Petroleum Group Says Renewable-Fuel-Standard Revisions Inadequate

Corn ethanol mandates are an area of dispute over the Renewable Fuel Standard.
National Journal
Alex Brown
Add to Briefcase
Alex Brown
Oct. 24, 2013, 8:26 a.m.

Scaled-back re­new­able-fuels tar­gets leaked from the En­vir­on­ment­al Pro­tec­tion Agency are still ex­cess­ive, the Amer­ic­an Pet­ro­leum In­sti­tute said in a Thursday press call. EPA is “mov­ing in the right dir­ec­tion” with the re­duc­tions, said Bob Greco, API’s dir­ect­or of down­stream activ­it­ies, but still “needs to go lower.”

API’s goals aren’t far from the new EPA stand­ards, which re­main pre­lim­in­ary and have not been veri­fied. The group is call­ing for pro­duc­tion man­dates of 12.9 mil­lion gal­lons of corn eth­an­ol; the EPA draft cir­cu­lated earli­er this month would set levels at 13 mil­lion gal­lons. “The con­cern is they’re try­ing to shave this so close,” Greco said. “We don’t think the EPA has gone far enough if the leaked pro­pos­al is ac­cur­ate.”

The prob­lem, ac­cord­ing to API, is that bio­fuel man­dates were set with as­sump­tions that gas­ol­ine de­mand would con­tin­ue to in­crease, which has not been the case. Greco cited a study that said too-high eth­an­ol man­dates would de­crease U.S. GDP by $770 bil­lion and take-home pay by $580 bil­lion. Con­tin­ued hikes in the pro­duc­tion man­date, Greco said, would push the U.S. past the “blend wall”—the 10 per­cent of eth­an­ol con­tent cur­rently the stand­ard for most cars’ fuel. “Passing the blend wall would cause a … fuel-cost in­crease and fuel-sup­ply dis­rup­tions,” he said. “We need the EPA to act im­me­di­ately to provide re­lief to con­sumers.”

Even if the agency’s lowered pro­pos­als end up as the fi­nal tar­gets, Greco said it will not af­fect API’s law­suits chal­len­ging EPA’s man­dates. He re­it­er­ated that the group is still pre­pared to file suit if the agency fails to meet a Nov. 30 dead­line for next year’s man­dates.

What We're Following See More »
BOON TO PROSECUTORS
SCOTUS Rules that Insider Trading Can’t Be “Gifted”
8 hours ago
THE DETAILS

In a unanimous decision, "the Supreme Court on Tuesday said it violates insider-trading laws for a corporate officer to make a “gift” of insider information to a relative, a decision that makes it easier for those who police Wall Street to bring prosecutions."

Source:
EFFORT LIKELY TO DIE IN COMMITTEE
Jordan Can’t Force a Floor Vote on Impeaching Koskinen
9 hours ago
THE LATEST
House Freedom Caucus Chairman Jim Jordan attempted to force a floor vote on impeaching IRS Commissioner John Koskinen, but "the House voted overwhelmingly to refer it to the Judiciary Committee. ... The committee will not be required to take up the resolution." Earlier, House Minority Leader Nancy Pelosi "made a motion to table the resolution, which the House voted against by a 180-235 margin, mostly along party lines."
Source:
AFTER THE VOTE FOR SPEAKER
Ryan: No Committee Assignments Until New Year
14 hours ago
THE DETAILS

House Speaker Paul Ryan has decreed that House members "won’t receive their committee assignments until January — after they cast a public vote on the House floor for speaker. "The move has sparked behind-the-scenes grumbling from a handful of Ryan critics, who say the delay allows him and the Speaker-aligned Steering Committee to dole out committee assignments based on political loyalty rather than merit or expertise." The roll call to elect the speaker is set for Jan. 3, the first vote of the new Congress.

Source:
EXPECTED TO FUND THE GOVERNMENT THROUGH SPRING
Funding Bill To Be Released Tuesday
1 days ago
THE LATEST

House Majority Leader Kevin McCarthy told reporters on Monday that the government funding bill will be released on Tuesday. The bill is the last piece of legislation Congress needs to pass before leaving for the year and is expected to fund the government through the spring. The exact time date the bill would fund the government through is unclear, though it is expected to be in April or May.

Source:
IT’S OFFICIAL
Trump to Nominate Carson to Lead HUD
1 days ago
THE LATEST

As has been rumored for a week, Donald Trump will nominate Ben Carson, his former rival, to lead the Department of Housing and Urban Development. In a statement, Trump said, "We have talked at length about my urban renewal agenda and our message of economic revival, very much including our inner cities. Ben shares my optimism about the future of our country and is part of ensuring that this is a Presidency representing all Americans. He is a tough competitor and never gives up."

Source:
×
×

Welcome to National Journal!

You are currently accessing National Journal from IP access. Please login to access this feature. If you have any questions, please contact your Dedicated Advisor.

Login