GAO says goals of Renewable Fuel Standard unlikely to be met

Published on December 05, 2016 by Daily Energy Insider Reports


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GAO

Limited production of advanced biofuels due to high production costs makes it unlikely that the goals of the Renewable Fuel Standard (RFS) will be met, the U.S. Government Accountability Office (GAO) said in a recent report.

The RFS aims to reduce greenhouse gas emissions and expand the nation’s renewable fuels sector while simultaneously reducing the nation’s reliance on imported oil. It requires that gasoline and diesel sold in the United States contain annually increasing amounts of renewable fuels and advanced biofuels.

The GAO said the target goals of the RFS will likely not be met because of limited production of advanced biofuels, which is not seen expanding by 2022.

Advanced biofuels consist of cellulosic ethanol and biomass-based diesel. These types of biofuels are found to achieve greater greenhouse reduction than corn-starch ethanol based conventional biofuels.

Although advanced biofuels are better for the environment, the GAO report said that less than 5 percent of the 3 billion gallons produced in 2015 were actually advanced biofuels. The U.S. Environmental Protection Agency, which consults with other agencies to administer the RFS, reduced the targets for such fuels using waivers over the last 4 years.

“The investments required to make these fuels more cost-competitive with petroleum-based fuels, even in the longer run, are unlikely in the current investment climate, according to experts,” the report said.