Philadelphia Energy Solutions to file for bankruptcy
You might ask how news of a bankruptcy filing fits into the Clean Power Professionals community. From the article:
Part of the refiner’s financial troubles stem from a costly biofuels law called the Renewable Fuels Standard, which is administered by the Environmental Protection Agency and requires refiners to blend biofuels into the nation’s fuel supply every year, or buy credits from those who do. Since 2012, Philadelphia Energy Solutions has spent more than $800 million on credits to comply with the law, making it the refiner’s biggest expense after the purchase of crude, according to the memo.....Critics have argued the company’s woes are an example of what is wrong with the program, while supporters say the company’s troubles are more closely related to its lack of access to cheaper crude oil supplies.
The Trump administration has, so far, maintained a status quo in renewable energy fuel standards. Last year, EPA chief Scott Pruitt issued a ruling that keeps the supply steady at 15 billion gallons for 2018. But the decision left most stakeholders, including the Senator who lobbied for Iowa, dissatisfied. Frank Macchiarola, downstream director for the American Petroleum Institute, said at the time that Pruitt "faces the daunting task of implementing a broken program that was based on incorrect assumptions made over a decade ago."