By Leah Douglas
Aug 7 (Reuters) - The U.S. Epa has released examinations into the supply chains of at least 2 renewable fuel manufacturers amidst industry concerns that some might be utilizing deceitful feedstocks for biodiesel to secure financially rewarding government subsidies.
EPA spokesperson Jeffrey Landis informed Reuters that the company has introduced audits over the previous year, however declined to recognize the companies targeted since the investigations are continuous.
The production of biodiesel from sustainable ingredients, like used cooking oil, can make refiners a slew of state and and climate subsidies, consisting of tradable credits under a program administered by the EPA called the Renewable Fuel Standard. But worries have actually been mounting that some supplies identified as used cooking oil are actually cheaper and less sustainable virgin palm oil, a product that is associated with deforestation and other ecological damage.
The issue entered into focus following a surge in used cooking oil exports from Asia over the last few years that experts have actually stated includes unrealistically high volumes relative to the amount of cooking oil utilized and recuperated in the region. The European Union is also investigating feedstocks over the fraud concerns.
The EPA audits started after the agency upgraded domestic supply-chain accounting requirements in July 2023 for sustainable fuel producers seeking to earn credits under the RFS, he stated.
"EPA has carried out audits of eco-friendly fuel producers because July 2023 which includes, among other things, an assessment of the areas that utilized cooking oil used in sustainable fuel production was gathered," he stated. "These examinations, however, are continuous and we are not able to go over continuous enforcement investigations."
U.S. senators from farm states have actually called for more oversight of biofuel feedstocks, stating federal agencies need to be as strenuous in verifying imports as they are auditing domestic supply chains.
"The Biden administration has actually developed energetic requirements to validate, not just trust, American producers, and it is imperative that the very same scrutiny is used to imported feedstocks," six U.S. senators, led by Roger Marshall and Sherrod Brown, composed in a June 20 letter to federal agencies.
Another letter from 15 senators to the Treasury Department on July 30 prompted the administration to exclude imported feedstocks like UCO from an additional clean fuel tax credit program passed in the Inflation Reduction Act. (Reporting by Leah Douglas in Washington Editing by Richard Valdmanis and Matthew Lewis)
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US EPA Says it is Auditing Biofuel Producers' used Cooking Oil Supply
Carma Woodfull edited this page 2025-01-12 08:42:45 +00:00