EPA Proposal for Limiting Biodiesel RINS to 20%

Written on: February 7, 2023 by ICM

The U.S. Environmental Protection Agency (EPA) recently published a proposed rule that sets all biofuel volumes for the Renewable Fuels Standard (RFS) for the coming years and makes several changes to the program. The RFS is important because it generates renewable fuel credits, known as “RINs,” that incentivize production and blending of biodiesel into the fuel supply, including home heating oil.

Buried deep in lengthy proposal is a change that prohibits RINs from being “separated” from gallons of diesel fuel and home heating oil if the biodiesel blend exceeds 20 percent. This would effectively devalue any blend above this amount and discourage higher blends from being offered in the marketplace. What’s more, the EPA did not even include a reason for this arbitrary and seemingly politically motivated change.

The change would make fuel dealers less competitive in a market where consumers and state and local policymakers are demanding low-carbon home energy solutions. It would be particularly disruptive in Connecticut, New York, and Rhode Island. These states now require biodiesel blends in home heating oil and plan to move well beyond B20 as part of a long-term climate plan. The EPA proposal could make this impossible.

The Oil & Energy Service Professionals has set-up a Voter Voice page for contacting the EPA with your comments. The deadline for submission is Friday, February 10, 2023, at 11:59pm ET. Thank you for your support!