Jack Lipinski CEO of CVR refinery
As I’ve said, many, many times before, RINs continue to be an egregious tax on independent merchant refiners and small fuel retailers. RINs prices have been extremely volatile this year, which further proves the fact that the RINs market is manipulated. RINs were intended to be a compliance mechanism, not a contrived trading platform. EPA continues to ignore this. I was also disappointed when EPA failed to address consumer demand in setting the preliminary RVO obligations for 2018. They have ignored the fact that more than 5 billion gallons of E0 are sold, that’s gasoline without ethanol and large part because certain consumers simply do not want to purchase ethanol-blended gasoline. However, EPA allows imported biodiesel to generate RINs in order to meet their unrealistic goals. This undermines our national security and the intent of the RFS, which leads to reduced U.S. dependence on foreign energy sources. (I am adding this from the EPA web site:, Congress created the renewable fuel standard (RFS) program to reduce greenhouse gas emissions and expand the nation’s renewable fuels sector while reducing reliance on imported oil.)
Foreign biodiesel now accounts for 40% of the biodiesel blended in the U.S. Cellulosic RINs are another mandated failure. Only through the magic of EPA engineering can methane captured from landfill be used to generate a cellulosic RIN. The EPA set cellulosic goals even though the supply sources have never been fully developed. In my 45 years in the business, I have yet to figure out how to defy the laws of chemistry and physics to blend methane into gasoline. It’s time for EPA to act.