Iowa ag, biofuel groups urge Pence to address RFS issues

August 13, 2020

BY Erin Krueger

Leaders of the Iowa Corn Growers Association, Iowa Soybean Association, Iowa Renewable Fuels Association, and Iowa Biodiesel Board sent a letter to Vice President Mike Pence on Aug. 13 welcoming him to Iowa and urging him to address several unresolved issues related to the Renewable Fuel Standard.

“It would not be an overstatement to say that many rural voters are waiting to see what, if anything, the Trump Administration does to fulfill its promises on renewable fuels. Iowa may very well hang in the balance,” the groups wrote.

The letter stresses the Trump Administration’s U.S. EPA has undermined the RFS by granting dozens of illegal small refinery exemptions (SREs), which have destroyed demand for more than 4 billion gallons of biofuels. “As a matter of fact, despite President Trump’s public commitment to the RFS, it has not once been actually enforced at the statutory levels during the four years of his presidency,” the groups continued.

Advertisement

Advertisement

“Now, the EPA is considering a plan to double-down on efforts to undermine the RFS with retroactive handouts that would allow multi-billion-dollar oil companies to claim ‘hardship’ exemptions from obligations dating as far back as 2011,” they added. “These retroactive handouts are designed to sidestep a January 2020 court ruling curtailing EPA’s abuse of RFS exemption provisions.”

The letter calls on Trump to immediately order the EPA to reject all the gap year SRE petitions and apply the Tenth Circuit Court ruling to all remaining SRE petitions.

The groups also note that Trump promised to protect the RFS at statutory levels. “In fact, we have been told in meetings with senior White House officials that the 15-billion-gallon conventional level for the RFS was ‘biblical’ with President Trump,” they wrote. “Yet, we sit here today without a proposal for 2021 RFS levels that typically would have been released months ago. If the Trump Administration is delaying this important action until after the election, how can we interpret that as anything but turning your back on farmers and biofuels producers?”

In the letter, the biofuel and ag groups stress that rural communities are on the brink following four years of lost export markets, illegal RFS demand destruction, and the recent impacts by COVID-19 on fuel markets. They said the agriculture community has been left facing depressed biofuel and commodity prices and needless market uncertainty. “Plants have shuttered, rural workers have been left jobless, and farmers have seen their markets decimated,” they continued.

Advertisement

Advertisement

“We fervently hope that you can find time while in Iowa to address these urgent matters for rural communities,” the groups wrote. “Make no mistake, these issues are being discussed daily around the state and it is often reported back to us that Iowans are saying: ‘If we can’t trust the Trump Administration to do the right thing before the election, then why on Earth would we expect them to treat us fairly after the election.’

“President Trump has the power to immediately end this frustration and to remove all doubt of his commitment to the RFS and rural Americans,” they continued. “He can and should move immediately to direct the EPA to reject all ‘gap year’ RFS exemption petitions and apply the 10th Circuit decision to all RFS exemption petitions going forward. The RFS is essential to the livelihoods of farmers and workers across our state. There is still time for President Trump to keep his RFS promise and to ensure that proper RFS levels are enforced.”

A full copy of the letter can be downloaded from the IRFA website

 

Related Stories

The U.S. Energy Information Administration maintained its forecast for 2025 and 2026 biodiesel, renewable diesel and sustainable aviation fuel (SAF) production in its latest Short-Term Energy Outlook, released July 8.

Read More

XCF Global Inc. on July 10 shared its strategic plan to invest close to $1 billion in developing a network of SAF production facilities, expanding its U.S. footprint, and advancing its international growth strategy.

Read More

U.S. fuel ethanol capacity fell slightly in April, while biodiesel and renewable diesel capacity held steady, according to data released by the U.S. EIA on June 30. Feedstock consumption was down when compared to the previous month.

Read More

XCF Global Inc. on July 8 provided a production update on its flagship New Rise Reno facility, underscoring that the plant has successfully produced SAF, renewable diesel, and renewable naphtha during its initial ramp-up.

Read More

The U.S. EPA on July 8 hosted virtual public hearing to gather input on the agency’s recently released proposed rule to set 2026 and 2027 RFS RVOs. Members of the biofuel industry were among those to offer testimony during the event.

Read More

Upcoming Events

Sign up for our e-newsletter!

Advertisement

Advertisement