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Call to Action for a Truly Sustainable Renewable Future
August 8, 2013 – 5:07 pm | No Comment

-Include high octane/high ethanol Regular Grade fuel in EPA Tier 3 regulations.
-Use a dedicated, self-reducing non-renewable carbon user fee to fund renewable energy R&D.
-Start an Apollo-type program to bring New Ideas to sustainable biofuel and …

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Three Charts Revealing Why Oil Companies Really Hate the RFS and E15

Submitted by on July 7, 2017 – 4:48 pmNo Comment

by Bob Dinneen (Renewable Fuels Association) …  No, the debate over the RFS and E15 is all about oil companies, those folks extracting petroleum from Mother Earth, losing market share. Period. It’s really that simple.

Thanks in large part to the RFS, oil companies have already seen ethanol’s share of the gasoline pool rise from 1.3% in 2000 to just over 10% in 2016. They certainly don’t want to lose another 5% of the market, even though E15 provides American consumers with a cleaner, higher-octane, and lower-cost fuel option.

The three charts below show exactly why Big Oil is pulling out all the stops to oppose the RFS and maintain an uneven playing field for E15.

 

Finally, Chart 3 is what really keeps the oil companies awake at night. It shows the potentially dramatic shift in future market share if the RFS is enforced as envisioned by Congress and E15 is allowed to compete in the market unfettered by artificial regulatory barriers. Chart 3 extends the lines from Chart 2 out to 2030 based on EIA’s projections of future gasoline energy demand; it assumes that E15 is the “new norm” and is sold nationwide by 2020. Given projections for declining gasoline consumption over the long term, a nationwide move to E15 would further erode the hydrocarbon share of the gasoline market. By 2030, if all gasoline is E15, the volume of gasoline blendstock consumed will be some 28 billion gallons lower (-22% less) than it was in 2000. Meanwhile, ethanol consumption would be 17.5 billion gallons in 2030, or nearly 16 billion gallons higher than 2000 levels.

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