Stabenow asks CFTC for RINS analysis
September 25, 2013 | 12:38 PM
Senate Agriculture Committee Chairman Debbie Stabenow, D-Mich., on Tuesday asked the Commodity Futures Trading Commission to review recent allegations about possible manipulation of the markets for Renewable Identification Numbers (RINs) – the tracking mechanism to ensure petroleum blenders and refiners meet their requirements under the Renewable Fuels Standard.
In a letter to CFTC Chairman Gary Gensler, Stabenow wrote, “I would like the CFTC to help determine whether factors other than supply and demand have been causing extraordinary volatility in the price of RINs and to what extent fraud and manipulation have been affecting the price of RINs.”
“I am concerned that a lack of transparency in these markets has made them more susceptible to manipulation,” Stabenow said. “If this is the case, it is a problem that must be identified and fixed. While I support an actively traded market with a diverse array of market participants, the market must function and allow entities to manage their risk and comply with the law.”
Stabenow also noted that “if there are limits to the CFTC’s authority, expertise, or resources that could inhibit it from monitoring these markets, please inform the committee of those as soon as possible.”
In a letter to CFTC Chairman Gary Gensler, Stabenow wrote, “I would like the CFTC to help determine whether factors other than supply and demand have been causing extraordinary volatility in the price of RINs and to what extent fraud and manipulation have been affecting the price of RINs.”
“I am concerned that a lack of transparency in these markets has made them more susceptible to manipulation,” Stabenow said. “If this is the case, it is a problem that must be identified and fixed. While I support an actively traded market with a diverse array of market participants, the market must function and allow entities to manage their risk and comply with the law.”
Stabenow also noted that “if there are limits to the CFTC’s authority, expertise, or resources that could inhibit it from monitoring these markets, please inform the committee of those as soon as possible.”
