Mixed Reaction To Biden Administration Announcement On Biofuels

Statewide Iowa — The Biden Administration has rejected dozens of oil refinery requests to be exempt from ethanol blending requirements, while proposing to dial back ethanol production targets.

The moves are getting mixed reaction from the biofuels industry. Ron Lamberty of the American Coalition for Ethanol says it appears oil refiners won’t have to make good on ethanol blending goals.

American Renewable Fuels Association president Geoff Cooper says there’s a lot to digest.

The Renewable Fuels Standard calls on the EPA to set yearly ethanol blending requirements for the oil industry, but the Trump Administration did not meet last December’s deadline to set a target for this year. The Biden Administration has now set the ethanol production goal for 2022. Republican elected officials from Iowa are blasting the decisions to retroactively reduce ethanol rules for 2020 and 2021. Governor Kim Reynolds calls the package a slap in the face to Iowa farmers and renewable fuels producers. Congresswoman Cindy Axne of West Des Moines, the only Democrat in Iowa’s congressional delegation, says denying oil industry waivers for ethanol blending obligations is the right path for the future, but dialing back previous ethanol requirements rewards oil companies that have failed to follow the Renewable Fuels Standard. National Corn Growers Association president Chris Edgington — a farmer from St. Ansgar, Iowa — says denying oil refinery exemptions for 2022 is an important step forward, but the move to change previous ethanol blending requirements should be reversed.

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