1 US EPA Says it is Auditing Biofuel Producers' used Cooking Oil Supply

Eli Imhoff edited this page 2025-01-18 22:16:43 +08:00

By Leah Douglas

Aug 7 (Reuters) - The U.S. Epa has actually introduced investigations into the supply chains of at least two eco-friendly fuel manufacturers amidst industry issues that some might be using deceptive feedstocks for biodiesel to secure rewarding federal government subsidies.

EPA representative Jeffrey Landis informed Reuters that the firm has actually introduced audits over the previous year, but declined to determine the business targeted because the examinations are ongoing.

The production of biodiesel from sustainable active ingredients, like used cooking oil, can earn refiners a variety of state and federal ecological and environment aids, including tradable credits under a program administered by the EPA called the Renewable Fuel Standard. But worries have actually been installing that some products labeled as used cooking oil are actually more affordable and less sustainable virgin palm oil, a product that is associated with logging and other environmental damage.

The issue entered focus following a surge in utilized cooking oil exports from Asia in the last few years that analysts have stated includes unrealistically high volumes relative to the quantity of cooking oil used and recovered in the region. The European Union is likewise examining feedstocks over the scams issues.

The EPA audits started after the agency upgraded domestic supply-chain accounting requirements in July 2023 for renewable fuel manufacturers seeking to earn credits under the RFS, he said.

"EPA has carried out audits of eco-friendly fuel producers since July 2023 that includes, to name a few things, an evaluation of the areas that used cooking oil used in renewable fuel production was gathered," he stated. "These examinations, nevertheless, are continuous and we are not able to discuss ongoing enforcement examinations."

U.S. senators from farm states have actually required more oversight of biofuel feedstocks, stating federal agencies need to be as extensive in confirming imports as they are auditing domestic supply chains.

"The Biden administration has actually developed energetic requirements to confirm, not simply trust, American producers, and it is imperative that the same scrutiny is used to imported feedstocks," 6 U.S. senators, led by Roger Marshall and Sherrod Brown, composed in a June 20 letter to federal companies.

Another letter from 15 senators to the Treasury Department on July 30 prompted the administration to omit imported feedstocks like UCO from an fuel tax credit program passed in the Inflation Reduction Act. (Reporting by Leah Douglas in Washington Editing by Richard Valdmanis and Matthew Lewis)