Senators gird for fight over U.S. Navy's 'Green Fleet'

(7/18/12, R. Rampton, S. Cornwell, Reuters) - U.S. senators who support the Pentagon's push to expand its use of biofuels said they have a plan to answer critics who argue the fuel is far too expensive to help develop at a time when the military faces massive cuts. The battle on Capitol Hill comes as the U.S. Navy's "Great Green Fleet" prepares to run military exercises in the central Pacific that will, on Thursday, feature its first operational test of biofuels. The U.S. military is the world's largest single buyer of oil. The Obama administration has argued "Green Fleet" spending on biofuels could help boost production to commercial levels, eventually lowering prices for alternatives to oil, and reducing dependence on supplies from the Middle East. For Thursday's demonstration project, the Navy paid more than $26 per gallon for the fuel, made from renewable sources like algae and chicken fat, a $12-million outlay that sparked congressional anger. Republican critics of the biofuel plan, led by senators John McCain and James Inhofe, found enough support within the Senate Armed Services Committee in May for two proposals that could limit additional spending. The measures would stop spending on fuels that cost more than conventional fuels, and prevent spending on refineries that would help scale up production of still-experimental fuels. They were added to a bill authorizing defense programs in 2013...