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Skor calls the EPA?s biofuel proposal a ?mixed bag?

by | Dec 8, 2021 | 5 Ag Stories, News

Growth Energy CEO Emily Skor says the EPA?s proposed rulemaking regarding domestic biofuels blending requirements under the RFS is a mixed bag.

Skor says the agency?s proposed RVOs released Tuesday would undercut blending requirements for renewable, low-carbon biofuel in 2021, and would retroactively waive 2.96 billion gallons from 2020 RVOs set almost two years ago. Under the proposal, 2022 volumes return to statutory levels and the administration pledges to deny all improper small refinery exemptions.

?We are extremely disappointed EPA has proposed rolling back requirements for 2020 and lowering volumes for 2021,? said Skor. ?Retroactive cuts to 2020 blending requirements impact the entire fuel supply chain including farmers, producers, blenders, retailers, and responsible refiners who base business decisions on final requirements in place for some time. This unprecedented move not only exceeds EPA?s legal authority under the RFS, it fails to recognize the law?s built in mechanism that adjusts requirements when fuel demands differ from original projections. At face value, the EPA?s plan for 2020 gallons serves as a giveaway to petroleum companies at the expense of rural families and future investment in low-carbon energy.?

The agency?s draft rule would lower conventional ethanol volume to 12.5 billion gallons for 2020, advanced biofuel at 4.63 billion, and cellulosic at 510 million. In addition, it would set conventional ethanol at 13.32 billion gallons in 2021 and 15 billion gallons in 2022, while advanced biofuels would be set at 5.2 billion gallons in 2021 and 5.7 billion gallons in 2022, including 620 million gallons of cellulosic biofuel in 2021 and 770 million gallons of cellulosic biofuel in 2022.

?The Biden administration simply cannot meet its climate goals while retroactively rolling back low-carbon biofuel blending requirements to help oil refiners,? said Skor. ?On the campaign trail, President Biden committed to strengthening the rural economy and addressing climate change with a strong RFS and we hope to see the president?s promises fully reflected in the final rule. We look forward to engaging with the EPA during the comment period to get the RFS fully back on track.?

Skor adds the EPA proposal adds a supplemental 250 million gallons in 2022 and 250 million gallons in 2023, denies the 65 pending small refinery exemption requests before the agency, and provides important guidance to limit the abuse of small refinery exemptions in the future.

Statements from each member of Iowa?s congressional delegation can be found below.