Iowa Governor maintains that Trump will support ethanol producers

 

According to the Des Moines Reporter, Branstad was aware of reports to change the point of obligation in relation to the Renewable Fuels Standard (RFS).

"I know the rumors and I can tell you who was involved, and I can tell you they are not true," Branstad told reporters, according to a report in the Des Moines Reporter. He added that he has talked with his son, Eric Branstad, who works in the Trump administration, and that his son told him that “his is not going to happen”

The news follows an announcement last week by trade body Fuels America cutting its ties with counterpart Renewable Fuels Association (RFA) after it discovered that a Trump official had told the RFA that Trump would sign an executive order shifting the burden for blending ethanol and biodiesel into the nation’s fuel supply from oil refiners to fuel retailers.   

The Renewable Fuel Standard (RFS) would be maintained, but responsibility for compliance would be shifted from refiners to fuel blenders, the RFA was told.

The move, critics said, would hurt Iowa farmers and consumers by hindering the widespread use of ethanol and biodiesel. The White House subsequently distanced itself from the reports.

Branstad said he shared concerns about a possible shift of responsibility for blending biofuels to retailers. The agreement allegedly involved the Renewable Fuels Association and Trump adviser Carl Icahn, a billionaire investor in CVR Refining, a Texas energy company.

"It would be much more difficult to enforce the renewable fuels standard if you had to deal with all the retailers in the nation, rather than the people who are distributing the fuel," Branstad told reporters.

He added: "That is the reason why practically it doesn’t make sense, and that is the reason why it was shot down real quick when the rumours surfaced."

Fount: http://biofuels-news.com/display_news/11968/iowa_governor_maintains_that_trump_will_support_ethanol_producers/

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