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Oil state senators ask EPA to gut RFS blending obligations

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By Erin Krueger

August 24, 2021

Policy Business Markets 

A group of 17 republican oil state senators on Aug. 23 sent a letter to U.S. EPA Administrator Michael Regan urging the agency to waive or significantly reduce the RFS blending obligations for 2020 and set low RVOs for 2021 and 2022.

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The government of Colombia has delayed plans to reinstate its E10 blend mandate until January 2022. The blend mandate will be set at E6 in September, October and November, increasing to E8 in December.

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Making Sure Our Best Days Lie Ahead

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By Brian Jennings

August 23, 2021

While increasing demand for ethanol will require getting the RFS back on track and securing market access for year-round E15, creating meaningful industry growth also hinges on maximizing ethanol's low carbon value in future carbon markets.

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As policymakers in South Korea and Japan consider new emission reduction initiatives, the U.S. Grains Council is working to demonstrate the carbon-reduction benefits of blending ethanol into local fuel supplies.

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Sen. Chuck Grassley, R-Iowa, on Aug. 20 issued a statement regarding reports that the U.S. EPA has recommended to lower the minimum renewable fuels volumes that must be supplied to the markets in 2021.

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The U.S. EPA has released data showing 1.69 billion renewable identification numbers (RINs) were generated under the Renewable Fuel Standard in July, up from 1.63 billion RINs that were generated during the same month of last year.

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Nearly 2,000 attendees, many returning to in-person events for the first time in two years, were briefed on policy objectives and producer priorities at ethanol's big summer show, the International Fuel Ethanol Workshop & Expo.

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The U.S. EPA published updated small refinery exemption (SRE) data on Aug. 19, reporting that there are currently 59 SRE petitions pending under the Renewable Fuel Standard, down from 64 that were pending as of mid-July.

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The USDA on Aug. 19 announced $26 million in investments under the Higher Blends Infrastructure Incentive Program. The funds will expand the availability of higher-blend renewable fuels by 822 million gallons annually in 23 states.

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The Renewable Fuels Association, Growth Energy and the National Corn Growers Association are challenging a recent court decision that vacated a 2019 rule issued by the U.S. EPA allowing for year-round sales of E15.

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In response to an announcement by the White House calling on OPEC+ member countries to increase oil output, the RFA sent a letter to President Biden supporting the administration's call for an investigation into the true causes of high gas prices.

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The USDA Rural Business-Cooperative Service is soliciting fiscal year (FY) 2022 grant, guaranteed loan, and combined grant and guaranteed loan applications under the Rural Energy for America Program.

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ACE on Aug. 11 called on President Biden to set the maximum statutory volumes under the RFS in the 2021 and 2022 renewable volume obligation (RVO) rulemaking and pursue all options to ensure uninterrupted market access for E15.

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The USDA is celebrating the 10th anniversary of the creation of the agency's Certified Biobased Product Label by unveiling a report that demonstrates that the biobased industry is a significant generator of economic activity and jobs.

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The U.S. Senate on Aug. 10 passed a $1 trillion infrastructure bill by a vote of 69 to 30. Ethanol groups are criticizing the bill for failing to address low-carbon fuels. The bill does, however, include provisions related to CCS.

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Aemetis Inc., an RNG and renewable fuels company, on Aug. 6 announced the final permit has been approved to begin construction of the next 21 miles of the Aemetis Biogas Phase 2 pipeline in Stanislaus County, California.

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Growth Energy, RFA, NBB, NAGC, NFU, and AFBF are urging federal lawmakers to ensure any future tax credit for SAF is based on accurate carbon accounting lifecycle analysis led by the U.S. Department of Energy.

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President Biden on Aug. 5 signed an executive order that sets a target to make half of all new vehicles sold in 2030 zero-emissions vehicles. Representatives of the ethanol industry, however, say biofuels can make meaningful GHG redutions now.

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The U.S. EPA on Aug. 5 released a proposed rule to set light-duty vehicle GHG emissions standards through 2026. Despite calls from government officials and industry trade groups, the rule does not address biofuels or a high-octane standard.

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The recent D.C. Circuit Court decision overturning EPA's approval of year-round E15 sales could have a strongly negative impact on the rural economy and environment in the coming years unless action is taken to allow unimpeded sales of E15.

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California Ethanol + Power is partnering with the Joint BioEnergy Institute to develop scalable next-generation renewable energy products using biomass from CE+P's planned sugarcane ethanol facility in Imperial County, California.

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Three California ethanol producers on July 28 sent a letter to Sen. Dianne Feinstein, D-Calif., urging her to withdraw legislation introduced earlier in the month that aims to make corn ethanol ineligible for meeting RFS blending requirements.

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The U.S. Grains Council brought members together in person July 28 for the first time since the beginning of the pandemic. Agriculture Secrtgary Tom Vilsack addressed attendees on the status and future of U.S. agricultural trade.

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A group of 29 members of Congress on July 30 sent a letter to U.S. EPA Administrator Michael Regan urging the agency to prioritize rulemaking to set RFS RVOs for 2021 and 2022, along with the biomass-based diesel RVOs for 2022 and 2023.

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Green Plains Inc. released second quarter financial results on Aug. 2, reporting improved earnings and progress with initiatives related to ultra-high protein, corn oil, clean sugar and carbon capture and storage (CSS).

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Summit Carbon Solutions announced it has received a strategic investment from John Deere to advance the world's largest carbon capture and storage project, which will enable the production of low-carbon ethanol.

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A group of nine senators led by Sens. Jerry Moran, R-Kan., and Roger Marshall, R-Kan., sent a letter to President Biden on July 28 requesting a meeting with him and members of his cabinet to discuss the Renewable Fuel Standard.

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July 28 marks the four-year anniversary of the July 2017 ruling in Americans for Clean Energy v. EPA. The 2017 ruling required EPA to address its improper waiver of 500 million gallons for 2016 renewable fuel blending requirements under the RFS.

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To build on the USGC's work to promote U.S. distillers dried grains with solubles (DDGS) in Turkey, USGC staff from the Middle East and Africa region recently offered a virtual educational event that demonstrated the benefits of the coproduct.

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In a letter sent on July 27 to President Joe Biden, Renewable Fuels Association members from across the country memorialized their commitment to ensuring ethanol achieves a net-zero carbon footprint, on average, by 2050 or sooner.

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