EPA finalises increase in renewable fuel volumes

The US Environmental Protection Agency (EPA) has finalised increases in renewable fuel volume requirements across all categories of biofuels under the Renewable Fuel Standard (RFS) programme.

In a required annual rulemaking, today’s (23 November, 2017) action finalises the volume requirements and associated percentage standards for cellulosic biofuel, advanced biofuel, and total renewable fuel for 2017, and for biomass-based diesel for 2018.

“Renewable fuel volumes continue to increase across the board compared to 2016 levels,” said Janet McCabe, the agency’s acting assistant administrator for the Office of Air and Radiation.

She added: “These final standards will boost production, providing for ambitious yet achievable growth of biofuels in the transportation sector. By implementing the programme enacted by Congress, we are expanding the nation’s renewable fuels sector while reducing our reliance on imported oil.”

Some key elements of today’s action:

•           Non-advanced or “conventional” renewable fuel increases in 2017, meeting the 15 billion-gallon congressional target for conventional fuels.

•           The standard for biomass-based biodiesel – which must achieve at least 50% lifecycle greenhouse gas emission reductions compared to petroleum-based diesel – grows by 100 million gallons. The required volume of biomass-based diesel for 2017 is twice that of the minimum congressional target.

•           Cellulosic biofuel – which must achieve at least 60% lifecycle greenhouse gas emissions reductions – grows 35 percent over the 2016 standard.

•           The advanced biofuel standard – comprised of biomass-based diesel, cellulosic biofuel, and other biofuel that achieves at least 50% lifecycle greenhouse gas emissions reductions – increases 19% over the 2016 standard.

•           Total renewable fuel volumes grow 1.2 billion gallons from 2016 to 2017, a 6% increase. 

Renewable Fuel Volume Requirements for 2014-2018

	2014	2015	2016	2017	2018
Cellulosic biofuel (million gallons)	33	123	230	311	n/a
Biomass-based diesel (billion gallons)	1.63	1.73	1.9	2.0	2.1
Advanced biofuel (billion gallons)	2.67	2.88	3.61	4.28	n/a
Renewable fuel (billion gallons)	16.28	16.93	18.11	19.28	n/a

The Clean Air Act requires EPA to set annual RFS volume requirements for four categories of biofuels.

By displacing fossil fuels, biofuels are part of the nation’s overall strategy to enhance energy security and address climate change. EPA is using the tools provided by Congress to adjust the standards below the statutory targets, but the steadily increasing volumes in the final rule continue to support Congress’s intent to grow the volumes. EPA implements the RFS programme in consultation with the U.S. Department of Agriculture and the US Department of Energy.

Biomass-Based Diesel

The National Biodiesel Board (NBB) welcomed the release of new standards to support American jobs and energy security. The group applauds the administration for working to reduce America’s dependence on fossil fuels by raising biodiesel volumes under the Renewable Fuel Standard (RFS).

“The real winners with this announcement are American consumers who will now have access to even more cleaner burning, advanced biofuel,” said NBB CEO Donnell Rehagen. “These benefits extend far beyond the biodiesel industry, supporting high paying jobs and clean air across the nation. Though we are poised to top these numbers this year, growth in advanced biofuels still sends positive signals to the marketplace.”

Under the new RFS rule, Biomass-Based Diesel standards would move to 2.1 billion gallons in 2018 up from 2 billion gallons in 2017. The Biomass-Based Diesel category – a diesel subset of the overall Advanced Biofuel category – is made up of biodiesel and renewable diesel, another diesel alternative made from the same feedstocks using a different technology.

Additionally the new RFS rule, would move Advanced Biofuels to 4.28 billion gallons in 2017 up from 3.61 billion gallons in 2016 with Biomass-Based Diesel continuing to fill a large portion of the Advanced Program. 

The new standards reflect modest growth in the standards but remain below the more than 2.6 billion gallons of biodiesel and renewable hydrocarbon diesel expected in 2016.

For more reaction on the EPA's action click here.