Biodiesel back on track for increased demand in upcoming years. This is good news, and long overdue…
From the NBB:
The EPA today released its long-awaited proposal to establish volumes under the Renewable Fuel Standard (RFS). While the proposal is not perfect, we are pleased to report that it calls for steady growth in Biomass-based Diesel through 2017 and is a dramatic improvement from the EPA’s initial draft in November 2013. In fact, while the initial proposal would have held biodiesel flat at the 2013 standard of 1.28 billion gallons through 2015, today’s proposal calls for an increase of more than 600 million gallons between 2013 and 2017.
While we will continue pressing for stronger growth during the coming weeks, this represents a significant turnaround that should pave the way for healthy biodiesel markets in the coming years and also sets a precedent for further RFS growth in the future. The proposal, which is subject to public comment and change until finalized later this year, would establish the following volumes for Biomass-based Diesel:
2014 – 1.63 BG
2015 – 1.7 BG
2016 – 1.8 BG
2017 – 1.9 BG
Additionally, it includes the following growth for the overall Advanced Biofuel category, which offers further opportunity for biodiesel growth above and beyond the Biomass-based Diesel standards:
2014 – 2.68 BG
2015 – 2.9 BG
2016 – 3.4 BG
The EPA says it will finalize the proposal by Nov. 30.
We know the delays and uncertainty surrounding this RFS rule over the past two years have been incredibly damaging to our industry and have created significant hardships at your businesses. But the improvements in this proposal are a testament to the impact that we as an organized and unified industry can have in Washington. Thank you to all who participated in our advocacy efforts. This wouldn’t have happened without your help, and we will be calling on you to engage even more in the coming weeks.
National Biodiesel Board