Group of 23 Senators urge Trump to maintain RFS point of obligation

By Ethanol Producer Magazine.

Nearly two dozen U.S. senators have signed a letter advising President Trump not to change the federal biofuels program's longtime compliance protocol.

Sen. Chuck Grassley, R-Iowa, and Sen. Amy Klobuchar, D-Minn., today led 23 senators in a bipartisan letter urging President Trump to maintain the Renewable Fuels Standard’s point of obligation and reject proposed changes that, they say, would upend the current system.

“We believe such changes are unwarranted and indefensible,” the senators wrote to Trump. “We appreciate the commitment you have made to support the RFS. We strongly urge you to steer clear of administrative changes to the policy that would undermine the program and run contrary to your goals of promoting domestic energy independence and more choices at the pump. We look forward to working with you to ensure the RFS continues to provide the stability and predictability that is creating jobs and economic growth across the country.”

The senators outlined the detrimental effects of changing the point of obligation from refiners to blenders, marketers or retailers, as one prominent refiner is suggesting. The letter said shifting the point of obligation would give refiners little incentive to produce necessary fuel blends, making it difficult for downstream entities to comply.