back
EPA Announcement Will Have Consequences for the Future of Advanced Biofuels
Posted 4 May 2015 in
Next month, the U.S. Environmental Protection Agency (EPA) will release the renewable fuel volumes for 2014, 2015, and 2016 — an important step in determining the future of renewable fuel in our country.
In the decade since the passage of the Renewable Fuel Standard (RFS), companies have invested billions to make the United States the world leader in biofuels production. As a result, renewable fuel production has tripled, oil imports are at their lowest level in decades, and our environmental, energy and national security have improved dramatically.
As President Obama and the EPA prepare to make this announcement, they should understand the consequences that their decision will have.
Uncertainty Has Discouraged Investment
According to a new report from the Biotechnology Industry Organization, the EPA’s delays in issuing timely rules have caused a $13.7 billion shortfall in investment for cellulosic and new advanced technologies. Since 2009, the advanced biofuel industry has invested billions of dollars to build demonstration and commercial-scale biorefineries, but the EPA’s failure to release the 2013 and 2014 renewable fuel volumes on time has created uncertainty that has frozen investment.
Opponents’ Predictions Have Proven Wrong
Over the years, opponents of the Renewable Fuel Standard have predicted that renewable fuels would cause gasoline prices to skyrocket. The truth? Since the RFS was enacted in August 2005, the inflation-adjusted price of gasoline has fallen by roughly 50 cents per gallon.
Since oil companies control the retail infrastructure through which fuel is distributed, the RFS has been crucial to ensuring that consumers have a choice at the pump. In turn, the renewable fuel industry has delivered significant economic, environmental, and national security benefits for our nation.
It’s not too late to put the Renewable Fuel Standard back on track, and make sure that renewable fuel has a strong future in the United States.
Will the next generation of renewable fuel be made in the United States or China? It’s up to you, Mr. President.
Read the full white paper: Estimating Chilled Investment for Advanced Biofuels Due to RFS Uncertainty
Read the new letter from biofuels industry leaders to President Obama.
Fuels America News & Stories
Fuels
Original link:
EPA Announcement Will Have Consequences for the Future of Advanced Biofuels
