To amend the Clean Air Act and the Internal Revenue Code of 1986 to increase the use of ethanol and bio-diesel, and for other purposes.

Amends the Clean Air Act to revise the term "renewable fuel" to mean ethanol produced from renewable biomass. Increases the volume of renewable fuel that must be contained in fuel sold in the United States for 2009-2012. Prescribes the volume of: (1) renewable fuel that must be contained in fuel sold in the United States for 2013-2022; and (2) biomass-based diesel that must be contained in fuel sold in the United States for 2008-2012. Requires the Administrator of the Environmental Protection Agency (EPA) to determine the volume of renewable fuel and biomass-based diesel that fuel sold in the United States must contain for other calendar years.

Requires the Secretary of Energy to ensure that by 2009 each covered owner installs one or more pumps that dispense ethanol-blend fuel and bio-diesel blend fuel at retail station outlets.

Amends the Petroleum Marketing Practices Act to prohibit restricting franchisees from: (1) installing on the marketing franchisees' premises alternative blend fuel pumps; (2) converting existing tanks and pumps for alternative blend fuel use; (3) advertising the sale of alternative blend fuels; or (4) selling alternative blend fuel in specified areas. Prohibits franchise-related documents that require that three grades of gasoline be sold by franchisees from preventing the franchisee from selling an alternative blend fuel in lieu of one grade of gasoline.

Amends the Clayton Act to: (1) prohibit the restriction of a franchisee's right to install ethanol blend or bio-diesel blend fuel pumps; and (2) state that the term "gasohol" includes any blend of ethanol and gasoline.

Requires the Administrator to provide for the certification of motor vehicle fuels containing at least 5% bio-diesel.

Amends the Internal Revenue Code to extend the duration of: (1) credits against income tax for alcohol used as fuel, ethanol blenders, and bio-diesel and renewable diesel; (2) credits against excise tax for alcohol fuel mixtures and bio-diesel mixtures; and (3) payments equal to the alcohol fuel mixture credit, the biodiesel mixture credit, the alternative fuel mixture credit, or the alternative fuel credit to any person who produces, sells, or uses an alcohol fuel mixture or bio-diesel mixture or an alternative fuel.