BIOBASED PRODUCTS BLOG

Senators Submit Bipartisan Letter To USDA Secretary Requesting Assistance For The Biofuel Industry
Posted on April 10, 2020 by Lynn L Bergeson

By Lynn L. Bergeson and Ligia Duarte Botelho, M.A.

On April 6, 2020, 15 United States Senators submitted a bipartisan letter to the U.S. Department of Agriculture (USDA) Secretary, Sonny Perdue, requesting the use of its authority to assist the biofuels industry’s economic circumstances brought by the COVID-19 pandemic. Highlighting the negative impacts of the pandemic on farmers and producers who will bear the impact of the decrease in consumption, in the letter, the Senators have also taken the opportunity to criticize the U.S. Environmental Protection Agency (EPA) for failing to implement the Renewable Fuel Standard (RFS). Specifically, the letter states that EPA has failed “to implement the RFS in accordance with the law, including its issuance of illegal small refinery waivers and enforcement of ethanol blending requirements.” The lack of proper implementation of RFS combined with the COVID-19 crisis, according to the Senators, further negatively impact the rural communities and employment rates in their respective home states.

Given these circumstances, the 15 signatories of the letter ask that USDA considers the allocation of additional funds provided to the Commodity Credit Corporation (CCC) by the Coronavirus Aid, Relief, and Economic Stabilization (CARES) Act to assist the biofuels industry sector. Assistance would be helpful in the format of reimbursements for feedstocks and additional CCC funds to the Higher-Blends Infrastructure Incentive Program to drive future biofuel demand. Although, Secretary Purdue has not yet responded to the aforementioned request, the biofuels industry is hopeful.

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