King’s Remarks on the EPA’s RVO Proposal

King Congressman Steve King released the following statement after the Environmental
Protection Agency (EPA) announced the 2014 Renewable Fuels Standard (RFS),
Renewable Volume Guidelines (RVO) numbers today. The EPA has proposed new
lowered RFS requirements as follows: 14.4 billion gallons to 13 billion gallons
of conventional renewable fuel, and the total RFS volumetric requirement from
18.15 billion gallons to 15.21 billion gallons.

“We should promote competition within the United States fuel industry,” said King. “The RFS
is the only tool that provides market access so that ethanol and other renewable
fuels can be sold in competition with petroleum. Today’s EPA announcement
indicates a shift in the Obama Administration away from renewable fuels and in
favor of foreign and domestic petroleum. Ethanol is the only fuel produced in
large enough volume to compete with what has been a 100% petroleum mandate. It
is disappointing the EPA has decided to lower RFS numbers and make the United
States more dependent on foreign sources of energy when we have the means to
produce cleaner, greener fuels right here in America.

Through the passage
of the Energy Independence and Security Act of 2007 (EISA), Congress promised
the federal government would provide market access up to the RFS levels provided
the renewable fuels industry produces the necessary fuel. At that time, the oil
industry claimed the ethanol industry would not be able to produce the fuel
necessary to meet RFS goals. They were wrong. This year the United States
Department of Agriculture (USDA) is projecting American farmers will harvest the
largest corn crop in history. We have sufficient supplies to more than meet all
needs for corn, including supply for the ethanol market. For most of 2013,
ethanol has been the cheapest fuel on the market, BTU to BTU, significantly
driving down the price of gasoline. Today’s EPA decision sends a strong negative
message to the renewable fuels industry that has, so far, responded reliably to
government and market signals.”

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