EPA delivers proposed rule on canola oil RFS fuel pathways to OMB

By Erin Voegele | January 11, 2022

The U.S. EPA on Jan. 10 delivered a proposed rule that aims to create canola oil fuel pathways under the Renewable Fuel Standard for renewable diesel, jet fuel, naphtha and liquid propane gas (LPG) to the White House Office of Management and Budget. OMB review marks a final step before a proposed rule is released for public comment.

The rulemaking was addressed in the OMB’s Fall 2021 Unified Agenda of Regulatory and Deregulatory Actions, published on Dec. 10. An abstract published in the unified agenda states that the proposed rule will provide an opportunity to comment on an analysis of lifecycle greenhouse gas (GHG) emissions associated with biofuels produced from canola oil via a hydrotreating process. A final rule is currently expected to be published in July 2022.

The National Famers Union in December 2021 issued a statement in support of the expected proposed rule. “NFU has long advocated for increased use of biofuels due to their tremendous benefits for the environment while providing much-needed market alternatives and economic stability to America’s farming and rural communities,” said Rob Larew, NFU president, in that statement.

In a recent letter to the USDA, NFU called for the Administration to support increased growth of biofuel production, which will support increased investments in the rural economy and mitigate climate change impacts.

“Farmers stand ready to meet the increasing demand for biofuels, but regulatory certainty is needed to expand production, remove any distortions in the market for canola oil, and make additional investments in processing,” Larew added in the December statement. “This EPA announcement is encouraging, and we urge prompt action to provide much-needed market alternatives and economic stability to America’s farming and rural communities.”