Refinery utilization, measures how much crude oil refineries are processing or “running” as a percentage of their maximum capacity. It tells us roughly how much of our refining muscle is being put to work manufacturing fuel. American refineries are running full-out, at about 95% of total capacity, contributing more fuel—gasoline, diesel, jet fuel, etc.—to the global market than any other country. In fact, U.S. refineries process more crude oil every day than the United States produces, and we make more finished fuels than the United States consumes.
The return of fuel demand to pre-pandemic levels and the slower rebound of crude oil and fuel production has created concerns about whether supplies of gasoline, diesel and jet fuel will be sufficient to meet global demand. U.S. refineries are up and running at near maximum utilization. Other major refining countries, for a variety of reasons, have not kept pace bringing their facilities back into operation or resuming sales of fuel to the market. As a result, wholesale fuel prices have increased and so have refinery “crack spreads."
All eyes are on Hurricane Ian, which is expected to approach Florida’s west coast later Wednesday and into Thursday bringing high winds and massive amounts of rain. Although our nation’s refiners and petrochemical manufacturers do not have facilities in the affected region, we’d like to urge the people in the area to prepare for the storm and heed all evacuation notices. Florida residents can get critical preparedness and evacuation information here.
In a series of comments submitted recently to EPA, leading labor groups made the case to President Biden and EPA Administrator Michael Regan for reductions to the proposed 2022 Renewable Fuel Standard (RFS) volume mandate. An unachievable and costly RFS is a threat to good union jobs.
EPA’s blanket denial of relief for small refineries is a political decision that contradicts Congress’s design for the RFS. We are deeply disappointed in this and in the precedent it sets for small refineries experiencing hardship and the communities and regions that rely on these facilities for energy security.
AFPM's Alex Adams talks with Doug Parker, the head of E&W Strategies and a former head of EPA's Criminal Investigation Division, about the failings of the RIN market that allows this fraud to take place - and how changing the point of obligation can tackle this.
AFPM Senior Director of Fuels and Vehicle Policy, Patrick Kelly, testified during the Environmental Protection Agency’s (EPA’s) public hearing on the proposed Renewable Fuel Standard (RFS) “Set” Rule. EPA’s proposal will stifle advanced biofuels, promote first generation biofuels beyond the market’s ability to absorb them and shift overall RFS growth away from liquid biofuels and into the power electricity sector. This is completely contrary to how congress envisioned EPA’s handling of the program.
WASHINGTON, D.C. - Statement from Chet Thompson, President and CEO of the American Fuel & Petrochemical Manufacturers (AFPM) in response to the EPA’s proposed RVOs for 2019
