Corn Ethanol RFS Level for 2014 Could Be Over 13.5 Billion Gallons

April 25, 2014 04:03 AM
 

via a special arrangement with Informa Economics, Inc.

Agency still eyeing June release of final proposal


NOTE: This column is copyrighted material, therefore reproduction or retransmission is prohibited under U.S. copyright laws.


EPA’s November 2013 proposed Renewable Fuels Standard (RFS) volume requirements put the corn-based ethanol component at 13.01 billion gallons, but indications are that level in the final plan from EPA could now be over 13.5 billion gallons.

Recently, EPA Administrator Gina McCarthy has suggested the corn-based ethanol volume level could rise from their proposed mark.

In November, EPA proposed the following RFS volume requirements for 2014:

Category

Proposed Volume* 2014

Range 2014

2007 EISA Volume for 2014

Announced
2013

Cellulosic biofuel

17 mil. gallons

8 to 30 mil. gallons

1.75 bil. gallons

Final:
810,185 gallons
Initial:
6 mil. gallons

Biomass-based diesel

1.28 bil. gallons

1.28 bil. gallons

#

1.28 bil. gallons

Total advanced biofuel

2.20 bil. gallons

2.0 to 2.51 bil. gallons

3.75 bil. gallons

2.75 bil. gallons

Corn-eligible portion*

13.01 bil. gallons

12.7 to 13.2 bil. gallons

14.4 bil. gallons

13.8 bil. gallons

Total renewable fuel

15.21 bil. gallons

15.00 to 15.52 bil. gallons

18.15 bil. gallons

16.55 bil. gallons

* = All volumes are ethanol-equivalent, except for biomass-based diesel, which is actual. There is not a mandated level for corn-based ethanol. The portion of the mandate that corn-based ethanol is eligible for is equal to total renewable fuel minus total advanced biofuel.
# = To be determined by EPA via rulemaking but not less than 1 billion gallons.

Some reports have signaled a possible increase to 13.2 billion to 13.5 billion gallons. However, based on my sources, the volume could go over 13.5 billion gallons but would be less than 14 billion gallons.

EPA has indicated that the final volume decision would be released sometime in June.


Comments: If this increase is in the final RFS plan as sources signal it would be, that could put it close to the 2013 RFS corn-based ethanol level of 13.8 billion gallons but would still be shy of the 14.4 billion gallons mandated in the 2007 energy law. And other contacts have indicated one cannot rule out an increase in the biodiesel portion of the RFS as well in the final 2014 volume requirements.


 

NOTE: This column is copyrighted material, therefore reproduction or retransmission is prohibited under U.S. copyright laws.


 


 

 

 

 

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