Fuel Retailers Respond to Administration's Final Rule for Lowering Carbon Emissions From Light-Duty Vehicles

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Mar 20, 2024, 16:58 ET

ALEXANDRIA, Va., March 20, 2024 /PRNewswire/ -- NATSO, representing America's travel centers and truck stops, SIGMA: America's Leading Fuel Marketers, and the National Association of Convenience Stores (NACS), issued the following statement in response to the Environmental Protection Agency's Light-Duty Vehicle Greenhouse Gas Regulations and Standards Final Rule.

"We share the Administration's objective of lowering transportation emissions and appreciate that the Biden Administration is trying to work toward a more viable approach to reducing carbon emissions from light-duty vehicles. However, today's Light-Duty Vehicle Greenhouse Gas Regulations and Standards Final Rule represents only a modest improvement from the proposal.

"The fastest, most efficient way to lower carbon emissions remains through technology-neutral, market-oriented, consumer-focused policies that encourage all fueling technologies to improve their respective emissions. This rule does not do that. Instead, it functions as an effective mandate for a single technology that at this point has not proven itself to be more viable than other compelling solutions.

"The associations represent 90 percent of fuel sold at retail. Fuel retailers are at the forefront of investments in new refueling technologies and are actively investing in many technologies that reduce carbon emissions from transportation fuels. Rather than focus on a single technology, they all should be supported at a level that is proportionate with their relative climate benefits and commercial viability.

"Additional policies and market reforms more closely tied to reality are necessary to encourage private sector investment in alternative fuel technologies, including electric vehicle charging stations.

"Toward that end, NATSO, NACS and SIGMA urge the Biden Administration and Congress to pursue policies that:

Permit owners of direct current (DC) fast chargers to generate electronic Renewable Identification Numbers (e-RINs) when the electricity is produced from qualifying feedstocks. Allowing fuel retailers to capture the value derived from e-RINs would enable private fuel retailers to overcome arcane utility regulations that make it unnecessarily challenging to install and operate charging stations. Automakers, while lamenting the lack of publicly available charging stations, have at the same time discouraged EPA from allowing EV charging owners to generate valuable e-RINs, instead wanting the vehicle manufacturers to reap those benefits.
Create a new, competitive marketplace for fast, publicly accessible EV charging stations. Regulated utilities should be encouraged to create EV-specific rates that allow businesses to confidently invest in charging stations. Unless charging station operators can make money selling electricity to EV drivers, EV drivers will continue to have challenges finding attractive places to refuel. Grant money and stringent tailpipe emission standards cannot overcome that.

"Today's Final Rule addresses the needs of automakers and their key manufacturing supply chains but does not sufficiently consider the need to build out a safe and reliable EV charging station network.

"President Biden's goal of establishing a nationwide network of electric vehicle charging stations is best achieved by harnessing the existing nationwide network of refueling locations. Fuel retailers today are installing electric vehicle charging stations without any clear signal that they will one day generate a return on the investment. The industry is accustomed to long return horizons for their investments; nevertheless, there must be a much clearer pathway to profitability than currently exists to meet the Biden Administration's desired timetables."

About NATSO, NACS, and SIGMA

NATSO is the trade association of America's travel plaza and truck stop industry. Founded in 1960, NATSO represents the industry on legislative and regulatory matters; serves as the official source of information on the diverse travel plaza and truck stop industry; provides education to its members; conducts an annual convention and trade show; and supports efforts to generally improve the business climate in which its members operate. Contact: Tiffany Wlazlowski Neuman, Vice President, Public Affairs. 202-365-9459

NACS advances the role of convenience stores as positive economic, social and philanthropic contributors to the communities they serve. The U.S. convenience store industry, with more than 153,000 stores nationwide selling fuel, food and merchandise, serves 165 million customers daily—half of the U.S. population—and has sales that are 10.8% of total U.S. retail and foodservice sales. NACS has 1,900 retailer and 1,800 supplier members from more than 50 countries.

SIGMA is the national trade association representing the most successful, progressive, and innovative fuel marketers and chain retailers in the United States and Canada. Founded in 1958 as the Society of Independent Gasoline Marketers of America (SIGMA), SIGMA has become a fixture in the motor fuel marketing industry. Representing a diverse membership of approximately 250 independent chain retailers and marketers of motor fuel, the association serves to further the interests of both the branded and unbranded segment of the industry while providing information and services to members. For more information visit SIGMA.org.

SOURCE NATSO, Inc.