Nick Snow
Washington Editor
WASHINGTON, DC, Mar. 19 -- The American Petroleum Institute has launched the API Credit Exchange (ACE) in response to members' requests for help in meeting new federal laws that dramatically increase the amount of renewable fuels in gasoline supplies.
The secure, Internet-based system will allow market participants to identify buyers and sellers of renewable fuels credits, API said in announcing the program Mar. 19.
It said ACE will fulfill the trading requirements that the US Environmental Protection Agency established in September while implementing the 2005 Energy Policy Act's renewable fuels standard. Congress expanded that standard late last year as part of the 2007 Energy Independence and Security Act, API noted.
As part of that implementation, EPA set up a credit trading program to assure that the oil industry could comply with the RFS and still have the flexibility to meet domestic motor fuel needs. While ACE will be a clearinghouse for companies seeking trading partners, the actual credit trades will take place outside the system. Subscribers will pay an annual fee for the service.
"ACE is designed to help our companies and all affected companies comply with the new law," said John Modine, API's certification programs director. "This service allows parties wanting to buy or sell renewable fuel credits known as RINs to post their needs on an easy-to-use bulletin board system. Our goal is to help our members meet their obligation under the new renewable fuels law in a simple and straightforward way."
API said ACE also will give subscribers access to an online database, which allows them to track their trades and create data reports to submit to EPA. Summary reports, which could help subscribers meet federal and state filing requirements, and the latest industry news also will be available through ACE, it said. More information is available online at www.api.org/ace.
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