American Farm Bureau Federation; Renewable Fuels Volumes Standards Fall Short

The Environmental Protection Agency has released final volume requirements under the renewable fuel standard for 2023 2024 and 2025. American Farm Bureau Federation Economist Bernt Nelson says while this is a step in the right direction, EPA standards falls short given the investment that the private ag industry and government has made into the biofuels industry.

“(We) invested so much more money in our capacity for some of these biofuels and having the standards so far below what our capacity is, it's just not supportive of such a robust biofuel industry. There's so much more that could be given with the money that's been invested that just won't be used for these mandates at this low.”

Additionally, Nelson says RFS standards are important because they set a market benchmark.

“In kind of a minimum that establishes a certain consistent market over the years for our growers.”

EPA’s Final Rule Set the 2023 volumes for advanced biofuels at five point 94 billion gallons 2024 was set at six point 54,000,000,020 25 as seven point 33 billion gallons. The RFS program is a national policy that requires a certain volume of renewable fuel to replace or reduce the quantity of petroleum based transportation fuel, heating oil or jet fuel. The RFS standard program was originally created under the Energy Policy Act of 2005.