EPA Commits to Meet Statutory RFS Reporting Requirements

by Erin Voegele (Ethanol Producer Magazine) On Aug. 18, the U.S. EPA Office of Inspector General published a report finding the EPA’s Office of Research and Development has not complied with a statutory requirements to provide a report to Congress every three years on the impact of biofuels. A report was provided to Congress in 2011, but subsequent reports have not been provided as required.

In addition, the EPA Office of Inspector General said the EPA’s Office of Air and Radiation has not fulfilled the anti-backsliding requirements for the renewable fuel standard (RFS), which require the agency to analyze and address any negative air quality impacts of the program. According to the report, the EPA completed a comprehensive lifecycle analysis in 2010 to determine greenhouse gas (GHG) reduction thresholds for the RFS. While the EPA is not required by statute to do so, the agency made a commitment to update the analysis as lifecycle science evolves. However, the report states the EPA does not have a process in place to initiate those update activities.

Within the report, the EPA Office of Inspector General makes four specific recommendations. First, it recommends that the assistant administrator for Research and Develop provide triennial reports to Congress on the impacts of biofuels as required by law. The EPA agreed and said it plans to complete the first required report by the end of next year.

Second, it recommended the assistant administrator for Air and Radiation complete the anti-backsliding study of the air quality impacts of the RFS, as required by statute. Third, it recommends the assistant administrator for Air and Radiation determine if any additional action is needed to mitigate any adverse air quality impacts of the RFS, as required by statute. The EPA agreed to both recommendations and said it plans to complete the requirement no later than the fourth quarter of fiscal year 2024.

Finally, it recommended the assistant administrator for Air and Radiation develop or identify a process for evaluating the science relevant to lifecycle analysis and determine whether revisiting the original GHG threshold determinations is necessary. The EPA initially disagreed with this fourth recommendation, noting that a process is already in place to inform consideration of the need for any reevaluation of the GHG determinations. However, the agency did agree to a revised recommendation that it develop or identify the process it uses to assess, evaluate and actively decide whether or not to update the lifecycle GHG analyses used to make the original GHG threshold determinations. The planned completion date is Sept. 30, 2018. READ MORE / MORE and MORE (Environmental Working Group Ag Mag) and MORE (Associated Press/Providence Journal) and MORE (Reuters) and MORE (Growth Energy) and MORE (Morning Consult) and MORE (The Times-Tribune) and MORE (The Patriot Post) and MORE (TribLive) and MORE (Environmental and Energy Study Institute) and MORE (Forbes) and MORE (The Washington Examiner) and MORE (Denver Post) Download report

Excerpt from Growth Energy: Emily Skor, CEO of Growth Energy, issued the following statement in regards to the Renewable Fuel Standard’s (RFS) impact:

“We’re confident that when EPA reviews this program, they will see the significant benefits to consumers in lower gas prices, lower greenhouse gas emissions and decreased exposure to harmful pollutants known to cause cancer, pollution and smog. The RFS also expands consumer choice within the fuel marketplace, while reducing dependence on foreign oil.

“According to the Argonne National Laboratory, ethanol produced between 2008-2012 reduced greenhouse gas emissions by an average of 34% compared to gasoline. Ethanol also reduces particulate matter from tailpipes, which is why consumer demand is growing for higher biofuel blends, like E15. One truckload of American ethanol displaces more than 60 barrels of imported oil, which has helped cut imports by half since ethanol was introduced into the fuel supply. Lastly, American consumers have benefited from savings at the pump, by up to $.50 to $1.50 a gallon. Ethanol is a benefit to the environment and a win for consumers and we are certain that any report will reflect that.” READ MORE

Excerpt from Environmental and Energy Study Institute: EPA’s response to these recommendations is included in the OIG report. EPA agreed with the first recommendation and plans to complete the next triennial report by the end of 2017 (three years later than it should have been provided).

EPA also agreed with the second and third recommendations, but felt that complying would require significant time and resources. Steps required to complete these recommendations include, according to EPA, “development of baseline, current, and projected scenarios for how renewable fuels have and might be produced, distributed, and used to fulfill the RFS requirements, generation of emissions inventories, and air quality modeling, all of which are time-consuming and resource-intensive.” When pressed, EPA agreed to meet these requirements by no later than 2024.

In response to the fourth recommendation, EPA agreed to clarify the process they currently use to decide whether or not to update the lifecycle emissions analysis. However, the Inspector General does not push EPA to actually update it, and EPA has maintained that updating it is unnecessary.

OIG describes lifecycle emissions as direct and indirect emissions “related to the full fuel lifecycle, including all stages of fuel and feedstock production, transportation, and use of finished fuel by the ultimate consumer.” EPA’s lifecycle analysis was completed in 2010 and has not been updated since. Though analyses have been completed for new biofuel sources, like cottonseed oil, the 2010 analysis remains EPA’s most recent for the major biofuels, particularly corn ethanol.

EPA’s Office of Air and Radiation (OAR) suggests, according to the report, that there would be “minimal utility in updating the 2010 analysis.” This is because approximately 80 percent of the biofuels blended with the gasoline supply today are “grandfathered” in to the RFS, meaning they don’t have to meet any additional greenhouse gas (GHG) emissions reduction requirements.

However, stakeholders on both side of the issue have long pushed for updated analyses, as both sides believe that the results of these analyses would support their position. In particular, those who support the RFS and expanded biofuel use point to newer science and updated data showing that the difference in GHG emissions between biofuels and traditional gasoline is even greater than initially thought.

Ideally, the anti-backsliding analysis will help to resolve some of these questions. READ MORE

Related articles: READ MORE and MORE (Biofuels Digest) and MORE (Ethanol Producer Magazine) and MORE (Fuels America) and MORE (Renewable Fuels Association) and MORE (Growth Energy) and MORE (Renewable Fuels Association) and MORE(Renewable Fuels Association; includes audio) and MORE (Detroit Free Press) and MORE, MORE (25 x ’25) and MORE (Reporter Herald) MORE (St. Louis Post Dispatch) and MORE (Tyler Morning Telegraph)