Ethanol is a valuable source of octane in fuel, but there is a limit to how much our gasoline can take. Today, there simply isn’t the fuel demand, infrastructure or consumer appetite to absorb an arbitrary 15-billion gallons of ethanol. And there’s not enough domestic biofuel overall to satisfy the remainder of the RFS mandate.
This broken reality costs U.S. refiners billions of dollars every year on RFS compliance credits and foreign biodiesel imports, neither of which grow the market for U.S. ethanol or uphold an “America first” energy strategy. Fuel mandates need to reflect today’s fuel markets. If they don’t, refining jobs end up on the chopping block.