By Leah Douglas
Aug 7 (Reuters) - The U.S. Epa has actually released investigations into the supply chains of at least 2 sustainable fuel producers in the middle of market issues that some might be utilizing deceptive feedstocks for biodiesel to protect lucrative government aids.
EPA spokesperson Jeffrey Landis informed Reuters that the company has actually released audits over the past year, however declined to identify the business targeted because the investigations are continuous.
The production of biodiesel from sustainable components, like used cooking oil, can make refiners a multitude 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 been mounting that some supplies identified as used cooking oil are actually less expensive and less sustainable virgin palm oil, an item that is connected with logging and other environmental damage.
The concern entered into focus following a surge in used cooking oil exports from Asia recently that analysts have actually said includes unrealistically high volumes relative to the quantity of cooking oil used and recovered in the area. The European Union is likewise investigating feedstocks over the scams concerns.
The EPA audits started after the firm upgraded domestic supply-chain accounting requirements in July 2023 for eco-friendly fuel manufacturers seeking to earn credits under the RFS, he stated.
"EPA has conducted audits of eco-friendly fuel producers because July 2023 which consists of, to name a few things, an evaluation of the locations that used cooking oil used in eco-friendly fuel production was collected," he said. "These investigations, however, are ongoing and we are not able to go over continuous enforcement examinations."
U.S. senators from farm states have required more oversight of biofuel feedstocks, saying federal firms need to be as rigorous in validating imports as they are auditing domestic supply chains.
"The Biden administration has created vigorous standards to confirm, not just trust, American producers, and it is necessary that the very same examination is applied to imported feedstocks," six U.S. senators, led by Roger Marshall and Sherrod Brown, wrote in a June 20 letter to federal agencies.
Another letter from 15 senators to the Treasury Department on July 30 urged the administration to 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 Richard Valdmanis and Matthew Lewis)
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US EPA Says it is Auditing Biofuel Producers' used Cooking Oil Supply
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