Renewable Fuel Standard (RFS):

The Environmental Protection Agency's delays in setting the 2021 Renewable Fuel Standard obligations create uncertainty for the biodiesel and renewable diesel industry. While the agency provided compliance flexibility to oil refineries, it created addtional uncertainty for biofuel producers by indicating to reporters that it would retroactively slash RFS volumes for both 2020 and 2021.

Please contact your Representative and Senators and update them on the situation through this form. As the 117th Congress considers legislative options to address environmental and economic issues, this is an opportunity to let lawmakers know that support for the RFS helps biodiesel and renewable diesel producers.

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As our members and industry supporters communicate with Washington policy makers, the media, and the public, NBB provides the resources to the right and works with them to amplify these points:

  • EPA knows that RFS deadlines are important to all program stakeholders. Biodiesel and renewable diesel producers particularly rely on market signals from annual rules.
  • The missed deadlines create additional uncertainty for biodiesel and renewable diesel producers, who have set goals for continued growth through 2030.
  • EPA destroyed demand for hundreds of millions of gallons of biodiesel over the past several years by abusing small refinery exemptions. EPA has many options to repair the damage to the biodiesel industry and is required to do so.
  • Each small refinery exemption can eliminate demand for an entire biodiesel facility’s annual production. A “small” oil refinery can produce up to 3 million gallons of fuel per day. Its annual RFS obligation would include 20 million gallons of biodiesel, the amount some small plants produce in a year.
  • A U.S. Court of Appeals decision from January 2020 limited EPA’s authority to grant small refinery exemptions. EPA should immediately apply the court’s ruling to all pending and future exemptions.
  • EPA also ignored a 2017 U.S. Court of Appeals order to reconsider a waiver of 500 million gallons of renewable fuel. It is long past time for the agency to address the shortfall.

 


Focus on RFS News




NBB Thanks Senators for Supporting Higher Volumes in Annual RFS Rule

Aug 23, 2018, 11:21 AM
Senators’ letter underscores the biodiesel industry’s ability to meet higher volumes

NEWS
FOR IMMEDIATE RELEASE

Contact: Paul Winters
202-737-8801
pwinters@biodiesel.org

WASHINGTON, D.C. – Today, the National Biodiesel Board (NBB) thanked the 39 Senators who sent a letter to EPA Acting Administrator Andrew Wheeler urging him to increase biomass-based diesel and advanced volumes and accurately account for small refinery hardship exemptions in the annual Renewable Fuel Standards. NBB specifically thanked Sens. Patty Murray (D-WA), Roy Blunt (R-MO), Heidi Heitkamp (D-ND) and Chuck Grassley (R-IA), for leading the letter.

Noting that EPA proposes to set the 2020 biomass-based diesel volume at 2.43 billion gallons, the Senators wrote, “While these proposed increases are encouraging, these volumes continue to underestimate the existing potential of the biodiesel and renewable diesel industries in our states. We believe the biodiesel industry can do more and that EPA should demonstrate more confidence in the RFS program’s ability to drive growth."

Calling on EPA to accurately account for small refinery hardship exemptions, the Senators added, “It is critical that EPA appropriately account for any small refiner economic hardship exemptions that it reasonably expects to grant during the 2019 compliance year in the final rule, or EPA will not be able to fulfill its duty to ensure RVOs are met."

Download a copy of the letter.

Kurt Kovarik, vice president of federal affairs for NBB, stated, “NBB and its members thank all of the Senators who signed this letter and demonstrated their strong support for the RFS and its ability to drive growth in biodiesel production. We especially thank Senators Murray, Blunt, Heitkamp and Grassley for their continued leadership.

“We join the Senators in calling on EPA to raise biomass-based diesel volumes to an appropriate level that will drive additional growth. Biodiesel production has consistently exceeded the annual volume obligations set by EPA. The industry continues to operate below capacity, which limits job creation and economic growth.

“Moreover, EPA must fully and accurately account for small refiner hardship exemptions under the RFS. NBB estimates that the exemptions granted by EPA for 2016 and 2017 reduced demand for biodiesel and renewable diesel by about 300 million gallons. That lost demand is equal to or greater than the annual production of some of the nation’s top biodiesel producing states, including Washington, Missouri, North Dakota and Iowa. The volumes that EPA sets are meaningless if the agency does not ensure they are met at the end of the year.”

Made from an increasingly diverse mix of resources such as recycled cooking oil, soybean oil and animal fats, biodiesel is a renewable, clean-burning diesel replacement that can be used in existing diesel engines without modification. It is the nation’s first domestically produced, commercially available advanced biofuel. NBB is the U.S. trade association representing the entire biodiesel value chain, including producers, feedstock suppliers, and fuel distributors, as well as the U.S. renewable diesel industry.

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For more information on biodiesel, visit www.biodiesel.org.

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