Cruz shifts position from “repeal” to “phase out” of US Renewable Fuel Standard
In Iowa, Texas Senator Ted Cruz, campaigning in Iowa for the Republican presidential nomination wrote an Op-Ed outlining a new tone and position on ethanol and the RFS. For the first time, at a campaign stop in Iowa, Cruz expressed he would keep the RFS through 2022.
“We are encouraged that Ted Cruz is finally listening to Iowa farmers, and we reported his shift, as we have done with the rest of the candidates when they’ve introduced new language on the campaign trail,” said America’s Renewable Future State Director Eric Branstad. For the first time, Cruz called for keeping the RFS in place through 2022 instead of his previous 5-year phase down bill that, when introduced, would have terminated the RFS in 2019. “Cruz has had time to clarify his position for the last year, the language he is using this week is new. It is only after ARF has engaged him that he’s talking about the issue in this way. It clearly affirms that it’s a key issue to Iowa caucus-goers,” Branstad added.
In addition to this new RFS position, Cruz also communicated support for breaking the artificial blendwall saying, “ethanol blends can be a win-win for automakers and consumers alike”. This is a far cry from Cruz’s 2013 introduction of an immediate repeal and his position that ethanol production drives “up the costs of fuel, food, and goods.” These are facts Cruz’s campaign conveniently left out of its response. Cruz’s recent comments come after being pressured by Iowans and are a welcome change.
“Until Cruz pledges to uphold the RFS as the law dictates—not his position to phase it down by 2022—we will continue to educate Iowa voters about his bad position,” Branstad said.
America’s Renewable Future provided this guide to the evolution of Cruz’s positions.
| THEN (In Washington) | NOW (In Iowa) | |
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RFS |
Supported Immediate Repeal
Senator Cruz sponsored a 2013 bill called the “Renewable Fuel Standard Repeal Act” that would immediately have repealed the RFS, if passed. [S.1195, Introduced 6/20/13] 5-Year Phase DOWN with 2019 or 2020 Termination Instead of an immediate repeal like in 2013, Cruz instead sponsored bills in 2014 and 2015 that would phase-down the volumetric requirements in the RFS, causing the program to terminate in 2019 and 2020, respectively. If Cruz’s 2014 had passed, volume levels would be cramped down by 40% in 2016. [S.791, 3/18/15; S.2170, 3/27/2014]
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New Phase OUT with 2022 Expiration
This year, instead of introducing a 5-year phase-down bill in the U.S. Senate with a 2021 expiration, Cruz said “it should be a five year phase-out from 2017 to 2022.” [Ted Cruz, Cherokee Iowa, 1/5/16 (audio)] |
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Supply of Biofuels |
March 2015: “Insufficient Amounts Of Some Biofuels To Meet The Standard”
In a March 2015 press release introducing his RFS repeal, Cruz said that “the RFS has proven unworkable and costly. Its mandate that an increasing percentage of renewable biofuels be blended into gasoline and diesel each year ignores the reality there are insufficient amounts of some biofuels to meet the standard.” [Cruz Press Release, 3/18/15] |
Ethanol Producers Can Break Through the “Blend-Wall”
“That blendwall makes it illegal for ethanol to expand its market penetration, and I intend to eliminate the EPA blendwall to get rid of that barrier, which will enable ethanol to expand in the marketplace to a much larger penetration to sell more ethanol….” [Sen. Cruz, DMR Op-Ed, 1/6/16 ] |
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Costs of Ethanol |
Ethanol Drives “Up the Costs of Fuel, Food, and Goods”
Also in 2013, Cruz said that “[t]he impossible mandates of the RFS are driving up the costs of fuel, food and goods.” [Farm Progress, Feb. 2015]
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“Ethanol Is An Effective Fuel…That Often Costs Less”
“Ethanol is an effective fuel additive because it increases octane and decreases harmful tailpipe emissions. And because ethanol often costs less than other octane additives, ethanol blends can be a win-win for automakers and consumers alike.” [Sen. Cruz, DMR Op-Ed, 1/6/16 ] |
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Oil Subsidies |
Cruz Repeatedly Voted Against Closing Tax Loopholes for Oil
Cruz has repeatedly voted against closing oil loopholes on the floor of the U.S. Senate. Cruz in 2015: Oil Subsidies Don’t Exist
Cruz told an Iowan in October that “a lot of what are called oil subsidies… are analogous to ordinary business expensing that every other industry gets.’” [Ted Cruz, 10/31/15] |
Cruz: End All Energy Subsidies
Cruz now says that U.S. should, ”end all energy subsidies, and ensure a level playing field for everyone.” [Sen. Cruz, DMR Op-Ed, 1/6/16] Oil Companies’ Drilling Cost Expensing Is Okay
“Right now, oil-and-gas producers can immediately expense their drilling costs; my tax plan allows every business, regardless of industry, to do the same thing.” [Sen. Cruz, DMR Op-Ed, 1/6/16] |
Category: Policy
