Refinery Revitalization Law and Legal Definition
Refinery revitalization serves national interest by increasing petroleum refining capacity for gasoline, heating oil, diesel fuel, jet fuel, kerosene, and petrochemical feedstock’s wherever located within the U.S. Refinery revitalization is governed by the Energy Policy Act, 2005. Refinery revitalization contains provisions to encourage construction of new oil refineries and also provides other refinery facilities in the U.S. However, refinery facilities provided are subject to significant environmental and other regulations.
The purpose of refinery revitalization are the following:
1. The U.S. demand for refined petroleum products currently exceeds the country's petroleum refining capacity to produce such products. Hence, Refinery revitalization helps in bringing more supply to the markets for the use of U.S. citizens. ;
2.The excess demands that has been met with increased imports can be mitigated through refinery revitalization;
3.Better coordination of federal and state regulatory reviews may help facilitate citing and construction of new refineries to meet the demand in the U.S. for refined products.