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Five Reasons to Rethink the Food-For-Fuel Mandate
1. RFS: 5 REASONS TO RETHINK THE FOOD-FOR-FUEL MANDATE
OVERVIEW
The Renewable Fuel Standard (RFS) is a federal mandate enforced by the Environmental Protection Agency (EPA) requiring the blending of billions of gallons of biofuels—mainly ethanol made from corn— into America’s motor fuels supply.
Despite legitimate concerns about economic, environmental and vehicle damage—and bi-partisan opposition from lawmakers, refiners, vehicle manufacturers and NGOs alike—the EPA continues to enforce this unworkable policy.
2. RFS: 5 REASONS TO RETHINK THE FOOD-FOR-FUEL MANDATE
FOOD PRICES
The RFS has spiked demand for corn—a primary ingredient for ethanol—pushing up prices of corn by 275 percent since the policy went into effect in 2006.
In 2012, despite the worst drought in 50 years, the United States diverted 40 percent of its corn crop into fuel to satisfy the RFS— increasing corn prices and food costs across the country.
In fact, thanks to RFS-driven increases in food prices, the average American family of four spent an extra $2,000 on groceries last year.
3. RFS: 5 REASONS TO RETHINK THE FOOD-FOR-FUEL MANDATE
IMPACTS FOR REFINERS
Refiners are also coping with the economic impact of the RFS. As renewable mandates increase each year while demand for fuel decreases, refiners are forced to blend a larger percentage of biofuels into the gasoline and diesel pool. A NERA study shows that this will lead to higher fuel costs. The destructive cycle repeats year to year, compounding and further increasing the cost of fuel and reducing supplies.
4. RFS: 5 REASONS TO RETHINK THE FOOD-FOR-FUEL MANDATE
ENVIRONMENTAL IMPACT
If you thought “at least ethanol is environmentally friendlier than gasoline,” think again. While one gallon of gasoline takes five gallons of water to produce, one gallon of ethanol can require up to 170 gallons of water.
Corn ethanol also contains 33 percent less energy per gallon than gasoline, meaning that vehicles get lower fuel economy than with traditional gasoline, forcing consumers to fill up more.
Furthermore, large areas of grasslands and wetlands are being converted to produce biofuel feedstocks like corn and soybeans, disrupting ecosystems in the process.
5. RFS: 5 REASONS TO RETHINK THE FOOD-FOR-FUEL MANDATE
VEHICLE DAMAGE
The RFS also harms our engines. The EPA fully approved the sale of gasoline with 15 percent ethanol (E15) for use in 2001 and newer vehicles in all markets across the country.
However, the Coordinating Research Council’s studies have shown that E15 could damage engines, fuel pumps and onboard fuel measurement systems in these vehicles, potentially affecting millions of drivers.
•Auto manufacturers say that vehicle warranties will not cover damage caused by E15;
•AAA has called to halt the sale of E15; and
•Studies have found that more than 50 percent of retail fueling equipment may be incompatible with E15.