WASHINGTON – Today, the Environmental Protection Agency (EPA) announced that it plans to retain the existing “point of obligation” under the Renewable Fuel Standard (RFS) program. 

“The current point of obligation ensures that the Renewable Fuel Standard program’s goals can be achieved. Since the founding of the program, NACS and SIGMA have supported the placement of the point of obligation on those entities that control the composition of petroleum products in the U.S. market—and the associations have advocated tirelessly over the last year to maintain the current point of obligation,” said Timothy Columbus, counsel to NACS and SIGMA. “The associations thank EPA for recognizing the severe harm that changing the point of obligation would have on the American consumer and on the retail fuels market. Today’s action is the best outcome for the RFS and for stable, low-priced retail fuels.”

In support of its position, EPA has completed a comprehensive analysis of the existing structure of the RFS, highlighting why and how the current point of obligation furthers the objectives of the RFS: to displace petroleum from unstable sources with renewable substitutes. The current RFS structure incentivizes the blending and sale of renewable fuel products by fuel retailers and marketers, while supporting continued supply and stable prices. 

NACS and SIGMA applaud EPA for its attention to this serious issue and for commencing an open, public process that will permit all stakeholders to review and provide feedback to EPA on its analysis.

The associations concur with EPA’s conclusion and the sound reasoning supporting that position. This is an issue that extends far beyond the fuel industry, and NACS and SIGMA commend EPA for protecting the American consumer and for preventing an unnecessary upheaval in the nation’s fuel market.

NACS and SIGMA will continue to advocate on behalf of fuel retailers and marketers and their customers, and to educate policymakers on this complex issue.