Loebsack Statement on RFS Announcement

Washington, D.C. - Congressman Dave Loebsack released the following statement today after the Environmental Protection Agency (EPA) released its final rule for the 2014, 2015 and 2016 Renewable Fuel Standard (RFS) obligations. Loebsack, a co-chair of the Biofuels Caucus, has led the fight for a strong RFS and highlighted its importance to Iowa.

"The RFS has proven it works. It creates jobs, supports our agricultural communities and lessens our dependence on foreign oil. I have been leading the bipartisan fight in Congress for a strong RFS, and while the numbers are greater than the original proposal, they do not go far enough. I will continue to work with the EPA to ensure the RFS remains good for Iowa."

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Renewable fuel volumes disappoint; EPA missed the mark

For months, Sen. Chuck Grassley of Iowa has urged the Environmental Protection Agency (EPA) to revise and increase its proposed volume obligations for renewable biofuels under the Renewable Fuel Standard (RFS) for 2014, 2015 and 2016.  After hearing from Grassley and other senators, the EPA released a final rule today that improves the volume requirements over its last proposal but still underestimates the capacity for farmers and ethanol and biodiesel producers to generate enough renewable fuel to meet higher goals.  Grassley made the following comment on the final rule.

"This rule is a slight improvement but it still sells biofuels short.  The EPA just doesn't appreciate that farmers and biofuels producers can generate enough renewable fuels to meet the goals set by Congress.   The EPA doesn't seem to appreciate that the law on the books requires strong biofuels targets and that consumers like the chance to use alternate fuels.  Instead, the EPA took a flawed approach that seems to buy into Big Oil's rhetoric.  The new rule is not only more than two years late, but it also sets back the development of next generation biofuels.  This rule undermines the efforts to commercialize the next generation of biofuels.  It's unfortunate that this Administration, which claims to be for renewable and clean energy, would stand in the way of the production and use of more renewable fuels."

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Final Renewable Fuel Standard biodiesel volumes closer to industry ask, Iowa Biodiesel Board says numbers still 'fall a little short'

ANKENY, Iowa - The Environmental Protection Agency today released final Renewable Fuel Standard volumes for the coming years. The rule includes additional growth in the biodiesel category from what was proposed earlier. The Biomass-based Diesel volumes are:
2014 - 1.63 Billion Gallons
2015 - 1.73 BG
2016 - 1.90 BG
2017 - 2.00 BG

Additionally, the rule includes growth in the overall Advanced Biofuel volumes, which offer further opportunity for biodiesel growth. Those volumes climb to 3.61 billion gallons in 2016. Grant Kimberley, executive director of the Iowa Biodiesel Board, issued the following statement:

"Compared to the initial draft proposal that flat-lined biodiesel at 1.28 billion gallons, today's Renewable Fuel Standard announcement is a move in the right direction for Iowa, which has elevated itself to the position of a leading renewable energy producer. The biodiesel industry relies on the RFS as strong national energy policy to facilitate growth and stability in the face of centuries of fossil fuel dominance.

"While we are thankful for the improved numbers from EPA and the White House, they still fall a little short of what the industry had asked for and what the industry is capable of. This is especially true in light of the imports of subsidized foreign-produced biodiesel we've seen from places like Argentina and Southeast Asia. Yet, overall, we are still pleased with the modest increase and grateful to have more market certainty. In future years, we hope implementation of this policy will have clearer direction for our producers well in advance, and reflect actual production capabilities.

"With our state's 13 plants producing more than a quarter-billion gallons of biodiesel last year, Iowa stands to benefit the most from this policy as the nation's leading biodiesel producer. Our industry supports thousands of jobs and economic development while replacing foreign oil and diversifying our fuel supply."

The national biodiesel industry had asked for volumes of 2 billion gallons in 2016 and 2.3 billion gallons in 2017.

Biodiesel - made from a variety of resources including soybean oil, recycled cooking oil and animal fats - is the first EPA-designated Advanced Biofuel to reach commercial-scale production nationwide.

The Iowa Biodiesel Board is a state trade association representing the biodiesel industry.

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Branstad, Reynolds release statement on EPA's final Renewable Fuel Standard rule 

 

(DES MOINES) - Gov. Terry E. Branstad and Lt. Gov. Kim Reynolds today released statements upon learning of the Environmental Protection Agency's (EPA) final Renewable Fuel Standard (RFS) volume obligation levels for 2014, 2015 and 2016.

"I am extremely disappointed that the EPA's final decision failed to follow the renewable volume levels set by Congress," said Branstad.  "Unfortunately, today's decision shows the lack of interest in providing consumers choice at the pump, creating jobs and increasing incomes in Rural America, and reducing our dependence on foreign oil.  This rule falls far too short of a robust RFS and short of the standards set by Congress."

"This entire process has negatively impacted Iowa families through reduced commodity prices, farm incomes, and farmland values," said Reynolds. "We were hopeful that the EPA would fully recognize the importance of renewable fuels after years of regulatory uncertainty.  However, the EPA's decision only marginally improves volume levels in a step that will hurt Iowa families, businesses, and farmers."

The State of Iowa has supported both the production and use of biofuels, including renewable fuel infrastructure development through the Fueling Our Future Program and the Renewable Fuels Infrastructure Program, to ensure that consumers have true choices at the pump.

Branstad and Reynolds have been engaged in calling for a strong and robust Renewable Fuel Standard (RFS) over the past two years.

Highlights of Iowa leaders' engagement on the RFS include :

  • State and Federal elected officials, including Gov. Branstad and Lt. Governor Reynolds, participated in a "Defend the RFS" event.
  • Gov. Branstad traveled to Washington, DC, joining a group of Iowa farmers and biofuels producers, to testify at the Federal government's only public hearing and met with EPA Administrator McCarthy.
  • Gov. Branstad, Lt. Gov. Reynolds, Secretary Bill Northey and the entire Iowa congressional delegation sent a joint letter to Federal leaders advocating for the many benefits that flow from the RFS.
  • Gov. Terry Branstad and Gov. Mark Dayton (D-MN) penned an op-ed in support of a strong Renewable Fuel Standard.
  • Gov. Terry Branstad brought together a bipartisan group of six governors to sign on to a letter to President Barack Obama, EPA Administrator Gina McCarthy and United States Secretary of Agriculture Tom Vilsack expressing their support for a strong RFS.
  • Leaders from across the Midwest joined Gov. Branstad and Lt. Gov. Reynolds for their "Hearing in Heartland," which was open to all interested citizens; 83 panelists from across the Midwest Region spoke from the heart about the importance of the RFS to their livelihoods and a healthy rural economy while only two individuals expressed opposition to a robust RFS.
  • Gov. Branstad, in his Condition of the State address, called on the Iowa Legislature to pass a resolution in support of a robust RFS. The Legislature unanimously passed bicameral, bipartisan resolutions calling for the EPA to reverse course and support a strong RFS. View the resolutions: House Resolution 101 | Senate Resolution 101
  • State of Iowa leaders submitted formal comments to the EPA with current data and analysis that provides Federal leaders the opportunity and obligation to revise their initial volume obligations upward.
  • Gov. Branstad joined Gov. Jay Nixon (D-MO), in testifying at the EPA RFS hearing in Kansas City, Kansas
  • Lt. Gov. Reynolds participated in RFS event with Gov. Pete Ricketts (R-NE)
  • State of Iowa leaders again submitted formal comments in 2015 on the EPA's revised RFS proposed rule
  • Gov. Branstad and Lt. Gov. Reynolds underscored the importance of the RFS at the grand opening of Dupont's cellulosic ethanol plant in Nevada, Iowa in October.
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