The Biobased and Renewable Products Advocacy Group (BRAG) helps members develop and bring to market their innovative biobased and renewable chemical products through insightful policy and regulatory advocacy. BRAG is managed by B&C® Consortia Management, L.L.C., an affiliate of Bergeson & Campbell, P.C.

On March 16, 2017, 23 Senators, including Senator Chuck Grassley (R-IA) and Senator Amy Klobuchar (D-MN), sent President Trump a bipartisan letter requesting that he maintain the point of obligation under the Renewable Fuel Standard (RFS) program.  In the letter, the Senators remind Trump that the RFS program was adopted to provide stability for renewable fuel producers and that the U.S. Environmental Protection Agency (EPA) determined that, to meet this goal, the point of obligation should be placed on refiners and importers.  Shifting the point of obligation downstream would create little incentive for refiners to produce the necessary blendstocks, which would make downstream entities unable to comply.  The letter outlines the detrimental effects that changing the point of obligation would have on refiners, blenders, marketers and retailers, and states that the proposed changes are broadly opposed by the majority of the transportation fuel market.  The Senators acknowledge Trump’s commitment to the RFS program and state that they look forward to working with Trump to ensure the RFS program continues to aid in job creation and economic growth across the country.


 

On November 22, 2016, the U.S. Environmental Protection Agency (EPA) issued a notice in the Federal Register of an opportunity to comment on petitions requesting EPA initiate a rulemaking process to reconsider its regulations that impose the obligation for compliance with the Renewable Fuel Standard (RFS) annual standards on gasoline and diesel fuel refiners and importers, as well as on EPA’s proposed denial of the petitions. As the notice states, EPA is looking for petitioners to demonstrate the change in the point of obligation would improve the effectiveness of the RFS program, thus warranting the substantial disruption and increased complexity it would bring to the program. According to EPA, the petitioners have not demonstrated that the change would result in increased use of renewable fuels. EPA is seeking comments on the submitted petitions and its proposed denial of the requests to initiate rulemaking. EPA requests that comments address the likelihood of a change in the point of obligation resulting in a significant increase in production, distribution, and use of renewable fuels. Comments are due January 23, 2017.