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Page: US EPA Says it is Auditing Biofuel Producers' Pre-owned Cooking Oil Supply
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1 US EPA Says it is Auditing Biofuel Producers' Pre-owned Cooking Oil Supply
Eddy Kerns edited this page 2025-01-13 17:18:31 +00:00


By Leah Douglas

Aug 7 (Reuters) - The U.S. Environmental Protection Agency has actually released investigations into the supply chains of a minimum of two sustainable fuel manufacturers in the middle of market issues that some might be utilizing deceitful feedstocks for biodiesel to secure lucrative government subsidies.

EPA representative Jeffrey Landis informed Reuters that the agency has actually launched audits over the previous year, but declined to recognize the companies targeted since the examinations are continuous.

The production of biodiesel from sustainable ingredients, like used cooking oil, can earn refiners a slew of state and federal ecological and subsidies, consisting of tradable credits under a program administered by the EPA called the Renewable Fuel Standard. But worries have actually been installing that some products identified as used cooking oil are really more affordable and less sustainable virgin palm oil, an item that is associated with logging and other ecological damage.

The issue entered focus following a surge in used cooking oil exports from Asia over the last few years that analysts have stated includes unrealistically high volumes relative to the amount of cooking oil utilized and recuperated in the region. The European Union is likewise investigating feedstocks over the fraud issues.

The EPA audits started after the agency updated domestic supply-chain accounting requirements in July 2023 for renewable fuel manufacturers looking for to make credits under the RFS, he stated.

"EPA has carried out audits of eco-friendly fuel manufacturers because July 2023 that includes, among other things, an evaluation of the locations that utilized cooking oil utilized in renewable fuel production was gathered," he said. "These examinations, however, are ongoing and we are unable to discuss continuous enforcement examinations."

U.S. senators from farm states have actually required more oversight of biofuel feedstocks, stating federal firms should be as rigorous in confirming imports as they are auditing domestic supply chains.

"The Biden administration has produced energetic standards to confirm, not simply trust, American producers, and it is necessary that the same scrutiny is applied to imported feedstocks," six U.S. senators, led by Roger Marshall and Sherrod Brown, wrote in a June 20 letter to federal firms.

Another letter from 15 senators to the Treasury Department on July 30 urged the administration to exclude imported 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)