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, ASA Ask President Trump to Support Biodiesel Producers, Soy Farmers

Sep 20, 2018, 3:40 PM
Allowing year-round use of E15 is a positive step for ethanol, but doesn’t support biodiesel

NEWS
FOR IMMEDIATE RELEASE

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

WASHINGTON, D.C. – Today, the National Biodiesel Board (NBB) and the American Soybean Association (ASA) wrote President Donald Trump asking that he “provide additional help to the nation’s farmers and rural communities by supporting policies that expand production and use of biodiesel.” The groups asked the president to provide biodiesel room for growth under the Renewable Fuel Standard, restore lost demand for biodiesel resulting from small refinery exemptions, and back legislative extension of biodiesel and renewable diesel tax incentives.

In the letter, NBB CEO Donnell Rehagen and ASA CEO Ryan Findlay state, “Biodiesel adds value to every bushel of soybeans and plays an important role by providing a market for surplus soybean oil. Today, farming income is at its lowest level in more than a decade. Even as soybean growers set production records this year, they are experiencing depressed prices and market uncertainty.”

The CEOs add that the Environmental Protection Agency “offered too little room for growth of biodiesel” in this year’s proposed rule for the RFS. While the agency acknowledged the industry’s ability to produce 2.8 billion gallons, it proposed a much lower volume. Moreover, the agency granted a flood of small refinery exemptions that reduced biodiesel demand by at least 300 million gallons – equivalent to the annual production of Iowa, the nation’s top biodiesel-producing state, they point out.

The CEOs also urge the president to back the industry’s request to Congress to provide long-term certainty for the biodiesel and renewable diesel tax incentive. The industry needs certainty to ensure access to capital, make investments, hire and grow, the CEOs say.

Rehagen and Findlay close the letter by stating, “Your support for these policies can further grow the RFS and provide an economic boost for rural America when it is most needed.”

A copy of the letter is available for download.

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 about biodiesel, visit www.biodiesel.org.

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