East Central South Dakota | The most important point, in my mind, is the premium of the price of RINS for the refineries is totally self inflicted. The refineries themselves are driving up the price of RINS simply because they refuse to give ethanol, market access and/or displace their own products. Instead of buying RINS at a premium price----all the refineries would have to do is buy more ethanol and splash a higher blend to generate the RINS to offset their gasoline production. Spend your money on inflated RINS price or spend it on infrastructure to blend ethanol---big oil with a retail arm has spent the money on blending infrastructure, but still even they won't blend beyond the e-10 mandate. The independents have dug their heels in and refuse to blend to offset production. The PUBLIC MUST KNOW the economic harm of self infliction is simply caused by the conscious refusal to simply blend ethanol----the refineries have more options then they are trying to sell the public...
China, India, Europe and Brasil are going down the road of more ethanol not less. Big oil wants us to go backwards toward less ethanol. The efficiencies gained in the last 5 years in the ethanol industry has given big oil a panic and want to see ethanol go away before it goes from an oxygenated additive to a base stock replacement. |
Why do we need the rfs?
