Low carbon fuel standard (LCFS) proposals are cap-and-trade like programs that take aim solely at the American fuel supply. An LCFS is designed to lower the amount of carbon dioxide emissions in the transportation sector by imposing costly mandates on American fuel manufacturers to pay for products and technologies they do not make and that may not even be available. In practice, such standards would weaken America’s economic and national security and harm American consumers, workers and businesses in many ways – with no environmental benefit.
The only way to reduce carbon from gasoline or diesel is to replace it with something else or blend more of a non-petroleum or uncovered “lower carbon” fuel into the fuel supply. There is a significant lack of existing alternatives that could be blended into the fuel supply that would meet carbon targets contained in the LCFS proposals released to date.
Currently, there is a LCFS regulatory program in California and one in Oregon; they are similar, but not identical.
A study by a research organization found that a national LCFS on transportation fuels would raise average U.S. gasoline and diesel prices by as much as 80 percent within five years and up to 170 percent within 10 years, and would wipe out as many as 4.5 million American jobs in 10 years.
The implementation of a nationwide LCFS in the United States could increase global greenhouse gas emissions associated with changes in crude oil transport by up to 19 million metric tons each year – contradicting the claim of LCFS advocates that the standard would reduce such emissions.
American Fuel & Petrochemical Manufacturers
1667 K Street NW Washington, DC 20006