A coalition of union workers and independent American refiners fighting to fix EPA’s flawed Renewable Fuel Standard.
Joined April 2017
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In a recent @thehill op-ed, Heritage Foundation’s Derrick Morgan argues that a diesel export ban would drive up prices rather than lower them.
Morgan calls for repealing the Renewable Fuel Standard, stating its biomass-based diesel and high-ethanol mandates "force more expensive gallons into the fuel pool." thehill.com/opinion/energy-e…
We agree that the RFS is long overdue for reform. Higher biofuel mandates can drive up compliance costs and increase gas and diesel prices for consumers. Congress should pursue practical reforms focused on consumer costs, fuel affordability, and American energy security. #FixTheRFS
While @ChuckGrassley is right that high diesel prices are squeezing farmers, he’s looking in the wrong place for a solution. An Export Embargo would backfire. If refiners can't sell into global markets, production falls, resulting in less gasoline and other fuels being available for domestic consumption. This tightens supplies and drives pump prices even higher.
Even worse, biomass-based diesel required under the RFS costs about $4/gal more to make than petroleum diesel, yet Grassley keeps pushing to mandate even more. Here's the catch: if wholesale diesel prices fall, RIN prices must rise to keep that higher-cost fuel economically viable. In other words, as diesel gets cheaper, the RFS compliance tax gets more expensive.
That means farmers, truckers, and others who rely on reliable, affordable diesel wouldn’t even feel a benefit of falling wholesale prices without a reduction in RFS volume requirements. If @ChuckGrassley and his allies in the Senate truly want to lower diesel prices, they should start with reforming the overly aggressive RFS mandate which is making diesel more expensive.
Fueling American Jobs Coalition retweeted
.@ChuckGrassley knows a lot about government intervention in energy markets.
1. His beloved Wind Production Tax Credit has cost American taxpayers well over $300-400 billion.
2) His beloved RFS is currently adding around 40 cents to the cost of a gallon of gasoline.
3) His beloved biomass based diesel costs $4 PER GALLON MORE to make than petroleum diesel and he wants to mandate more. And because of how the RFS works, if wholesale diesel drops, the RIN will have to tax it higher to subsidize more costly biomass based diesel enough to make economic. So farmers won't even feel the benefit of lower wholesale diesel without an RFS reduction.
W diesel $6.57 in Iowa why doesn’t Pres Trump put an embargo on diesel exports like presidents in the 70s put embargoes on ag products bc food prices were inflated. High diesel prices ARE KILLING FARMERS INCOME #cornwatch #soybeanwatch
According to the EIA, even with refineries running near full capacity, gasoline and diesel inventories remain well beneath their five-year low ranges. That should concern every policymaker, commuter, small business, and family that depends on affordable, reliable fuel.
All the while, the Renewable Fuel Standard is estimated to add 36 cents to every gallon of gasoline. At a time like this, policymakers should be looking for ways to lower costs for consumers, not maintaining unrealistic mandates that drive prices at the pump even higher.
Washington should be removing regulatory burdens that make it harder to keep refineries operating and run counter to promises to unleash American energy. Strengthening America’s refineries means a more reliable fuel supply, greater energy security, and more protection for consumers when disruptions occur.
Recent reporting from Politico found that increased diesel prices are expected to hit red states hardest. The pain will be felt first in rural, blue-collar communities and industries like farming and trucking before moving through the broader energy supply chain.
politico.com/news/2026/09/01…
Small and independent refiners bear much of the RFS compliance burden, but consumers, businesses, and local governments ultimately pay through higher fuel prices and transportation costs. The RFS adds more than 30 cents per gallons, with recent analysis from Energy Policy Research Foundation estimating 45 cents per gallon at the pump.
“...As the EPA now concedes, the cost of acquiring [RFS compliance credits] gets passed on to gasoline consumers. For motorists, that means higher prices at the pump. In fact, the Energy Policy Research Foundation estimates that the cost of purchasing RINs raises the price of fuel by 45 cents per gallon.” – Derrick Morgan, Executive Vice President, Heritage Foundation
