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 Frustrated by Court Ruling on Small Refinery Exemptions

Sep 6, 2019, 3:19 PM
Court allows EPA's method of discounting its flood of retroactive small refinery exemptions to stand

NEWS
FOR IMMEDIATE RELEASE

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

WASHINGTON, DC - Today, the National Biodiesel Board (NBB) expressed frustration with a Court decision declining to review the Environmental Protection Agency's refusal to properly account for its flood of retroactive small refinery exemptions. The U.S. Court of Appeals for the DC Circuit dismissed on technical grounds NBB's petition on the 2018 Renewable Fuel Standard rule.

NBB challenged EPA's decision to continue ignoring small refinery exemptions granted after the annual rule is established, even though the agency quietly ramped up granting these exemptions as it took comment on the rule. The Court dismissed NBB's petition on the grounds that the biofuel industry did not comment on the topic and provide EPA sufficient opportunity to address those comments. The Court declined to examine EPA's flood of small refinery exemptions, but left room for future challenges on the issue.

Kurt Kovarik, NBB Vice President of Federal Affairs, said, "The Court's decision is frustrating. EPA requested comment on its practice of ignoring retroactive small refinery exemptions but did not give notice of its intent to unleash a flood of the exemptions. The Court, however, faults the industry for not commenting specifically on that.

"EPA's flood of retroactive small refinery exemptions are causing severe economic harm to biodiesel and renewable diesel producers, forcing some to close their doors and lay off workers. It's disappointing that the Court did not take this opportunity to address that harm."

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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