Biofuel CEOs Send Letter To President Obama Over EPA RFS Proposal

On September 16, 2015, 23 biofuel executives sent a letter to President Obama regarding the U.S. Environmental Protection Agency's (EPA) Renewable Fuel Standard (RFS) volume requirement proposal. The revised RFS allows companies to challenge the distribution requirement of renewable fuel, potentially resulting in RFS requirements being waived on a year-to-year basis. The letter outlines the concern that the proposed RFS disincentivizes oil companies to blend renewable fuels into gasoline, resulting in fewer investors for the renewable biofuel companies. Companies, including Poet-DSM, Abengoa, and Enerkem, have begun prioritizing non-U.S. projects due to continued uncertainty over the long-term effectiveness of the RFS.