Continuing this week’s coverage of the ethanol blending battle raging in Washington, we’re bringing attention to a letter the American Fuel & Petrochemical Manufacturers recently penned to President Obama in support of the US EPA’s indication that it may partially waive the 2014 Renewable Fuel Standard over blending requirement concerns.

The letter serves as one of the latest volleys fired by US refiners and oil companies against foes that include ethanol industry stakeholders, corn growers and many Midwestern politicians. The letter adopts the particularly combative language and tone to which we’ve grown accustomed.

“Despite the biofuel industry’s sustained campaign to frame this debate as a “battle for market share,” the reality remains that the RFS boils down to a simple math problem: the 2014 RFS – if fully implemented – would require more biofuel than consumers demand, and than current vehicles and infrastructure are designed and warrantied to handle. Refiners are thus faced with a series of difficult choices – either force more biofuel into the market knowing that it damages consumers’ engines and compromises infrastructure (bringing with it significant liability concerns), or reduce domestic supply of gasoline and diesel to limit the obligation to buy compliance credits (Renewable Identification Numbers, or “RINs”) needed to sell gasoline and diesel in the United States. Neither of these options is good for the American consumer.”

Regarding the “Blendwall”

“Unfortunately, in its rush to scapegoat the refining industry, biofuel producers continue to ignore the reality of the blendwall and its potential impacts on consumers. The blendwall is a function of consumer demand, engine compatibility, infrastructure constraints, and the biofuel industry’s failure – despite nearly a decade of biofuel mandates – to deliver promised “drop-in” biofuel that are compatible with existing engines and infrastructure. Given the heated rhetoric surrounding this issue, AFPM would also like to take the opportunity to correct some recent mischaracterizations about the blendwall and EPA’s legal authority to grant a waiver.”

For more Breaking Energy coverage of the ethanol blending issue, and the blendwall in particular, read here.    

The AFPM letter goes on to further explain the US refiners’ position and specifically addresses concerns regarding:

• Infrastructure and retail ownership
• Vehicle Compatibility
• E85 Sales
• Renewable Identification Numbers
• Waiver authority

Read the full letter here: