Oil lobby sues EPA over US biodiesel standard increase

By Ron Kotrba | January 17, 2013

The American Petroleum Institute filed a lawsuit in the U.S. Court of Appeals on Nov. 26 against U.S. EPA for the agency’s decision to mandate the use of 1.28 billion gallons of biodiesel this year, a 28 percent increase from the statutory minimum. One week earlier, API filed a petition with EPA to reconsider the biodiesel increase, coming on the heels of EPA’s denial of multiple state requests to waive the renewable fuel standard on the basis of economic hardship from drought and higher feed costs.

“EPA’s overzealous 2013 biodiesel mandate is unworkable, could raise the costs of making diesel fuel, and should be reduced,” says Bob Greco, API group downstream director. He says the increase was completely discretionary and EPA shouldn’t have gone beyond the statutory minimum of 1 billion gallons.  

“It’s disappointing that the petroleum industry continues to fight advancements toward clean, renewable fuels—even as it embraces alternative energy in its marketing,” says Anne Steckel, vice president of federal affairs for the National Biodiesel Board. “The EPA clearly determined, in an independent analysis, that increased biodiesel production is good for the country … We would encourage the oil industry to drop these lawsuits and work constructively toward improving our energy security with a mix of traditional and renewable fuels.”

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