On June 10, 2015 the EPA proposed a fuel standards rule for 2014, 2015, and 2016 as well as Biomass-Based Diesel Volume for 2017. Under section 211 of the Clean Air Act, the EPA is required to set renewable fuel percentage standards every year. This action proposes annual percentage standards for cellulosic biofuel, biomass-based diesel, advanced biofuel, and total renewable fuel that apply to all motor vehicle gasoline and diesel produced or imported in the years 2014, 2015, and 2016.
Over the past few years, the EPA has analyzed data concluding that the ambitious statutory targets in the Clean Air Act exceed real world conditions, but the EPA believes the proposed volume requirements in the new rule would still push the fuels sector to produce and blend more renewable fuels in 2015 and 2016 in a manner that is consistent with the goals Congress envisioned. The proposed volumes are less than the statutory targets for 2015 and 2016 but higher than what the market would produce and use in the absence of such market-driving standards. The EPA cites that the 2015 and 2016 standards are expected to spur further progress in overcoming current constraints and lead to continued growth in the production and use of higher ethanol blends and other qualifying renewable fuels.