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Governors' Biofuels Coalition
NEWS UPDATE April 20, 2023

Top Story

Debt-Limit Bill Would Repeal Biofuel and Renewable Energy Tax Credits

By Chris Clayton, Progressive Farmer  •    •  Posted April 20, 2023

Beyond going after the tax provisions for electric vehicles, the bill also repeals an extension of the $1-per-gallon Biodiesel Tax Credit and Renewable Diesel Tax Credit. The $1.01-a-gallon Second Generation Biofuel Producer Tax Credit would also be repealed. Another tax credit meant to help spark biofuel development in aviation fuel, the $1.25-a-gallon Sustainable Aviation Fuels Tax Credit would also be repealed under the bill. The bill also would dramatically restrict the Clean Fuels Production Credit, which is set to start in 2025. Under the bill, the tax credit would only be available for fuel production started before the end of 2024. [ read more … ]

E15

EPA Administrator Grilled on Summer E15

By Cindy Zimmerman, AgWired  •    •  Posted April 20, 2023

Despite repeated questioning from members of the House Agriculture Committee on the topic, EPA Administrator Michael Regan refused to say when, or if, the agency will grant emergency waivers to allow retail sales of E15 this summer. “If I give you an answer today I can guarantee you that somebody’s going to file into court and it’s going to be kicked out tomorrow,” Regan responded to a plea from Rep. Randy Feenstra (R-IA) that time is running short and ethanol plants and fuel retailers need an answer soon. “Prior administrations attempted to issue E15 waivers and they were overturned by the court,” said Regan. [ read more … ]

Regan Demurs on E15

By Politico  •    •  Posted April 20, 2023

“And the reason I’m saying it this way is because previous administrations have used that waiver and the courts have immediately struck them down for not meeting that.” Regan said the agency is taking Midwestern governors’ requests for an emergency waiver “very seriously,” and conducting a “case-by-case analysis” of whether or not E15 will be needed in 2023. He declined to say when the agency would make a decision, even when Rep. Zach Nunn (R-Iowa) argued that suppliers would need to decide whether to continue selling E15 in 11 days. [ read more … ]

Regan defends EPA tailpipe rules on Capitol Hill

By KEVIN BOGARDUS, E&E News  •    •  Posted April 20, 2023

On Wednesday, Regan appeared before the House Agriculture Committee to discuss EPA’s regulations dealing with farmers and ranchers. It also was his first appearance on Capitol Hill since EPA last week proposed aggressive limits on auto emissions. The standards, starting model year 2027, could lead up to 67 percent of new light-duty vehicles being electric by 2032. Republican members on the panel blasted the plan, arguing it would lead to more dependence on foreign sources of energy and minerals. Rep. Derrick Van Orden (R-Wis.) got into a heated exchange with Regan over the rule, noting that a critical material for electric cars, cobalt, is mined in Congo. [ read more … ]

Markets

Chevron, Exxon pursue cleaner gasoline as alternative to EVs

By Sabrina Valle, Reuters  •    •  Posted April 20, 2023

“We really believe there has to be alternatives for the light duty vehicle,” Chevron President of Americas Products Andy Walz said at an event on Wednesday to road test the fuel. “Electrification is not the only answer.” Chevron and Exxon disclosed in the past days test results from partnerships with automaker Toyota Motor Corp using renewable gasoline partially made from soybeans or other non-fossil feedstocks. The blends could be used by the existing U.S. car fleet and gas stations, the oil majors have said. [ read more … ]

Stellantis tests e-fuels on existing engines to decarbonise fleet

B y Victoria Waldersee, Joe White, Giulio Piovaccari, Reuters  •    •  Posted April 20, 2023

Carmaker Stellantis is testing synthetic e-fuels, which are made with renewable energy, on 28 types of its internal combustion engines, a step it said on Thursday could help decarbonise its existing European fleet. The announcement comes just weeks after the European Union opened a legal route in its phase-out of carbon dioxide-emitting cars from 2035 which would allow those models with combustion engines running on e-fuels to remain on sale. [ read more … ]

Big Oil to Biden: Give Renewable Fuels a Chance

By Kevin Crowley, Bloomberg  •    •  Posted April 20, 2023

Joe Biden’s proposed crackdown on tailpipe emissions is straight out of the “electrify everything” climate playbook: Introduce pollution limits so tough that electric vehicles eventually become the only game in town.  But Big Oil has other plans. In the past few days, Exxon Mobil Corp. and Chevron Corp. have revealed they’re testing renewable-fuel blends with Toyota Motor Corp. that they claim could one day reduce greenhouse gas emissions by 40% to 75%, compared with regular gasoline. [ read more … ]

Hydrogen

Washington’s Biggest Clean Energy Lobbying Group Pushes Natural Gas-Friendly Policy

By Marianne Lavelle, Inside Climate News  •    •  Posted April 20, 2023

ACP said it would not comment on the clean hydrogen rules beyond its comments filed with IRS supporting annual matching. Although ACP endorsed looser time matching standards, the advocacy group did acknowledge that there were differing views on the issue. It invoked a time-honored Washington tradition to resolve the dispute that had riven its own membership: ACP urged the IRS and the Department of Energy to put together a task force to study the costs and the benefits of different methods of determining whether clean hydrogen was truly clean. [ read more … ]

Congress

Energy highlights from the House GOP debt ceiling

By Jeremy Dillo, E&E News  •    •  Posted April 20, 2023

Chief among the House Republicans’ plans is a sweeping broadside against clean energy incentives from the Inflation Reduction Act. The GOP bill would repeal new emissions credits for nuclear energy, renewable energy manufacturing, domestic sourcing of electric vehicle components, hydrogen production and extensions of the wind and solar production credits. In sum, anything new passed by the Inflation Reduction Act would be repealed by the Republican debt plan, even as the incentives have driven historic clean energy-related investment in red and rural districts. [ read more … ]

EVs

Electric Vehicle Tax Credit Rules Create ‘Chaos for Consumers’

By Lawrence Ulrich, New York Times  •    •  Posted April 20, 2023

Designed to accelerate the shift to electric cars among other climate goals, the Inflation Reduction Act has in practice made buying such vehicles a lot more complicated. In August, the law ruled out the full tax credit of $7,500 for electric vehicles and plug-in hybrids assembled outside North America. That may make it harder for consumers to take the financial or psychological leap to buy a battery-powered car. [ read more … ]

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