American Fuel & Petrochemical Manufacturers (AFPM) filed a petition requesting that the U.S. Environmental Protection Agency (EPA) waive the 2016 Renewable Fuel Standard (RFS) cellulosic volumes to avoid “phantom fuel” compliance payments arising from a shortfall in 2016 cellulosic production. AFPM estimates that a favorable decision on this petition would reduce payments for these non-existent fuels by $50 – $75 million. As it noted in the petition:
“AFPM represents high-tech American manufacturers, fueling and building America’s future. Our members produce virtually all the refined petroleum products and petrochemicals manufactured in the United States and are obligated parties under EPA’s RFS. AFPM’s refining members are adversely impacted by EPA’s overestimate of 2016 cellulosic biofuel production and are unable to acquire the requisite amount of cellulosic biofuel Renewable Identification Numbers (RINs) to comply with EPA’s 2016 cellulosic mandate under the RFS.”
The full petition can be viewed here: Petition for Waiver of 2016 Cellulosic Biofuel Volumetric Requirements.
