The U.S. Environmental Protection Agency (EPA) has issued its final rule under the Renewable Fuel Standard (RFS) program, setting biofuel volume requirements for the years 2023 to 2025. This rule reinforces the nation's commitment to renewable fuels, energy security, and the reduction of greenhouse gas emissions.
Kurt Kovarik, Vice President of federal affairs for Clean Fuels Alliance America (formerly NBB), says “EPA is undercutting the certainty that our industry hoped for from a three-year RFS rule. U.S. clean fuel producers, oilseed processors, fuel distributors and marketers have all made significant investments to grow the industry rapidly over the next several years. The industry responded to signals from the Biden administration and Congress aiming to rapidly decarbonize U.S. fuel markets, particularly aviation, marine, and heavy-duty transport, and make clean fuels available to more consumers. The volumes EPA finalized today are not high enough to support those goals. Clean Fuels appreciates the bipartisan support of Representatives, Senators and Governors who asked EPA to ensure that final volumes supported achievable, aggressive growth of advanced biofuel volumes. It is a shame that EPA failed to fully consider the data provided by other federal agencies and industry experts demonstrating the upward trajectory of our industry.”
Emily Skor, CEO of Growth Energy, agrees “The RFS remains one of America’s most successful clean energy policies, but, yet again, its full potential as a climate solution remains untapped. EPA’s decision to lower its ambitions for conventional biofuels runs counter to the direction set by Congress and will needlessly slow progress toward this administration’s climate goals. We should be expanding market opportunities for higher blends like E15, not leaving carbon reductions on the table. While the final rule offers a modest improvement in advanced volumes, EPA inexplicably failed to extend that recognition to conventional biofuels. The bioethanol industry has more than adequate supply to meet the higher volumes that were originally proposed in December 2022. Choosing not to put that supply to good use in decarbonizing the transportation sector runs counter to this administration’s previously stated commitments and undermines the goal of reaching net-zero by 2050.”
The final rule aims to enhance U.S. energy security by reducing dependence on foreign oil imports by approximately 130,000 to 140,000 barrels per day during the specified period. In addition to reducing reliance on foreign sources of oil, the rule emphasizes the importance of domestic refineries in supporting energy security.
The EPA Administrator highlights the significance of renewable fuels in diversifying the energy mix, combatting climate change, and boosting economic growth. The final rule aims to provide stability to the RFS program, protect consumers from high fuel costs, support rural communities, promote cleaner fuel production, and reduce greenhouse gas emissions.
The rule establishes balanced biofuel growth targets for 2023 to 2025, considering factors such as costs, air quality, climate change, energy security, infrastructure, and more. EPA has also included provisions to expand the use of biogas under the program and improve its overall operation.
EPA engaged with a wide range of stakeholders throughout the rule-making process to get their thoughts on potential economic effects. The agency remains committed to monitoring the implementation of the RFS program and its impacts, utilizing available data, and collaborating with relevant authorities.
EPA continues to assess comments received on proposed regulations governing the generation of Renewable Identification Numbers (RINs) for electricity made from renewable biomass used in transportation fuel. The agency intends to review comments and seek additional input to inform potential next steps on the program.
Source : wisconsinagconnection