In comments submitted this week to the Environmental Protection Agency, the Iowa Biodiesel Board (IBB) said that the federal Renewable Fuels Standard (RFS) has “breathed new life into Iowa’s struggling biodiesel industry.”
The comments were submitted by IBB executive director Randy Olson in regard to EPA’s notice of proposed rulemaking on the Regulation of Fuels and Fuel Additives: 2012 Renewable Fuel Standards.
Home to 15 plants with 315 million gallons of capacity annually, virtually all of our state’s plants shut down or operated at reduced capacity in 2010. Today most of those plants are operating again, many at or near their full potential. Other idled plants have been purchased and plan to begin production soon. The RFS2 has stimulated an investment in infrastructure, which is critical to the long-term success of biodiesel in our nation’s energy portfolio. In Iowa, Magellan Pipeline has announced plans to install equipment for biodiesel blending at its Des Moines terminal. Other Iowa terminals carrying biodiesel are in Mason City, Ottumwa and Fort Madison. The RFS2 serves as a stabilizing force that will make these investments pay off over the long term. Despite claims of RFS2 opponents, the needed infrastructure is falling into place.
Read the full text of the comments from IBB.