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EPA issues Texas fuel waiver: Update

  • Market: Emissions, Oil products
  • 28/08/17

Updates with RFA request

Federal regulators have temporarily waived Clean Air Act requirements for gasoline and diesel sold in Texas to help limit disruptions to fuel supplies resulting from Hurricane Harvey.

The US Environmental Protection Agency (EPA) on 25-26 August approved and expanded a waiver covering reformulated gasoline, low Reid vapor pressure (RVP) and low-emission diesel requirements for much of the state, at the request of the Texas Commission on Environmental Quality.

The waiver temporarily lifts the reformulated gasoline requirements for the Houston-Galveston and Dallas-Fort Worth regions, while the fuel volatility requirements are lifted for 98 counties in eastern Texas. EPA is also allowing fuel that meets federal ultra-low sulfur diesel specifications to be sold in 110 counties required to use Texas Low-Emission Diesel. The requirements help parts of Texas meet federal air quality standards, including limits for ozone, a contributor to smog.

The waiver will be in effect until 15 September.

The Renewable Fuels Association (RFA) today asked the agency to further expand the waiver to relax RVP limits, a measure of a fuel's volatility, for all finished gasoline blended with ethanol nationwide. The ethanol industry trade group said such a move is needed to give blenders and refiners additional flexibility to deal with any logistical challenges and potential supply shortfalls that could lead to gasoline price spikes.

It would also allow blenders to use up to 15pc ethanol by volume in gasoline, "providing a badly needed source of additional supply and helping to offset gasoline shortfalls resulting from refinery and terminal outages," RFA said in a letter to EPA administrator Scott Pruitt.

The Clear Air Act allows the EPA administrator, in consultation with the Department of Energy, to waive certain fuel requirements to address shortages that occur as a result of the storm. EPA said it will continue to monitor the fuel supply situation in Texas and could take additional action if necessary.


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