The Domestic Energy Producers Alliance (DEPA) supports the request made by the Governors of Texas, Utah, Oklahoma, Louisiana and Wyoming formally asking U.S. Environmental Protection Agency Administrator Andrew Wheeler for an expedited waiver of the renewable volume obligation (RVO)* under the Renewable Fuel Standard RFS consistent with Section 211(o)(7) of CAA in order to address severe economic harm compounded by the current national emergency.
There is no question that currently there is a clear threat to the industry and its supply chain. We wholeheartedly agree that an expeditious answer to this request is needed as sweeping economic impacts to industrial employment, consumer interests, and all aspects of the economy will be compounded by any delay.
The International Energy Agency (IEA) has cut its 2020 growth forecast for global oil demand, predicting the first quarterly contraction in more than 10 years. The IEA has also revised down the outlook for global refinery runs. As the world economy responds to measures adopted to contain COVID-19, demand for refined products for air transportation, global delivery of goods, and petrochemicals decline – and any rebound of necessity will occur only after containment restores predictable economic growth. In the interim, the U.S. refining sector will face real and substantial difficulty.
We are confident the Administration will take the necessary steps to preserve one of America’s most important industries. Our industry is critical to the health, security, and stability of the United States. EPA action is vital.
* as authorized under Section 211(o)(7) of the Clean Air Act (CAA) (42 U.S.C. §7545(o)(7)) as amended by the Energy Independence and Security Act of 2007.