for ship auxiliary power engines, California Air Resources Board (CARB) is now pushing a proposed rule that would force virtually all ship main engines within 24 miles of California ports to switch to low-sulfur gasoil instead of heavy bunker fuel.