API: Moving point of obligation does not fix the RFS
In a press call, API Downstream Group Director Frank Macchiarola reminded policymakers that the Renewable Fuel Standard (RFS) mandate needs to be repealed or significantly reformed, and any efforts to tinker with the RFS at the margins will not work and will continue to push consumers to use high ethanol blends that they don’t want and could harm their car engines.
“We need fundamental change to the RFS, and moving the point of obligation adds complexity to an already broken program and undermines efforts at real reform.
“Nearly 90% of vehicles on the road today were not designed for higher ethanol blends, such as E15. And many automakers say that using E15 could void car warranties. Higher ethanol blends threaten engines and fuel systems – potentially forcing drivers to pay for costly repairs, according to extensive testing done by the auto and oil and natural gas industries. Moving the point of obligation does nothing to address this fuel incompatibility problem.”
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