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ENERGY/BIOMASS-BASED DIESEL STANDARD: AMERICAN PETROLEUM INSTITUTE LETTER TO U.S. ENVIRONMENTAL PROTECTION AGENCY ADDRESSING POSSIBLE INCREASE

October 03, 2014

Category: Arkansas Environmental, Energy, and Water Law

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Author: Walter G. Wright

The American Petroleum Institute ("API") sent a September 26th letter to the United States Environmental Protection Agency ("EPA") Administrator stating that the agency:

a) lacks the authority to increase the biomass-based diesel standard in 2014 and

b) is legally required to follow the express language of the Clean Air Act when setting the final standards for 2014.

API expresses concern that EPA may be considering an increase to the biomass-based diesel standard for the 2014 compliance year.

Group Director, Downstream & Industry Operations, Robert L. Greco, III, of API, states that the Clean Air Act expressly compels EPA to provide a 14 month lead time when modifying the mandate. He states that the Clean Air Act's unambiguous language requires the federal agency to have finalized any increase to the 2014 biomass-based diesel mandate by October 31, 2012. He further argues that "political gamesmanship" has delayed the 2014 requirements, and as a result, EPA's authority to increase the 2016 biomass-based diesel standard is soon to pass.

A copy of the letter can be downloaded below.

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