A letter from 150 biofuel production facilities, which included the signatures of plant managers, general managers, and CEOs, from across the country, is urging President Trump to support the Renewable Fuel Standard (RFS).
The letter was fueled by two factors. At present, U.S. Sen. Ted Cruz (R-TX) is pushing for a 10 cent cap on Renewable Identification Numbers (RINs) prices. Further, a new economic analysis from the Center for Agricultural and Rural Development found that artificially capping RIN prices in exchange for an RVP waiver–allowing the year-round sale of E15, which Cruz has indicated his caps might come in exchange for–would result in reduced ethanol consumption, a 5 percent cut to the RFS renewable fuel requirement, and a drop in corn prices that would come simultaneously with job losses.
“We’ve seen Texas Senator Ted Cruz attempt to confuse stakeholders about the RFS, claiming that his attack on [RINs] is not an attack on our jobs,” the letter said. “Nothing could be further from the truth. There is no way to cut, cap, or eliminate RINs without cutting, capping, or eliminating gallons of homegrown fuel. These gimmicks would eliminate market access for higher ethanol blends, and they are deal-killers for rural America.”
The writers warned of already declining agricultural income and praised Trump’s previous support. The president of the Renewable Fuels Association, Sonny Perdue, likewise called attention to Trump’s past support for the RFS and the U.S. manufacturing sector, as well as the support of U.S. Department of Agriculture Secretary Sonny Perdue.
“The U.S. ethanol industry is asking the President to continue honoring his commitment to Rural America by rejecting efforts by Sen. Cruz to destruct renewable fuel demand and harm consumers across this country,” Perdue said.