US EPA denies renewable fuels waiver after analysis

The US Environmental Protection Agency believes it has not found any evidence to support a finding of ‘severe economic harm’ that would warrant grant a Renewable Fuels Standard (RFS)waiver.

That decision has been reached after economic analyses and modelling completed in conjunction with the US Department of Agriculture and the Department of Energy.

The research conducted included analysis of the agricultural impact which showed that a waiver would only, on average, reduce corn prices by around 1%, and the analysis on the energy sector showed a waiver would have no impact on household energy costs.

‘We recognise that this year’s drought has created hardship in some sectors of the economy, particularly for livestock producers, but our extensive analysis makes clear that Congressional requirements for a waiver have not been met and that waiving the RFS will have little, if any, impact,’ says assistant administrator for EPA’s Office of Air and Radiation, Gina McCarthy.

All the evidence and research seen by the EPA has failed to support a call that RFS implementation during 2012 and 2013 would seriously harm the economy of a region, state or the US overall.

This is the second time that the EPA has been called to consider a RFS waiver but, with this announcement, each case has been dismissed.