EPA Approves 28% Increase in Biodiesel Mandated for 2013
September 19, 2012 8:43 AM
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Biodiesel producers rejoice at new mandate for 2013
The renewable energy industry is applauding President Obama and the U.S. Environmental Protection Agency after the EPA approved a 28% increase in the amount of biodiesel mandated for use in trucks on the nation's highways for 2013. Biodiesel is made in a process that uses soybeans, while the production of ethanol is based on corn.
The president of the Iowa Renewable Fuels Association, Brad Albin, said, "I want to thank President Obama and his staff for listening to our concerns and recognizing the value and potential of America’s Advanced Biofuel—biodiesel.”
The biodiesel industry is celebrating because unlike mandates for the use of ethanol in the nation's fuel set forth in the 2007 Renewable Fuels Act, biodiesel didn't have a mandate until last year. That mandates set a goal of 800 million gallons. The new mandate for 2013 has been expanded to 1 billion gallons, and fell short of the 1.28 billion gallons that biodiesel producers wanted.
“This was an incredibly important decision, and the Obama Administration got it right,” said Joe Jobe, CEO of the National Biodiesel Board, the industry trade association.
“It will allow biodiesel plants across the country to invest and expand, creating thousands of jobs. At the same time, it sends a strong signal that the U.S. is standing firm behind its commitment to producing clean, American-made energy to strengthen our energy security and break our dependence on petroleum.”
When the mandate was introduced in 2011 at 800 million gallons, it helped prevent the closure of several of the nation's biodiesel plants.
Ethanol production has come under fire for
driving up prices
on the food crop, however, there is no indication that the same will happen for soybeans.
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9/19/2012 12:25:56 PM
I'm not sure that "entitlement" is the word you're looking for.
The EPA mandate is to the sellers of fuel- they must include 1B gallons of biodiesel from US producers for their sales next year. This would potentially replace 1B gallons of foreign oil.
That's not an "entitlement" for US farmers, but an opportunity.
Personally, I'd rather see US farmers get that cash, rather the Iranians, Iraqis and Venezuelans.
The five year plan is to use domestic supplies rather than foreign oil.
But maybe you're not a fan of "Made in America"?
"Paying an extra $500 for a computer in this environment -- same piece of hardware -- paying $500 more to get a logo on it? I think that's a more challenging proposition for the average person than it used to be." -- Steve Ballmer
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