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October 3, 2014
In the lead-up to the Administration’s final announcement on the 2014 Renewable Fuel Standard (RFS) volumes, SBFF will be providing links to the many relevant op-eds and letters to the Administration on this topic. While the rule arrived at the Office of Management and Budget (OMB) on August 22, OMB has 90 days to release the final ruling. Therefore, final rules could be punted until after the mid-term elections. Those in support of and against the RFS are making their final arguments to the Administration – despite the fact it is expected that the mandated renewable fuel volumes will be significantly lower relative to 2013 levels.
Although the industry has had difficulty reaching the advanced biofuels targets laid out under the RFS, the technology for many advanced fuels is at an inflection point. Commercial level production is underway at one cellulosic ethanol plant, with two more coming on-line this year. Cumulatively, these plants will produce a total of 80 million gallons of cellulosic ethanol per year. Additionally, EPA has approved other pathways for inclusion in the advanced fuels categories, including biogas (renewable natural gas), which has generated 3.49 million RINs for liquefied natural gas (LNG) and compressed natural gas (CNG) in August alone. The Department of Energy, USDA and the Department of Defense have also bullishly invested in the research and development of other advanced fuels – such as algae.
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