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1 US EPA Says it is Auditing Biofuel Producers' Pre-owned Cooking Oil Supply
Jade Venters edited this page 2025-01-11 04:39:35 +00:00


By Leah Douglas

Aug 7 (Reuters) - The U.S. Environmental Protection Agency has actually released examinations into the supply chains of at least 2 sustainable fuel producers amid market concerns that some may be using deceptive feedstocks for biodiesel to secure profitable federal government subsidies.

EPA representative Jeffrey Landis informed Reuters that the company has launched audits over the past year, however declined to identify the business targeted because the investigations are ongoing.

The production of biodiesel from sustainable components, like utilized cooking oil, can make refiners a slew 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 mounting that some products labeled as used cooking oil are in fact cheaper and less sustainable virgin palm oil, an item that is connected with logging and other environmental damage.

The concern entered focus following a surge in utilized cooking oil exports from Asia in recent years that analysts have stated involves unrealistically high volumes relative to the amount of cooking oil utilized and recuperated in the region. The European Union is likewise examining feedstocks over the scams concerns.

The EPA audits began after the company upgraded domestic supply-chain accounting requirements in July 2023 for sustainable fuel manufacturers looking for to earn credits under the RFS, he said.

"EPA has conducted audits of renewable fuel producers since July 2023 which consists of, to name a few things, an evaluation of the locations that utilized cooking oil utilized in eco-friendly fuel production was gathered," he said. "These examinations, however, are ongoing and we are unable to go over continuous enforcement examinations."

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

"The Biden administration has created energetic requirements to confirm, not just trust, American producers, and it is vital that the very same scrutiny is applied 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 urged the administration to leave out 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 and Matthew Lewis)