Posted on 04/02/2013 10:46:47 PM PDT by neverdem
The word “gasoline” no longer characterizes the stuff we put into our cars. Owing to regulations forced on the refining industry, “Frankenol” might be more accurate.
This government-engineered, market-distorting fuel is a blend of 90 percent gasoline and 10 percent ethanol (E10). Originally conceived to breathe life into the fledgling U.S. ethanol industry and reduce our dependence on foreign oil, continued tinkering with the renewable fuel standard (RFS) has turned the program into a nightmare.
The RFS requires refiners to blend increasing amounts of ethanol into the nation’s fuel pool annually. Last year, they were responsible for blending a minimum of 13.2 billion gallons. This year, the figure stands at 13.8 billion gallons. By 2022, the RFS mandate will require 36 billion gallons.
To document compliance, refiners track the RINs (renewable identification numbers) applied to every gallon of ethanol purchased, or they buy paper RINs, which are credits paid to ethanol producers. In either case, refiners have to spend real money to comply with the law.
In creating the RFS program, the government assumed that gasoline demand would continue to rise. It was wrong.
With more fuel-efficient vehicles, a lackluster economy and higher prices at the pump, gasoline demand has declined to the lowest level in 18 years.
As a result, refiners are stuck between the proverbial rock and a hard place: They have had to reduce fuel production because demand is down, yet they have to comply with the increasing ethanol mandate. This means they are buying more ethanol credits in the form of RINs but purchasing fewer gallons of ethanol. As a result, millions of gallons of corn-based ethanol are sitting in storage tanks, while the price of RINs has climbed 20-fold in the past 90 days. Industry analyst Byron King says the RIN credit gimmick has...
(Excerpt) Read more at washingtontimes.com ...
You’re right about paint.
Idiot libs killed off the use of a lot of good stuff.
Asbestos and lead are definitely both on that list.
They didn’t have enough brains to discriminate between smart and stupid uses of them.
“Louie, welcome back to the fight.”
This time it is not the Germans but something more foul. The corn Lobby.
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