If enacted, SB4070 would result in significant amendments to the Clean Air Act, which could enhance the viability of small refineries, especially those located in rural areas. By increasing the crude oil throughput limit and adjusting the employee cap, the bill seeks to alleviate some of the regulatory burdens faced by small refineries, thus encouraging their growth and sustainability. This could potentially lead to an increase in local jobs and economic activity within these communities, as the refineries play a crucial role in local economies.
Summary
SB4070, officially known as the 'Supporting Energy in Rural America Act', aims to amend the Clean Air Act by modifying the definition of 'small refinery' specifically for the purposes of the Renewable Fuel Program. The bill proposes that a small refinery is defined as one that has an average aggregate daily crude oil throughput of no more than 200,000 barrels or employs fewer than 1,500 employees. This change is intended to provide clarity and provide support for smaller refining companies that may struggle with compliance under the current definitions, promoting energy production in rural areas.
Contention
However, the bill's redefinition of 'small refinery' may also spur contention among larger refining entities and environmental advocacy groups. Critics may argue that increasing the throughput threshold could lead to negative environmental impacts, as more crude oil processing might occur without stringent regulations. The proposed changes could be viewed as a leniency towards fossil fuel interests, which could conflict with broader goals of reducing greenhouse gas emissions and transitioning to renewable energy sources. The discussions around SB4070 are likely to reflect these tensions between economic interests and environmental responsibilities.