API urges EPA not to exempt small refiners from US biofuel mandate

February 13, 2018

The American Petroleum Institute has come out against a campaign by small refineries to avoid their obligations under the US biofuel mandate, according to a letter released Tuesday.

More than two dozen refineries with throughput of less than 75,000 b/d have reportedly petitioned the Environmental Protection Agency to get out of the Renewable Fuel Standard's blending requirements based on a provision in the law allowing the agency to make exemptions based on "severe economic harm."

EPA has declined to answer questions about the petitions.

Frank Macchiarola, API's downstream group director, said in the letter to the EPA that the oil industry lobby also disagrees with arguments by the governors of Delaware, Pennsylvania, New Mexico and Texas, who said that refiners in their states are facing severe economic harm from the RFS. The governors pressed EPA for a nationwide waiver to the biofuel mandate.

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