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Energy Tomorrow Blog

Good Energy Policy Means a More Energized America

renewable fuel standard  rfs34  ethanol  hydraulic fracturing  fracking  keystone xl 

Mary Leshper

Mary Schaper
Posted October 25, 2013

The Case Against Renewable Fuel Standard Subsidies

American Enterprise Institute: How did we reach the point where the government is promoting a dreadful fuel that gets worse fuel economy than gasoline or diesel, drives up food prices, damages car engines and has unintended environmental consequences?

The Renewable Fuel Standard has come to symbolize everything that is wrong with government-imposed mandates. It is causing more harm than good and should be scrapped.

For years, ethanol was promoted as a renewable, homegrown alternative to gasoline, a way to reduce tailpipe emissions and dependence on imported oil.

In 2007, as part of the Energy Independence and Security Act, Congress adopted the RFS, requiring refiners to blend 13.8 billion gallons of ethanol into gasoline by 2013 and up to 36 billion gallons by 2022. This mandate, however, has become completely unworkable and unnecessary.

Read more: http://bit.ly/1hg9Mqv

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RFS = Rising Costs for Bakers

renewable fuel standard  e15  epa  ethanol 

Mark Green

Mark Green
Posted October 25, 2013

For the American Bakers Association (ABA), the Renewable Fuel Standard is a market distorter, affecting acreage that’s devoted to growing wheat for food and impacting prices. Like the National Chicken Council, the National Marine Manufacturers Association and other groups, America’s bakers want relief from the detached-from-reality RFS.

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VIDEO: Ethanol Mandates = 'Inertia and Maybe a Little Greed'

renewable fuel standard  e15  ethanol in gasoline  regulation  epa 

Bob Greco

Bob Greco
Posted October 24, 2013

In a recent video op-ed in USA Today, forum editor David Mastio explains why we use ethanol in gasoline. Don’t worry, it’s not a technical presentation. There’s no scientific or technical rationale given for adding ethanol to gasoline. Ethanol isn’t added to improve engine performance, it doesn’t improve fuel efficiency and, according to Mastio, it increases some kinds of pollution while decreasing others.

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Rising Ethanol Blends Don't Float All Boats

renewable fuel standard  ethanol in gasoline  regulation  epa  e15 

Mark Green

Mark Green
Posted October 24, 2013

Let’s continue discussion of the Renewable Fuel Standard (RFS), it’s detachment from market reality and its impacts on consumers – impacts that go well beyond the oil industry. Yesterday, we looked at the views of the National Chicken Council; today the view from the water, courtesy of the National Marine Manufacturers Association (NMMA).

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RFS Makes Chicken Feed Not Chicken Feed

renewable fuel standard  ethanol  regulation 

Mark Green

Mark Green
Posted October 23, 2013

We have written a lot on the Renewable Fuel Standard (RFS), its problems with reality and its problems for consumers, but the impacts of the RFS go far beyond the oil industry, all the way down to your dinner plate as the National Chicken Council (NCC) explains.

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Lessons for U.S. Energy Policy

energy markets  global energy  energy poicy  ethanol  renewable fuel standard  pennsylvania  jobs 

Mary Leshper

Mary Schaper
Posted October 16, 2013

U.S. Becomes World’s Top Oil Producer in 2013, Group Says

Bloomberg: The U.S. is expected to overtake Saudi Arabia as the world biggest total supplier of oil this year when natural gas liquids and biofuels are added to crude, PIRA Energy Group said.

 

The U.S. is projected to produce an average of 12.1 million barrels a day of liquids in 2013, 300,000 barrels a day higher than Saudi Arabia and 1.6 million more than Russia, according to data presented at PIRA’s Retainer Client Seminar Oct. 10 and Oct. 11 in New York.

 

The U.S. position has improved because of surging “shale oil” output, the New York-based energy consultant said. The combination of horizontal drilling and hydraulic fracturing, or fracking, has unlocked supplies in shale formations in the central part of the country. Shale liquids output has climbed 3.2 million barrels a day in the last four years, the biggest gain since Saudi Arabia raised production between 1970 and 1974.

 

“This isn’t a big surprise but notable all the same,” said Michael Lynch, president of Strategic Energy & Economic Research in Winchester, Massachusetts. “This is another sign of the successful story that is horizontal drilling.”

 

Read more: http://bloom.bg/1fDiyzu

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Is EPA Listening on the RFS, 'Blend Wall'?

blend wall  epa regulation  renewable fuel standard  ethanol  refineries 

Mark Green

Mark Green
Posted October 14, 2013

Interesting analysis from Reuters, citing a leaked EPA document in which the agency indicates it may significantly reduce its biofuels mandate for 2014. The same document acknowledges that the refining “blend wall” is an “important reality,” according to Reuters. If accurate, the report suggests EPA is starting to hear what the oil and natural gas industry and a host of other voices have been saying about the flawed Renewable Fuel Standard (RFS).

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The Reality of America’s Oil and Natural Gas Surge

ethanol  blend wall  renewable fuel standard  american energy  hydraulic fracturing  lng exports 

Mary Leshper

Mary Schaper
Posted October 11, 2013

Analysis: Lawsuits Likely as EPA Declares U.S. Ethanol Blend Wall a ‘Reality’

Reuters: With two words, the U.S. environment regulator may be handing oil refiners the biggest win of a long battle to beat back the seemingly inexorable rise of ethanol fuel.

In a leaked proposal that would significantly scale back biofuel blending requirements next year, the U.S. Environmental Protection Agency (EPA) says the blend wall - the 10 percent threshold of ethanol-mixed gasoline that is at the crux of the lobbying war - is an "important reality".

The agency's rationale for a cut in the volume of ethanol that must be blended echoes an argument the oil industry has been making for months: the U.S. fuel chain cannot absorb more ethanol.

Read more: http://reut.rs/1hIy6OU

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The Chorus of Concern on RFS Impacts

ethanol  cellulosic biofuels  renewable fuel standard  rfs34  e15  renewable energy  Environment  Energy Efficiency 

Mark Green

Mark Green
Posted October 9, 2013

A tactic used by ethanol backers trying to defend the relatively defenseless Renewable Fuel Standard (RFS) is attempting to frame the RFS debate as one between America’s oil and natural gas companies and renewable energy.

That’s faulty for a couple of important reasons. First, we’re Big Ethanol’s biggest customers, buying billions of gallons a year, as a useful additive in E10 gasoline. Second, our companies are for renewables, not against them, investing $81 billion in renewables and carbon-reduction efforts to reduce greenhouse gas emissions between 2000 and 2012 – nearly as much as all other U.S. industries ($91 billion) and more than the federal government ($80 billion).

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