EPA Releases Much-anticipated RFS Proposals

Posted on 06/26/2018 12:11 PM

Today, the Environmental Protection Agency proposed setting a biofuels blending mandate of 19.88 billion gallons for the 2019 Renewable Fuel Standard, with the breakdown in line with what was rumored last week. See the table below for a detailed breakdown.

Also of note, EPA asked for public comment on whether to limit who can trade biofuel compliance credits known as RINs or how long they could be held. 

Regarding reallocation of waived biofuel obligations, EPA made these comments: “EPA has granted exemptions pursuant to this process in the past. However, at this time no exemptions have been approved for 2019, and therefore we have calculated the percentage standards for 2019 without any adjustment for exempted volumes. EPA is maintaining its approach that any exemptions for 2019 that are granted after the final rule is released will not be reflected in the percentage standards that apply to all gasoline and diesel produced or imported in 2019.”

The agency continued that it is “not soliciting comments on how small refinery exemptions are accounted for in the percentage standards formulas,” and added that “any such comments will be deemed beyond the scope of this rulemaking.”

"Issuing the proposed rule on time meets Congress’s statutory deadlines, which the previous administration failed to do, and provides regulatory certainty to all impacted stakeholders," EPA Administrator Scott Pruitt says in a related news release.

 

2018

2019

2020

Cellulosic biofuel (million gallons)

288

381

N/A

Biomass-based diesel (billion gallons)

2.10

N/A*

2.43

Advanced biofuel (billion gallons)

4.29

4.88

N/A

Renewable fuel (billion gallons)

19.29

19.88

N/A

Implied conventional biofuel (billion gallons)

15.00

15.00

N/A

*The biomass-based diesel standard for 2019 was set at 2.1 billion gallons in 2018 and cannot be changed.

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