Biofuel groups slam EPA for RFS rules, say demand will be impacted
Biofuel groups are expressing their disappointment with the Environmental Protection Agency’s blending requirements under the Renewable Fuel Standard.
While EPA slightly raised requirements for biomass-based diesel fuels, the agency lowered ethanol quotas.
Biofuel blending requirements are 20.94 billion gallons in 2023, 21.54 billion gallons in 2024 and 22.33 gallons in 2025.
The finalized volumes include 15 billion gallons of ethanol over the next three years, a decline from the proposal, and American Coalition for Ethanol CEO Brian Jennings tells Brownfield the rule could reduce significantly reduce demand. “When EPA rides the breaks on the program, it limits our ability to expand into those markets for E15 and E85.”
The rule includes 3.35 billion gallons of biodiesel and renewable diesel in 2025, an increase from the proposal and 2.82 billion gallons in 2023 and 3.04 billion gallons in 2024.
Speaking with Brownfield ahead of the announcement, Scott Fenwick with Clean Fuels Alliance America said he was hopeful that the policy would support the industry’s ability to grow demand. “We’re able to produce so much more fuel than what current policy requires under the RFS and state regulatory requirements. We’re looking for policies that backup the use of these fuels across the U.S.”
Clean Fuels says producers, processors, distributors and marketers have made significant investments to grow the industry and the rule doesn’t support those changes.
The final rule does not include any requirements for electric vehicle manufactures.
EPA Administrator Michael Regan says the rule will ensure stability of the program, protect consumers from higher costs, strengthen rural economies, support domestic production of clean fuels and reduce greenhouse gas emissions.
The Renewable Fuels Association says the final rule misses an opportunity to help transition the transportation sector to low and zero carbon fuels, but provides some stability to the marketplace.
Growth Energy CEO Emily Skor says the RFS is a successful clean energy program but it’s full potential as a climate solution is untapped since EPA lowered its ambitions.
The National Corn Growers Association says the rule falls short of the emission reductions and cost-saving benefits that higher blended fuels propose.
Brian Jennings, ACE CEO: