Today, the Environmental Protection Agency (EPA) proposed denying a petition by a group of merchant oil refiners to change the point of obligation under the Renewable Fuel Standard (RFS).
Under the current RFS structure, oil refiners are the parties obligated to blend more renewable fuel into the nation’s transportation fuel supply.
The refiners’ petition seeks to change the obligated party from the refinery to those entities that own gasoline before it is blended for retail sale. The EPA announced there will be a 60-day comment period for interested parties to offer their comments.
In response, Emily Skor, CEO of Growth Energy issued the following statement:
“The EPA has made the correct decision in proposing to deny this petition. The RFS is working and refiners have had over 11 years to comply with it. The current structure appropriately incentivizes marketers to blend additional biofuels, and encourages the availability of higher-level ethanol blends to retailers who wish to sell them. The bottom line is that the current point of obligation encourages consumer choice and cost savings at the pump, and any change would undermine the intent of the RFS and reward those parties who have refused to comply with the intent of the law. Growth Energy looks forward to providing substantive comments as to why the point of obligation should remain as is.”