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Climate Change Urgency Demands Statewide Clean Fuels Standard

Mar 04, 2020

The impacts of climate change on our businesses, communities, and environment are increasingly apparent and require urgent action. The experience of our neighboring West Coast states demonstrate that clean fuels standard policies cost effectively reduce pollution and create jobs.

On March 2, 2020, Port of Seattle Commissioner Fred Felleman spoke to the Washington State Senate Transportation Committee to urge continued progress toward securing enactment of a statewide Clean Fuels Standard by advancing E2SHB 1110 in the Senate. 

Thank you, Chairman Hobbs, Ranking Member King, Members of the Committee.

My name is Fred Felleman, Port of Seattle Commission Vice President and Managing Member of the Northwest Seaport Alliance.

I’m here on behalf of both organizations and our constituents throughout King and Pierce Counties, to urge your support of HB1110 - enabling Washington to join other west coast states by establishing a Clean Fuels Standard (CFS). 

This policy will reduce greenhouse gases, improve air quality, and create jobs in our state. It’s the right policy, and now’s the right time.

In Los Angeles, gas prices today are 40 cents lower than in 2011, when the CFS was enacted. The cost of crude oil and refinery profits remain the primary drivers of fuel prices.

Gas stations across the street with different gas prices
Gas stations across the street from each other in Lacey are 50 cents different per gallon — people could be misled that this is the impact of a Clean Fuel Standard

According to the oil industry’s own, Oil Price Information Survey, Washington state markets have the largest profit margins in the country on gasoline and diesel sales — far greater than even the most extreme claims of costs associated with a CFS.

Also, since the enactment of a CFS in CA, the volume of renewable fuels produced in the state nearly doubled.

The Port recently contracted Washington State University to identify regions in the Northwest that retain feedstocks for making Sustainable Aviation Fuels. It clearly shows there are statewide opportunities to having a CFS and we have industry leaders like Alaska Airlines and Boeing who’ve demonstrated a commitment to their use. 

In addition to benefitting the climate and air quality, a CFS can create jobs that also help reduce waste streams.

The Washington State University report documents significant concentrations of forest residuals, particularly in Pacific County. Delta Air Line’s recent investments to use this resource in neighboring Grays Harbor County, shows there will be new opportunities for jobs in the woods.  

There’s also a facility about to open in Nevada that can refine municipal solid waste into Jet Fuel which we could replicate here. There’s no time to waste.

In conclusion, there are clearly many benefits to having a clean fuels standard that does not seriously impact fuel prices. 

Therefore, we urge you to pass HB 1110.

Thank you, I’m happy to answer any questions.

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