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Small Refinery Relief: Easier Compliance with Renewable Fuel Standards.

This Act introduces significant regulatory relief for small oil refineries regarding the federal Renewable Fuel Program (RFS). It changes how mandatory renewable fuel volumes are calculated and increases the number of compliance credits generated per gallon of blended biofuel (ethanol or biodiesel). These changes aim to reduce operational costs for small refineries, potentially contributing to fuel price stability in the regions they serve.
Key points
Small refineries will have their mandatory blending requirement (RVO) significantly reduced (calculated based on 50% of gasoline and 30% of diesel production).
Refineries will earn enhanced compliance credits (1.5x for ethanol blends, 2.0x for biodiesel blends) for each gallon of biofuel blended, making RFS compliance easier and cheaper.
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Additional Information
Print number: 118_S_2390
Sponsor: Sen. Lummis, Cynthia M. [R-WY]
Process start date: 2023-07-19