American Fuel & Petrochemical Manufacturers (AFPM) President and CEO Chet Thompson gave a statement on the petition asking the Environmental Protection Agency (EPA) to reconsider its January 17, 2017, denial of the association’s petition for a supplemental waiver of the 2016 Renewable Fuel Standard (RFS) cellulosic biofuel standard.


AFPM’s original petition for reconsideration filed on December 28, 2016, was based on data from EPA’s Moderated Transaction System. The data clearly demonstrate that cellulosic biofuel production in 2016 was approximately 40 million gallons short of EPA’s mandated level of 230 million gallons.


“Requiring obligated parties with no control over cellulosic biofuel production to purchase credits to cover the shortfall caused by EPA’s unrealistic prediction amounts to an unjust phantom fuel tax. Should EPA deny our request to adjust the 2016 mandate, obligated parties will be penalized millions of dollars for fuels that the cellulosic biofuel industry failed to deliver.”