EPA finalizes RFS mandates for 2023-2025

EPA announced a final rule to establish biofuel volume requirements and associated percentage standards for cellulosic biofuel, biomass-based diesel (BBD), advanced biofuel and total renewable fuels for 2023–2025. The rule also establishes a supplemental volume requirement of 250 million gallons of renewable fuel for 2023. The final volume targets:

In December, EPA proposed conventional renewable biofuels mandates of 15.25 billion gallons for 2023-25. Total renewable fuels were proposed at 20.82 billion gallons for 2023, 21.87 billion gallons for 2024 and 22.68 billion gallons for 2025.

EPA said, “This final rule includes steady growth of biofuels for use in the nation’s fuel supply for 2023, 2024 and 2025. The Energy Independence and Security Act (EISA) of 2007 does not specify statutory volumes after 2022, and EPA in this rule is establishing final biofuel volume targets for all categories under the ‘set’ authority. When determining biofuel volumes for years after 2022, EPA must consider a variety of factors specified in the statute, including costs, air quality, climate change, implementation of the program to date, energy security, infrastructure issues, commodity prices, water quality and supply.”

Perspective: The biomass-based diesel requirements are well below the increase sought by producers, who warned the White House that recent surges in U.S. production warrant much higher targets and that multi-billion-dollar investments in renewable diesel capacity hang in the balance. The main reason why EPA went light on biodiesel and renewable diesel mandates: The food vs. fuel debate was highly discussed within EPA, sources advise.