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UPDATED: EPA Releases Renewable Fuels Volume Obligations

(Washington D.C.)- On Thursday, the U.S. Environmental Protection Agency released details of their renewable fuel volume obligations for 2023, 2024 and 2025. For 2023, EPA’s proposal includes an implied 15 billion gallons for conventional ethanol, which increases to 15.25 billion gallons for both 2024 and 2025. Many farm groups have come out in support of the EPA announcement. You can view those releases below.

Quote from Tom Haag, President of the National Corn Growers Association (NCGA):
“We are pleased with EPA’s forward-looking approach of annual increases in the proposal. EPA clearly recognizes that renewable fuels like ethanol play a critical role in cutting greenhouse gas emissions, increasing U.S. energy independence and providing long-term relief to consumers at the pump. With continued pressure on energy security and costs and the need to accelerate carbon emission reductions, biofuels can contribute even more, and we will make that case to EPA for the final volumes.”  (Link to full NCGA news release)

Quote from Emily Skor, CEO of Growth Energy:
“We’re grateful to President Biden and EPA Administrator Regan for keeping clean energy on an upward trajectory that will move America closer to a net-zero future. As we saw again this summer, biofuels remain the single best tool available to shield motorists from volatile global oil prices and rapidly decarbonize the transportation sector. We are greatly encouraged by EPA’s strong proposal and appreciative of Administrator Regan’s support for the growing role ethanol continues to play in decarbonizing the transportation sector, now and into the future. We’re also appreciative that the proposal restores the final 250 million gallons of biofuel demand that had been illegally waived in the agency’s 2016 rule – a long-overdue fix that began with 2022 volumes.” (Link to full Growth Energy news release)

Quote from Geoff Cooper, President and CEO of the Renewable Fuels Association (RFA):
“EPA’s proposed rule solidifies a role for the Renewable Fuel Standard in future efforts to reduce carbon emissions and enhance our nation’s energy security. Once finalized, this rule will significantly accelerate growth and investment in the low-carbon renewable fuels that will help decarbonize our nation’s transportation sector, extend domestic fuel supplies, and bolster the rural economy. By including three years’ worth of RFS volumes, EPA’s proposed rule will finally provide certainty and stability for the entire supply chain. EPA Administrator Michael Regan put the RFS program back on track with the 2022 volume obligations, and today’s proposal builds upon that solid foundation. RFA thanks Administrator Regan and the Biden administration for continuing to make good on their commitment to grow the marketplace for lower-carbon, lower-cost renewable fuels.” (Link to full RFA news release)

Quote from Kurt Kovarik, vice president of federal affairs for Clean Fuels Alliance America (formerly NBB):
“EPA’s overdue set proposal significantly undercounts existing biomass-based diesel production and fails to provide growth for investments the industry has already made in additional capacity, including for sustainable aviation fuel. The volumes EPA is proposing for 2023, 2024 and 2025 ignore the more than 3 billion gallons currently in the market and fail to take into account the planned growth of the clean fuels sector. The biodiesel and renewable diesel industry has already made considerable investments in production capacity and distribution infrastructure that will come online by 2025. The soybean and canola industries have invested more than $4 billion to bring additional feedstock capacity online over the next several years. EPA’s proposed biomass-based diesel volumes undercut those investments.” (Link to full Clean Fuels Alliance America news release)

Quote from Brooke Coleman, Executive Director of the Advanced Biofuels Business Council (ABBC):

“We’re encouraged that the Biden administration continues to recognize the powerful role that the RFS can play in decarbonizing transportation. The proposal could help unleash years of pent-up innovation in advanced and cellulosic biofuels. But we know from experience that the fine print matters, and we’ll be working closely with EPA to ensure the volumes promised translate into actual gallons reaching consumers.” (Link to ABBC)

POET Applauds EPA Rule 

WASHINGTON, D.C. (December 12, 2022) – Joshua Shields, POET Senior Vice President of Government Affairs and Communications, issued the following statement in response to the U.S. Environmental Protection Agency’s (EPA) proposed rule shaping the Renewable Fuel Standard for 2023, 2024, and 2025:

“POET applauds the President as well as EPA Administrator Regan for encouraging growth in our renewable fuels sector. As the lowest carbon liquid fuel available today, biofuels serve an important role in decarbonizing the transportation sector.”

The EPA’s proposed rulemaking sets total renewable fuel 2023 volumes at 20.82 billion gallons, with 15 billion gallons implied conventional biofuel, 5.82 billion gallons of advanced biofuel, and 720 million gallons of cellulosic biofuel. For 2024, the proposal raises implied conventional biofuel volumes to 15.25 billion gallons, advanced biofuel to 6.62 billion gallons, and cellulosic biofuel to 1.42 billion gallons. EPA’s proposal sets 2025 gallons at 15.25 billion gallons for implied conventional biofuel, 7.43 billion gallons for advanced, and 2.13 billion gallons for cellulosic biofuel.

“The EPA’s proposal is a strong step toward ensuring renewable fuels continue to grow under the Renewable Fuel Standard, which affordably decarbonizes the nation’s existing vehicle fleet, creates clean energy jobs, and supports American farmers,” said Shields. “We look forward to the future of biofuels in transportation and are grateful that the EPA recognizes our ability to grow and innovate.”


(Washington D.C.) — The biofuel industry is waiting on the U.S. EPA to unveil their biofuels targets for 2023, 2024 and 2025.

According to Reuters, although no official announcement has been made, sources have indicated the EPA will announce overall blending mandates of 20.82 billion gallons in 2023, 21.87 billion gallons in 2024 and 22.68 billion gallons in 2025. The Reuters report also says that volumes of conventional biofuels like corn-based ethanol will be set at 15 billion gallons or higher, the sources said – specifically 15 billion in 2023 and 15.25 billion each in 2024 and 2025, the sources said.

There is also talk of an EV credit program tied in with the renewable fuel program although details are not fully known as of yet. The EPA was supposed to make an announcement by November 30th but have now said the announcement will be made by the end of this week.

This is a developing story that we will continue to follow as we await an official announcement from the EPA.

You can view the full story from Reuters here:

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