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The US EPA Grants Refinery Waivers From Bio fuel Infuriating Corn Producers

The United States Environmental Protection Agency has granted 31 refinery waivers from biofuel laws for 2018 on Friday. This has angered ethanol and corn producers as Trump adminsitration is bailing out oil industry and averting its eyes from US farmers suffering from high tariffs and low prices.

Oxford reports learned that the waivers were less than previous years and also witnessed the increase in the petition rejected. While EPA has faced resentment from the U.S. corn lobby as they want the broad retrenchment from the biofuel waiver program and it also blames it for undercutting the ethanol demand in the country.

“At a time when ethanol plants in the Heartland are being mothballed and jobs are being lost, it is unfathomable and utterly reprehensible that the Trump administration would dole out more unwarranted waivers to prosperous petroleum refiners,” said RFA President and Chief Executive Geoff Cooper said in a statement.

The Small refinery exemptions are granted to the refineries who are in struggling financially and the waivers free them from the obligation of Renewable Fue Standard to combine biofuels such as ethanol into their purchase. After the Trump administration, the waiver number has increased four times saving millions of dollars for refineries.

However, corn growers argue that this move threatens ethanol demand. EPA’s waiver program was in a decision to reduce the dependency on foreign oil but this agitated tension between the oil and corn industries. The trade tension between the U.S. and China has affected the farmers most. Over the years, China was the prime buyer of U.S. farm products.

“With this action, President Trump has destroyed over a billion gallons of biofuel demand and broken his promise to Iowa voters to protect the RFS,” Shaw said. This can affect the Trump’s Presidential election 2020 as farmers were the key supporters.

According to the sources, the corn industries are garnering support to the mostly unchanged waiver program. The EPS has granted 31 small refinery exemptions out of 37 petitions.



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Julie Halpert
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