1 US EPA Says it is Auditing Biofuel Producers' Secondhand Cooking Oil Supply
Noelia Prendergast edited this page 2025-01-18 17:52:55 +08:00


By Leah Douglas

Aug 7 (Reuters) - The U.S. Environmental Protection Agency has launched investigations into the supply chains of a minimum of two renewable fuel producers amid industry issues that some might be using deceptive feedstocks for biodiesel to protect profitable government subsidies.

EPA spokesperson Jeffrey Landis told that the agency has actually released audits over the past year, but decreased to identify the business targeted due to the fact that the examinations are ongoing.

The production of biodiesel from sustainable components, like utilized cooking oil, can make refiners a variety of state and federal ecological and environment subsidies, consisting of tradable credits under a program administered by the EPA called the Renewable Fuel Standard. But fears have actually been mounting that some materials identified as utilized cooking oil are really more affordable and less sustainable virgin palm oil, a product that is related to logging and other environmental damage.

The problem entered into focus following a surge in used cooking oil exports from Asia in the last few years that analysts have said involves unrealistically high volumes relative to the amount of cooking oil used and recovered in the area. The European Union is likewise investigating feedstocks over the scams issues.

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

"EPA has carried out audits of renewable fuel producers because July 2023 which consists of, to name a few things, an examination of the areas that utilized cooking oil used in sustainable fuel production was collected," he stated. "These investigations, nevertheless, are ongoing and we are not able to discuss ongoing enforcement investigations."

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

"The Biden administration has actually developed vigorous standards to confirm, not just trust, American producers, and it is crucial that the same scrutiny is applied 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 additional tidy fuel tax credit program passed in the Inflation Reduction Act. (Reporting by Leah Douglas in Washington Editing by Richard Valdmanis and Matthew Lewis)