What is the Renewable Fuels Standard (RFS)? Refiners and importers of gasoline or diesel fuel are obligated parties under the RFS Program. This is a national policy that requires a certain volume of renewable fuel to replace or reduce the quality of Petroleum-based transportation fuel, heating oil or jet fuel. The statute sets a 1 billion gallon minimum. For a fuel to qualify as a renewable fuel under the RFS program, EPA must determine that the fuel qualifies under the statute and regulations. Among other requirements, fuels must achieve a reduction in greenhouse gas (GHG) emissions.
What is happening around the Renewable Fuel Standard and how would it affect Corn Growers?
At least four options aimed at reducing the cost of RINs (Renewable Identification Number) to refiners like PES were up for consideration, two sources familiar with the agenda of the White House meeting said. One was to count U.S. ethanol exports toward annual biofuels volume mandates, something not currently permitted under the policy. Another was to place a hard cap on the price of a RIN, and a third was to limit RIN trades to blenders and refiners – essentially to remove market speculators, the sources said. The National Corn Growers Association is making an effort to combat the weakening proposed, “weakening” of the RFS. To see their letter to the President click on the link… http://www.ncga.com/upload/files/documents/pdf/Letters%20and%20Testimony/President-Trump-RFS-Joint-Ag-Industry-Letter-Feb-26-2018-003.pdf
