You have to love the Obama EPA. They are on a mission to make sure every energy product in America goes up in price. Mandating requirements of high-priced green alternatives will insure that. Closing low-cost coal power plants will insure that. Keeping ethanol in gasoline will insure that. Trying to stop fracking will most certainly insure that. But, here’s the best story. My favorite.
By their own admission, less than one-tenth of one percent of the mandated amount of alternative biofuels will come from cellulosic biofuel. Despite a congressional target that the fuel be made from plant stalks and other inedible materials, account for more than 3% of the total.
The EPA will set the required volume of cellulosic fuel at 8.65 million gallons for 2012. The EPA has the authority to set the minimum volume requirement based on industry capacity to produce. This number is far above industry projections for 2012 production.
If a refiner can’t find the biofuel they must purchase credits from, yes, the EPA. The credits cost about $1.20 a gallon.
Several biofuel producers have gone broke with government money. Under the radar, unlike Solyndra.
Here we go again. Congress had set the number in 2007 to be 500 million gallons of biofuel in 2012 going to 16 billion in 2022.
Where will the millions the refiners must pay for credits go in 2012? Back into the cost of the gasoline. Yet when gasoline prices go up the government blames the refiners. Nice gig if you can get it. Cause the problem then blame it on others and get away with it since a complicit media and a dishonest government makes it work.
Just another reason to be done with Obama and Lisa Jackson. (head of the EPA)
