Costs of new fuel standards may exceed expections

06/25/2001
The wave of new regulatory fuel standards, especially the MTBE phaseout, will likely cost refiners more than industry watchers and legislators expect.In the past, the refining industry has met new regulatory standards (for example, Reid vapor pressure reduction; federal reformulated gasoline, RFG; California RFG; and Environmental Protection Agency, EPA, diesel) at costs well below the industry's own forecasts.Those accustomed to these pleasant surprises may expect the cost of the new fuel regulations to be less than estimated.Cost estimates today are less inflated than those of the past, however, and the near concurrent start dates of the new regulations could affect the costs of com...
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