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1 US EPA Says it is Auditing Biofuel Producers' Pre-owned Cooking Oil Supply
Edna Chelmsford edited this page 2025-01-12 11:06:00 +01:00


By Leah Douglas

Aug 7 (Reuters) - The U.S. Environmental Protection Agency has actually introduced investigations into the supply chains of at least two eco-friendly fuel manufacturers amid industry issues that some might be using deceitful feedstocks for biodiesel to protect financially rewarding federal government subsidies.

EPA representative Jeffrey Landis told Reuters that the firm has introduced audits over the past year, however declined to identify the business targeted since the investigations are .

The production of biodiesel from sustainable active ingredients, like utilized cooking oil, can make refiners a slew of state and federal environmental and climate aids, including tradable credits under a program administered by the EPA called the Renewable Fuel Standard. But fears have been installing that some products labeled as used cooking oil are in fact less expensive and less sustainable virgin palm oil, a product that is associated with logging and other environmental damage.

The problem entered focus following a rise in utilized cooking oil exports from Asia in the last few years that experts have actually stated includes unrealistically high volumes relative to the amount of cooking oil utilized and recovered in the region. The European Union is likewise examining feedstocks over the fraud concerns.

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

"EPA has carried out audits of sustainable fuel manufacturers given that July 2023 which includes, among other things, an assessment of the locations that used cooking oil used in renewable fuel production was collected," he stated. "These investigations, nevertheless, are continuous and we are not able to talk about ongoing enforcement investigations."

U.S. senators from farm states have called for more oversight of biofuel feedstocks, stating federal agencies should be as extensive in validating imports as they are auditing domestic supply chains.

"The Biden administration has actually developed vigorous standards to verify, not simply trust, American manufacturers, and it is crucial that the very same examination 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 advised 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)