Latest EPA Proposal “Betrays Trump’s Commitment” to Ethanol

(WASHINGTON, DC) On Friday, the U.S. Environmental Protection Agency (EPA) issued proposed volume requirements under the Renewable Fuel Standard (RFS) program for cellulosic biofuel, advanced biofuel, and total renewable fuel for the calendar year 2020. EPA also proposed biomass-based diesel volume standards for the calendar year 2021. According to the published Rule Summary, the proposed RFS volumes for 2020 total 20.04 billion gallons. Of the total, just over five billion gallons are advanced biofuel, including 540 million gallons of cellulosic biofuel. That leaves the 15 billion gallon requirement for conventional renewable fuels like corn ethanol unchanged from 2019. Reaction from the ethanol and biodiesel industry has been negative. Renewable Fuels Association (RFA) president and CEO Geoff Cooper says the proposal “completely betrays President Trump’s commitment” to uphold the integrity of the RFS by neglecting to prospectively reallocate small refinery exemptions and blatantly ignoring a court order to restore improperly waived gallons. The National Biodiesel Board (NBB) says the agency’s proposed advanced biofuel volume of five billion gallons provides no additional market growth for biomass-based diesel. In addition, NBB says the proposed 2021 biomass-based diesel volume at 2.43 billion gallons flatlines growth for the industry and could actually reduce market space for biodiesel and renewable diesel because it does not account for small refinery exemptions.