Besides increasing the blend wall, refiners must purchase renewable identification numbers when they do not meet the biofuel levels stipulated by the Environmental Protection Agency (EPA).
Those renewable identification numbers have been increasing in value and the costs are passed onto the consumer, which results in higher gasoline prices for Americans.
Oregon has just one commercial ethanol production plant right now, despite sinking .3 million worth of various incentives into ethanol projects in the decade leading up to the new law.
The state also has only one commercial biodiesel plant, after awarding .1 million in biodiesel production incentives during the same period.
Enacted by Congress in 2005, the Renewable Fuel Standard has attracted support and opposition from all sides, in often unpredictable alliances.Our standard disclaimer applies: The Flip-O-Meter is not designed to say whether any change in position is good policy or good politics.Rather, it strictly looks at whether a public official has been consistent in his or her stated views on a topic.The Environmental Protection Agency Monday defended its rule as a way to foster expanded use for renewable fuels that it viewed as realistic, and said it would put the industry on “stable ground” to support further investment and innovation.Janet Mc Cabe, the acting assistant administrator for EPA's Office of Air and Radiation, said in an interview the ethanol quotas follow Congress’ intent to promote increased use of renewable fuels.