Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

U.S. biodiesel industry leaders urge Trump's EPA to lift biodiesel mandate

CommoditiesSep 04, 2019 07:56PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

By Stephanie Kelly

(Reuters) - U.S. biodiesel industry leaders told an Environmental Protection Agency regional administrator in Houston on Wednesday that they want the Trump administration to boost the volume of biodiesel that oil refiners must blend into their fuel each year, two sources familiar with the matter said.

The request came days after President Donald Trump promised to deliver a "giant package" https://www.reuters.com/article/us-usa-biofuels-trump/trump-promises-giant-package-related-to-ethanol-to-please-farmers-idUSKCN1VJ1OB to U.S. farmers related to ethanol, in response to pressure from the corn lobby over the administration's expanded use of waivers freeing small refineries from their obligation to blend biofuels.

Under the Renewable Fuel Standard regulation, refineries are required to blend biofuels into their fuel but small facilities under financial strain can be exempted. Trump authorized the EPA to grant 31 waivers to small refineries in August, far more than the Obama administration had typically granted.

The biodiesel leaders told Region 6 Administrator Ken McQueen that the biodiesel industry has also been hurt by the waivers, not just the ethanol industry, and an increase in blending mandates would help compensate for that, the sources said.

During the meeting, the group added that it does not benefit from the lifting of a summertime ban on E15, a higher-ethanol blend of gasoline, the sources said. The Trump administration earlier this year lifted the ban, hoping to give a boost to Midwest farmers struggling under his trade wars.

McQueen said he would relay comments from the meeting to EPA Administrator Andrew Wheeler, the sources said.

In July, EPA proposed https://www.reuters.com/article/us-usa-epa-biofuels/u-s-epa-proposes-hike-in-2020-biofuel-mandate-but-waiver-volumes-draw-ire-idUSKCN1U01WI requiring refiners to blend 20.04 billion gallons of biofuels into their fuel in 2020, up from 19.92 billion gallons in 2019. The proposed mandate, now under review by other government agencies before being finalized, includes 15 billion gallons of conventional biofuels like ethanol, unchanged from 2019. It also includes 5.04 billion gallons of advanced biofuels, like those made from agricultural wastes, up from 4.92 billion in 2019, the sources said.

The mandate also proposed a biodiesel mandate of 2.43 billion gallons for 2021, unchanged from 2020, they said. The EPA sets biodiesel mandates a year in advance.

EPA has until the end of November to finalize the proposal.

Lawmakers from farm states, ethanol and biodiesel groups and corn farmers have been pushing the administration to take immediate steps to force the refining industry to make up for volumes of biofuels covered by waivers.

U.S. biodiesel industry leaders urge Trump's EPA to lift biodiesel mandate
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email