U.S. Sens. Bob Casey (D-PA) and Reps. Brian Fitzpatrick (R-PA-1), Mary Gay Scanlon (D-PA-5), and Brendan Boyle (D-PA-2) are three who have introduced the Safeguarding Domestic Energy Production & Independence Act to bring down rising compliance costs associated with the Renewable Fuel Standard (RFS) and ensure our Nation’s independent refiners can afford to continue production. This legislation will protect the jobs of refinery workers while also creating a new revenue stream that would fund investments in conservation, agricultural production, and advanced biofuel development.

“The skyrocketing price of RFS compliance is threatening our Nation’s refining capacity and the futures of thousands of skilled union workers and their families across the Northeast,” Casey said. “The Safeguarding Domestic Energy Production & Independence Act will provide certainty and predictability for the workers at merchant refineries like the Monroe Energy Refinery in Marcus Hook, all while supporting the transition to renewable fuels.”

The Renewable Fuel Standard was created to reduce greenhouse gas emissions and expand the United States’s renewable fuels sector while reducing reliance on imported oil. In order to comply with the RFS, refiners must submit credits known as Renewable Identification Numbers (RINs), which in recent years have sharply risen in price. As compliance costs have surged, many refiners are now spending more on RINs than all other operating costs combined, putting their long-term viability at risk.

“This bipartisan, bicameral legislation is a crucial step in addressing Renewable Fuel Standard compliance costs,” Congressman Boyle said. “These costs pose a threat to the livelihoods of thousands of skilled laborers in our region. This legislation will help union workers by ensuring renewable fuel credits are issued at a lower, fixed cost for compliance, creating a new source of revenue to fund critical activities in this field.”

The Safeguarding Domestic Energy Production & Independence Act will reduce the cost of the RFS without adversely impacting ethanol consumption. Specifically, this bill would direct the Environmental Protection Agency (EPA) to issue and sell “conventional biofuel waiver credits” at a low, fixed price for refiners to use for RFS compliance if they are unable to obtain RINs cost effectively in the marketplace. The program would operate similarly to EPA’s waiver credit program for cellulosic biofuel.

The creation of a conventional biofuel waiver credit would create a new revenue stream that would be directed towards the following activities:

Grants and technical assistance for petroleum refiners to make investments in the development and deployment of advanced biofuels, such as sustainable aviation fuel or clean hydrogen.

Financial and technical assistance for agricultural producers to support investments in advanced biofuel crops and diversified cropping systems.

Conservation funding to support wildlife and habitat restoration in areas that have experienced significant land-use conversion.

The bill is endorsed by the Chester County Chamber of Business and Industry, the Delaware County Chamber of Commerce, the Delaware County Council, the Greater Reading Chamber, the Pilot’s Association for the Bay and River Delaware, Eastern Atlantic States Regional Council of Carpenters, Ironworkers Local 401, the International Brotherhood of Boilermakers, Boilermakers Local 13, IBEW Local 654, IBEW Local 98, IUPAT District Council 21, Laborers’ Local 413, the National Wildlife Federation, NECA Penn-Del-Jersey, the PA Chamber of Commerce, the Pennsylvania Bus Association, the Pennsylvania Chemical Industry Council, the Pennsylvania Manufacturers’ Association, the Philadelphia Area Labor Management Committee, the Philadelphia Building and Construction Trades, Philaport, the Pittsburgh Area Airport Chamber of Commerce, Sheet Metal Workers’ Local 19, the Chamber of Commerce for Greater Philadelphia, Philadelphia Plumbers Local 690, Sprinkler Fitters 692, Steamfitters Local 420, the United Steelworkers International, and USW Local 10-234. You can read a full list of endorsements here.