American Ethanol Spring 2017 - Page 8

Don’t Lose the Option to Choose How the clash over ethanol’s point of obligation impacts you Having choices is good, whether you’re decid- ing something complex, such as which vehicle to purchase, or something more routine, like what fuel to select at the gas station. Your opportunity to choose renewable fuels could be in jeopardy, however, due to a critical issue called the “point of obligation.” Under the federal Renewable Fuel Standard (RFS), oil refiners are the obligated parties. Therefore, they are the “point of obligation” under the RFS. It has worked well since the program’s inception over a decade ago. “The battle over the point of obligation has been brewing for several years,” said Chris Bliley, vice president of regulatory affairs for Growth Energy. “If the point of obligation shifts, it would derail the RFS and mean fewer choic- es for consumers.” The issue has far-reaching consequences because 97 percent of all gasoline today is blended with ethanol, Bliley added. That’s why Growth Energy has been actively opposing changes to the point of obligation. To help clarify this complex issue, American Ethanol talked with Bliley, who explained how shifting the point of obligation would impact drivers’ ability to choose renewable fuels. American Ethanol (AE): If the current system works, why mess with it? Bliley: A number of lawmakers, retailers, con- sumer companies like UPS, and even railroads are asking this same question. Supporters of the biofuels industry note that keeping the point of obligation where it is now, with oil refiners and importers, has worked well and makes sense. Moving the point of obligation What Retailers Are Saying 8 Chris Bliley, Growth Energy’s vice president of regulatory affairs, addresses the 2017 Executive Leadership Confer V6R( 6VWG2FR&vW7B&WFW"bSRBSRFRR2FF6vRrvBBFW2F6VvW"&VG2bWF6rЦrFRBb&ƖvFvVB&RFRFVFVf"FR$e2( Ф֖R&V砦WV7WFfRf6R&W6FVBbgVV0U$4UDDRt