Biden could reduce biofuel quotas, giving victory to oil-state Democrats

as if Jennifer A. Dulley On 8/22/2021

WASHINGTON (Bloomberg) – The Environmental Protection Agency (BPA) is set to submit a biofuel blend quota draft for review soon.

EPA officials advise lawmakers and industry stakeholders: White House plan review is imminent The public debated the discussions and asked not to be named.

Some legislators have been told to meet relatively unchanged standards — and a slight reduction is possible — according to one source for corn-based ethanol and soy-based biodiesel.

Efforts by the administration to cut new requirements, including from Democratic partners: rural, biofuel-producing states, and senators representing high domestic oil refineries, have been halted. Oil refinerists and labor leaders have called on the API to develop “reasonable” renewable fuel standards that reflect the declining demand for fuel and reflect the potential to meet the 2020 targets.

But biofuel advocates have warned that any move to cut quotas could jeopardize supporters in the maize belt and that President Joe Biden’s campaign pledge to uphold the US Renewable Energy program is seen as a betrayal. . ”

According to a Bloomberg report, the price of ethanol used for corn fell by a quarter. The future of the corn was under pressure. The fate of soybean oil, which was used to produce biodiesel, also fell.

“If this administration chooses to reduce its biofuel needs and merger requirements, it will add another dimension to the already weak grain prices,” said Naomi Bloom, senior marketing consultant for Total Agricultural Marketing in West Bend, Wisconsin. Email.

Federal courts are struggling with a number of pressing biofuel policy issues, including the Trump administration’s crackdown on small-scale filters and annual summer sales of high-ethanol gasoline.

Leave a Comment