AAA Calls For 90-Day Waiver Of Implementation Of New Fuel Requirement
16 June 2000
AAA Calls For 90-Day Waiver Of Implementation Of New Fuel RequirementWASHINGTON - In a letter today to EPA Administrator Carol Browner, AAA recommended for selected areas in the U.S. an immediate 90- day reprieve from the agency's current requirement that reformulated fuels (RFG-2) be offered as a part of local clean air compliance. On behalf of its 39 million U.S. members AAA asked for a temporary "cooling off" period because implementation of the regulations is contributing to high gas prices currently over $2.00 per gallon in certain sections of the country. The association is asking EPA to help in providing relief to motorists, in particular, areas of the Midwest, Kentucky and Minnesota should be considered immediately. In the letter which follows, AAA points out that a 90-day waiver would 1) provide motorists relief through the summer driving season when demand is high for gasoline, 2) provide both EPA and DOE additional time to determine the causes of current price levels and 3) give the oil industry additional time to provide adequate supplies of RFG-2 fuel in compliance with EPA regulations. AAA is a not-for-profit federation of 86 clubs with 1,100 offices providing nearly 43 million members in the United States and Canada with travel, insurance, financial and auto related services. A copy of the letter to EPA Administrator Carol Browner follows. June 15, 2000 The Honorable Carol Browner Administrator U.S. Environmental Protection Agency 401 M Street, S.W. Washington, DC 20460 Dear Administrator Browner: In the last few weeks certain sections of the country using reformulated gasoline have witnessed dramatic increases in the price of fuel. Motorists are now paying gas prices well over $2.00 per gallon in certain sections of the Midwest. Moreover, there are wide price differentials within the region. In fact, AAA concurs with a recent media statement by Assistant Administrator Robert Perciasepe that "The (gasoline) prices being charged are unfair and inappropriate. We see no good explanation for why these price differentials exist in the Midwest ... " Therefore, on behalf of more than 39 million AAA members in the United States -- and particularly the more than 6 million AAA members residing in Wisconsin, Michigan, Illinois, Minnesota, Indiana, Kentucky and Ohio -- we recommend an immediate 90 day reprieve from your agency's current requirement that reformulated fuels (RFG-2) be offered as part of local clean air compliance programs. EPA is in a position to help motorists who need relief throughout the country but, in particular, areas of the Midwest and Kentucky should be considered immediately. A temporary "cooling off" period would offer the following advantages. First, it would help alleviate price pressure which motorists are currently enduring. We are now in the heaviest driving season of the year with strong demand for gasoline. Current price levels are placing an undue burden on those required to commute daily to work. Moreover, American families who have made summer vacation plans are facing significant and unexpected increases in their travel costs. Secondly, it would provide both the EPA and DOE additional time to determine the causes of the current price levels. Finally, a 90 day "cooling off" period would give the oil industry additional time to provide adequate supplies of RFG-2 fuel in compliance with EPA regulations. AAA shares the EPA's desire to attain a healthful and clean environment, and supports the use of clean-burning fuels where appropriate at reasonable cost. However, the sudden and high increase in fuel prices that has occurred this summer is adversely affecting millions of motorists who must drive each day to earn a living and make other mandatory trips by motor vehicle. And no reasonable explanation for the excessive costs has been determined. AAA has received many calls and letters from our members throughout the United States objecting to the current high price of gasoline. At a minimum they deserve an explanation of the reasons behind current prices. I know you are seeking that explanation. In the meantime, we believe a 90 day suspension of RFG-2 regulations for at least selected areas in the Nation would be in the best interests of the traveling public. Sincerely, Susan G. Pikrallidas Vice President Public Affairs