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1 US EPA Says it is Auditing Biofuel Producers' Secondhand Cooking Oil Supply
bridgetgatlin5 edited this page 2025-01-11 13:59:31 +00:00


By Leah Douglas

Aug 7 (Reuters) - The U.S. Environmental Protection Agency has released investigations into the supply chains of at least 2 eco-friendly fuel in the middle of market issues that some may be utilizing fraudulent feedstocks for biodiesel to protect profitable government aids.

EPA spokesperson Jeffrey Landis told Reuters that the firm has actually introduced audits over the previous year, however declined to determine the business targeted due to the fact that the examinations are ongoing.

The production of biodiesel from sustainable active ingredients, like used cooking oil, can earn refiners a slew of state and federal ecological and environment aids, consisting of tradable credits under a program administered by the EPA called the Renewable Fuel Standard. But fears have actually been mounting that some supplies identified as used cooking oil are actually cheaper and less sustainable virgin palm oil, a product that is related to deforestation and other environmental damage.

The issue entered focus following a rise in used cooking oil exports from Asia over the last few years that experts have actually stated includes unrealistically high volumes relative to the quantity of cooking oil used and recuperated in the region. The European Union is also examining feedstocks over the fraud concerns.

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

"EPA has performed audits of renewable fuel manufacturers given that July 2023 which includes, amongst other things, an evaluation of the places that utilized cooking oil utilized in renewable fuel production was collected," he said. "These examinations, nevertheless, are ongoing and we are not able to go over ongoing enforcement examinations."

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

"The Biden administration has created vigorous requirements to verify, not just trust, American manufacturers, and it is essential that the exact same examination is used 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 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)