By Leah Douglas
Aug 7 (Reuters) - The U.S. Environmental Protection Agency has introduced investigations into the supply chains of a minimum of 2 renewable fuel producers in the middle of market issues that some might be utilizing deceptive feedstocks for biodiesel to protect financially rewarding federal government aids.
EPA representative Jeffrey Landis informed Reuters that the company has actually introduced audits over the previous year, but decreased to recognize the business targeted due to the fact that the investigations are ongoing.
The production of biodiesel from sustainable active ingredients, like utilized cooking oil, can earn refiners a of state and federal ecological and climate aids, consisting of tradable credits under a program administered by the EPA called the Renewable Fuel Standard. But worries have been installing that some materials identified as used cooking oil are actually less expensive and less sustainable virgin palm oil, a product that is connected with logging and other ecological damage.
The issue came into focus following a surge in used cooking oil exports from Asia in the last few years that experts have stated includes unrealistically high volumes relative to the amount of cooking oil used and recovered in the area. The European Union is also examining feedstocks over the fraud issues.
The EPA audits started after the company upgraded domestic supply-chain accounting requirements in July 2023 for renewable fuel producers seeking to earn credits under the RFS, he said.
"EPA has actually carried out audits of sustainable fuel producers because July 2023 which consists of, to name a few things, an examination of the places that utilized cooking oil used in eco-friendly fuel production was collected," he said. "These investigations, nevertheless, are ongoing and we are not able to go over ongoing enforcement examinations."
U.S. senators from farm states have actually required more oversight of biofuel feedstocks, saying federal companies should be as strenuous in confirming imports as they are auditing domestic supply chains.
"The Biden administration has produced vigorous requirements to validate, not just trust, American manufacturers, and it is imperative that the exact same analysis is used to imported feedstocks," six U.S. senators, led by Roger Marshall and Sherrod Brown, composed in a June 20 letter to federal firms.
Another letter from 15 senators to the Treasury Department on July 30 prompted the administration to omit 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' Pre-owned Cooking Oil Supply
Kellye Holeman edited this page 2025-01-11 03:56:29 +01:00