EPA delivers proposed rule to set RFS RVOs to OMB

By Erin Voegele | August 30, 2021

The U.S. EPA on Aug. 26 delivered a proposed rule to set annual volume and percentage standards under the Renewable Fuel Standard to the White House Office of Management and Budget. OMB review marks a final step before a proposed rule is released for public comment.

Under RFS statute, the EPA is required to finalize RFA renewable volume obligations (RVOs) for a particular compliance year by Nov. 30 of the preceding year. Despite that statutory deadline, the EPA failed to propose or finalize an RVO for compliance year 2021. As such, the proposed rule is expected to address RVOs for both compliance years 2021 and 2022. The EPA, however, has not confirmed which compliance years the proposed rule will address.

“The proposal aims to get the RFS program back on track by setting targets that are forward looking and growth oriented, while addressing challenges stemming from decisions made under the prior Administration,” the EPA said in a statement. “As we move toward a final rule, EPA will continue to engage with all RFS stakeholders to gather input and understand their concerns so that the final rule can achieve the program’s objectives while responding to the multiple dynamics affecting the program.”

A summary of the proposed rule published by the OMB provides no additional details of the specific provisions the rulemaking contains. It does, however, indicate that the rulemaking is currently scheduled to be finalized by the end of 2021.