August 21, 2024
BY Clean Fuels Alliance America
Clean Fuels Alliance America expressed disappointment in the California Air Resources Board’s recently proposed amendments to its Low Carbon Fuel Standard. If adopted, these changes would impose caps on credits for soy- and canola-based biodiesel and renewable diesel, without sufficient scientific evidence to support such limitations.
By restricting credit generation for these low-carbon alternatives, CARB risks unfairly disadvantaging biodiesel and renewable diesel—proven solutions that reduce emissions today while supporting sustainable farming and rural economies. Limiting biodiesel and renewable diesel in favor of technologies that will not be fully scalable for many years, even by CARB’s own projections, threatens both environmental progress and innovation.
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Biodiesel and renewable diesel have significantly contributed to California’s emissions reductions. Based on data from CARB, last year more than 3 billion pounds of soybean oil and 1.7 billion pounds of canola oil were used in the state, with biomass-based diesel (BMBD) now accounting for 73% of California’s diesel pool.
“These proposed amendments impose significant restrictions on vegetable oil feedstocks, hindering the ability of clean fuels to effectively decarbonize the heavy-duty transportation sector. Moreover, they introduce stricter standards for these fuels than those applied to others, including petroleum,” said Jeff Earl, director of state governmental affairs at Clean Fuels. “These changes unjustly penalize biodiesel and renewable diesel—low-carbon fuels that provide immediate health benefits for California.”
Clean Fuels will submit comments strongly urging CARB to reconsider these amendments that threaten to reverse progress in emissions reductions and jeopardize the economic viability of renewable fuels.
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“We believe that collaboration and sound science are crucial to advancing environmental goals without compromising the livelihoods of those who have committed to sustainable energy and rural communities,” said Donnell Rehagen, CEO at Clean Fuels. “Without a robust scientific foundation, these vegetable oil caps, and additional sustainability requirements threaten to undo the progress of our industry.”
The deadline for public comment is Aug. 27, 2024.
The U.S. EPA on March 12 announced it has kicked off a formal reconsideration of 2009 Endangerment Finding, which forms the legal basis for GHG regulations, and is considering the elimination of the agency’s Greenhouse Gas Reporting Program.
NATSO, representing America’s truck stops and travel centers, SIGMA: America’s Leading Fuel Marketers, and a variety of other groups are urging Congress to extend the “Section 40A" Biodiesel Blenders' Tax Credit.
The USDA reduced its forecast for 2024-’25 soybean oil use in biofuel production in its latest World Agricultural Supply and Demand Estimates report, released March 11. The outlook for soybean oil price was unchanged.
The U.S. EPA on March 7 announced it will extend the compliance year 2024 Renewable Fuel Standard reporting deadline and signaled its intent to revise the 2024 RFS renewable volume obligation (RVO) for cellulosic biofuel.
The Canada Boarder Services Agency on March 6 announced it is initiating investigations into alleged dumping and subsidizing of renewable diesel from the U.S. The announcement follows complaints filed by Tidewater Renewables Ltd. in 2024.