October 11, 2024 10:03 am
Clean Fuels Alliance America plans to sue the EPA for delaying the 2026 Renewable Fuel Standards. The rule has now been delayed until December of 2025.
Clean Fuels Alliance America plans to sue the Environmental Protection Agency (EPA) for not issuing the 2026 Renewable Fuel Standards (RFS) on time. The Alliance says the EPA should have finalized the fuel volumes by the end of October 2024, but the EPA now plans to do so by December 2025. This delay has upset many in the clean fuels industry.
The RFS program requires certain amounts of renewable fuel to be blended into the U.S. fuel supply each year. The EPA must set these amounts well in advance. For 2026, the deadline was supposed to be October 2024. But the EPA’s new plan means the rules won’t be ready until December 2025. This delay affects planning and operations for many businesses in the clean fuels industry.
Clean Fuels Alliance America believes the EPA has already set too low fuel volumes for the years 2023 through 2025. This has caused several problems, including:
The Alliance argues that setting higher fuel volumes is essential for industry growth and stability.
“As explained in Clean Fuels’ petition for reconsideration of the 2024 and 2025 volumes, EPA set biomass-based diesel and advanced volumes for those years significantly below what the industry can achieve,” states the letter from Clean Fuels. “The result has been a crash in RIN prices, shuttered production facilities, and cancellations of planned facility expansions. While EPA can and should reconsider and revise its 2024 and 2025 volumes, it should at a minimum set a timely 2026 volume.”
Kurt Kovarik, Vice President of Federal Affairs for Clean Fuels Alliance America, emphasized that lawmakers also want the EPA to act faster. Both U.S. House and Senate members have asked the EPA to issue the 2026 RFS volumes on time.
“Members of both the U.S. House and Senate have urged EPA to issue timely 2026 RFS volumes to mitigate the damage from the agency’s miscalculation of volumes for 2023, 2024, and 2025. Stakeholder organizations earlier this year asked EPA to ensure it met the deadline for the 2026 rule. The biodiesel, renewable diesel, and SAF industry needs EPA to get the program back on track to support our growth,” Kovarik stated.
The Alliance provided the EPA with data on industry growth to support its request to revise the 2024 and 2025 RFS volumes. Kovarik says, “There isn’t any practical reason that would prevent the agency from meeting the legal deadline for the 2026 RFS rule.”
Many letters from lawmakers and trade groups have been sent to the EPA to stress the importance of timely RFS volumes:
These letters show that there is strong support for timely action from the EPA.
Clean Fuels Alliance America represents the biodiesel, renewable diesel, and sustainable aviation fuel industries. They work with producers, suppliers, and distributors. The Alliance is funded by private companies and groups like the United Soybean Board and state checkoff organizations. They aim to support clean fuels, which are made from resources like recycled cooking oil, soybean oil, and animal fats.
For more details on Clean Fuels Alliance America’s notice of intent to sue and other related documents, visit their official website.