Senate coalition asks Trump to maintain Renewable Fuel Standard POO
A bipartisan coalition of 23 senators led by Sens. Charles Grassley, R-Iowa, and Amy Klobuchar, D-Minn., sent a letter to President Donald Trump last week asking him to maintain the point of obligation under the Renewable Fuel Standard and deny proposed changes.
The point of obligation determines what entities in the fuel supply chain are responsible for blending biofuels. The senators said changing it, as presidential adviser Carl Icahn and others have advocated, would undermine the system.
Growth Energy CEO Emily Skor in a statement thanked the senators and said,
“The fact is, shifting the point of obligation from refiners and importers to fuel marketers, convenience stores, railroads, truck stops and trucking companies, and even consumer service companies like FedEx and UPS would throw the RFS into chaos.”
“A change would immediately trigger long and complicated rulemaking that would take years to complete,“ Skor said. “It would create long-term uncertainty in the entire marketplace and reduce consumer choice at the gas pump by removing the economic incentive for retailers to offer higher biofuel blends, ultimately raising prices on consumers.
“We stand proudly with these 23 senators in opposition to this change and will continue to fight for the ethanol industry and rural America.”