Republican senators want more from EPA’s proposed renewable volume rules

U.S. Republican Sens. Joni Ernst and Chuck Grassley of Iowa, along with Deb Fischer of Nebraska, stated last week that they are not 100-percent satisfied with the Environmental Protection Agency’s (EPA) proposals under the Renewable Fuel Standard (RFS).

The EPA is required by law to finalize the upcoming year’s mandates for conventional ethanol and most advanced biofuels by Nov. 30 of the previous year.

Specifically, the EPA on July 5 issued proposed 2018 Renewable Volume Obligations (RVOs) under the RFS program for cellulosic biofuel, advanced biofuel and total renewable fuel for calendar year 2018. EPA also proposed biomass-based diesel volume standards for calendar year 2019.

“The EPA’s proposed [RVOs] under the RFS program is a mixed bag,” said Grassley.

He appreciates that the EPA’s proposal retains the requirement of 15 billion gallons for conventional ethanol, but said that the lack of any increase for biodiesel is a missed opportunity because the domestic biodiesel industry can produce at much higher levels.

“The proposed cut to advanced and cellulosic fuels will have a chilling effect on the push toward next generation biofuels and will certainly harm investments in this area,” said Grassley.

Ernst likewise was disappointed that the 2019 biodiesel RVOs “was held constant” at 2.1 billion gallons.
“I would like to see it more accurately reflect current domestic usage and production capacity,” said Ernst, a member of both the Senate Environment and Public Works Committee and its Agriculture, Nutrition, and Forestry Committee.

Ernst emphasized the overall importance of the RFS, which “has proven to be a major driver of alternative fuels and economic development, and I will continue to protect and promote it in the Senate,” she said.
Now that the proposed RVOs have been released, a public comment period will open. While happy the proposed RVOs comply with law, Fischer said she hopes all stakeholders will be heard during the public comment period.

“Our producers need more certainty given the status of our current farm economy,” said Fischer, whose home state is the nation’s second-largest ethanol producer with 25 ethanol plants having the capacity to produce more than 2 billion gallons a year and pump $5 billion into Nebraska’s economy.

Grassley shared the same sentiment: “I am disappointed in the direction of these proposed volumes, and I hope the EPA will consider increasing these levels once stakeholders weigh in.”