Biodiesel & Ethanol RIN Spread Holds Despite EPA Warning

Biodiesel & Ethanol RIN Spread Holds Despite EPA Warning

 

2014 Redux RFS/EPA

EPA seems to have an ongoing struggle with how they handle implementing the Finalized RVO rules.  The Clean Air Act stipulates the final rule needs to be approved and in place by November 30 of the year prior to the rule taking effect.  For 2021, that would have been Nov 30, 2020.  Proposed rules are often issued in May or June to provide time for comment.

This is not the first time the Renewable Fuel Standard has been operating without RVO’s in place. In 2013 the final rule was not enacted until August of 2013.  Then, like now, the market is struggling with ethanol blend wall concerns. EPA followed up the 2013 final rule with a proposed rule for 2014 later in the month.

The 2014 proposed rule stated the EPA was unwilling to push ethanol production past the blend wall.  The EPA went as far as lowering the amount of renewable fuel to be blended into the nation’s transportation…

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