Klobuchar, Grassley, Murray, Thune Lead Bipartisan Group of Colleagues in Urging Biden Administration to Increase Biodiesel Volumes, Provide Certainty to Producers

In letter to Environmental Protection Agency, senators highlight how American biodiesel moderates fuel prices, benefits the economy and environment

WASHINGTON - U.S. Senators Amy Klobuchar (D-MN), Chuck Grassley (R-IA), Patty Murray (D-WA) and John Thune (R-SD) led a bipartisan group of 20 colleagues in urging the administration to increase the proposed biodiesel volumes in the upcoming Renewable Volume Obligations (RVOs) for 2023 and 2024 to provide certainty to farmers and producers. The senators highlighted how American biodiesel moderates fuel prices and benefits the economy and environment.

"We strongly encourage EPA to utilize the upcoming RVOs for 2023 and 2024 to continue to increase volumes of biomass-based diesel," the senators wrote to Environmental Protection Agency (EPA) Administrator Michael Regan. "The production and use of biomass-based diesel contributes significantly to our economy and environment. These homegrown fuels add to our country's critical fuel supplies, which helps to moderate fuel prices."

"Farmers and biofuel producers are an essential part of the solution to the nation's economic, environmental, and energy security challenges. They deserve certainty in this policy. A multiyear rule would provide the predictability and market signals that the biomass-based diesel industry needs to grow," the senators continued. "Biofuels are poised to play an essential role in a sustainable, homegrown energy future. With the increased use of biomass-based diesel, we can advance efforts to diversify our nation's fuel supply while creating and sustaining jobs, strengthening local economies, generating tax revenues, and improving energy security."

In addition to Klobuchar, Grassley, Murray and Thune, the letter was also signed by Senators Tina Smith (D-MN), Roger Marshall (R-KS), Debbie Stabenow (D-MI), Joni Ernst (R-IA), Tammy Duckworth (D-IL), Roy Blunt (R-MO), Tammy Baldwin (D-WI), Susan Collins (R-ME), Mazie Hirono (D-HI), Jerry Moran (R-KS), Sherrod Brown (D-OH), Deb Fischer (R-NE), Jeanne Shaheen (D-NH), Josh Hawley (R-MO), Ron Wyden (D-OR), Kirsten Gillibrand (D-NY), Dick Durbin (D-IL), Maggie Hassan (D-NH), Angus King (I-ME), and Bernie Sanders (I-VT).

Klobuchar has long been a strong advocate for investing in renewable fuel infrastructure, increasing American biodiesel production, and upholding the Clean Air Act's Renewable Fuel Standard (RFS). In April, Klobuchar and Thune called on the EPA to update its greenhouse gas modeling for biofuels.

In March, Klobuchar and Ernst introduced bipartisan legislation to expand the production and availability of American biofuels, following President Biden's ban on importing Russian oil. The Home Front Energy Independence Act also included a provision to extend tax credit for biodiesel.

In February, Klobuchar and Grassley led a bipartisan letter pushing the EPA to prioritize the Renewable Fuel Standard (RFS) by maintaining the blending requirements for 2022; denying all pending Small Refinery Exemptions (SREs); eliminating proposed retroactive cuts to the renewable volume obligations (RVOs); and setting 2021 RFS volumes at the statutory levels.

Klobuchar and Grassley also introduced bipartisan legislation last December to provide certainty to biofuel producers by preventing the EPA from retroactively reducing RVO levels once finalized.

Last September, Klobuchar led a bicameral group of 11 colleagues in urging the Biden administration to reject any significant reduction in biofuel blending requirements. Last July, Klobuchar led a bicameral letter signed by 15 colleagues pushing the Biden administration to uphold RFS obligations for oil refiners.

In April of 2021, Klobuchar also led a bipartisan letter with Fischer to EPA Administrator Regan calling on the EPA to reject requests to waive or reduce RVOs under the RFS.

In February of 2021, Klobuchar and Thune introduced the Adopt GREET Act to require the EPA to update its greenhouse gas modeling for ethanol and biodiesel.

The full text of the letter is available HERE and below:

Dear Administrator Regan,

We welcomed the recent finalization of the Renewable Volume Obligations (RVOs) for 2021 and 2022 under the Renewable Fuel Standard (RFS) and your public commitments to get the RFS back on track and use the final 2022 volumes as a baseline for 2023 and beyond. To that end, we strongly encourage EPA to utilize the upcoming RVOs for 2023 and 2024 to continue to increase volumes of biomass-based diesel.

Biodiesel and renewable diesel are the first advanced biofuels under the RFS to reach commercial-scale production nationwide. In producing more than 3 billion gallons annually, biofuels producers utilize a broad variety of biomass feedstocks, including surplus vegetable oils, recycled cooking oils and animal fats, and other waste fats and oils. The production and use of biomass-based diesel contributes significantly to our economy and environment.

These homegrown fuels add to our country's critical fuel supplies, which helps to moderate fuel prices. In 2021, availability of U.S. biodiesel and renewable diesel reduced fuel prices at the pump by 4 percent. U.S. production of these clean fuels supports 13 percent of the value of U.S. grown soybeans and U.S. biofuels production supports more than 65,000 U.S. jobs and generates more than $17 billion in economic opportunity for rural communities. And biodiesel and renewable diesel reduce greenhouse gas emissions on average by 74 percent compared to petroleum diesel, according to forthcoming updates to Argonne National Laboratory's GREET model.

Farmers and biofuel producers are an essential part of the solution to the nation's economic, environmental, and energy security challenges. They deserve certainty in this policy. A multiyear rule would provide the predictability and market signals that the biomass-based diesel industry needs to grow.

Biofuels are poised to play an essential role in a sustainable, homegrown energy future. With the increased use of biomass-based diesel, we can advance efforts to diversify our nation's fuel supply while creating and sustaining jobs, strengthening local economies, generating tax revenues, and improving energy security.

We urge you to support higher RVOs for biomass-based diesel and advanced biofuels in the upcoming proposal to encourage additional development and use of this fuel.

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