National Leaders Proclaim Success of Federal Cleaner Burning Fuels Program.

WASHINGTON--(BUSINESS WIRE)--Sept. 16, 1998--

Oxygenated Fuels Association Calls On Congress, EPA to

Ensure Safe Water by Enforcing Fuel Tank Regs

At today's hearing by the Senate Environment and Public Works Committee, the Oxygenated Fuels Association (OFA) joined the U.S. Environmental Protection Agency (EPA) and top congressional leaders in proclaiming the widespread success of the federal Reformulated Gasoline program (RFG).

In addition, producers of the nation's main component in cleaner-burning gasoline, methyl tertiary butyl ether (MTBE), are calling on lawmakers and the EPA to safeguard the nation's air and water quality by ensuring that leaking underground fuel storage tanks are quickly replaced and to ensure that adequate funding is available to cleanup contaminated groundwater.

"The OFA shares the views of many in Congress that leaking storage tanks are the root cause of the fuel-contaminated groundwater problem," said Terry Wigglesworth, executive director of OFA. Noting that gasoline is made up of hundreds of compounds, of which MTBE is but one, Wigglesworth added, "The OFA is firm in its resolve to keep motor fuel out of water, but the Feinstein/Bilbray legislation is not the answer. Full compliance with tank replacement and upgrading requirements throughout the United States will ensure that citizens do not have to sacrifice clean air for clean water."

OFA's comments come as the Senate Environment & Public Works Committee holds a hearing today on legislation sponsored by Sen. Dianne Feinstein (D-CA) and Rep. Brian Bilbray (R-CA) to exempt California from a clean-fuels requirement in the 1990 Clean Air Act Amendments. Those amendments require that oxygenates be added to gasoline as part of a clean-fuels program for the nation's most polluted areas.

"This legislation will not solve the water pollution problem. It is, in fact, dangerous to open up the Clean Air Act and potentially gut a clean air program that has allowed millions of Americans to breathe cleaner air," said Wigglesworth. "An obvious solution to the ground water contamination problem has been identified and is currently being implemented through the tank replacement program. Given this fact, why do we want turn back the clock on air quality in California?"

As a fuel oxygenate, MTBE is one of America's best environmental success stories. MTBE has been in use in the United States since 1979 as an octane-enhancing replacement for lead, and, since 1992, as a fuel oxygenate added to gasoline. MTBE has helped significantly reduce carbon monoxide emissions and ozone levels in the worst polluted areas of the country.

These facts were underscored by Senator Minority Leader Tom Daschle (D-SD) in comments submitted to the Committee today. "Let me begin by emphasizing my strong conviction that the RFG-with-oxygenates program has been highly successful, not only achieving but in many cases surpassing the multiple goals set by Congress when first enacted as part of the 1990 Clean Air Amendments. Moreover, it stands as a model of how the public and private sectors can work together to advance the public welfare in a safe and cost-effective manner," Daschle noted. He added, "It is the leaks we must eliminate, not the oxygenates."

Similar comments were made by Margo T. Oge, director of EPA's Office Of Mobile Sources. "EPA strongly supports the reformulated gasoline program, given the substantial benefits of this program in reducing ozone precursors and toxics," Oge said in prepared remarks. "We believe that oxygenates provide a valuable tool to refiners in meeting the emissions reduction requirements and replacing octane lost in the reformulation process (e.g., sulfur, olefin and aromatic reductions)." Noting that representatives of federal and state governments, various affected industries and environmental groups have signed on for some time to key aspects of the national clean fuels program, Oge added, "One needs to be very cautious about initiating changes to the RFG program that could upset the balance of previous agreements that have led to the significant emissions we are seeing today."

Leaking underground storage tanks (USTs) have been a significant source of groundwater contamination for many years, with states reporting approximately 360,000 petroleum releases to U.S. EPA's Office of Underground Storage Tanks since 1988. On Dec. 22, 1998, all USTs will be required to meet federal standards for upgrades, replacement, or closure if they fail to meet the requirements.

EPA and academic scientists have recently determined that compliance and enforcement of federal and state UST regulations "should minimize the numbers and sizes of additional petroleum releases and prevent MTBE from causing significant impacts on drinking water supplies." Their findings are detailed in the recent issue of Soil & Groundwater Cleanup.

"Compliance with federal and state requirements for fuel storage tanks will ensure the integrity of the gasoline distribution and storage system so we can continue to enjoy the health benefits of clean air without compromising the water we drink," Wigglesworth said.

"OFA joins U.S. Senators Barbara Boxer, Diane Feinstein and Congressman Brian Bilbray and California Air Resources Board Chairman John Dunlop in their call for a comprehensive solution to the leaking underground fuel tank issue," Wigglesworth concluded.

In a related development, a newly released study by top air quality enforcement officials for the Northeastern states pointed out significant public health benefits associated with the use of RFG in the region since 1996. According to the report, federal RFG I gasoline "served to reduce the cancer risk associated with gasoline vapors and automobile exhaust compared to conventional gasoline by 12 percent in our Base Case analysis." The report added, "Phase II federal reformulated gasoline is expected to further reduce the public cancer risk from exposure to gasoline vapors and automobile exhaust as compared with conventional gasoline by 20 percent in our Base Case analysis."

The Oxygenated Fuels Association is an international trade association, incorporated in 1993, to advance the use of, and knowledge about, oxygenated fuel additives which improve the combustion performance of gasoline, thereby reducing automobile pollution. For more information about oxygenates, please visit our web site at www.ofa.net.