The Renewable Fuels Association today said it is encouraged by the Environmental Protection Agency’s new proposal to ensure that renewable fuel volumes lost to small refinery exemptions in 2023-2025 will be reallocated to future RFS standards. EPA is co-proposing two options to account for renewable fuel blending volumes lost to SREs: Reallocate all of the exempted volume and add it to 2026 and 2027 RFS requirements, or reallocate half of the exempted volume.
“While we continue to question whether any SREs for 2023-2025 are truly justified in the first place, we are encouraged that EPA is proposing to add the exempted volumes back to future RFS requirements for 2026 and 2027,” said RFA President and CEO Geoff Cooper. “We support EPA’s proposed option to fully reallocate 2023-2025 SREs and believe such an approach will ensure intended levels of renewable fuel consumption are maintained over the long-term. We appreciate that EPA continues to focus on SRE approaches that minimize marketplace disruptions, while honoring the congressional purpose and intent of the RFS program. EPA clearly recognizes that an unmitigated influx of RIN credits from SREs could devastate markets and undermine renewable fuel production and consumption. As this is only a proposal, we look forward to working with EPA to ensure its final rule appropriately upholds the integrity of the RFS program, supports America’s farmers, and strengthens our nation’s energy and economic security.”
Once the supplemental proposal is published in the Federal Register, stakeholders will have 45 days to provide comments to EPA.
