Iowa Agriculture Secretary Mike Naig and Iowa Renewable Fuels Association Executive Director Monte Shaw held a press conference Wednesday to discuss how EPA granting more pending small-refinery exemptions (SRE) would irreversibly undermine the Renewable Fuel Standard (RFS).
Speaking at Southwest Iowa Renewable Energy near Council Bluffs, Shaw pointed out that in recent weeks refineries could have complied with their obligation by purchasing compliance credits, known as RINs, for as little as eight cents.
“Given the current circumstances, granting any of the 2018 small-refinery exemptions would fundamentally undermine the RFS and break President Trump’s promise to protect the 15-billion-gallon RFS,” Shaw said. “At a time when you can avoid blending a $1.30 gallon of ethanol by instead buying a RIN for eight cents – a price even Texas Senator Ted Cruz found acceptable – how can there be disproportionate economic harm?”
SREs granted under the Trump Administration have already accounted for over 2.5 billion gallons of RFS demand destruction.