May 10, 2023
BY Erin Voegele
The Renewable Fuels Association, Growth Energy and American Coalition for Ethanol and are calling on the U.S. EPA to recognize the carbon reduction benefits of ethanol in its proposed rule to set multi-pollutant emissions standards for model year (MY) 2027 and later light-duty and medium-duty vehicles.
The EPA on April 12 issued a proposed rulemaking that aims to implement new, more stringent standards for criteria pollutants and greenhouse gases (GHGs) for MY 2027 and later light-duty and medium-duty vehicles. A three-day virtual public hearing to gather public comments on the proposal is scheduled for May 9-11.
During the hearing, the RFA is urging the EPA to use honest carbon accounting and adopt a technology-neutral approach to reducing GHG emissions for passenger vehicles. According to RFA, EPA’s proposed actions on vehicular emissions standards for 2027-2032 “would effectively force automakers to produce more battery electric vehicles and would strongly discourage them from pursuing other technologies that could achieve the same—or even better—environmental performance at a lower cost to Americans.”
“RFA shares the Biden administration’s goals of increasing vehicle efficiency and reducing carbon emissions,” said Geoff Cooper, president and CEO of the RFA. “However, we strongly disagree with regulatory approaches that arbitrarily pick technology winners and losers. Unfortunately, that’s exactly what this proposed rule would do.”
The RFA specifically points to the EPA’s proposal to allow electric vehicle (EV) manufacturers to use a zero grams per mile emissions compliance value for EVs. “This approach falsely assumes EVs have no carbon impacts whatsoever and ignores the upstream emissions related to electricity generation, as well as the substantial emissions involved in battery mineral extraction and vehicle construction. We strongly oppose EPA’s proposal to exclude upstream emissions in the GHG accounting,” according to the RFA.
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Cooper pointed out that the administration’s own research indicates that high-octane, low-carbon renewable fuels like ethanol can immediately deliver dramatic improvements in fuel efficiency and carbon performance when paired with the right engine technologies. “We urge EPA to reconsider its proposal and instead adopt a technology-neutral approach that treats all low-carbon transportation options fairly and equally, and we ask that EPA use this rulemaking to establish a roadmap for increasing the required minimum octane rating of our nation’s light-duty vehicle fuel,” he said.
ACE is also urging the EPA to adopt a technology-neutral approach when finalizing the proposed rule. In his testimony, ACE CEO Brian Jennings specifically called on EPA to give more consideration to ethanol, a lower-carbon and higher-octane alternative, to replace the fossil fuel powering 99 percent of the U.S. vehicle fleet. His remarks outlined how agriculture is critical to reduce GHGs emissions, citing the Intergovernmental Panel on Climate Change finding that 89 percent of the globe’s capacity to mitigate carbon emissions comes from agricultural soil carbon sequestration.
“Understanding this enormous potential, ACE is leading a project to more accurately validate the degree to which farmer adoption of practices, such as reduced tillage and cover crops, reduce ethanol’s lifecycle GHG emissions,” Jennings said.
“Unfortunately, the California Low Carbon Fuel Standard does not yet allow carbon credits for biofuels produced from climate-smart agriculture, and since EPA’s proposal puts all our eggs in one basket, it fails to unlock the significant carbon mitigation potential from agricultural lands and ethanol,” he added. “We can and should do better.”
“EPA should reconsider its proposal, develop a technology-neutral approach to decarbonizing transportation fuel, and engage with ACE as we implement our project to ensure fair and accurate accounting for GHG reductions from climate-smart agriculture and ethanol,” Jennings continued.
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Growth Energy plans to flag the neglect of biofuels in the proposed rule during its testimony on May 10 and urged the EPA to harness U.S. biofuels to address gaps in the agency’s proposed rule.
“[L]iquid fuels will continue to play a dominant role in the transportation sector now and for decades to come,” Growth Energy Senior Vice President of Regulatory Affairs Chris Bliley will testify. “These fuels and vehicles operate as a system. As such, it is imperative to consider the vital role that environmentally sustainable fuel options, such as ethanol, will play in reducing greenhouse gas emissions from the current and future vehicle fleet, rather than putting the thumb on the scale for one, single technology.”
Additionally, Bliley will note that “[E]thanol reduces greenhouse gas emissions by nearly 50 percent compared to gasoline and can provide reductions of up to 100 percent with the use of readily available technologies. Ethanol’s other environmental benefits are also noteworthy. As research has shown, the use of more ethanol and ethanol-blended fuel reduces air toxics, such as carbon monoxide, benzene, and other harmful particulates.”
Bliley will specifically call on regulators to accelerate the deployment of E15 nationwide; approve and adopt high-octane, midlevel ethanol blends like E30; expand access to flex fuel vehicles (FFVs) in conjunction with use of E85, and finalize strong Renewable Fuel Standard blend targets for 2023, 2024, 2025 and beyond.
Nearly 250 individuals are already scheduled to provide testimony during the three-day public hearing. Registration will remain open through the last day of the hearing. Additional information on the event is available on the EPA website.
The Michigan Advanced Biofuels Coalition and Green Marine are partnering to accelerating adoption of sustainable biofuels to improve air quality and reduce GHG emissions in Michigan and across the Great Lakes and St. Lawrence Seaway.
Sen. Roger Marshall, R-Kan., and Rep. Marcy Kaptur, D-Iowa, on April 10 reintroduced legislation to extend the 45Z clean fuel production credit and limit eligibility for the credit to renewable fuels made from domestically sourced feedstocks.
Representatives of the U.S. biofuels industry on April 10 submitted comments to the U.S. Department of Treasury and IRFS providing recommendations on how to best implement upcoming 45Z clean fuel production credit regulations.
The U.S. Energy Information Administration reduced its 2025 forecasts for renewable diesel and biodiesel in its latest Short-Term Energy Outlook, released April 10. The outlook for “other biofuel” production, which includes SAF, was raised.
FutureFuel Corp. on March 26 announced the restart of its 59 MMgy biodiesel plant in Batesville, Arkansas. The company’s annual report, released April 4, indicates biodiesel production was down 24% last year when compared to 2023.