The biodiesel industry is storming Capitol Hill today to share the widespread benefits of the advanced renewable fuel. Nearly 100 leaders are calling on legislators to strengthen the Renewable Fuel Standard (RFS) as a new report released found that in 2015, the biodiesel industry produced 2.1 billion gallons of biodiesel and renewable diesel that supported $8.4 billion in economic impact across multiple sectors along with 47,000 jobs and $1.9 billion in wages.
The study, conducted by LMC International and commissioned by the National Biodiesel Board (NBB), also found that increasing biodiesel imports – nearly a third of total biodiesel use in America in 2015 – are eating into domestic production and its positive economic impact. Should this fuel have been produced domestically, the industry would have been able to support 21,000 additional jobs.
Anne Steckel, vice president of federal affairs for NBB, said the study underscores the benefits of strong policy that encourages further development of the domestic industry. “Ending our dependence on oil is an opportunity, not just for the environment and our national security, but for the economy and for American workers,” said Steckel. “This industry is supporting tens of thousands of jobs from coast to coast, and we’re just getting started.”
The biodiesel producers, feedstock suppliers and other stakeholders in DC today are calling for higher Biomass-Based Diesel and Advanced Biofuel volumes under the RFS going in to 2018. In addition, they are calling for reform of the biodiesel tax incentive, set to expire at the end of this year, to become a $1-per-gallon incentive for domestic production only. Under the current blender’s credit, biodiesel imported to the U.S. qualifies for the incentive.
NBB believes EPA should set stronger volumes of Biomass-Based Diesel under the RFS, calling for at least a 2.5-billion-gallon requirement in 2018. LMC found, with 2.5 billion gallons of production, the industry would support 81,600 jobs and $14.7 billion in total economic impact if all production were domestic. The impact is 55,000 jobs and $9.8 billion in total impact under a split of two-thirds domestic production and one-third imports.