EPA Bumps up US Renewable Fuel Standard Volumes for 2015-2016, in Final Ruling

Environmental Protection Agency, Federal Agency/Executive Branch, Federal Litigation, Federal Regulation, Opinions, Policy

December 1, 2015

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by Jim Lane (Biofuels Digest) In Washington, the U.S. Environmental Protection Agency announced final volume requirements under the Renewable Fuel Standard program today for the years 2014, 2015 and 2016, and final volume requirements for biomass-based diesel for 2014 to 2017. This rule finalizes higher volumes of renewable fuel than the levels EPA proposed in June, boosting renewable production and providing support for robust, achievable growth of the biofuels industry.

EPA-RFS-120115-vols

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What’s next?

Likely, someone is going to sue the EPA. Possibly a coalition of biofuels trade groups, who will focus on getting court rulling that the EPA does not have the authority to create a distribution waiver by redefining a waiver authority basded on shortfalls in the “supply of renewable fuels” to mean “supply of renewable fuels OR gas pumps to deliver fuels to consumers.”

What the numbers mean

First of all, the EPA increased the volumes from the spring 2015 proposal, after receivging 670,000 comments. However, much of that stems from correcting an accounting error in the original proposal, and because rising gasoline consumptino increases the available pool for E10 ethanol blends.

Bottom line, the EPA has embraced an implied “distribiution waiver”, something that was proposed in the House version of the original EISA Act, not included by the Senate, and eliminated in the final bill. Congress feared at the time that the oil & gas industry would use its effective monopoly of infrastructure to strangle growth of biofuels past an E10 saturation point, which essentially happened. Critics say the EPA and Obama Administration have caved in to Big Oil on this one. READ MORE and MORE / MORE (Ethanol Producer Magazine) and MORE (Tyler Morning Telegraph) and MORE (Ultimate Motorcycling)

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