Capito agrees with report findings on small refinery exemptions under RFS

U.S. Sen. Shelley Moore Capito (R-WV) applauded a Nov. 3 report issued by the Government Accountability Office (GAO) that says the U.S. Environmental Protection Agency (EPA) does not have assurance that its decisions about small refinery exemptions under the Renewable Fuel Standard (RFS) are based on valid information.

“Today’s report provides more evidence that the Biden administration’s war on American energy continues to stifle growth and inflict harm on workers and employers across the country,” said Sen. Capito, ranking member of the U.S. Senate Environment and Public Works Committee, on Nov. 3. 

“Small refineries, including those in West Virginia, often can’t comply with burdensome RFS regulations, yet their exemption requests have been met with delayed decisions and blanket denials based on flawed metrics,” she said. 

Earlier this year, the EPA denied 61 petitions from small refineries for relief under the RFS for the 2019, 2020, and 2021 compliance years, claiming that the RFS compliance costs for small refineries are equal to the RFS compliance costs for larger refineries, according to Sen. Capito’s office. 

However, the GAO report says that the EPA has no basis to claim that small and large refineries bear the same costs when complying with the RFS. 

The GAO also made seven recommendations, including that the EPA reassess its conclusion that all small refineries recover their RFS compliance costs in the price of the gasoline and diesel they sell; that the U.S. Department of Energy and the EPA develop documented policies and procedures for making small refinery exemption decisions; and that the EPA develop procedures to ensure that it meets deadlines, according to the report.

“It’s encouraging to see the GAO report recommend the EPA reassess its procedures, improve its decision-making, and, importantly, stop penalizing small refineries,” Sen. Capito said. “I look forward to leading efforts to ensure these recommendations are implemented properly and America’s small refineries are protected.”