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ABFA and REG respond to EPA's 2017 Renewable Volume Obligation announcement

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Hydrocarbon Engineering,

Renewable Energy Group (REG) leaders and Michael McAdams, President of the Advanced Biofuels Association (ABFA), voiced their support for the Environmental Protection Agency's (EPA's) release of the final Renewable Volume Obligations (RVOs) for 2017.


“We congratulate EPA on getting the RVO rule out ahead of schedule. Like last year, it sends a clear signal to the market of the federal government’s intention to stand behind the RFS programme. We are also happy to see the confidence and support of the biomass-based diesel pool by continuing to recognise the fact it is growing steadily. And, we welcome increases in both the advanced and cellulosic pools. Those are truly the fuels of the future that deliver the most significant contribution to sustainability.”


EPA increased the total advanced biofuel RVO above its proposed 4.0 billion ethanol equivalent gallons to 4.28 billion gallons, a 670 million gallon increase over 2016. Biomass-based diesel supplied the vast majority of fuel used to meet the advanced biofuel RVO in 2016. This increase in the advanced biofuel RVO should provide increased demand for the clean, low carbon intensity biomass-based diesel produced by REG.

EPA also confirmed the biomass-based diesel RVO of 2.1 billion gallons for 2018, which is 100 million gallons over the final 2017 level and 200 million gallons above the 2016 minimum volume.

“While our industry has shown that higher volumes of biomass-based diesel can and will be produced and consumed, this final rule elevates the growth trajectory for our cleaner, lower carbon intensity advanced biofuel,” said Daniel J. Oh, President and Chief Executive Officer. “Biomass-based diesel will continue to lead the way. We appreciate the support of those at the EPA, many others throughout the Administration and our bi-partisan champions on Capitol Hill who all helped make this possible.”

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