Posted: May 12, 2014
A story out today from Reuters claims that a major airline and a private equity firm with Philadelphia oil refinery connections are the main forces behind the Obama administration proposal to lower volume requirements for biofuels under the Renewable Fuel Standard (RFS) this year.
According to the article, it was The Carlyle Group and Delta Air Lines, owners of two refineries in the Philadelphia area, that put the pressure on the administration to cut back on biofuels requirements by convincing policymakers that “the rising mandates would cripple their businesses and threaten thousands of jobs.”
Just one of many interesting points made in the article is that in July and August of last year, “17 refiners and their allies visited the White House’s rulemaking arm, the Office of Management and Budget (OMB) to discuss the RFS. Only six biofuel supporters visited the OMB over the same time.” Reuters even produced a graphic to illustrate the comparison between visits by oil and ethanol lobbying interests last year.