Democrats in US Congress propose dismantling "flop" RFS
Democrats in US Congress have introduced two companion bills to dismantle the Renewable Fuel Standard (RFS) and provide incentives and thresholds for advanced, cellulosic, and biomass-based diesel fuels.
The “Growing Renewable Energy through Existing and New Environmentally Responsible Fuels Act,” otherwise known as the “GREENER Fuels Act,” would phase out the corn ethanol mandate, limit ethanol blending at 9.7%, and provide a fee of $0.10 per renewable identification number (RIN) to support the use of second generation biofuels.
The bills, which were proposed by two Democrats, Vermont Congressman Peter Welch and New Mexico Senator Tom Udall, claim that the RFS has been an environmental failure and has become captive to the corn lobby.
“Despite its early promise, the RFS has been a well-intentioned flop that is harming our environment by contributing to the conversion of millions of acres of grasslands, wetlands and forests into crop production while failing to bring about the widespread use of truly sustainable fuels like cellulosic ethanol," Welch said in an online statement.
The companion bills, which have secured backing from National Wildlife Federation CEO Collin O’Mara and former Democratic Congressman Henry Waxman, is the second attempt in the space of a month to reform the RFS, which compels refiners to blend in renewable fuels or pay for credits to comply.
Legislation introduced by Congressional Republicans last month, proposed an ‘RVP waiver’ for fuel containing 15% ethanol, known as E15, to enable sales throughout the year and implement a cap on D6 RIN prices between $0.10 and $0.20 per Renewable Identification Number (RINs).
That legislation, which was conceived to address long-held concerns by refiners and at the same time provide some benefits to the corn lobby (such as a year-round mandate for E15), is likely to garner much more cross-party support than the Welch-Udall bill.
However there is the prospect that some ‘big oil’ Republicans might side with the bill because it targets the RFS.
The corn lobby, unsurprisingly, was scathing about the Welch-Udall proposals.
Kevin Skunes, the head of a trade group for corn farmers said the legislation "seeks to kill our most successful American renewable energy program."
He added: "The bill ignores current science reflecting the significant environmental benefits of ethanol and would have catastrophic consequences for our nation’s economy, our energy security and family farmers.”