Biodiesel Board sees issues with proposed EPA RVOs


Biodiesel Board sees issues with proposed EPA RVOs

The National Biodiesel Board says the recently released Renewable Volume Obligations show potential for significant growth in the industry, but not all the EPA’s decisions were positive.

NBB’s Kurt Kovarik tells Brownfield although the EPA is proposing to deny all pending small refinery exemptions, it’s proposal to lower 2020 obligations has the same impact as granting the blending exemptions.

“Revising previous years’ volume obligations is no different than granting small-refiner exemptions to everyone who applies without making up those gallons or allocating those gallons to other obligated parties,” Kovarik said.

He said pandemic related biofuel demand loss already lowered biofuel blending requirements.

“The program is already self-correcting,” he said. “There’s no need for EPA to take this measure. We view it as, quite frankly, a give-away to oil refiners who’ve been making the case that they’ve been somehow harmed with these ‘burdensome blending requirements’ while demand for fuel went down as a result of COVID.”

Kovarik said overall, the EPA decision is a mixed bag and NBB will look into the legality of lowering past obligations.

Kurt Kovarik Interview