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Governors' Biofuels Coalition
NEWS UPDATE March 25, 2021

Top Story

EPA Reiterates RFS Position to SCOTUS

By Todd Neeley, DTN Staff Reporter  •    •  Posted March 25, 2021

EPA solidified its new position on the scope and purpose of the small-refinery exemptions program on Wednesday in a brief filed with the U.S. Supreme Court. The agency argues three refiners who received Renewable Fuel Standard exemptions in 2017 and 2018 did not qualify. “Although EPA typically treats as confidential the identities of the small refineries that receive exemption extensions,” the agency said, “it is undisputed that petitioners were not among the small refineries that had maintained exemptions through the years for which they sought extensions. “Thus, when petitioners sought extensions in 2017 and 2018, EPA had no authority to grant their requests.”
[ read more … ]

RFS

Regan: EPA to Get RFS Back on Track

By Todd Neeley, DTN Staff Reporter  •    •  Posted March 25, 2021

One day after EPA granted deadline extensions to refiners to comply with the Renewable Fuel Standard, EPA Administrator Michael Regan said the Biden administration will be working to get the RFS back on track this year. On Tuesday, EPA announced it would extend deadlines for obligated parties to comply with RFS deadlines for 2019 and 2020. Biofuels groups expressed disappointment in the final rule that extends compliance to November 2021 for the 2019 requirements and into 2022 for the 2021 requirements. [ read more … ]

Biofuels Coalition Files Brief in Supreme Court Case

By Ken Colombini, RFA  •    •  Posted March 25, 2021

Today, the Renewable Fuels Association, the American Coalition for Ethanol, the National Corn Growers Association and the National Farmers Union, working together as the Biofuels Coalition, filed their response brief in the Supreme Court case HollyFrontier Cheyenne Refining, LLC, et al., v. Renewable Fuels Association, et al. “We believe the Tenth Circuit got it right the first time, and we will continue to defend the court’s ruling and stand up for the farmers and renewable fuel producers harmed by the granting of these illegal waivers,” the coalition said. “We strongly believe the Tenth Circuit Court’s ruling is consistent with both the Clean Air Act and Congressional intent.” [ read more … ]

Aid

USDA to provide COVID-19 relief to biofuel producers

By Erin Voegele, Ethanol Producer Magazine  •    •  Posted March 25, 2021

The USDA on March 24 announced its intent to provide COVID-19 relief to biofuel producers as part of its USDA Pandemic Assistance for Producers initiative, which aims to distribute relief resources more equitably. The USDA said it is establishing new programs and efforts to bring financial assistance to farmers, ranchers and producers who felt the impact of COVID-19 market disruptions. The new initiative aims to reach a broader set of producers than in previous COVID-19 aid programs. [ read more … ]

USDA Rolls Out New CFAP Aid

By Chris Clayton, DTN Ag Policy Editor  •    •  Posted March 25, 2021

Beyond the CFAP funds released, USDA also announced it will spend another $6 billion on other producers that earlier COVID-19 aid programs have missed. Some of this aid is prescribed in the December aid package, while some of the aid programs may require rulemaking this spring before funds are released. The $6 billon will be shared among an array of industries and farmers, including: Biofuel producers. [ read more … ]

Biden Administration

Biden ‘Moratorium’ on Oil Leasing Targeted by GOP-Led States

By Erik Larson and Tripp Baltz, Bloomberg  •    •  Posted March 25, 2021

More than a dozen Republican-led states sued the Biden administration over a climate change initiative they claim would effectively ban oil and gas leases on federal land. President Joe Biden’s Jan. 27 executive order entitled Tackling the Climate Crisis at Home and Abroad violates federal law by sidestepping honest debate on whether the “speculative” benefits of the plan outweigh the financial cost to states, Wyoming said in a complaint filed Wednesday in federal court. A similar suit was filed separately by more than a dozen states led by Louisiana. [ read more … ]

Clean Energy Policy & Politics

Senate Democrats plan to employ an obscure legislative tool to reinstate an Obama-era climate change rule.

By Coral Davenport, New York Times  •    •  Posted March 25, 2021

Senate Democrats plan to deploy an obscure but powerful legislative weapon in the coming weeks to try to quickly reinstate a major Obama-era climate change rule that the Trump administration had effectively eliminated. Senator Chuck Schumer of New York, the Democratic leader, is expected next month to invoke the 1996 Congressional Review Act with the goal of undoing a Trump rule finalized in September that lifted controls on the release of methane, a powerful planet-warming gas that is emitted from leaks and flares in oil and gas wells. [ read more … ]

Carbon Tax Sidelined in Biden’s Push on Climate, Taxes

By Greg Ip, Wall Street Journal  •    •  Posted March 25, 2021

There is no more effective way for President Biden to meet his aggressive climate goals than a carbon tax. The timing seems ripe: his Treasury Secretary, Janet Yellen, has been a prominent advocate. Big business has flipped from opponent to proponent. Republican opposition is no longer monolithic. But a carbon tax lacks support where it matters most: with Mr. Biden and the Democratic base. Progressive Democrats claim a carbon tax and its close cousin, cap-and-trade, are unfair to the poor and racial minorities. And a carbon tax appears to conflict with Mr. Biden’s promise not to raise taxes on any household earning less than $400,000 a year. [ read more … ]

New Mexico legislative session ends without passing LCFS bill

By OPIS  •    •  Posted March 25, 2021

A bill that would have established a Low Carbon Fuel Standard in New Mexico failed to pass the Legislature before lawmakers adjourned for the year last week. The measure (S.B. 11) would have required a 10% reduction in transportation-related greenhouse gas (GHG) emissions from 2018 levels by 2030 and a 28% reduction by 2040. [ read more … ]

Markets

U.S. EIA to expand biofuels, feedstock data in monthly report

By Stephanie Kelly, Reuters  •    •  Posted March 25, 2021

The Energy Information Administration said on Thursday it will expand biofuels data in its monthly report to account for the growth in U.S. production of renewable fuels. “The new data will help our data users better track production capacities and feedstock consumption for biofuels, which will increase understanding of the effects of biofuels on the energy industry and our economy,” EIA Acting Administrator Stephen Nalley said in a statement. [ read more … ]

EIA: US Ethanol Stocks Gain; Demand Hits 21-Week High

By DTN Staff  •    •  Posted March 25, 2021

Domestic ethanol inventories gained for the first time in five weeks despite continued strength in blending demand and a slide in production during the week ended March 19, according to the latest Energy Information Administration (EIA) report. Federal data show total ethanol stocks last week rose 469,000 barrels (bbl) to 21.809 million bbl, a two-week high yet 9.5% below the same week in 2020.
[ read more … ]

Oil Drops in Volatile Week While Suez Canal Mishap Persists

By Andres Guerra Luz, Bloomberg  •    •  Posted March 25, 2021

Oil dropped amid broader market weakness after two wild sessions that saw prices whipsaw around 6% in both directions, while traders continued to monitor a container ship that’s blocking the Suez Canal. Futures fell as much as 5.4% in New York on Thursday in the wake of declining equities and a stronger U.S. dollar, which reduces the appeal of commodities priced in the currency. Meanwhile, work to re-float the massive ship that’s stuck in the canal — a key trade route for crude flows — continued without success on Thursday in Egypt. [ read more … ]

 

Note: News clips provided do not necessarily reflect the views of coalition or its member governors.