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API files lawsuit against EPA

Hydrocarbon Engineering,

The API has filed a lawsuit against the EPA challenging the mandates use of nonexistent cellulosic biofuels in the 2011 Renewable Fuel Standard (RFS). The filing was made on 24th July with the DC Circuit Court.

API Director of Downstream and Industry Operations Bob Greco has said, ‘EPA’s unattainable and absurd mandate forces refiners to pay a penalty for failing to use biofuels that don’t even exist. The mandate is effectively an added tax on gasoline manufacturers that could ultimately burden consumers.’

The Clean Air Act requires that the EPA determine the mandated volume of cellulosic biofuels each year at the correct projected available volume. There was no commercial supply of the fuel in 2011 according to the EPA’s own records and investigations. Yet, EPA required refiners and importers of gasoline and diesel to use or pay credits to cover 6.6 million gall. of the nonexistent products.

‘EPA is directed to set the fuel requirement at a realistic volume but the agency continues to mandate the use of biofuels that do not exist,’ Greco said.

The EPA denied the 2011 petition made by the API, which asked the agency to reconsider the mandate in May, and continues to mandate the nonexistent biofuels this year at even higher levels. In March the API filed a smiliar court challenge against the EPA, focusing on the unattainable 2012 cellulosic biofuels requirements.

Adapted from press release by Claira Lloyd.

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