Earlier this week, a group of more than 30 oil refining executives wrote to the White House encouraging President Obama to lower the mandated levels of ethanol under the Renewable Fuel Standard. While the rule is currently awaiting final approval from the Office of Management and Budget, consumers are fearful as the potential for higher ethanol levels could lead to greater engine damage, increased food costs and rising gas prices.
More from this week:
In Short: “Refiners on Tuesday wrote to the White House, arguing against raising the proposed requirements for using ethanol and biodiesel in U.S. fuel supplies so close to year-end.”The Obama administration is trying to balance its support for renewable fuels with awareness of infrastructure constraints at gas stations as it finalizes targets for 2014 biofuel use, agency officials said on Tuesday."
In Short: “Refiners on Tuesday implored President Barack Obama to hold firm on plans to scale back renewable fuel quotas for 2014, warning that if the administration gives in to Corn Belt demands for higher mandates, it could cause gasoline prices to spike."
'Now is not the time to backtrack on a proposal to avoid economic disruption,' 31 refining executives said in a letter to Obama. 'Technological and market limitations exist, and consumers — not the federal government — should determine what goes in their cars.'”