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US Boosts Biodiesel Quotas Only Modestly Despite Lobbying Frenzy

2023-06-21 04:58
The Biden administration is only modestly boosting quotas for plant-based diesel despite a fierce lobbying push by biofuel
US Boosts Biodiesel Quotas Only Modestly Despite Lobbying Frenzy

The Biden administration is only modestly boosting quotas for plant-based diesel despite a fierce lobbying push by biofuel makers who complained the government is lowballing the industry’s potential production.

Under a final slate of biofuel quotas set to be released Wednesday, the Environmental Protection Agency will require at least 3.35 billion gallons of bio and renewable diesel be blended into US fuels in 2025 — up from an earlier proposal of 2.95 billion and last year’s 2.76 billion requirement, according to a person familiar with the matter who asked not to be named before a formal announcement.

For 2023 and 2024, the quotas for biomass-based diesel, generally made from soybean oil and other fats, would be set at 2.82 billion and 3.04 billion gallons respectively.

At the same time, the agency is paring the amount of conventional corn-based ethanol that could be used to fulfill quotas in 2024 and 2025 — down to 15 billion gallons for each of those years, from 15.25 billion as previously proposed.

Representatives of the EPA did not respond to requests for comment. Agency staff were briefing key stakeholders, including congressional offices, on the matter Wednesday afternoon.

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Author: Jennifer A. Dlouhy and Kim Chipman