The petition notes: "The Clean Air Act's Renewable Fuel Standard (RFS) program requires EPA to undertake annual notice-and-comment rule making to determine a 'renewable fuel obligation' for the nation's transportation fuel supply. The first of three annual 'required elements' is to determine the point of obligation -- i.e., to ensure that the obligation shall be applicable to refineries, blenders, and importers, as appropriate. EPA admits that it initially placed the point of obligation on refineries and importers, but not blenders, for reasons of administrative convenience. EPA has repeatedly refused to re-examine that placement in annual rule making, and it denied petitions for rule making seeking reconsideration out-side the statutorily-mandated annual assessment."
The petition specifically questions: whether the requirement that EPA "shall" make a "calendar year" determination of the "appropriate" point of obligation requires EPA to consider in each annual rule whether the point of obligation remains appropriate.The petition also questions whether EPA can evade the annual duty by partitioning the point of obligation into a one-time collateral proceeding that ignores key evidence,relies primarily on the agency's own convenience, and claims more deference from a reviewing court than an annual rule would receive. (Source: AFPM Website, Valero Energy, Ethanol Producer, 6 May, 2019) Contact: American Fuel and Petrochemical Manufacturers, www.afpm.org; Valero Renewable Fuels, Joe Gorder, Pres., (800) 324-8464, www.valero.com
More Low-Carbon Energy News American Fuel and Petrochemical Manufacturers , RFS, Point of Obligation, Valero Energy ,
Month-over-month, official government data tells a very different story. According to the US Energy Information Administration (EIA), the ethanol blend rate has remained within normal statistical variation, despite the flood of "hardship" waivers. EIA data shows:
These blend rates have been stable for the past few years, underscoring the truth that ethanol demand is premised partially on the RFS, partially on demand for clean octane and partially on other factors -- not SREs.
Similarly, when it comes to mid-level ethanol blends like E15, there is no data indicating that SREs are reducing demand. E15 and other mid-level ethanol blend sales have been growing all year and, in the case of E15, sales are higher at this point than they were last year, according to the Minnesota Bio-Fuels Association.
As previously noted, "hardship waivers" were intended for refineries producing 75,000 bpd or less and suffered "disproportionate economic hardship" from the costs of RFS compliance. The waiver frees the refineries from an obligation to provide the EPA with biofuels credits proving compliance. Under the now vanquished administrator Greg Pruitt's direction, the EPA handed out 54 exemptions over two years and not a single request for an exemption was denied.
(Source: American Fuel & Petrochemical Manufacturers (AFPM), EIA, Business & Industry Connection, 3 Oct., 2019) Contact: AFPM, Derrick Morgan, Snr, VP, (202) 586-8800, www.afpm.org; EIA, www.eia.gov
More Low-Carbon Energy News RFS, "Hardship" Waiver, Ethanol.Ethanol Blend, EIA,
Shell claims its move is in line with the 2015 Paris climate agreement's goals to limit global warming by reducing carbon emissions to a net zero by the end of the century.
It is also reflects investor pressure on oil companies, particularly in Europe, to change in their behavior around climate. Along that line, in 2018 Shell announced plans to introduce industry-leading carbon emissions targets linked to executive pay.
Sustainable Business,Various Media, April, 2019) Contact: AFPM, Ben van Beurden, CEO, Pres., (202) 457-0480, www.afpm.org
More Low-Carbon Energy News American Fuel & Petrochemical Manufacturers , Shell, Climate Change,
"Acknowledgment of the high cost of compliance has been a long time coming, and we are grateful that this EPA proposal comes closer to reflecting what the market has shown year after year -- the mandated levels of advanced, cellulosic, and biodiesel in the RFS are unrealistic. Nevertheless, the mandates for conventional and advanced biofuels are still too high -- either exceeding demonstrated domestic biofuel production or the ability to use more biofuel than vehicles, engines, and the fueling infrastructure can handle.
"We are encouraged that EPA has signaled it won't pursue policies that push mandates beyond what the market can absorb, is committed to transparency and reducing manipulation in the RIN market, and wants to ensure we are not incentivizing imported biofuels over American refined gasoline and diesel.
"Today's proposal shows that EPA understands the RFS shortfalls and that it's determined to implement a workable and equitable program with the tools at its disposal. Ultimately, however, Congress must step in and repeal or significantly reform this broken program, which has failed to deliver on its policy objectives." (Source: American Fuel & Petrochemical Manufacturers, 6 July, 2017) Contact: AFPM, Chet Thompson, CEO, Pres.,
(202) 457-0480, firstname.lastname@example.org, www.afpm.org
More Low-Carbon Energy News American Fuel & Petrochemical Manufacturers,
The May 3rd flight was the first of 12 "green package" flights the airline is operating over a three-month period on its nonstop San Francisco to Singapore route. The flights will be powered by a combination of hydro-processed esters and fatty acids, a sustainable biofuel produced from used cooking oils, and conventional jet fuel. The biofuel, produced by AltAir Fuels, will be supplied and delivered to San Francisco by SkyNRG in collaboration with North American Fuel Corporation, a wholly owned subsidiary of China Aviation Oil (Singapore), and EPIC Fuels.
(Source: Channel News Asia, Singapore Airlines, PR, 3 May, 2017) Contact: AltAir Fuels, Bryan Sherbacow, CEO, (843) 720-8920, email@example.com, www.altairfuels.com; SkyNRG, +31 (0) 20 470 7020, firstname.lastname@example.org, www.skynrg.com;
Singapore Airlines, www.singaporeair.com/corporate
More Low-Carbon Energy News AltAir Fuels, Singapore Airlines , Jet Biofuel, Aviation Biofuel,
"Imposing a carbon tax would go directly against President Trump's commitment to create American jobs and an 'America First' policy by driving investment, energy development and jobs overseas, and would hurt those who can least afford increased energy costs the most.
"Furthermore, the notion that a carbon tax would be returned directly to American taxpayers in the form of a rebate is naive, and I'm confident that President Trump understands the negative impacts this tax would have throughout the economy."
AFPM is a national trade association representing more than 400 companies that encompass virtually all U.S. refining and petrochemical manufacturing capacity. (Source: AFPM, Fuel Marketer News, Feb., 2017)Contact: AFPM, Chet Thompson, Pres., CEO, (202) 457-0480, email@example.com, www.afpm.org
More Low-Carbon Energy News American Fuel & Petrochemical Manufacturers, Carbon Tax,
The first bill, the comprehensive mid-level ethanol assessment legislation, requires the National Academy of Sciences to provide a comprehensive assessment of research on the implications of the use of mid-level ethanol blends -- fuel containing more than 10 percent ethanol by volume -- compared to gasoline blends containing 10 percent or zero percent ethanol. The study will evaluate the performance, safety, and environmental impact of mid-level ethanol blended fuels.
The second bill focuses on cellulosic biofuel assessment. This legislation relaxes the EPA's volume requirements for cellulosic biofuel under the RFS to what is commercially available until the National Academy of Sciences submits to Congress a report on the environmental and economic impacts of cellulosic biofuel, and the feasibility of large scale commercial production.
These common sense bills ensure that hardworking American fuel consumers are not needlessly subjected to ineffectual and burdensome government regulations.
(Source: Wisc. Rep. Jim Sensenbrenner, PR, Feb., 2017)
Contact: Wisc. Rep. Jim Sensenbrenner, https://sensenbrenner.house.gov
More Low-Carbon Energy News Renewable Fuel Standards, RFS, Biofuel, Biofuel Blend,