WASHINGTON, Mar. 1, 2023—American Fuel & Petrochemical Manufacturers (AFPM) Senior Director of Fuels & Vehicle Policy Patrick Kelly today issued the following statement on the Environmental Protection Agency’s announcement that it will grant requests from eight Midwestern states to remove the 1.0 psi RVP waiver from summertime gasoline effective next year. If implemented, these states will no longer be able to sell the current blend of summertime gasoline and a new grade of gasoline will need to be manufactured and supplied to the region.
“A policy change for this summer would have been completely infeasible. Summer gasoline production is already underway, so EPA did the right and obvious thing by taking 2023 off the table. The proposed implementation in 2024, however, remains a significant problem. A new Midwest summertime gasoline blend for 2024 and subsequent years would cost more to produce and distribute, reduce overall supply and inflict unnecessary harm on consumers. A legislative approach that addresses the needs of all stakeholders would provide a more durable and less disruptive solution than creating requirements for costly new fuel blends.
“Fuel manufacturers and regional pipeline and terminal operators have made clear to the Biden administration and the eight petitioning states that the push to outlaw the current blend of summertime gasoline and replace it with a boutique blend is going to impose major costs on the Midwest’s fuel supply chain and consumers—ranging from $500-$800 million per year, and potentially higher if unforeseen interruptions occur.
“Not every refinery, pipeline and terminal serving the Midwest has the ability to seamlessly produce, transport and store a new blend of gasoline, and it could take years to permit and complete infrastructure projects to resolve this. Removing the RVP waiver next year could still leave the Midwest subject to tighter fuel supplies with less gasoline and less diesel produced in-region during the summer driving season. Governors should not be risking this on behalf of their states and constituents.”
– Patrick Kelly, AFPM Senior Director of Fuels & Vehicle Policy
The American Fuel & Petrochemical Manufacturers (AFPM) is the leading trade association representing the makers of the fuels that keep us moving, the petrochemicals that are the essential building blocks for modern life, and the midstream companies that get our feedstocks and products where they need to go. We make the products that make life better, safer and more sustainable — we make progress.
