Download PDF
June 23, 2017

Biofuel Industry Sends Letter On RVP To Senate Environment And Public Works Committee

Kathleen M Roberts

By Kathleen M. Roberts

On June 12, 2017, 28 companies representing the advanced and cellulosic biofuel industry sent a letter to the members of the Senate Environment and Public Works Committee  requesting their support for the Consumer and Fuel Retailer Choice Act (S. 517), which is scheduled to be marked up in the Environment and Public Works Committee before the August recess.  The letter claims that the Act, which would extend the Reid Vapor Pressure (RVP) waiver to ethanol blends above 10 percent, is vital to the advanced biofuel industry since it would allow E15, a more environmentally-friendly and affordable fuel, to be sold year round and, thus, would create marked headroom for next generation fuels.  While the signatories commit to supporting the Renewable Fuel Standard (RFS) in its entirety, they state that the RVP issue will not only ensure that E15 can be sold year round but will also provide an opportunity for advanced and cellulosic fuels to compete at the pump.  According to the letter, moving to E15 would reduce the cost of gasoline by 5 to 15 cents per gallon, and lower emissions harmful to the environment.
On June 14, 2017, the Committee held a legislative hearing on the Act.  In his opening statement, Senator Carper (D-DE) stated that his primary objective is to ensure that the ethanol blends above 10 percent do not contribute more or less to ozone pollution than ethanol blends below 10 percent, as is currently assumed.  Carper stated his interest in learning whether advanced biofuels would benefit from the increased market share that would result from the Act, what impacts the Act would have on the Renewable Identification Number (RIN) market, and what more can be done to add transparency and certainty to an opaque market.