ASA critical of EPA’s RFS rule
The American Soybean Association says the latest rule setting biofuel blending requirements significantly undercuts the industry’s ability to increase production and grow demand.
Dave Walton, chair of the biodiesel and infrastructure advocacy team, tells Brownfield the Renewable Volume Obligations under the Renewable Fuel Standard don’t accurately reflect industry growth for biomass-based diesel.
“The disappointment, I think, is that EPA is not using the RFS or RVO to push carbon reduction and particulate matter reduction in the fuel supply. That seemed like a real natural thing for them to do. Either they missed it or ignored it.”
He says soy crushing facilities may be slower to come online and that will have a direct impact on producers.
“As we’re expanding the market for soybeans, we have to have those crush plants to create oil for the renewable diesel plants, the SAF plants that are coming online and the legacy biodiesel plants. For the producer, you’re seeing basis improvements from 30 to 50 cents around any of the crush plants that have been built recently.”
The finalized rule made zero increases to the 2023 volumes compared to the draft rule, but the EPA made modest increases for 2024 and 2025.
Walton says the RFS isn’t the only impact on soy markets as rail carriers and airlines are demanding soy-based fuels.