Oklahoma U.S. Senators Jim Inhofe and James Lankford and a handful of other oil-state Republicans have their marching orders from President Trump when it comes to a biofuels compromise.
“Trump wants us to come to him with something that’s going to make both sides happy, and I believe we can do it and believe he thinks we can do it after this meeting,” said Sen. Inhofe as he left the White House on Thursday.
The directive is to come up with a plan that will benefit both gasoline makers and corn growers. As for the meeting, it was held after nine lawmakers requested to talk with the President about the Renewable Fuel Standard which requires refiners to blend increasing amounts of biofuels into the fuel supply every year. The requirement, they argued, was threatening to put refineries out of business.
To date however, the Trump administration has sided with Big Corn and not with the refining industry. Afterward, the White House called the meeting “productive” and said President Trump remained committed to the RFS, farmers and energy workers.
“He understands there are differing views on this issue, and the Administration looks forward to working with all the stakeholders toward a mutually agreeable path forward,” said spokesman Hogan Gidley in a statement.
What’s Sen. Chuck Grassley think? “I’m waiting for Senator Cruz to give me a plan. He said he had a win-win plan.”
Team ethanol not so thrilled: Ethanol Industry groups Growth Energy and the Renewable Fuel Association were skeptical of Cruz’s claims that RIN prices were hurting biofuels. RFA noted the numerous analyses that show refiners are making money on RINs this year, while Growth suggested that maybe they could take the pressure off by allowing year-round sale of E15. And a spokesman for POET, which makes more ethanol than anyone, minced no words. “It looks like Ted Cruz is doing the same old thing playing with the facts,” said Kylie Gilley, POET Senior Vice President of External Affairs & Communications. “The fact is in the current market, some oil companies win and some don’t playing the RIN market.”
