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March 3, 2017

API Supports EPA Denial Of RFS Petitions

Lauren M. Graham, Ph.D.
On February 22, 2017, the American Petroleum Institute (API) announced plans to submit comments to EPA in support of its proposal to deny petitions requesting EPA initiate a rulemaking process to change the point of obligation for compliance under the RFS program.  During the press call, Frank Macchiarola, the Group Director of Downstream and Industry Operations at API, stated that changing the point of obligation would create significant uncertainty and complications in the RFS program and the Renewable Identification Number (RIN) market, and add time and an administrative burden for EPA and regulated entities.  Macchiarola suggested policymakers focus on fixing the blend wall problem and setting fuel policies consistent with vehicle compatibility.  API supports Congressional efforts to repeal or reform the RFS program and encourages lower volume requirements in 2018 to address the short-term challenges facing the refining industry.  Macchiarola stated that EPA should consider the adoption of cellulosic technologies, E15 and E85 use, and the demand for E0 when establishing 2018 RFS standards.