WASHINGTON, Nov. 1, 2017 - Following a recent announcement that the Environmental Protection Agency (EPA) would reject petitions to move the Renewable Fuel Standard (RFS) point of obligation and not allow Renewable Identification Number credits (RINs) for exported ethanol, RINs are trading higher and ethanol opponents have renewed efforts to characterize RINs as driving fuel prices higher. Meanwhile, some ethanol producers and marketers are taking advantage of the higher RIN values to offer denatured ethanol as low as 30 cents per gallon and E85 at 55 cents per gallon (plus tax and freight) this week. American Coalition for Ethanol (ACE) Senior Vice President Ron Lamberty says, in fact, RINs do exactly the opposite of what critics claim, and the proof is higher ethanol-blended fuels at lower prices at the pump in real-world stations across the U.S. A RIN credit is a reward for RFS compliance. Companies complying with the RFS or blending more ethanol than required can use the additional RINs to discount prices of ethanol-blended fuels.
ACE challenges oil industry claims that RIN values drive fuel prices higher