Alternative Fuel Groups Oppose Exempting States From Federal RFG

Clean Air Act compliance costs had little to do with the rise of gasoline prices this year, alternative fuel groups say in a letter opposing legislation to exempt some states from the federal reformulated gasoline requirements proposed by a representative who contends the requirements increased California refiners' costs.

In the Sept. 11 letter to the House Commerce Committee, the Renewable Fuels Association, the Oxygenated Fuels Association and the American Methanol Institute say that the bill would "have no impact on gasoline prices, is not needed to provide refiners with the flexibility to effectively meet clean air regulations, creates unnecessary implementation and enforcement problems, and could undermine the air quality benefits of the reformulated gasoline program."

The Renewable Fuels Association reported that the practical effect of the bill introduced by Rep. Brian Bilbray (R-Calif.) is to exempt California reformulated gasoline from oxygenate requirements in federal reformulated gasoline. Bilbray, however, maintains that the conflicting requirements are a burden to California refiners and increases fuel costs with little environmental benefit.


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