EPA USES RENEWABLE IDENTIFICATION NUMBERS (RINS) TO TRACK RENEWABLE FUEL CREATING LUCRATIVE TRADE IN FRAUDULENT RINS

 WASHINGTON, JULY 10, 2012 – The EPA created renewable identification numbers (RINs) to serve as a credit for the production and blending of renewable fuels and they are used for compliance purposes. “Where ethanol RINS trade for around two cents each, biodiesel RINS have traded for upwards of $1.50 each,” said Rep. Cliff Stearns (R-FL), Chairman of the House Energy and Commerce Committee’s Subcommittee on Oversight and Investigations. “While making the biodiesel market for economical and competitive the relatively high price has brought about fraud.  Over the past year, the production and trade in fraudulent RINs has become a significant problem within the market for biodiesel fuels.”

The Subcommittee on Oversight and Investigations is holding a hearing on Wednesday, July 11^th at 10:00AM in 2322 RHOB entitled “RIN Fraud:  EPA’s Efforts to ensure Market Integrity in the Renewable Fuels Program.”  The hearing will examine EPA’s handling of fraud in the production and trade of RINS. 

 Witnesses:

Panel 1) Jennifer Case, Co-founder and CEO, New Leaf Biofuel; Thomas Paquin, President, VicNRG, LLC; Joe Jobe, CEO, National Biodiesel Board; Andy Sprague, Owner/Operator, Union County Biodiesel Co. LLC; J.P. Fjeld-Hansen, Managing Director, Musket Corp.; Charles Drevna, President, American Fuel and Petrochemical Manufacturers.

Panel 2) Byron Bunker, acting Director, Compliance Division, Office of Transportation and Air Quality, EPA; Phillip Brooks, Director, Air Enforcement Division, Office of Enforcement and Compliance Assurance.