U.S. biofuel rules to throttle canola

Published 2025년 6월 24일

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Chris Vervaet doesn’t know if the glass is half full or half empty after a flurry of biofuel policy announcements in the United States. There were some positives and negatives for Canada’s canola industry, said the executive director of the Canadian Oilseed Processors Association. The U.S. Environmental Protection Agency (EPA) released its proposed rule for

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the Renewable Fuel Standard renewable volume obligations (RVOs). The biomass-based diesel mandate, which includes biodiesel, renewable diesel and sustainable aviation fuel, was set at 5.61 billion gallons for 2026 and 5.86 billion gallons for 2027. That is a massive increase from the 3.35 billion gallon mandate for 2025 and is even higher than the 5.25 billion gallons that a coalition of oil and biofuel groups had been lobbying for. That is good news for Canada’s crushers and canola farmers. The bad news is that the EPA also proposed that foreign biofuels and feedstocks would only generate 50 per cent of the Renewable Identification Numbers (RIN) credit value relative to U.S. biofuels and feedstocks. “That’s unfortunate,” said Vervaet. “They’re proposing a 50 per cent haircut, if you will.” The American Soybean Association was thrilled with the “new concept.” “As soybean farmers struggle to maintain biofuel feedstock market share amid the rapidly growing flood of cheap, foreign ...

Source: UkrAgroConsult