(WASHINGTON D.C.) — A number of biofuel and agriculture groups are calling on the Environmental Protection Agency to finalize its proposal to reallocate 100% of biofuel gallons lost due to small refinery exemptions (SREs) granted under the Renewable Fuel Standard (RFS).
“Reallocating every exempted gallon is not just the right thing to do, or the smartest thing to do for the market — it’s also what the law clearly requires,” said Growth Energy CEO Emily Skor. “EPA and this Administration made a promise to rural America to get the RFS back on track — reallocating any less than 100% of all the 2023-2025 SREs EPA has granted would break that promise, and farmers and rural communities would suffer because of it. We urge EPA to commit to full reallocation, and we look forward to continuing our work with the agency to increase American energy dominance through the increased use of homegrown biofuels.”
Comments from groups like Growth Energy and the National Corn Growers Association, encouraged EPA to finalize the supplemental proposal it released in September. This would ensure that the agency accounts for every lost biofuel gallon exempted by EPA’s August 2025 decision to grant several SREs for the 2023-2025 Renewable Volume Obligation (RVO) compliance years. The comments also highlight the legal obligation EPA has to fully reallocate these gallons and the negative impacts to the industry and the rural economy if EPA decides to not reallocate, or to reallocate only a portion of the exempted volumes.
“A strong, transparent, and balanced RFS remains a cornerstone of America’s agricultural and energy success,” said National Corn Growers Association CEO Neil Caskey.
Under the Renewable Fuel standard, enacted in 2005, EPA sets the renewable volume obligations each year, specifying the amount of renewable fuel that refiners and importers of petroleum products must blend into the nation’s fuel supply. EPA has the authority to issue Small Refinery Exemptions to refiners that can demonstrate “disproportionate economic harm” from compliance. NCGA has long argued that a dependable Renewable Fuel Standard is critical to unlocking America’s domestic energy potential, promoting ethanol growth and driving corn demand. The group has also discouraged the overuse of exemptions.
Read Growth Energy’s full comment here.
Read NCGA’s full comment here.
