RFA statement on correcting the record on Small Refinery Exemptions impact

In Washington, DC, the Renewable Fuels Association submitted a statement to “correct the record on the impact of small refinery exemptions” that it didn’t get to when testifying last week before a House Energy & Commerce Committee subcommittee on the devastating impact of small refinery exemptions (SREs) on the U.S. ethanol industry.

“My testimony described the demand destruction that has occurred as a consequence of the massive increase in SREs,” said RFA’s President and CEO Geoff Cooper. “I told the subcommittee that EPA’s mismanagement of the SRE program has “…rendered EPA’s annual Renewable Volume Obligation rule meaningless, introduced tremendous uncertainty into the marketplace, and significantly undermined demand for renewable fuels.” The testimony pointed out that SREs have led to the temporary idling or permanent closure of at least 19 ethanol plants since spring 2018.”

“Not surprisingly, testimony from the American Fuel & Petrochemical Manufacturers attempted to paint a much different picture. AFPM claimed everything is just fine in the ethanol industry and asserted that SREs are not eroding domestic demand for ethanol. Tell that to the 700 ethanol plant workers who have been laid off or furloughed because of deteriorating conditions in the ethanol market.”

“While I refuted many of AFPM’s claims during the question-and-answer segment of the hearing, I unfortunately did not have the time to address some of their most egregious arguments. So, let’s do that now.”

Read the Claims and Facts submitted by RFA here.